Italy’s lube consumption rose in April for a second month, adding to signs of a more sustained region-wide recovery in demand.Uncertainty about the size and timing of US tariffs on imports from Europe, and any reciprocal moves by Europe, was likely to curb the strength of that recovery or switch it back into reverse.Italy’s lube consumption of 31,900 tonnes in April rose by 6% and for a second month from year-earlier levels, government data showed..Demand had previously fallen for seven straight months to February.The country’s lube demand is a useful bellwether for the state of lube consumption in other key European markets, whose lube consumption growth is typically similar to Italy’s.Rising lube demand at the start of the second quarter and a round of Group I base oils plant maintenance in Europe incentivized blenders to build larger stocks to cover the firmer supply-demand fundamentals.Uncertainty about the outlook because of the US tariffs simultaneously incentivized blenders to limit the size of those inventories.Blenders faced the challenge of combining those two diverging trends during the second quarter of the year.Italy’s lube demand rose in April mostly because of a 10% rise in consumption of automobile lubricants, including a 16% rise in consumption of passenger car motor oils (PCMO).The increase in auto lube consumption was the third in a row and sixth in eight months. PCMO consumption is seen as a bellwether for the state of the services sector.Industrial oils demand also rose in April but at a slower 1% pace. Industrial oils demand previously fell for twelve straight months to February.The dynamic highlighted the importance of PCMO consumption especially in sustaining the recovery in Italy’s lube consumption.Europe’s economic sentiment index improved in May from the previous month, suggesting any recovery in lube demand could extend through the second quarter.The improvement reflected firmer industry and consumer confidence that outweighed weaker confidence in the services sector..Italy’s March lube demand rises.Netherlands’ Feb base oils output falls.UK’s February base oils output falls.Europe’s March Group III base oils supply rises
