As noted in last weeks Jobber World Online
News Brief, the independent lubricant manufacturers
were the first to move in this most recent round of
price increases. One correction, however...
Warren
reportedly sent a letter out for $0.18 cpg increase
but then retracted it roughly a week later to $0.33
cpg.
The final increase was $0.33 cpg not $0.18 as
reported in
last week's news brief.
As discussed, Cam2 went up $0.18 a gallon on bulk
effective April 25. Advanced Lubrication Specialties
(ALS) reportedly bumped its prices up by $0.36 a
gallon.
Other price increases Jobbers World has been made
aware of since last week include the
following:
Amalie up $0.38 cpg on all products effective May 1.
Safety-Kleen is moving effective June 1; word on the
street is that its increase will be $0.35 - $0.40 cpg.
Calumet reportedly went up May 1; close to $0.25
cpg.
International Petroleum Corp of Hammond, IN went
up $0.20 - $0.23 cpg effective June 4 on all
products. This is in addition to a $0.10 cpg increase
they pushed through on 4/17
Chevron was the first major to move after the
independents. Chevron announced it will increase the
prices of all lubricating oils by 6% to 10%, and all
gear lubes and greases by 4% to 6%.
ConocoPhillips also informed its
marketers that prices will increase 5-10% effective
6/12/06. Citgo and Shell have been silent, and
ExxonMobil has yet to announce any price increases.
When all the dust settles and the beans are counted
it looks like this last round of price increases will
usher in something close to $0.35 cpg higher prices
for
finished lubricants.
In part these increases are understandable because
additive prices are also increasing. Lubrizol for
example, pushed through a price increase of 5%
effective 5/15. Infineum was quick to follow with
when it announced an additive increase effective
5/21 for up to 7%. At the same time, however, there
has not been enough movement in base stock prices
to explain this most recent round of price increases.
