Asia accounted for 46 percent of the globes 10.5 billion pounds of wax supply in 2015 and is the top supplier of several wax types, including petroleum, synthetic and palm. Production in the region is rising, particularly in China.
China continues to dominate the global wax market, but Indian suppliers are increasing sales domestically and abroad and could provide competition to Chinese companies in coming years, an industry insider said at a conference last month.
Numaligarh Refinery Ltd. is preparing to open to open the largest wax plant in India - a 50,000 ton per year facility being built in the northeastern city of Guwahati.
Pakistans National Refinery Ltd. reported its half-year net profit for its lube segment - which includes API Group I base oils and waxes - plunged 52 percent year-on-year, hurt by weak domestic sales.
Weifang Hongrun Petrochemical Technology Co. awarded a contract to Chevron Lummus Global for license and design of a 500,000 metric tons per year white oil hydroprocessing unit and a 200,000 t/y food-grade white oil unit in Shandong, China, CLG recently announced.
Asia's demand for waxes will likely outpace supply, which is expected to slow slightly after strong increases in recent years, an industry official said.
Asia-Pacifics microcrystalline wax demand is expected to show strong growth to 2019, while its petrolatum demand is projected to grow more slowly over that time, consultancy Kline & Co. projected.
The Indian government plans to sell its 53.29 percent stake in Bharat Petroleum Corp. Ltd., an oil and gas company that is one of the countrys largest lubricant suppliers and one of four domestic base oil producers.