In April xxxx, the US market for Polyalphaolefin (PAO) remained unchanged and faced significant challenges due to oversupply and limited demand. PAO, a key component in lubricants, experienced a downturn in demand despite some improvements in the downstream automotive industry compared to February xxxx. Production levels remained high, leading to a surplus of PAO. Additionally, the existing availability of PAO inventories contributed to the oversupply situation. This surplus, coupled with limited demand, created a challenging environment for PAO manufacturers and suppliers. During the last week of April, the PAO xcSt settled at USD xxxx/MT on a FOB Oklahoma basis.
While the downstream automotive industry showed signs of improvement in April, with an increase in production and sales, the demand for PAO in the lubricant sector remained bearish. The automotive industry&#xx;s recovery was not uniform across all segments, with some areas still experiencing sluggish demand. The bearish demand...
