South Korea’s base oils output fell to a ten-month low in April, reflecting the impact of the shutdown of a Group III unit for maintenance work.The country’s base oils exports fell more steeply than the drop in output, cushioning the impact of the plant shutdown.The smaller drop in South Korea’s net supply instead raised the prospect of a faster recovery in stock-replenishment and exports after the base oils unit resumed operations in late-April.A faster recovery in exports through the rest of the second quarter of the year would coincide with signs of more muted demand in key outlets like India and China.India's imported base oil cargo prices increasingly lagged FOB Asia cargo prices in recent weeks, reflecting the country's more muted buying interest.South Korea’s base oils output came to 2.24 million barrels (316,000 tonnes) in April, KPA data showed.The volume fell from 2.40 million barrels in March and from more than 2.60 million barrels in the seven months to February.The slowdown cut total output to 10.03 million barrels (1.41 million tonnes) in the first four months of the year, down from 10.59 million barrels (1.49 million tonnes) during the same period last year.The slowdown from year-earlier levels in the first four months of the year is likely to reverse over the next few months of the year.The slowdown this year mostly reflected the impact of plant maintenance work in March and April.Plant maintenance work also impacted base oils output last year, but in June and July 2023.A pick-up in South Korea’s base oils supply and shipments to overseas markets over the coming months could get a further boost following the sharp fall in the country’s base oils exports in April.Exports fell by more than 70,000 tonnes in April from March, exceeding the 22,500-tonne fall in output.The larger fall in exports in April curbed the size of the drop in South Korea’s base oils supplies.A smaller drop in supplies in turn raised the prospect of a faster resumption of normal shipments over the following months..S Korea’s April base oils exports fall
South Korea’s base oils output fell to a ten-month low in April, reflecting the impact of the shutdown of a Group III unit for maintenance work.The country’s base oils exports fell more steeply than the drop in output, cushioning the impact of the plant shutdown.The smaller drop in South Korea’s net supply instead raised the prospect of a faster recovery in stock-replenishment and exports after the base oils unit resumed operations in late-April.A faster recovery in exports through the rest of the second quarter of the year would coincide with signs of more muted demand in key outlets like India and China.India's imported base oil cargo prices increasingly lagged FOB Asia cargo prices in recent weeks, reflecting the country's more muted buying interest.South Korea’s base oils output came to 2.24 million barrels (316,000 tonnes) in April, KPA data showed.The volume fell from 2.40 million barrels in March and from more than 2.60 million barrels in the seven months to February.The slowdown cut total output to 10.03 million barrels (1.41 million tonnes) in the first four months of the year, down from 10.59 million barrels (1.49 million tonnes) during the same period last year.The slowdown from year-earlier levels in the first four months of the year is likely to reverse over the next few months of the year.The slowdown this year mostly reflected the impact of plant maintenance work in March and April.Plant maintenance work also impacted base oils output last year, but in June and July 2023.A pick-up in South Korea’s base oils supply and shipments to overseas markets over the coming months could get a further boost following the sharp fall in the country’s base oils exports in April.Exports fell by more than 70,000 tonnes in April from March, exceeding the 22,500-tonne fall in output.The larger fall in exports in April curbed the size of the drop in South Korea’s base oils supplies.A smaller drop in supplies in turn raised the prospect of a faster resumption of normal shipments over the following months..S Korea’s April base oils exports fall
