As July closes, the global bitumen market reveals a blend of seasonal slowdowns, weather-driven disruptions, and proactive procurement. Europe eases into its summer lull, Africa navigates logistical pressures and rain delays, and Asia braces for monsoon season with shifting supply strategies.
With much of Europe entering its summer holiday period, demand has naturally tapered. Markets like the UK and France are also grappling with poor weather. France in particular expects further slowdown as asphalt plants close for the first two weeks of August.
Despite the quieter market, cargo activity has remained steady, particularly in Rotterdam and the Baltics, where rising HSFO differentials helped lift values. Meanwhile, Germany avoided disruption despite crude contamination concerns, while the Czech Republic resumed supply after refinery maintenance.
North Africa continues to show resilience, with countries like Libya and Morocco maintaining stable import activity. Algeria's new import regulations raised concerns but have yet to disrupt flows.
In West Africa, however, torrential rain has severely hampered projects, particularly in Nigeria, Ghana, and Cameroon. Tankers are idling off ports as stockpiles grow and usage stalls.
East Africa fared better. Road projects in Kenya and Uganda continued to progress, supported by new funding and political focus. In Southern Africa, sanctions-related disruptions added new concerns to already complex shipping logistics.
Monsoon rains swept across Southeast Asia, delaying procurement and dampening construction schedules. Singapore saw its restocking phase reach completion, leading to tempered buying activity. Vietnam, too, showed hesitation as buyers awaited more optimal market conditions.
China's bitumen demand cooled slightly, while South Korea continued to maintain stable export routes. In India, upcoming refinery maintenance may tighten supply temporarily, though domestic infrastructure activity remains firm.
With seasonal factors, economic policy shifts, and logistics bottlenecks all in play, market participants should closely monitor refinery operations, shipping constraints, and regional infrastructure budgets. Expect a more active procurement cycle as Q3 progresses.