Brazil’s base oil production jumped 48% in August, compared to the same period last year, and was up by 18% from August 2019’s volume, suggesting production continues its rebound to around pre-pandemic levels.
The South American country’s base oil production – mainly API Group I – jumped 48% to 53,000 metric tons in August, up from 36,000 tons in the same month in 2020 and outpacing by 18% the 45,000 tons market set in August 2019, according to data released by the National Agency of Petroleum, Natural Gas and Biofuels.
The August total was down 12% sequentially from 60,000 tons in July. The 53,000 tons was also the third highest for a month this year, behind July and May, when refiners churned out 58,000 tons of base oils.
Brazil imported 58,000 tons of base oil in August, up 16% from 50,000 tons in August last year and 9% higher than 53,000 tons in the same month in 2019. The August 2021 total was the second lowest for a month this year, ahead of 55,000 tons in June. The high marks of 138,000 tons and 135,000 tons occurred in February and March, respectively.
Before the COVID-19 pandemic struck, Brazil’s volumes of imported base oil were similar to the amount it produced, but imports rose as domestic output dropped during 2020.