Europe’s base oils supply lagged demand in June for the first time in four months even as regional consumption continued to trend lower.Total supply, or output and imports combined, fell even more steeply.Supply of around 430,000t in June fell from more than 540,000t in May to the lowest in more than four years.Total demand, or regional lube demand and base oils exports combined, rose to more than 450,000t in June, from less than 430,000t the previous month.Demand rose as a jump in exports more than balanced out lower regional consumption.Net supply fell in response, dipping to a shortfall of close to 25,000t to demand.The shortfall flipped from a surplus of close to 200,000t in April and more than 110,000t in May.The surplus began to weigh on regional base oils prices relative to diesel prices at the end of the second quarter, ICIS data showed..Europe’s Q4 lube demand set to fall
Europe’s base oils supply lagged demand in June for the first time in four months even as regional consumption continued to trend lower.Total supply, or output and imports combined, fell even more steeply.Supply of around 430,000t in June fell from more than 540,000t in May to the lowest in more than four years.Total demand, or regional lube demand and base oils exports combined, rose to more than 450,000t in June, from less than 430,000t the previous month.Demand rose as a jump in exports more than balanced out lower regional consumption.Net supply fell in response, dipping to a shortfall of close to 25,000t to demand.The shortfall flipped from a surplus of close to 200,000t in April and more than 110,000t in May.The surplus began to weigh on regional base oils prices relative to diesel prices at the end of the second quarter, ICIS data showed..Europe’s Q4 lube demand set to fall