The Netherlands’ base oils output reverted to more typical levels in August after an unusual surge in production during the previous two months.The still-firm production levels coincided with high import volumes of base oils from markets that typically move Group II base oils to Europe.Firm production and high imports left Europe’s Group II supply at higher levels for a fourth month.The Netherlands’ base oils and lube output of 93,000 tonnes in August fell from more than 150,000 tonnes the previous month, government data showed.The July volume was the highest in at least a decade and up from typical levels of around 86,000 tonnes/month in 2023.The August volume was closer to those more typical levels and lifted total output to more than 430,000 tonnes in the four months to August.The volume was up from little more than 130,000 tonnes during the first four months of the year, when plant maintenance work slashed output.The Netherlands is home to Europe’s sole virgin Group II base oils unit.Europe’s premium-grade base oils imports from markets like the US followed a similar trend.The region’ shipments of more than 293,000 tonnes in the four months to August were up from less than 205,000 tonnes during the first four months of the year.The dynamic triggered a sharp and sustained rebound in Europe’s supply of premium-grade base oils from the middle of the second quarter of the year.Rising supply coincided with a fall in Europe’s Group II base oils prices relative to Group I base oils during the second quarter of the year.The region’s Group II prices then firmed relative to Group I prices during the third quarter of the year even with increasingly healthy availability of premium-grade supplies.The dynamic suggested Europe’s Group I base oils market faced more pressure than Group II base oils from the seasonal slowdown in the region’s base oils and lube demand during the summer months..US’ Aug base oils exports to Europe fall.Europe’s Aug Group III supply rises.UK’s August base oils output rises
The Netherlands’ base oils output reverted to more typical levels in August after an unusual surge in production during the previous two months.The still-firm production levels coincided with high import volumes of base oils from markets that typically move Group II base oils to Europe.Firm production and high imports left Europe’s Group II supply at higher levels for a fourth month.The Netherlands’ base oils and lube output of 93,000 tonnes in August fell from more than 150,000 tonnes the previous month, government data showed.The July volume was the highest in at least a decade and up from typical levels of around 86,000 tonnes/month in 2023.The August volume was closer to those more typical levels and lifted total output to more than 430,000 tonnes in the four months to August.The volume was up from little more than 130,000 tonnes during the first four months of the year, when plant maintenance work slashed output.The Netherlands is home to Europe’s sole virgin Group II base oils unit.Europe’s premium-grade base oils imports from markets like the US followed a similar trend.The region’ shipments of more than 293,000 tonnes in the four months to August were up from less than 205,000 tonnes during the first four months of the year.The dynamic triggered a sharp and sustained rebound in Europe’s supply of premium-grade base oils from the middle of the second quarter of the year.Rising supply coincided with a fall in Europe’s Group II base oils prices relative to Group I base oils during the second quarter of the year.The region’s Group II prices then firmed relative to Group I prices during the third quarter of the year even with increasingly healthy availability of premium-grade supplies.The dynamic suggested Europe’s Group I base oils market faced more pressure than Group II base oils from the seasonal slowdown in the region’s base oils and lube demand during the summer months..US’ Aug base oils exports to Europe fall.Europe’s Aug Group III supply rises.UK’s August base oils output rises
