Bitumen Market Overview 19 May 2025
Crude Market Trends and Shifts
During the last week, Brent crude oil prices rose, closing at $64.34 per barrel—a 6% weekly gain—driven largely by heightened geopolitical tensions. In the Middle East, Israel’s intensified military operations in Gaza and President Trump’s visit to the region, where he engaged Gulf leaders on energy cooperation, raised concerns over regional stability and oil supply security.
Global Bitumen Market Updates
Bitumen prices increased from European export points. In Northern and Mediterranean Europe, cargo prices rose sharply. In Africa, import prices also climbed, particularly in West Africa, where demand and import volumes grew. In contrast, overall demand in Southwest Asia remained weak, and Singapore export prices declined over the past week. Meanwhile, in Iran, bulk bitumen prices remained stable with limited trading activity.
East Asia Market Overview
Bitumen demand across east Asia remained generally weak. However, traders faced price competition from China and South Korea. Most Singapore refiners are sold out of June-loading VOL, and remaining cargoes are in trader hands. Sellers under pressure have dropped offers, but most are holding firm above $400/t FOB Singapore. In Malaysia, demand was moderate to slow. Also, in Indonesia, bitumen demand remained sluggish due to limited road activity.
In Thailand, rainy season has slowed domestic bitumen demand. In Vietnam, ongoing inquiries for June-loading cargoes stalled as bids remained low. Buyers were hesitant to commit due to leftover inventories from April and strong competition from Northeast Asian sellers. North China saw firmer consumption. East China buyers saw little interest in Korean loading cargoes and South China imports were thin due to strong domestic supply.
Africa Market Overview
Bitumen imports prices across Africa showed a positive trend, supported by rising Mediterranean HSFO prices. In West Africa (Nigeria and Cameroon), higher demand and more imports were observed as the dry season came to an end.
In East Africa, Iranian drummed bitumen price saw a $9-10/t increase, while bulk cargo prices remained steady. Kenya continued to experience steady demand, with improved payments to contractors driving further bitumen usage for road projects. In Uganda, pending projects are expected to resume by the end of May. However, logistical challenges persist, particularly in the DRC, due to the ongoing regional instability and fighting affecting transportation routes.
In South Africa, bitumen prices held steady despite recent fluctuations in the rand.
Middle East Market Overview
Bitumen prices in Bahrain remained steady at $370/t FOB Sitra, with limited supply due to stockpiles being reserved for domestic consumption ahead of a scheduled refinery turnaround. The shutdown of the Sitra refinery in June will reduce seaborne cargo availability.
Iranian bulk bitumen prices held steady, but trading activities remained limited due to weak demand. Some suppliers raised offers amid rising feedstock costs and a stronger Rial. The introduction of a new regulation requiring exporters to settle a higher percentage of foreign earnings on the local exchange system has added uncertainty to the market.
Iraq’s bitumen prices saw a slight increase, with drum prices up by $5/t from the previous week.
