Brazil’s lube demand fell in December for the first time in eight months, adding to a slowdown in consumption throughout the Latin American market.Slower lube consumption coincided with the prospect of a recovery in Brazil’s domestic base oils production early this year.The country's base oils output fell in second-half 2023 because of an extended round of plant maintenance work.Any extended slowdown in lube demand and recovery in base oils output was likely to cut further Brazil’s requirements for additional base oils supplies from overseas markets.The move would have the largest impact on the US, whose base oils exports to Brazil surged during the second half of last year.Brazil’s lube consumption of 84,000mᶟ (74,500t) in December fell by 3pc from year-earlier levels, according to IBP.Even with the contraction, the country's total lube demand of 1.15mn mᶟ in 2023 rose by 8pc from 1.06mn mᶟ the previous year.Brazil’s lube demand dipped in December because of a 6pc drop in industrial oils consumption and a 5pc fall in consumption of heavy-duty engine oils (HDEO).HDEO consumption is considered a bellwether of industrial activity.Latin America’s lube demand rose in the first eleven months of 2023 mostly because of rising consumption in Brazil.Weaker lube demand in Brazil raised the prospect of compounding a sustained slowdown in consumption in other key regional markets like Mexico and Argentina..Latin America’s Nov lube demand growth slows
Brazil’s lube demand fell in December for the first time in eight months, adding to a slowdown in consumption throughout the Latin American market.Slower lube consumption coincided with the prospect of a recovery in Brazil’s domestic base oils production early this year.The country's base oils output fell in second-half 2023 because of an extended round of plant maintenance work.Any extended slowdown in lube demand and recovery in base oils output was likely to cut further Brazil’s requirements for additional base oils supplies from overseas markets.The move would have the largest impact on the US, whose base oils exports to Brazil surged during the second half of last year.Brazil’s lube consumption of 84,000mᶟ (74,500t) in December fell by 3pc from year-earlier levels, according to IBP.Even with the contraction, the country's total lube demand of 1.15mn mᶟ in 2023 rose by 8pc from 1.06mn mᶟ the previous year.Brazil’s lube demand dipped in December because of a 6pc drop in industrial oils consumption and a 5pc fall in consumption of heavy-duty engine oils (HDEO).HDEO consumption is considered a bellwether of industrial activity.Latin America’s lube demand rose in the first eleven months of 2023 mostly because of rising consumption in Brazil.Weaker lube demand in Brazil raised the prospect of compounding a sustained slowdown in consumption in other key regional markets like Mexico and Argentina..Latin America’s Nov lube demand growth slows
