Europe’s Group III base oils supply stayed lower than usual in December for the third time in four months, cushioning the impact of a seasonal slowdown in the region’s consumption at the end of the year.Europe’s Group III base oils prices still extended their slide early this year relative to Group I and Group II base oils and relative to Group III prices in other regions.The price-weakness suggested that availability continued to outpace demand even with the drop in supply at the end of last year.Europe’s total Group III base oils supply of close to 110,000 tonnes in December fell from more than 165,000 tonnes the previous month, government and port data showed.The lower volume added to a drop in total supply to less than 390,000 tonnes in the fourth quarter of the year, down from more than 420,000 tonnes during the previous three months.Supply was still higher than fourth-quarter volumes in 2022 and 2023.Supply of more than 1.50 million tonnes in 2024 was down 8% from more than 1.65 million tonnes in 2023.The lower volume contrasted with signs of steadier Group I and Group II base oils supply in Europe in 2024.Europe’s Group I and Group II base oils prices held relatively firmer than Group III base oils even with steadier volumes and shrinking regional lube consumption.The dynamic suggested that Group I and Group II base oils were accounting for a larger share of the region’s shrinking lubricants consumption.Europe’s Group III base oils supply fell in December mostly because of a dip in shipments from the UAE and Bahrain to a thirteen-month low.Imports from Asia also slipped in December from the previous month. But they remained higher than usual and extended a sharp surge in volumes from year-earlier levels..S Korea Dec exports to Americas mixed.Europe’s Nov Group III supply rises.US’ December base oils imports fall
