Turkey July premium-grade imports fall

Turkey’s premium-grade base oils imports fell in July to a six-month low as shipments from the US dipped to their lowest in almost two years.

Imports still rose from year-earlier levels for the fifth time in six months amid an ongoing shift in demand towards premium-grade base oils.

Imports of 20,860t in July fell from 24,830t the previous month to the lowest since January, government data showed.

Even with the slowdown, imports of 164,340t in the first seven months of the year were up 22pc from 134,560t during the same period last year.

The rise in shipments outpaced the 12pc rise in Turkey’s total base oils supply in the first half of the year.

The trend left premium-grade base oils accounting for more than 41pc of Turkey’s total supplies in the first half of the year.

The share was up from less than 38pc during the same period in 2021 and less than 30pc in 2020.

Demand for premium-grade base oils has risen to meet increasingly stringent lubricant specifications.

High prices and unpredictable supply of Group I base oils added to the attraction of premium grades.

Imports fell in July because of a slump in shipments from the US to their lowest since August 2020.

US base oils exports to Europe had slumped in June to a four-month low. The drop in supplies coincided with plant maintenance work in the US.

US exports to Europe then rebounded in July.

Turkey's premium-grade imports got support from unusually high volumes of Russian origin.

Total shipments of almost 20,000t from that market in the first seven months of the year were up from little more than 7,000t during the same period last year.

The rise in shipments of Russian origin mirrored a similar trend for Group I base oils.

Total imports of more than 60,000t of Group I and premium-grade base oils of Russian origin in the first seven months of the year were up from less than 40,000t during the same period last year. The volume was the highest in seven years.