Italy’s lubricating oil demand edged up to a three-month high in February on the back of an improvement in industrial oils consumption.Outright consumption stayed lower than usual and fell from year-earlier for the fifth time in six months.Weak demand and anemic economic growth deterred blenders from replenishing feedstock inventories.Stock replenishment typically starts to take place from around February. Steady-to-lower base oil prices and expectations of healthy availability of supply added to a preference to delay stock replenishment plans..Italy's January base oils output jumps.The rise in Italy’s February lube consumption from the previous month suggested blenders were instead more comfortable to work down existing stocks even further.The moves raised the prospect of blenders replenishing lower-than-usual stocks during a shorter time period ahead of the spring oil-change season.The plans would follow the removal of a swathe of surplus base oils supplies from markets like Italy to outlets like West Africa, Mideast Gulf and Latin America during the first few months of the year.Italy’s lube consumption of 32,000t in February fell by 13pc from year-earlier levels, government data showed. The volume was the lowest for the month of February since 2019..Demand rose from 29,400t the previous month, mirroring a typical recovery in consumption at the start of the year.Demand usually continues to rise during the first half of the year before slowing during the second half.Blenders remained cautious despite the prospect of rising demand over the coming months.The caution followed a surge in base oils demand and prices during first-half 2022. The move left blenders with lingering high-priced surplus supplies as lube consumption slowed.A drop in automobile lubricants consumption in February also highlighted the ongoing demand weakness.Automobile lubes consumption had risen throughout most of the past year. The trend cushioned the impact of the fall in industrial oils consumption.The drop in automobile oil demand in February removed that buffer..France’s January lube demand rises
Italy’s lubricating oil demand edged up to a three-month high in February on the back of an improvement in industrial oils consumption.Outright consumption stayed lower than usual and fell from year-earlier for the fifth time in six months.Weak demand and anemic economic growth deterred blenders from replenishing feedstock inventories.Stock replenishment typically starts to take place from around February. Steady-to-lower base oil prices and expectations of healthy availability of supply added to a preference to delay stock replenishment plans..Italy's January base oils output jumps.The rise in Italy’s February lube consumption from the previous month suggested blenders were instead more comfortable to work down existing stocks even further.The moves raised the prospect of blenders replenishing lower-than-usual stocks during a shorter time period ahead of the spring oil-change season.The plans would follow the removal of a swathe of surplus base oils supplies from markets like Italy to outlets like West Africa, Mideast Gulf and Latin America during the first few months of the year.Italy’s lube consumption of 32,000t in February fell by 13pc from year-earlier levels, government data showed. The volume was the lowest for the month of February since 2019..Demand rose from 29,400t the previous month, mirroring a typical recovery in consumption at the start of the year.Demand usually continues to rise during the first half of the year before slowing during the second half.Blenders remained cautious despite the prospect of rising demand over the coming months.The caution followed a surge in base oils demand and prices during first-half 2022. The move left blenders with lingering high-priced surplus supplies as lube consumption slowed.A drop in automobile lubricants consumption in February also highlighted the ongoing demand weakness.Automobile lubes consumption had risen throughout most of the past year. The trend cushioned the impact of the fall in industrial oils consumption.The drop in automobile oil demand in February removed that buffer..France’s January lube demand rises
