Pakistan’s April base oil imports rise

Pakistan’s base oil imports rebounded in April to a three-month high, even amid mixed signals about the country’s demand over the coming months.

Base oil imports of 29,480t in April almost tripled from less than 11,000t the previous month, provisional customs data showed.

The rise in shipments boosted total imports to 109,000t in the first four months of the year, up 46pc from 74,510t during the same period last year.

The strong pick-up in imports has contrasted with weaker domestic lube consumption during the first few months of the year. The slowdown coincided with shrinking automobile sales during that period.

Auto sales then rose in May for the first time this year. But sales are expected to face pressure over the coming months from additional curbs on auto financing, rising interest rates and higher prices.

Similar factors are expected to impact auto sales in a growing number of other markets.

For now, Pakistan’s base oil imports held firm amid a jump in shipments from its key suppliers.

South Korea remained Pakistan’s largest source of supplies. Imports of almost 13,000t from that market were the highest in three months.

Imports of more than 10,000t from Singapore in April were the highest in 19 months. Shipments of more than 5,000t from Saudi Arabia were the highest in 11 months.