Base oils exports from China and India combined rose in February to the second-highest level in sixteen months.The shipments added additional supply to the region from sources that are typically Asia’s largest base oils importers.China’s base oils exports rebounded in February even as the country’s domestic demand revived after the lunar new-year holidays in late January.The rise in exports suggested the pick-up in demand was relatively muted and that China’s refiners still had sufficient surplus volumes to clear through overseas markets. Those volumes are likely to rise as Chinese refinery run-rates increase.India’s base oils exports rose to a five-month high in February even as the country’s blenders were readying for the peak lube demand season in March before financial year-end.Exports from both markets are likely to continue to trend upwards as domestic supply rises.The trend would add to the need for Asia-Pacific producers to target more distant markets with their supplies.China and India’s combined base oils exports of around 22,000t in February rose from little more than 7,000t the previous month, government and customs data showed..The two countries’ combined exports of more than 196,000t in 2022 rose from less than 161,000t the previous year and from less than 67,000t in 2020.Singapore remained the main destination for China’s exports. An increasingly regular flow of large shipments also moved to India in recent months.Most of India’s February exports moved to the Mideast Gulf.Base oils production capacity has or is set to rise sharply in both China and India.Both countries also benefit from crude oil supplies of Russian origin at steep discounts to market levels.Rising production capacity and low-priced feedstock raised the prospect of exports continuing to trend higher.It also raised the prospect of curbing China and India's own requirements for base oils supplies from other markets..China’s February base oils output falls
Base oils exports from China and India combined rose in February to the second-highest level in sixteen months.The shipments added additional supply to the region from sources that are typically Asia’s largest base oils importers.China’s base oils exports rebounded in February even as the country’s domestic demand revived after the lunar new-year holidays in late January.The rise in exports suggested the pick-up in demand was relatively muted and that China’s refiners still had sufficient surplus volumes to clear through overseas markets. Those volumes are likely to rise as Chinese refinery run-rates increase.India’s base oils exports rose to a five-month high in February even as the country’s blenders were readying for the peak lube demand season in March before financial year-end.Exports from both markets are likely to continue to trend upwards as domestic supply rises.The trend would add to the need for Asia-Pacific producers to target more distant markets with their supplies.China and India’s combined base oils exports of around 22,000t in February rose from little more than 7,000t the previous month, government and customs data showed..The two countries’ combined exports of more than 196,000t in 2022 rose from less than 161,000t the previous year and from less than 67,000t in 2020.Singapore remained the main destination for China’s exports. An increasingly regular flow of large shipments also moved to India in recent months.Most of India’s February exports moved to the Mideast Gulf.Base oils production capacity has or is set to rise sharply in both China and India.Both countries also benefit from crude oil supplies of Russian origin at steep discounts to market levels.Rising production capacity and low-priced feedstock raised the prospect of exports continuing to trend higher.It also raised the prospect of curbing China and India's own requirements for base oils supplies from other markets..China’s February base oils output falls
