South Korea's oil products demand fell 8.5% year on year in October due to higher retail prices and a domestic economic slowdown, data released late Thursday by Korea National Oil Corp showed.
The country consumed 73.35 million barrels, or an average of 2.37 million b/d, of oil products in October, down from 80.15 million barrels a year earlier, the data showed.
It was the fourth consecutive month of decline in demand since July, when oil consumption dipped 2% from a year earlier. The October oil consumption was also down 4.4% from 76.68 million barrels in September.
Over January-October, oil products demand edged down 0.1% on year to 773.61 million barrels.
The decrease in oil consumption in October was attributable to weaker demand for auto fuels and LPG amid higher retail prices.
Gasoil demand fell 10.6% on year to 12.3 million barrels in October, while gasoline demand fell 16% over the same period to 5.64 million barrels. LPG consumption fell 7.2% on year to 8.11 million barrels in October, its third consecutive month of decline.
Demand for naphtha, the biggest consumption item, fell 11.2% on year to 36,33 million barrels.
"Declines in the consumption of auto fuels were attributable to higher retails prices, while sluggish naphtha demand seems caused by the country's economic slowdown," a KNOC official said.
In contrast, consumption of jet fuel rose 3.7% on year to 3.41 million barrels in October, and of Bunker C fuel rose 12.1% over the same period to 2.58 million barrels.
