Indian diesel floods to Asia as Houthis imperil flows to Europe

Posted on:
Key Points

Shipments of diesel from India into Europe are at the lowest since 2022 so far this month as Houthi attacks on merchant shipping continue to disrupt international trade, driving more cargoes to Asia...

Flows to the European Union and UK plunged as higher freight costs stoked by the ongoing turmoil in the Red Sea, as well as unplanned refinery maintenance in Asia, made trade economics better for sending cargoes east rather than west...

Arrivals of fuel from India into Europe averaged just 18,000 barrels a day in the first two weeks of February, a plunge of more than 90% compared with Januarys average, according to data from Vortexa Ltd., compiled by Bloomberg..

Elsewhere, arrivals of diesel-type fuel from India to Asian destinations including some cargoes into Saudi Arabia and Bangladesh surged in the first two weeks of the month..

Better arbitrage economics should mean an increase in exports of diesel from India to the European region in the coming weeks, Noel-Beswick said.. (You can now subscribe to our Economic Times WhatsApp channel).

You might be interested in

India fuel sales slow due to monsoon rains - prelim data

16, Aug, 23

Indian state retailers' gasoline and diesel sales fell in the first half of August from the previous month and a year ago, preliminary sales data showed on Wednesday, as industrial activity and mobility was hit due to monsoon rains.

India diesel exports to Singapore set for highs in Aug, drop for Europe -trade

24, Aug, 23

India's diesel exports to Singapore are set to hit a 19-month high in August and exceed 330,000 metric tons, boosted by cheaper freight costs and low inventories in the Asian oil hub, traders and analysts said.

Diesel shipments from India to Europe hit two-year low amid Houthi attacks

20, Feb, 24

Higher freight costs, fueled by ongoing Red Sea turmoil, have led to a decline in diesel flow to both the European Union and the UK.

IMEC — bridge between East and West, as well as India's queen’s gambit against China

02, Apr, 24

India, via IMEC, looks to create new route to Europe to access gas in Eastern Mediterranean & provide Southeast Asian countries an alternative partner to China to access Atlantic Ocean.