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EU Diesel Imports from East of Suez or US Not Profitable: Sparta

OIL PRODUCTS

European imports of diesel from East of Suez or from the US are not profitable as arbs remains closed according to Sparta Commodities.

“The normal arb routes into Europe remain closed at present” with East of Suez flows more profitable to Asia and the spread between US and European prices has widened.

  • Tightness in gasoil in Asia Pacific is expected to persist through Q2 partly due to low exports from China.
  • The West Coast India arbs are currently the most cost-effective arbitrage into Singapore.

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