Weekly Bitumen Report: Market Stability by the End of Eid-Al-Fitr Holiday

On April 2, Donald Trump imposed extensive new tariffs on all imported goods. He unveiled a detailed list of reciprocal duties targeting more than 60 countries, asserting that this action is essential to address trade imbalances and revitalize U.S. manufacturing.

This effort created concerns about the intensification of the trade war and its impacts on global economic growth and the rise of inflation.

In March, sales of Chinese-made electric vehicles by Tesla decreased by 11.5% compared to the previous year, reaching 78,828 units. This decline may indicate a shift in market demand and its impact on the automotive industry and the global economy, as well as the start of a trade war between countries.

Isabel Schnabel, the executive board of the European Central Bank, warned that the disruption of world trade can significantly raise global inflation and decline economic growth. These concerns have increased due to the imposition of tariffs and protectionist trade policies.

In the last week of March, the U.S. crude oil inventories increased by 6.2 million barrels and touched the record of 493.8 million barrels. The surge was more than the previously stated predictions of the analysts, and it is a sign of a reduction in demand or increase of supply that can affect crude oil prices accordingly.

The attacks of the U.S. on the Houthis continue. Donald Trump said that “our attacks will continue until they are no longer a threat to Freedom of Navigation.”

Israel has initiated another series of airstrikes aimed at compelling Hamas to free additional Israeli hostages. On Wednesday, Benjamin Netanyahu announced that Israel has taken control of a new area in the Gaza Strip, which is part of a revised strategy to acquire land in the region following the breakdown of the cease-fire with Hamas last month.

On April 1, crude oil price was traded at 74.86$ per barrel, and it even exceeded $75 in the initial trades on Wednesday. However, according to Reuters, it dropped by nearly 3% on Thursday after U.S. President Donald Trump revealed extensive new tariffs, raising concerns among investors that this could escalate a global trade war, hindering economic growth and reducing fuel demand.

Singapore’s 180CST closed at $465. Bitumen prices in Singapore and South Korea closed at $420 and $405, respectively.

In Bahrain, bitumen prices are still fixed at $420. The range of bitumen prices in Europe remained almost unchanged at $420-450.

In India, bitumen prices increased $5 on April 1, gaining support from the local refineries.

Iran’s bitumen market will officially start working from April 5, by the end of New Year and Eid-al-Fitr holidays. After this almost long holiday, we should wait to see how the market will start.

To check the latest bitumen prices at different destinations, check the Infinity Galaxy website: https://infinitygalaxy.org/bitumen-price-today/.

This article was prepared by Razieh Gilani, the export manager of Infinity Galaxy.