Base Oils and Lubricants - Weekly Global Market Review (19 Dec)

South Korea: Export mix shifted in November — total base oil exports slid to a six-month low amid seasonal demand softening, even as shipments to the US surged to a one-year high.

Saudi Arabia: Base oils exports edged higher in November ahead of maintenance work, cushioning impact of shutdown.

Europe: Trade movements showed mixed signals — Group I exports rose to a three-month high, Group II imports climbed to a four-month peak, while Group III supply fell to a ten-month low, tightening availability late in the year.

Italy: Base oils output slid to a six-month low in October, helping limit surplus build-ups heading into 2026.

Mexico: Lubricants demand resumed its decline in October, a trend which could compound pressure on US base oils shipments to the country.

Cargo flows — A wave of cargoes from Middle East and South Korea reach US and Europe, boosting Group III supply.