Brazil’s base oils supply rose to an eight-month high in September on the back of steady output and a surge in imports of the lubricant feedstock.The surge in supply contrasted with a dip in the country’s lube sales to a seven-month low.Rising supply and lower demand triggered a surge in Brazil’s supply surplus to its highest level since the start of the year.Base oils supply, or output and imports combined, rose to more than 165,000 cubic meters (146,000 tonnes) in September, government data showed.The volume rose from less than 129,000 cubic meters the previous month to the highest since January.Supply also more than doubled in September from a year earlier, when plant maintenance slashed output.There was by contrast no such plant maintenance work in the second half of this year.Imports also surged in September to an eight-month high and the third-highest level in more than three years.The US is the largest source of Brazil’s base oils imports.Rising supply contrasted with a drop in Brazil’s demand to the lowest since February.The surplus of supply over demand duly rose to an eight-month high of more than 56,000 cubic meters.The surplus had been much smaller during the previous seven months in the face of a strong rise in demand.The larger surplus in September preceded a likely slowdown in the country’s lube consumption during the final quarter of the year.More muted demand increased the prospect of a further rise in surplus volumes and of slower consumption of those supplies during the fourth quarter.Any such trend would dampen for longer buyers' requirements for additional supplies from overseas markets..Brazil’s September lube demand rises.Latam lube demand set to recover in Q1.US September base oil/lube exports fall
Brazil’s base oils supply rose to an eight-month high in September on the back of steady output and a surge in imports of the lubricant feedstock.The surge in supply contrasted with a dip in the country’s lube sales to a seven-month low.Rising supply and lower demand triggered a surge in Brazil’s supply surplus to its highest level since the start of the year.Base oils supply, or output and imports combined, rose to more than 165,000 cubic meters (146,000 tonnes) in September, government data showed.The volume rose from less than 129,000 cubic meters the previous month to the highest since January.Supply also more than doubled in September from a year earlier, when plant maintenance slashed output.There was by contrast no such plant maintenance work in the second half of this year.Imports also surged in September to an eight-month high and the third-highest level in more than three years.The US is the largest source of Brazil’s base oils imports.Rising supply contrasted with a drop in Brazil’s demand to the lowest since February.The surplus of supply over demand duly rose to an eight-month high of more than 56,000 cubic meters.The surplus had been much smaller during the previous seven months in the face of a strong rise in demand.The larger surplus in September preceded a likely slowdown in the country’s lube consumption during the final quarter of the year.More muted demand increased the prospect of a further rise in surplus volumes and of slower consumption of those supplies during the fourth quarter.Any such trend would dampen for longer buyers' requirements for additional supplies from overseas markets..Brazil’s September lube demand rises.Latam lube demand set to recover in Q1.US September base oil/lube exports fall
