Lube demand in Europe’s four largest economies fell in November for a second month amid a slump in industrial oils consumption.Demand still rose from October amid higher consumption in Germany especially and still-firm demand for automobile oils.The steadier demand failed to stop the region’s lubricant blenders from cutting back base oils inventories late last year and to hold off replenishing stocks early this year.They preferred to cut their exposure to the prospect of a further fall in lube consumption as economic growth ground to a halt.Regional base oils prices slumped in the fourth quarter and early this year as weak demand magnified the impact of surplus supplies.Lube consumption is still likely to rise in the coming months even if it falls from year-earlier levels.Demand typically rises because of a seasonal pick-up in consumption during the spring oil-change season after a slowdown during the winter months.Europe’s lube consumption rose by more than 20pc in February and March 2022 compared with the previous two months combined.The trend was the same in three of the previous four years before that. The exception was 2020, when the imposition of lockdowns began to impact demand from the end of the first quarter.Blenders’ moves to hold off replenishing stocks raised the prospect of a pick-up in such moves in a shorter period of time during the remaining weeks of the first quarter.Lube consumption in November came to less than 172,300t in Germany, France, Italy, and Spain combined..The volume fell by 6pc from year-earlier levels but was up from more than 166,500t in October.Sales of automobile lubricants fell in November for a second month, slipping by less than 2pc from year-earlier levels.Sales of industrial lubricants fell for a twelfth month, with the 16pc drop the steepest since January 2022..Italy’s December lube demand falls
Lube demand in Europe’s four largest economies fell in November for a second month amid a slump in industrial oils consumption.Demand still rose from October amid higher consumption in Germany especially and still-firm demand for automobile oils.The steadier demand failed to stop the region’s lubricant blenders from cutting back base oils inventories late last year and to hold off replenishing stocks early this year.They preferred to cut their exposure to the prospect of a further fall in lube consumption as economic growth ground to a halt.Regional base oils prices slumped in the fourth quarter and early this year as weak demand magnified the impact of surplus supplies.Lube consumption is still likely to rise in the coming months even if it falls from year-earlier levels.Demand typically rises because of a seasonal pick-up in consumption during the spring oil-change season after a slowdown during the winter months.Europe’s lube consumption rose by more than 20pc in February and March 2022 compared with the previous two months combined.The trend was the same in three of the previous four years before that. The exception was 2020, when the imposition of lockdowns began to impact demand from the end of the first quarter.Blenders’ moves to hold off replenishing stocks raised the prospect of a pick-up in such moves in a shorter period of time during the remaining weeks of the first quarter.Lube consumption in November came to less than 172,300t in Germany, France, Italy, and Spain combined..The volume fell by 6pc from year-earlier levels but was up from more than 166,500t in October.Sales of automobile lubricants fell in November for a second month, slipping by less than 2pc from year-earlier levels.Sales of industrial lubricants fell for a twelfth month, with the 16pc drop the steepest since January 2022..Italy’s December lube demand falls
