Market Review: Bitumen Diverge as Crude Strengths Fail to Lift
Crude oil prices strengthened in the ending week of September 2025, with Brent trading between $66.51 and $70.67 per barrel, marking a weekly increase of approximately $1.04 per barrel. However, this upward movement in upstream markets failed to support bitumen pricing, as weak consumption and oversupply conditions dominated key exporting regions.
Global bitumen trade remained constrained by soft demand and weather-related disruptions. Across much of Asia, construction activity slowed due to persistent rainfall and typhoon events, while vessel availability remained high, keeping freight rates under pressure. These factors combined to reinforce bearish sentiment across regional markets.
African markets displayed contrasting movements. In West Africa, import prices increased by approximately $19 per ton, supported by firmer Mediterranean high-sulfur fuel oil values and stronger crude benchmarks. East African markets moved in the opposite direction, with import prices declining sharply in response to lower export offers and reduced freight rates from Jebel Ali. Southern Africa tightened, as South African domestic prices rose by R50 per ton, driven by seasonal demand growth and constrained supply resulting from delayed imports and limited production at the Natref refinery.
Seasonal factors continued to weigh on South Asian consumption. In India, monsoon conditions suppressed road construction activity, while import interest remained minimal due to the price advantage of domestically produced bitumen over imported cargoes.
Middle Eastern suppliers also adjusted prices downward amid subdued demand. Bulk export assessments declined to $268–276 per ton FOB, reflecting lower production costs and weak offtake. Drummed bitumen prices slipped marginally to $375–395 per ton. Bahrain maintained its focus on domestic distribution and regional tank truck deliveries, leaving seaborne prices unchanged at $400 per ton. In Iraq, most Kurdish producers kept non-embossed drum prices stable at $340–345 per ton, although one supplier cut offers to $315–325 per ton in an effort to stimulate buying from India.
Export-oriented Asian markets also weakened. Singapore prices fell to $403–411 per ton FOB, down by $5 per ton on the week, as sellers faced ample supply and limited buying interest. South Korean export prices eased to $390–397 per ton FOB, declining by $2.50 per ton. Despite relatively competitive pricing, demand from key destinations remained insufficient to absorb available volumes.
Meanwhile, China faced particularly challenging conditions following the impact of weather condition. Widespread rainfall disrupted logistics and road construction across most provinces. Domestic prices declined in major producing regions, with values in Shandong assessed at $494–532 USD per ton and South China at $462–472 USD per ton, while East China prices remained comparatively stable at $472–496 USD per ton. In addition to weather disruptions, the approaching National Day holiday further reduced spot activity and effectively curtailed import demand.
