Total U.S. propane/propylene inventories posted a counter-seasonal draw of 845 Mbbl during the week ended July 3 (red bar in Figure 1), about 3 MMbbl below industry expectations and 2.6 MMbbl below the average build of 1.7 MMbbl for the reporting week (green bar). It was the largest draw for the same reporting week since 2019. Total U.S. inventories are now at 90.5 MMbbl (red line in Figure 2), leaving stocks 12.1 MMbbl, or 15%, above the same week in 2025 (blue line), 19.3 MMbbl, or 27%, above the five-year average (green dashed line), and 6.7 MMbbl, or 8%, above the previous five-year maximum.
The counter-seasonal draw in total U.S. propane/propylene inventories was driven by PADD 3 (Gulf Coast), where inventories posted a draw of 1.9 MMbbl during the week ended July 3, marking the largest draw for the same reporting week since our record-keeping began in 2011. Total PADD 3 inventories are now at 56.9 MMbbl (red line in Figure 3), leaving stocks 8.8 MMbbl, or 18%, above the same week in 2025 (blue line), 5.1 MMbbl, or 10%, above the previous five-year maximum, and 15.9 MMbbl, or 39%, above the five-year average (green line). The draw coincided with U.S. propane exports averaging 2.6 MMb/d, just shy of the record set in May. The combination of the largest draw for the same reporting week in PADD 3 and near-record export volumes highlights the strength of Gulf Coast propane demand.
