Mexico is looking west for cargoes to replace its hurricane-hit US Gulf Coast supplies, but sources say shipping time and Asia product tightness have not brought the armada that might have been expected.
“The problem is Asia is pretty tight. They don't have a lot of cargoes to send, and only the prompt ones make sense,” said one trader who ships trans-Pacific cargoes. “The gasoline arbitrage also had been shut until the hurricane. No movement of gasoline from Asia to Mexico or Latin America. Or maybe very, very few.”
The number of product tenders coming from other Latin American countries show normal levels for this time of the year. “It hasn't changed,” said another source with knowledge of the South American products market
Read full article at Platts here .