Sweden’s base oil exports fell in April from the previous month amid a slowdown in shipments to markets in northern Europe.Base oil exports of 20,780t in April fell back from 29,220t in March, EU government data showed.Even with the slowdown, exports of 92,730t in the first four months of the year were up 6pc from 87,310t during the same period last year. The volume was the highest for that four-month period since 2018..The ongoing recovery in base oil exports since 2021 has come at a time when supply in Europe has been lower than expected.Regional base oil prices have surged in response to the tighter availability to levels that were at steep premiums to other markets. The higher prices have incentivized base oil producers to keep more supplies within the region.Producers have more recently had to balance that incentive with signs of weaker demand in Europe, especially compared with other markets like southeast Asia.Belgium is usually the largest outlet for base oil shipments from Sweden. The country is a major storage and redistribution hub for shipments on to other markets within and beyond Europe.Almost 70pc of Sweden’s base oil shipments moved to Belgium in April. The share was higher than usual, reflecting only a small dip in shipments to that market.Flows to north European markets like Finland, Norway, Denmark and Germany instead fell more sharply. Exports to those countries were more likely to be consumed within those markets.The volume of shipments to those markets accounted for less than 23pc of Sweden’s exports in April, down from typical levels of more than 32pc of the total..Sweden’s March base oil exports rise
