Japan consumed 133,229 kiloliters of finished lubricants in October, up 17% from October 2019, according to data released last week by a government agency. This likely reflects a consumption tax imposed in early October 2019, which caused a drop in lube demand that month.
The October consumption total was up from 113,935 a year earlier and was also up 22% from 109,012 kL in September, according to the country’s Ministry of Economy, Trade and Industry.
According to Japan Center for Economic Research data released in December 2019, Japan’s gross domestic product fell 3.7% in October 2019 when adjusted for inflation. That decline followed a rush of consumer spending ahead of a consumption tax hike implemented on Oct. 1 last year.
This month the center reported that Japan’s real GDP grew 1.8% in October, compared to September, resulting in the fifth consecutive month of economic expansion for the country.
The nation’s production of lubricants, which includes exports, declined to 153,908 kL in October, down 22% from 196,805 kL a year earlier.
Imports and exports of lubricants both fell from a year earlier. Imports dropped 49% to 10,690 kL, while exports decreased 5% to 64,825 kL.