ICIS provides unrivalled market intelligence for the evolving base oils market.
Updated to Q2 2021
Tight supply is unlikely to abate in Q2 due to ongoing turnarounds at ENEOS Corp’s Negishi unit as well as Idemitsu Kosan’s Chiba unit. A couple of Thai refiners are also expected to continue to run their units at reduced rates due to poor production margins amid sluggish demand for other types of fuels.
Stronger demand is expected in northeast and southeast Asia, amid economic recoveries with the gradual roll-out of the coronavirus vaccine in these regions. However, demand in India will likely be curtailed amid the resurgence of new coronavirus cases in the country.
Supply from northeast Asia is expected to gradually recover towards the later part of Q2, with South Korea’s GS Caltex set to restart its Group II unit in early May. Other South Korean refiners will also likely begin to have more spot availability as supply-demand dynamics become more balanced.
Demand in China and southeast Asia will likely stay largely stagnant as buyers become more and more lethargic to sellers’ incessant price hikes. Demand in India is expected to wane amid the resurgence of new coronavirus cases in the country.
Supply in Q2 is expected to increase as South Korean SK Lubricants is set to restart its 1.7 million tonne/year Group III unit in April from a turnaround. However, shipments from the Middle East to Asia including India will likely remain limited as more volumes may be heading for Europe and the US instead.
Overall demand in Asia is expected to improve, with the key downstream automotive sector likely to benefit from the gradual roll-out of coronavirus vaccines as life slowly returns to normal. However, the automotive industry in India may not see as rapid a recovery as initially expected because of the recent surge in new coronavirus cases.
We offer the following regional Base oils-Lubes analysis and news coverage to keep you informed of factors and developments affecting prices in the Base oils-Lubes marketplace.
News & analysis
ICIS price assessments are based on information gathered from a wide cross-section of the market, comprising consumers, producers, traders and distributors from more than 250 reporters world-wide. Confirmed deals, verified by both buyer and seller, provide the foundation of our price assessments.
Our in-depth market knowledge drives our specialist focus, as we recognise the importance of individual market dynamics and not a one-size-fits-all approach.
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The main use for base oils is in the manufacture of lubricants, of which there are many thousands of types.
The Base Oils/Lubes Pricing report delivers daily and weekly price assessments, market news and analyses for the Asian base oils/lubes market. Whether you are a buyer, trader or seller, our pricing information gives you access to time-sensitive deals, offers/bids and price movements. Historical pricing data is also available.
Our report includes all of the following:
The report also includes trade flows and demand from the finished lubricants sector. Shipping and feedstock information completes the market coverage.
ICIS collects pricing data on a wide range of chemical, energy and fertilizer products, including Base oils-Lubes. Our extensive experience in price reporting means we can offer you access to historical data dating back more than 20 years for certain commodities.
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