Europe’s Group III base oils supply rose in December as a pick-up in shipments from Spain and the Mideast Gulf countered a slowdown in flows from Asia.The rise in supplies coincided with a seasonal slowdown in Europe’s lube demand that compounded the region's prolonged fall in consumption.Europe’s Group III base oils prices reflected the weak supply-demand dynamics, ICIS data showed.Group III prices extended their slide versus feedstock and competing fuel prices late last year and so far this year.Their discount to US Group III prices deepened in February to the widest in four months.Group III supply faced the prospect of holding firm early this year amid signs of steady flows from Spain and a pick-up in shipments from Asia.Total supply of around 150,000t in December recovered from a thirteen-month low of less than 115,000t in November, government data showed.The volume lifted total supply to close to 1.80mn t in 2023, up from around 1.71mn t the previous year.Group III supply rose even as Europe’s lube demand extended its fall in 2023.Supply rose in December even with shipments from the UAE staying unusually low for a second month.Supply instead got a boost from higher shipments from Spain, Bahrain, and Qatar.Germany is usually the destination for almost all the supplies from Qatar.A large volume was also discharged in Spain in December for the second time in three months..US’ December base oils imports rise
Europe’s Group III base oils supply rose in December as a pick-up in shipments from Spain and the Mideast Gulf countered a slowdown in flows from Asia.The rise in supplies coincided with a seasonal slowdown in Europe’s lube demand that compounded the region's prolonged fall in consumption.Europe’s Group III base oils prices reflected the weak supply-demand dynamics, ICIS data showed.Group III prices extended their slide versus feedstock and competing fuel prices late last year and so far this year.Their discount to US Group III prices deepened in February to the widest in four months.Group III supply faced the prospect of holding firm early this year amid signs of steady flows from Spain and a pick-up in shipments from Asia.Total supply of around 150,000t in December recovered from a thirteen-month low of less than 115,000t in November, government data showed.The volume lifted total supply to close to 1.80mn t in 2023, up from around 1.71mn t the previous year.Group III supply rose even as Europe’s lube demand extended its fall in 2023.Supply rose in December even with shipments from the UAE staying unusually low for a second month.Supply instead got a boost from higher shipments from Spain, Bahrain, and Qatar.Germany is usually the destination for almost all the supplies from Qatar.A large volume was also discharged in Spain in December for the second time in three months..US’ December base oils imports rise
