Regional demand appeared revitalized, with a flurry of base oil cargoes discussed for shipment from Northeast Asia to Southeast Asia and India during the week. Activity in China and India was also showing signs of picking up, which encouraged buyers in other countries to secure product before it tightened further.
The energized trading pace offered support to current prices, with few changes noted week on week, except for values for the API Group II base oils, which moved up on tighter supply. The price stability also assuaged buyers’ concerns about acquiring base stocks at present and then finding out that prices had fallen. As a result, more buyers have ventured into the market over the last two weeks, although some still maintained a guarded attitude.