Base oils shipments from the Saudi Arabian ports of Yanbu and Jeddah rose to a five-month high in May amid a pick-up in flows to the UAE and India.Total shipments of more than 85,000 tonnes in May from Yanbu and Jeddah combined rose from close to 50,000 tonnes the previous month, provisional shipping data showed.The volume was the highest this year and up from typical levels of around 57,000 tonnes/month in 2023.Logistical complications with shipments via the Red Sea to the UAE and India had boosted demand for supplies from alternative sources like Asia-Pacific earlier this year.The pick-up in base oils flows from Saudi Arabia to UAE and India in May could in turn curb demand for supplies from those other markets.Demand in the UAE already slowed in the second quarter of the year as the market sought to absorb a swathe of arbitrage shipments from refiners around the world.A sustained rise in flows from Saudi Arabia to the UAE could prolong a slowdown in its requirements for supplies from other sources like Asia.Any such trend would curb further the number of outlets for refiners in Asia to clear any surplus supplies.A sustained rise in flows from Saudi Arabia to the UAE would also cushion against a seasonal slowdown in demand in India.India’s base oils imports from Saudi Arabia rose to a seven-month high of close to 30,000 tonnes in May. Its imports showed signs of slowing from that level in June. .Saudi Arabia’s April Yanbu/Jeddah exports fall.Global base oils exports to Mideast Gulf fall in April
Base oils shipments from the Saudi Arabian ports of Yanbu and Jeddah rose to a five-month high in May amid a pick-up in flows to the UAE and India.Total shipments of more than 85,000 tonnes in May from Yanbu and Jeddah combined rose from close to 50,000 tonnes the previous month, provisional shipping data showed.The volume was the highest this year and up from typical levels of around 57,000 tonnes/month in 2023.Logistical complications with shipments via the Red Sea to the UAE and India had boosted demand for supplies from alternative sources like Asia-Pacific earlier this year.The pick-up in base oils flows from Saudi Arabia to UAE and India in May could in turn curb demand for supplies from those other markets.Demand in the UAE already slowed in the second quarter of the year as the market sought to absorb a swathe of arbitrage shipments from refiners around the world.A sustained rise in flows from Saudi Arabia to the UAE could prolong a slowdown in its requirements for supplies from other sources like Asia.Any such trend would curb further the number of outlets for refiners in Asia to clear any surplus supplies.A sustained rise in flows from Saudi Arabia to the UAE would also cushion against a seasonal slowdown in demand in India.India’s base oils imports from Saudi Arabia rose to a seven-month high of close to 30,000 tonnes in May. Its imports showed signs of slowing from that level in June. .Saudi Arabia’s April Yanbu/Jeddah exports fall.Global base oils exports to Mideast Gulf fall in April
