Taiwan’s base oils exports rose to a three-month high in February, cushioning the impact of tighter supplies from other sources in Asia ahead of a seasonal rise in demand in the region at the end of the first quarter.Taiwan’s exports of Group II heavy-grade base oils also stayed higher than usual for a second month.Total base oils exports of 50,300 tonnes in February rose from 36,500 tonnes the previous month, government data showed..The volume was unusually high.It was well above typical shipments of around 42,000 tonnes/month in 2024 and exceeded the 50,000 tonnes/month level for just the eighth time since the beginning of 2022.The rise in shipments followed a dip in base oils exports from South Korea at end-2024 and early this year.The northeast Asian country’s exports are likely to stay lower than usual because of ongoing plant maintenance work that extends into April.The volume of arbitrage shipments from the US to markets like India and Middle East late last year and early this year also lagged expectations.The drop in shipments from sources like South Korea and US raised the prospect of complicating regional blenders’ moves to replenish stocks ahead of a seasonal rise in demand at the end of the first quarter.The rise in exports from markets like Taiwan and Singapore in the first two months of the year helped to cushion the impact of the tighter availability from those other sources.Taiwan’s shipments of Group II heavy grades in February were the highest in more than two years and accounted for more than 50% of its total exports for a second month.The pick-up in supplies of Group II heavy grades tapped the product’s increasingly firm supply-demand fundamentals in Asia.Those fundamentals supported a sustained rise in the premium of FOB Asia Group II heavy-grade prices over Singapore gasoil over the past year.The premium extended its rise in March to the highest level since late-2021..S Korea’s January base oils exports fall.China’s February base oils output mixed.India’s February lube demand rises.Thailand’s January lube demand rises
Taiwan’s base oils exports rose to a three-month high in February, cushioning the impact of tighter supplies from other sources in Asia ahead of a seasonal rise in demand in the region at the end of the first quarter.Taiwan’s exports of Group II heavy-grade base oils also stayed higher than usual for a second month.Total base oils exports of 50,300 tonnes in February rose from 36,500 tonnes the previous month, government data showed..The volume was unusually high.It was well above typical shipments of around 42,000 tonnes/month in 2024 and exceeded the 50,000 tonnes/month level for just the eighth time since the beginning of 2022.The rise in shipments followed a dip in base oils exports from South Korea at end-2024 and early this year.The northeast Asian country’s exports are likely to stay lower than usual because of ongoing plant maintenance work that extends into April.The volume of arbitrage shipments from the US to markets like India and Middle East late last year and early this year also lagged expectations.The drop in shipments from sources like South Korea and US raised the prospect of complicating regional blenders’ moves to replenish stocks ahead of a seasonal rise in demand at the end of the first quarter.The rise in exports from markets like Taiwan and Singapore in the first two months of the year helped to cushion the impact of the tighter availability from those other sources.Taiwan’s shipments of Group II heavy grades in February were the highest in more than two years and accounted for more than 50% of its total exports for a second month.The pick-up in supplies of Group II heavy grades tapped the product’s increasingly firm supply-demand fundamentals in Asia.Those fundamentals supported a sustained rise in the premium of FOB Asia Group II heavy-grade prices over Singapore gasoil over the past year.The premium extended its rise in March to the highest level since late-2021..S Korea’s January base oils exports fall.China’s February base oils output mixed.India’s February lube demand rises.Thailand’s January lube demand rises
