Global Bitumen Market Update – April 2026 (Summary)

Global bitumen markets showed mixed trends, with Asian prices—particularly in Singapore— declining sharply due to increased supply and softer buying interest, while European export prices edged slightly higher. In Europe, weak demand pushed truck prices down in countries like Romania, Poland, and Hungary, whereas tighter supply supported firmer pricing in Germany. In the Mediterranean region, price direction remained unclear amid ongoing volatility in oil markets, while South Africa saw continued price increases driven by higher import costs. Meanwhile, prices in Nigeria stabilized following previous gains.

Regional supply in Asia expanded further with additional cargoes from Northeast Asia, adding downward pressure on prices. At the same time, Iranian export prices strengthened, although buyers in Asia and Africa showed resistance due to geopolitical uncertainties, particularly ongoing disruptions around the Strait of Hormuz and continued trade restrictions.

Asia-Pacific & Middle East Market Commentary

Regional demand remained subdued across Asia-Pacific markets. In Thailand, trading activity has only recently started to recover following the Songkran holidays. Meanwhile, importers in Vietnam showed limited interest in cargoes originating from Singapore, amid concerns that domestic consumption may decline with the upcoming rainy season in June. At the same time, more competitively priced cargoes from Northeast Asia were widely available, adding further pressure on regional demand.

Malaysia Bitumen market

The Malaysia bitumen market is currently facing weak demand, mainly due to high bitumen and construction material costs.

This has limited contractors’ ability to continue road projects, resulting in reduced overall consumption.

Market recovery largely depends on increased government spending on infrastructure, which remains uncertain in the short term. Consequently, procurement is selective and primarily focused on domestic suppliers to minimize costs and logistical risks.

India Bitumen market

India’s bitumen consumption remained limited as road contractors continued to find domestic prices unworkable, with financial constraints further slowing paving activity.

Additional supply from recently discharged cargoes on the west coast, combined with a stronger US dollar against the Indian rupee, pressured import parity prices lower during the second half of the week. Demand on the east coast also remained weaker compared to the west.

Domestic prices for imported bulk cargoes initially peaked around 92,000 rupees/t ($976/t) on the west coast, but later eased to 82,000–84,000 rupees/t amid strong buyer resistance, with a state-controlled refiner also reducing list prices by Rs5,000/t on 24 April.

Meanwhile, seaborne trade with Middle Eastern suppliers stayed subdued, largely due to shipping concerns over the Strait of Hormuz following heightened geopolitical tensions and a US naval blockade.

China Bitumen market

China’s bitumen market faced downward pressure as high costs and persistent rainy conditions dampened domestic consumption. In Shandong, slower cargo liftings and weak buying interest led to lower prices, although firm upstream crude values provided partial support later in the week. Buyers largely relied on existing inventories and showed limited urgency in fresh procurement.

In East China, prices softened despite relatively tight supply, as reduced refinery output and low inventories were offset by sluggish seasonal demand. Meanwhile, in South China, prices declined further amid continued rainfall and a lack of active road construction projects.

Import activity remained subdued across the region. Buyers’ price expectations were significantly below sellers’ levels, making deals unworkable. Limited supply availability for May-loading cargoes and weak demand from Southeast Asia further constrained trading activity.

Vietnam Bitumen Market

Vietnam’s bitumen market is currently under pressure due to high prices, weak import demand, and elevated inventories, which have slowed consumption and delayed infrastructure projects.

A short-term recovery in demand is expected next month as ongoing project requirements support buying activity, though sentiment remains cautious.

However, this improvement is likely temporary, as the upcoming monsoon and typhoon season is expected to reduce demand again in the second half of the year, with May-loading cargo indications around $600/t CFR.

South Korean bitumen Market

South Korean bitumen prices have edged higher, mainly supported by the rise in 380cst high sulphur fuel oil (HSFO) values.

However, current price levels remain uncompetitive for buyers in East China, where bids are reported as low as $480–500/t FOB South Korea on a netback basis, making these levels unworkable for suppliers.

As a result, cargoes from the latest May-loading export tender are expected to be redirected toward Southeast Asia or Australia.

Iran Bitumen Market Insight

The Iranian bitumen export market remains heavily influenced by ongoing geopolitical tensions and significant logistical disruptions, particularly around the Strait of Hormuz, which continues to restrict smooth commercial shipping flows. As a result, traditional export routes to South Asia have become increasingly constrained, with vessel availability remaining a key bottleneck rather than pricing alone.

Despite firm FOB offers, with bulk cargoes reported in the range of $325–345/t ex-Bandar Abbas, buyer participation—especially in South Asia—remains limited due to war-risk premiums and the reluctance of shipowners to operate on Gulf–South Asia routes. Feedstock costs (vacuum bottom) also remain elevated, preventing meaningful downward price adjustments from suppliers.

Trade flows are gradually shifting. While exports to Pakistan remain subdued, Afghanistan and Turkey have shown relatively more active demand. In Turkey, both bulk and packed cargoes continue to trade, with increasing interest in re-export channels via Mersin targeting African and Asian destinations. Some Iranian suppliers are also diversifying logistics through overland routes and alternative packaging solutions (drums and jumbo bags) to mitigate freight constraints.

Demand in China remains extremely weak, with no new transactions reported and only previously shipped cargoes being discharged. Similarly, drummed cargo demand in general export markets remains soft, despite firm offers driven by high steel coil costs and tight availability.

Freight rates from the Middle East Gulf remain significantly elevated compared to pre-conflict levels, keeping delivered costs high for East Africa and Northeast Asia and further limiting competitiveness. Notably, an IRISL-operated container vessel is currently discharging approximately 8,000 tons of pre-blockade drummed cargoes in Tanzania and Kenya.

On the pricing side, Iranian Mercantile Exchange (IME) activity shows firmer domestic sentiment in rial terms, with export parity levels estimated at around $521/t FOB Bandar Abbas for bulk cargoes and approximately $561/t ex-works for drums. Weekly trading volume reached 12,697 tons, reflecting stable but cautious domestic market activity.

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Conclusion

The Iranian bitumen export market is currently defined by supply resilience but severe logistics constraints. While pricing remains relatively competitive, market accessibility is the primary limiting factor, driving trade diversification toward nearby regional markets and alternative shipping routes, while traditional long-haul Asian demand continues to weaken.