ICIS provides unrivalled market intelligence for the evolving base oils market.
Updated to Q1 2021
Supply is likely to stay tight, with Japan’s ENEOS Corp planning to take one of its units offline for a 120-day turnaround from February. A couple of Thai refiners are also expected to continue running their units at reduced rates due to poor production margins amid tepid demand for other fuel products.
Demand in China and southeast Asia is expected to pick up in January ahead of the Lunar New Year holiday before the market slows down in H1 February for the holiday. Demand in India is likely to improve in Q1 as the downstream automotive sector is expected to gradually recover.
Supply from northeast Asia is likely to stay largely constant, with the impact of the planned turnaround at South Korean GS Caltex’s Group II unit in March to be offset by the expected resumption of Taiwanese Formosa Petrochemical Corp’s (FPCC) unit to full capacity, from 90%, in February.
Demand in China and southeast Asia will likely strengthen in January ahead of the Lunar New Year holiday, before slowing down in first-half February for the holiday. Demand in India will likely pick up in Q1 as the downstream automotive sector is expected to gradually recover.
Supply in Q1 is expected to be curbed as South Korean SK Lubricants will take its 1.7m tonne/year Group III base oils unit offline for scheduled maintenance in March 2021 for one month. The impact of this may be partially offset as more Middle Eastern cargoes are expected to head to Asia, amid the escalating coronavirus situation in Europe.
Overall demand in Asia, including India, is expected to pick up as the key downstream automotive sector will likely gradually recover with the roll-out of the coronavirus vaccine. Demand in China and southeast Asia is expected to dip slightly in first-half February due to the Lunar New Year holiday.
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.
Over 25 years of reporting on key chemicals markets, including Base oils-Lubes, has brought global recognition of our methodology as being unbiased, authoritative and rigorous in preserving our editorial integrity. Our global network of reporters in Houston, London, Singapore, Shanghai, Guangzhou, Mumbai, Perth and Moscow ensures unrivalled coverage of established and emerging markets.
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.
Our time series of pricing data enable you to build and model trends, to get a view of where markets might be heading. The data service includes charting functionality, allowing you to chart and download multiple data series for manipulation in your own internal models. You can also export data to Excel via the ICIS dashboard service.