· UAE’s imported Group I SN 500 price extends rise relative to prices in Europe and Asia in H1 Sept 2025..· UAE SN 500 price-strength reflects tight availability of Group I heavy neutrals in Middle East market.· Tight availability contrasts with improving or surplus availability of Group I heavy neutrals in Asia and Europe..· Dynamic increases importance of and competition for outlets like UAE and India.· FOB Europe Group I SN 500 price falls relative to FOB Asia SN 500 price since H1-Aug 2025 to narrowest since April 2024..· Narrowing price-premium increases competitiveness of moving supplies from Europe to markets like UAE and India.· FOB Europe Group I SN 500 price-discount to ex-tank Singapore price also softens, to widest level since Q1 2024..· Widening price-discount increases feasibility of moving supplies from Europe to southeast Asia.· UAE’s imported Group I SN 500 price also strengthens relative to imported Group II N500 price to firmest level in two years..· UAE SN 500 price-strength relative to Group II further highlights tight availability of Group I heavy neutrals.· Tight availability contrasts with increasingly plentiful availability of Group II heavy neutrals in Asia and US.· Price-strength of Group I SN 500 vs Group II N500 shows similar trend in other key outlets like India and in source-markets like Asia and US..· Dynamic increases attraction for blenders in UAE and India to procure more Group II heavy grades in view of its competitive price and more stable supply.· Start-up of new Group II production capacity in Singapore in H2 2025 set to further increase regional availability of Group II heavy grades.· Rising availability and competitive prices of Group II heavy grades in Asia and US raise prospect of further eroding already-shrinking market for Group I SN 500.· Rising availability and competitive prices of Group II heavy grades coincide with increasingly competitive prices of Group I SN 500 in Europe.· Rising competition of Group II base oils, shrinking market for Group I heavy neutrals and rising competition from Europe point to growing challenge for Asia’s supplies of Group I SN 500..Global base oils margins outlook: Week of 15 September.Asia base oils demand outlook: Week of 15 September.Asia base oils supply outlook: Week of 15 September.Base Oil News stories and analysis also available on ICIS platform
