2014 basic oil market overall demand is weak, through the traditional peak season is not prosperous, since June into the traditional off-season, the domestic base oil prices have been downward trend. But after the fall in the market did not have a clear rebound, this year's overall weak economic situation, especially on the basic oil import market impact, most of the import enterprises in the upside down loss stage. But Suzy, a general lubricant analyst, thinks that, looking at the overall market demand, the lubricating oil market demand is still slow to rise mainly, only from the data, the demand growth is far lower than the market supply growth rate.
Market demand: Lubricants are mainly used in automobiles, steel, aviation, ships, hydraulic, machinery and other aspects, including automotive lubricants and industrial lubricants accounted for 80% of the total demand for lubricants.
The demand of vehicle lubricating oil is that the quantity of the civilian vehicle is increasing year by year, and the demand of vehicle oil is stabilized. According to the auto industry data, China's 20 million cars a year, so that the number of China's 5 years to achieve double, to ensure that the demand for lubricants in a large-scale stability into a long-term. Car sales in 2013 amounted to more than 21 million vehicles, bringing China's car ownership to 130 million vehicles. 2014 1-May of the total production of cars in 9934280 volume.
The increase in the number of cars means that the amount of lubricant used in the vehicle is increased, and with the high-end car brand, vehicle owners are now taken to foster repair, maintenance of the car and the choice of high-end lubricants and investment to increase the demand for automotive lubricants and development has brought great prospects.
The demand for iron and steel industry is increasing, but the increasing growth rate is the decline trend, mainly influenced by the domestic economic environment. Data show that the steel industry's demand for industrial lubricants is 67% of industrial gear oil, other products accounted for about 33%.