In Iran, bitumen production faces shortages of vacuum bottom and containers, with exports strained by logistical issues and fluctuating oil prices.
The explosion of hundreds of pagers in Lebanon has triggered a new wave of attacks against Hezbollah, attributed to Israel. Meanwhile, during his first press conference, Iran’s president claimed that Israel is attempting to drag Iran into a regional conflict. Even the slightest tension in the Middle East can influence crude oil price trends.
In China, the government is planning to gradually raise the retirement age for the first time since the 1950s, citing an aging population and budget constraints. This move is expected to intensify concerns about China’s economic outlook, as it remains the world’s second-largest economy.
On September 18, the U.S. Federal Reserve lowered interest rates by 0.5%, disappointing investors who had anticipated a more significant change. The modest reduction led to minimal market reactions, leaving future trends in gold and crude oil uncertain for the coming week.
In the U.S., rising oil reserves have alleviated concerns about security amid escalating tensions in the Middle East. However, the negative effects of the interest rate cut have kept Brent crude prices steady, hovering around the $70 mark.
On Thursday, Brent crude oil closed at $74 per barrel, while Singapore’s 180 CST was priced at $432 per ton. Bitumen prices in Singapore and South Korea showed gradual increases, reaching $515 and $430 per ton, respectively. In Bahrain, prices remained stable at $395, while Europe saw fluctuations in the $360 to $430 range. India’s bitumen market, which saw a $19 decrease in mid-September, is expected to experience further declines in early October unless oil prices rebound in the coming days.
Situations in Iran
In Iran, bitumen production continues to be hampered by vacuum bottom shortages and logistical challenges, such as container shortages and port congestion. Despite a sharp drop in crude oil prices, the vacuum bottom competition among refineries remains around 8%. Export conditions are currently facing a double challenge: shortages in both vacuum bottom and containers, coupled with fluctuating oil prices.
