France’s April lube demand falls

France’s lubricating oil demand fell in April for the third time in four months amid sliding consumption of automobile and industrial oils.

Total lube demand of 44,090t in April fell by 8pc from more than 48,000t the same month a year earlier, according to Centre Professionel des Lubrifiants (CPL).

Consumption of 181,830t in the first four months of the year was down 4pc, or more than 7,000t, from year-earlier levels.

Lube consumption is slowing throughout a growing number of markets in Europe as economic activity slows in the face of rising costs and shrinking consumer spending power.

Lube demand also fell in Spain and Italy in April. The last time consumption fell in those markets and in France at the same time was last October.

Weaker lube consumption cuts blenders’ feedstock requirements. It also complicates their leverage to raise prices to pass on higher feedstock costs. The trend adds further to a reluctance to procure more feedstock supplies.

Like those other European markets, industrial lube consumption in France faced more pressure than automobile lubricants.

Industrial oil demand fell in April for the fourth time in five months, dipping by 11pc to 13,670t. Demand for metal-working fluids fell by more than 25pc, and for process oils by more than 15pc.

Auto lube sales shrank at a slower 5pc rate in April to 25,320t. The pace of the contraction was the fastest in six months.