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Europe naphtha imports rise on Med, US flows

  • Märkte: LPG, Oil products, Petrochemicals
  • 05.08.26

European naphtha imports rose in July as arrivals from Mediterranean and north African suppliers increased and shipments from the US reached their highest since August 2025.

Imports into Europe totalled 1.74mn t in July, up from 1.25mn t in June, Vortexa data show. Algeria was the largest supplier, at 397,400t, its highest monthly volume since May 2025. Italy supplied 264,700t, Spain 212,300t and the US 160,800t.

Algerian flows may have been supported by changes in export routing. Kpler data show no Algerian naphtha cargoes transited the Bab el-Mandeb strait, which links the Red Sea with the Gulf of Aden, en route to Asia in July, compared with 132,000t in June. Algerian exports to Asia via the longer route around the Cape of Good Hope rose to 441,000t from 292,000t. Red Sea security risks and longer voyage times may have encouraged some sellers to keep more supply in Europe.

US arrivals reached 160,800t in July, the highest since August 2025, Vortexa data show. The increase followed stronger US Gulf coast export activity in June, when several cargoes were listed for discharge in Antwerp and Rotterdam.

But support from the US may prove temporary. By the end of July, US-based participants said arbitrage opportunities into Europe had closed, limiting trading interest and potentially reducing arrivals in the coming months.

Strong gasoline blending economics also supported naphtha demand in July. The European gasoline-naphtha spread widened to a three-year high of $341.75/t on 17 July, making naphtha more attractive as a gasoline blendstock. The margin eased to $206-220/t heading into August but remained above the 2026 year-to-date average of $159.50/t and the roughly $120/t average in 2025.

European gasoline export demand added to the blending incentive. Exports to Brazil reached 420,000t in July, the highest since October 2022, Kpler data show. Most cargoes originated from the Netherlands and Belgium, while Spain also supplied significant volumes. Brazil may need more alternative gasoline supplies after Russia extended its gasoline export ban until the end of the year. Russia accounted for 38pc of Brazil's gasoline imports in June, government data show.

The rise in naphtha imports came despite weak European petrochemical demand. Market participants said low Rhine water levels disrupted inland barge movements, sharply reducing naphtha flows to inland consumers. Several steam crackers cut operating rates because of logistical constraints. Some crackers were nearing minimum feasible run rates as feedstock transport challenges persisted into August, market participants told Argus.


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