HS Code:
The category 'Having a Saybolt Universal viscosity at 37.8°C of more than 125 seconds (heavy fuel oils)' pertains to a specific type of heavy fuel oil used primarily in industrial applications and marine propulsion. These oils are characterized by their high viscosity and are typically used in large-scale power generation and shipping industries due to their energy density. This product falls under HS Code 2710.19, which covers petroleum oils and oils obtained from bituminous minerals, other than crude, and includes heavy fuel oils among other refined petroleum products. Global trade in heavy fuel oils is influenced by energy demands, environmental regulations, and shifts toward cleaner fuel alternatives.
Total Trade Volume
Approximately $50 billion USD
Data from 2022
Source
United Nations Comtrade Database, International Energy Agency (IEA)
$8.5 billion USD
17% of total trade of total trade
Stable
$7.2 billion USD
14.4% of total trade of total trade
Increasing
$5.8 billion USD
11.6% of total trade of total trade
Stable
$5.3 billion USD
10.6% of total trade of total trade
Decreasing
$4.1 billion USD
8.2% of total trade of total trade
Increasing
Average Rate
5.2% ad valorem
Highest Rate
12% (imposed by certain developing countries to protect domestic refining industries)
Lowest Rate
0% (under free trade agreements such as EU internal trade or USMCA)
Decline in demand due to IMO 2020 regulations
The International Maritime Organization's sulfur cap has reduced demand for high-sulfur heavy fuel oils, pushing markets toward low-sulfur alternatives or scrubber-equipped vessels.
2020-2022
Shift to alternative energy sources
Growing adoption of LNG and renewable energy in power generation and shipping is decreasing long-term reliance on heavy fuel oils.
2021-2023
Price volatility linked to geopolitical events
Disruptions in supply chains, such as sanctions on Russian oil exports, have led to price spikes and shifts in trade routes.
2022-2023
The European Union imposed a ban on Russian refined petroleum products, including heavy fuel oils, as part of sanctions following geopolitical tensions.
February 2023
Significant redirection of Russian heavy fuel oil exports to Asian markets, increasing trade volumes in countries like India and China.
Stricter enforcement of the IMO 2020 regulations has led to increased scrutiny of heavy fuel oil shipments, with non-compliant vessels facing penalties.
Mid-2023
Reduced market share for high-sulfur heavy fuel oils and increased demand for very low sulfur fuel oil (VLSFO).
Singapore, a major bunkering hub, launched initiatives to promote cleaner fuels, including subsidies for low-sulfur fuel adoption.
January 2023
Potential decline in heavy fuel oil bunkering in the region, with a push toward sustainable alternatives affecting trade patterns.