PADD 3 diesel exports surged in April as import demand strengthened from key consumers in Latin America and Europe - the latter seeking to progressively reduce its reliance on Russian supply. PADD 3 exports rose despite stronger domestic diesel demand, once again underlying the growing global competition for diesel.
As we enter the start of driving season for the Atlantic Basin, we have already seen refined product cracks rise to historical highs in both the US and Asia markets which have boosted global seaborne gasoline loadings to a 24-month record for March. Looking forward, high crude runs in a few selected regions could be the factor to cool gasoline cracks and refining margins somewhat.
How CPP dynamics has shaped the MR freight market on the Atlantic as well as what is in store for the region in the short to medium term?
As we witness US gasoline cracks moving toward levels matching 2021 highs, a year hit by severe unplanned supply problems and high refined product demand we can expect to see only further limitations to supplies as spring refinery maintenance ramps up across the globe and demand is set to grow for all refined products in a world emerging from the pandemic.
Latin America has been a key importer of road transportation fuels in 2021. However fundamentals, seasonality and shipping indicators are signaling that the demand pull may be behind us.
As diesel strengthens against gasoline in the Atlantic Basin, will East of Suez diesel exports dampen the flames or will diesel continue to strengthen in the next six months?
Latam imports of gasoline & diesel are enjoying a demand surge with volumes arriving from as far away as the East of Suez to fulfill hefty import requirements. However, despite higher volumes of clean products headed towards Latam over July, MR tanker US Gulf - Latam remained relatively unchanged, as a fair chunk of the inflow was supplied from West Africa.
As global diesel loadings rise amid lagging demand, we explore how the supportive factors in the physical diesel market are not enough to withstand the pressure of a product in oversupply.
Vortexa evaluates if the current large volumes of seaborne diesel on the water are a demand pull or a supply push from refineries as they max out gasoline production.
Despite encouraging LNG pricing fundamentals, freight rates could plateau on the back of thinning US exports, reduction in tonne-miles and an influx of LNG carrier tonnage.
Saudi Arabia's imports of dirty petroleum products are strengthening as the country gears up for peak summer demand.
Vortexa outlines how Latin American countries are increasing imports of crude and refined products whilst simultaneously exporting refined products into storage hubs, suggesting an oversupplied region.
Vortexa outlines how global crude imports show a slow recovery for refiners.
Vortexa outlines how the the peak in European gasoline loadings destined for the Atlantic Basin will slow and why.
Vortexa outlines how the decline in US fuel oil and dirty feedstocks exports has impacted buyers in Latin America, Caribbean and Asia.
Latin American diesel imports via ship-to-ship transfers (STS) off west Africa are on track to hit a multiyear high of around 230,000 mt in March, up from less than 90,000 mt in February.
US gasoline/blending components imports into its Atlantic coast (PADD 1) are set to fall to the lowest weekly total seen in months, for the DoE week ending 6 November.
The share of US marine fuels arriving into the global bunkering and storage hub Panama rose sharply in the first half of this year, following the shift to IMO-compliant marine fuels. This displaced previously dominant high sulphur fuel oil (HSFO) from South America, as we highlight in this article.
Brazil's latest seaborne refined products flows reflect the dampening of domestic road fuels demand in the wake of the Covid-19 pandemic. We take stock of the impact, and see in our data that lower gasoline demand pushed exports in May higher.