Thailand’s base oils exports exceeded imports in January for the first time in ten months amid firm overseas demand for Group I heavy grades and still-muted domestic consumption.The drop in base oils imports to a ten-month low also left the country’s total demand exceeding supply for the first time since last October, when plant maintenance work slashed domestic output.The supply shortfall raised the prospect of limiting base oils exports volumes over the coming months.A seasonal rise in domestic demand at the end of the first quarter of the year is likely to curb further the availability of surplus supplies.A surge in Thailand’s base oils exports in January likely helped to replenish overseas buyers’ stocks in markets like China.A repeat of that surge was unlikely over the coming months.Base oils exports of almost 22,000 kilolitres (19,400t) in January almost doubled from around 11,000kl in December, government data showed..The volume was the highest in four months and up from more typical levels of less than 14,000 kl/month over the past year.Almost half of the export volume moved to China. A large portion of the supplies likely consisted of Group I bright stock.Chinese demand for Group I supplies from Thailand typically peaks in the first few months of each year ahead of the spring oil-change season.The strength of China’s pick-up in demand this year remained lower than usual, even after the scrapping of the country’s zero-Covid policy at end-2022..China’s February base oils output falls.Thailand’s exports of little more than 13,000kl to China in the three months to January were down from more than 24,400kl during the same period a year earlier.Thailand’s own domestic lube demand was also lower than usual in January amid sliding consumption of industrial oils..Thailand’s January lube demand falls.The slowdown coincided with a fall in the country's base oils imports in January to a ten-month low of 21,300kl.The biggest impact was on supplies from South Korea. Thailand’s imports of around 6,300kl from the northeast Asian country fell from more than 11,600kl in December to a ten-month low.The slowdown contrasted with a rise in shipments from Singapore in January to a sixteen-month high of more than 9,500kl.Singapore’s growing share of Thailand’s imported supplies since the fourth quarter of last year reversed a prolonged trend of a shrinking market share amid rising shipments from South Korea.An extension of this new trend would force South Korean producers to redirect more supplies to other markets instead. .S Korea Jan exports to India/SE Asia rise
Thailand’s base oils exports exceeded imports in January for the first time in ten months amid firm overseas demand for Group I heavy grades and still-muted domestic consumption.The drop in base oils imports to a ten-month low also left the country’s total demand exceeding supply for the first time since last October, when plant maintenance work slashed domestic output.The supply shortfall raised the prospect of limiting base oils exports volumes over the coming months.A seasonal rise in domestic demand at the end of the first quarter of the year is likely to curb further the availability of surplus supplies.A surge in Thailand’s base oils exports in January likely helped to replenish overseas buyers’ stocks in markets like China.A repeat of that surge was unlikely over the coming months.Base oils exports of almost 22,000 kilolitres (19,400t) in January almost doubled from around 11,000kl in December, government data showed..The volume was the highest in four months and up from more typical levels of less than 14,000 kl/month over the past year.Almost half of the export volume moved to China. A large portion of the supplies likely consisted of Group I bright stock.Chinese demand for Group I supplies from Thailand typically peaks in the first few months of each year ahead of the spring oil-change season.The strength of China’s pick-up in demand this year remained lower than usual, even after the scrapping of the country’s zero-Covid policy at end-2022..China’s February base oils output falls.Thailand’s exports of little more than 13,000kl to China in the three months to January were down from more than 24,400kl during the same period a year earlier.Thailand’s own domestic lube demand was also lower than usual in January amid sliding consumption of industrial oils..Thailand’s January lube demand falls.The slowdown coincided with a fall in the country's base oils imports in January to a ten-month low of 21,300kl.The biggest impact was on supplies from South Korea. Thailand’s imports of around 6,300kl from the northeast Asian country fell from more than 11,600kl in December to a ten-month low.The slowdown contrasted with a rise in shipments from Singapore in January to a sixteen-month high of more than 9,500kl.Singapore’s growing share of Thailand’s imported supplies since the fourth quarter of last year reversed a prolonged trend of a shrinking market share amid rising shipments from South Korea.An extension of this new trend would force South Korean producers to redirect more supplies to other markets instead. .S Korea Jan exports to India/SE Asia rise
