Indonesia Petroleum Oils HS271019 Export Data 2025 May Overview

Indonesia Petroleum Oils (HS 271019) 2025 May Export: Key Takeaways

Indonesia’s Petroleum oils (HS Code 271019) exports in May 2025 are heavily concentrated in Malaysia and Singapore, which dominate over 80% of trade volume, with Malaysia buying bulk standard-grade shipments and Singapore sourcing higher-value products. The market shows stable demand, with no export restrictions like those seen in palm oil, while smaller buyers like South Korea indicate niche high-value opportunities. This analysis covers May 2025 and is based on cleanly processed Customs data from the yTrade database.

Indonesia Petroleum Oils (HS 271019) 2025 May Export Background

Indonesia Petroleum oils (HS Code 271019) cover refined oils from bituminous minerals, excluding crude, and are critical for energy, transportation, and industrial sectors due to stable global demand. In July 2025, Indonesia raised export taxes on crude palm oil to prioritize domestic biodiesel production [Global Trade Alert], indirectly tightening supply chains for related petroleum products. As a major exporter, Indonesia’s 2025 May trade policies and production shifts significantly influence regional and global markets for HS Code 271019 oils.

Indonesia Petroleum Oils (HS 271019) 2025 May Export: Trend Summary

Key Observations

In May 2025, Indonesia's exports of Petroleum oils under HS Code 271019 reached 289.73 million USD in value and 549.35 million kg in weight, indicating a stabilization after previous volatility.

Price and Volume Dynamics

The May figures show a month-over-month decline from April, with value dropping by approximately 9.2% and weight by 5.7%. This follows a significant spike in March, where exports surged to 466.27 million USD and 871.85 million kg, likely driven by seasonal stock replenishment cycles common in the petroleum industry, such as pre-summer demand buildup. The subsequent decrease in May reflects a return to baseline levels as inventory adjustments normalized, aligning with typical industrial production patterns for petroleum oils.

External Context and Outlook

Looking ahead, policy developments could influence future export trends. For instance, [Global Trade Alert] highlights planned increases in export taxes for related commodities like crude palm oil, which may indirectly affect petroleum oils through biodiesel blending demands, such as those under Indonesia's B50 initiatives (Hydrocarbon Processing). These factors, combined with global oil price volatility, suggest potential headwinds for Indonesia Petroleum oils HS Code 271019 Export in the latter half of 2025.

Indonesia Petroleum Oils (HS 271019) 2025 May Export: HS Code Breakdown

Product Specialization and Concentration

In May 2025, Indonesia's export of Petroleum oils under HS Code 271019 is heavily concentrated in sub-code 27101979, which represents over half the value and weight. This product, described as petroleum oils not containing biodiesel and not light oils, has a low unit price of 0.45 USD per kilogram, confirming its role as a high-volume, low-value bulk commodity. An extreme price anomaly is present in sub-code 27101942, with a unit price of 241.55 USD per kilogram, which is isolated from the main analysis due to its negligible quantity and specialized nature.

Value-Chain Structure and Grade Analysis

The remaining non-anomalous sub-codes fall into two broad categories based on unit price: low-grade bulk oils (e.g., 27101971 at 0.61 USD/kg and 27101990 at 0.50 USD/kg) and slightly higher-grade variants (e.g., 27101941 at 1.04 USD/kg and 27101946 at 1.95 USD/kg). All these products are undifferentiated, bulk commodities with minimal value addition, indicating that Indonesia's export structure for HS Code 271019 is dominated by fungible goods traded on volume rather than quality or processing stage.

Strategic Implication and Pricing Power

For Indonesia Petroleum oils HS Code 271019 Export in 2025 May, the bulk commodity nature means pricing power is low and closely tied to global oil price indices. Market players should focus on cost efficiency and volume management rather than product differentiation, as the trade lacks high-value segments. [Global Trade Alert] notes regulatory changes for crude palm oil, but this does not directly impact petroleum oils under HS 271019, reinforcing the need to monitor commodity market trends instead.

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Indonesia Petroleum Oils (HS 271019) 2025 May Export: Market Concentration

Geographic Concentration and Dominant Role

Indonesia Petroleum oils HS Code 271019 Export 2025 May are heavily concentrated, with Malaysia and Singapore together accounting for over 80% of the total export value. Malaysia is the dominant buyer, taking 41.92% of the value and 51.54% of the weight, but its lower value-to-weight ratio suggests it purchases larger volumes of a standard-grade product. Singapore follows closely in value but buys a slightly higher-value mix, indicating a possible different end-use or refining need for its imports.

Partner Countries Clusters and Underlying Causes

The export flow forms three clear clusters. The first is the core ASEAN buyers, Malaysia and Singapore, whose proximity and established trade routes make them natural primary destinations. The second is Bangladesh, which takes a significant volume (4.90% of quantity) but at a much lower unit price, pointing to purchases of a lower-grade or different specification. The remaining countries, including South Korea and the Netherlands, form a third cluster of smaller, diversified buyers acquiring specialized, high-value shipments, as seen in South Korea's high value relative to its tiny quantity share.

Forward Strategy and Supply Chain Implications

For Indonesian exporters, the strategy is to secure the core ASEAN relationships while developing the higher-value opportunities with smaller partners. The market for May 2025 shows no signs of the export restrictions that have been placed on agricultural products like crude palm oil [Global Trade Alert], indicating stable market access for this commodity. Supply chains must remain optimized for high-volume shipments to regional hubs, with flexibility for smaller, premium orders.

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Indonesia Petroleum Oils (HS 271019) 2025 May Export: Action Plan for Petroleum Oils Market Expansion

Strategic Supply Chain Overview

Indonesia Petroleum oils Export 2025 May under HS Code 271019 operates as a bulk commodity trade. Core price drivers are global oil indices and product grade differentials. Low unit prices confirm high-volume, low-value exports. The market depends heavily on a few high-frequency, high-value buyers. Geographically, shipments concentrate in nearby ASEAN hubs like Malaysia and Singapore. Supply chains must prioritize cost-efficient, high-volume logistics to regional partners. This structure offers stability but limits pricing power and increases vulnerability to demand shifts from key buyers.

Action Plan: Data-Driven Steps for Petroleum oils Market Execution

• Segment buyers by purchase frequency and value using trade data. Focus sales efforts on the dominant high-value, high-frequency cluster to secure stable revenue, while proactively engaging the high-value, low-frequency segment to diversify risk and capture opportunistic bulk orders.
• Analyze destination-specific unit prices for HS Code 271019. Adjust product mix for each market, prioritizing standard-grade bulk shipments for core ASEAN partners like Malaysia and preparing smaller, higher-grade lots for premium buyers like South Korea to maximize value capture.
• Monitor real-time global crude oil benchmarks and freight costs. Use this data to time large shipments and negotiate contracts, protecting thin margins in a commodity-driven market where external price swings directly impact profitability.
• Optimize logistics for high-volume port operations with major partners. Secure dedicated shipping capacity and storage for routes to Malaysia and Singapore to reduce per-unit costs and ensure reliable delivery for your largest buyers.

Take Action Now —— Explore Indonesia Petroleum oils Export Data

Frequently Asked Questions

Q1. What is driving the recent changes in Indonesia Petroleum oils Export 2025 May?

The May 2025 decline in value (-9.2%) and weight (-5.7%) reflects a normalization after March's seasonal surge, typical of petroleum inventory cycles. The market remains dominated by bulk, low-value commodities with minimal price power.

Q2. Who are the main partner countries in this Indonesia Petroleum oils Export 2025 May?

Malaysia (41.92% of value) and Singapore (40%+) dominate, together accounting for over 80% of exports. Bangladesh and smaller buyers like South Korea form secondary clusters.

Q3. Why does the unit price differ across Indonesia Petroleum oils Export 2025 May partner countries?

Price differences stem from product grades: Malaysia buys bulk low-grade oils (e.g., 27101971 at $0.61/kg), while Singapore and South Korea import slightly higher-grade variants (e.g., 27101941 at $1.04/kg).

Q4. What should exporters in Indonesia focus on in the current Petroleum oils export market?

Prioritize relationships with high-frequency, high-value buyers (70% of trade) while diversifying into premium niche markets (e.g., South Korea) to mitigate reliance on bulk ASEAN demand.

Q5. What does this Indonesia Petroleum oils export pattern mean for buyers in partner countries?

Core ASEAN buyers (Malaysia/Singapore) benefit from stable bulk supply, while smaller partners like South Korea access specialized, higher-value shipments at premium prices.

Q6. How is Petroleum oils typically used in this trade flow?

Exports are undifferentiated bulk commodities (e.g., non-biodiesel petroleum oils) primarily for industrial refining or energy use, traded on volume rather than processing stage.