Lubricant Prices on the Rise
June 7, 2021
Written By Adam Buckallew
The price of motor oils, greases, hydraulic fluids and other lubricants has been steadily climbing in 2021. Major oil refiners have already announced five price increases in the first five months of 2021 on base oils, the foundational ingredient in most modern lubricants.
Base oil prices have been pushed higher by the rebound in the crude oil market and tightening supplies. Rising costs for additives, packaging and other inputs have also contributed to the wave of price hikes.
Thus far, the rising prices have pushed the cost of MFA Oil Work Horse 15W40 Motor Oil up about 10 percent higher since the beginning of the year, according to Will Reniker, MFA Oil senior director of sales and marketing.
“As a company, we see pricing adjustments from our suppliers quarterly, so our pricing structure is more stable than some of our competitors who have seen monthly price increases,” Reniker says.
Reniker says MFA Oil plans to adjust its lubricant pricing again in July in response to higher production costs.