Korea March exports to Europe stay low

South Korea’s base oil exports to Europe and Israel stayed low in March amid a steady drop in shipments to the Netherlands and Belgium.

Total exports of 15,950t to the region in March edged up from 15,110t the previous month, government data showed.

The volume was down from average shipments of more than 24,000 t/month to Europe in 2021.

Base oil exports have fallen because of a sustained slowdown in shipments to the Netherlands and Belgium.

Those countries are the key outlets in Europe for shipments from South Korea. Most of the supplies consist of Group III base oils.

Exports of 11,460t in March to the Netherlands and Belgium combined fell from almost 15,000t the previous month and from almost 17,000t in January.

The drop in shipments coincided with a slower rise in Europe Group III prices in recent weeks compared with Group I and Group II base oils.

Premium-grade supplies from Spain to the Netherlands have also been more plentiful.

Plant maintenance in Asia-Pacific is also curbing availability of supply.

Shipments to Europe got a boost in March from the arrival of a large cargo in France. Such shipments have tended to move to that market once every two to three months.