Pakistan’s base oils supply fell to a four-month low in January even as the country’s lube consumption extended its rise.Lower supply and firmer demand likely squeezed blenders’ base oils stocks.Any moves to replenish lower inventories faced the challenge of a drop in base oils exports from South Korea late last year and early this year.The country is Pakistan’s largest overseas base oils supplier.The drop in shipments provided the opportunity for supplies from other sources to cover the shortfall.There were growing signs of some such moves.Pakistan’s base oils supply, or domestic output and imports combined, slipped to around 27,000 tonnes in January, industry and customs data showed.The volume fell from close to 29,000 tonnes the previous month and for a second straight month from year-earlier levels.Supply fell mostly because of a slump in base oils imports from South Korea to the lowest level in almost three years.Shipments from the northeast Asian country could remain lower than usual early this year because of stock-building and lower output during a round of plant maintenance work.The drop in Pakistan's base oils supply coincided with firm lube demand that rose by 7% in January and for a fourth month from year-earlier levels..The contrasting trends, and prospect of a sustained pick-up in lube consumption, boosted the need for blenders to line up replenishment supplies from alternative sources.Pakistan’s base oils imports from the US already surged in 2024, after almost no shipments from that country before last year.The rise in flows extended into the start of this year, with the delivery of another large cargo in January.Another cargo bound for Pakistan set off from the US in January.Taiwan had also been a rare source of supplies for Pakistan.That changed following the delivery of a large cargo in the fourth quarter of last year.Another cargo then moved from Taiwan to Pakistan in February.Signs of ready availability of Group II base oils shipments from other sources raised the prospect of South Korean suppliers facing growing competition for a market that they had dominated in recent years..Shell Pakistan’s largest base oils importer in 2024.S Korea’s January base oils exports fall.US’ Jan base oils exports hold steady.Taiwan's Feb base oils exports rise
Pakistan’s base oils supply fell to a four-month low in January even as the country’s lube consumption extended its rise.Lower supply and firmer demand likely squeezed blenders’ base oils stocks.Any moves to replenish lower inventories faced the challenge of a drop in base oils exports from South Korea late last year and early this year.The country is Pakistan’s largest overseas base oils supplier.The drop in shipments provided the opportunity for supplies from other sources to cover the shortfall.There were growing signs of some such moves.Pakistan’s base oils supply, or domestic output and imports combined, slipped to around 27,000 tonnes in January, industry and customs data showed.The volume fell from close to 29,000 tonnes the previous month and for a second straight month from year-earlier levels.Supply fell mostly because of a slump in base oils imports from South Korea to the lowest level in almost three years.Shipments from the northeast Asian country could remain lower than usual early this year because of stock-building and lower output during a round of plant maintenance work.The drop in Pakistan's base oils supply coincided with firm lube demand that rose by 7% in January and for a fourth month from year-earlier levels..The contrasting trends, and prospect of a sustained pick-up in lube consumption, boosted the need for blenders to line up replenishment supplies from alternative sources.Pakistan’s base oils imports from the US already surged in 2024, after almost no shipments from that country before last year.The rise in flows extended into the start of this year, with the delivery of another large cargo in January.Another cargo bound for Pakistan set off from the US in January.Taiwan had also been a rare source of supplies for Pakistan.That changed following the delivery of a large cargo in the fourth quarter of last year.Another cargo then moved from Taiwan to Pakistan in February.Signs of ready availability of Group II base oils shipments from other sources raised the prospect of South Korean suppliers facing growing competition for a market that they had dominated in recent years..Shell Pakistan’s largest base oils importer in 2024.S Korea’s January base oils exports fall.US’ Jan base oils exports hold steady.Taiwan's Feb base oils exports rise
