Volume 3 Issue 46

OEM Tie-ups Offer Foot in Door

Despite low margins, tie-ups with original equipment manufacturers are popular with lubricant marketers because of the chance to build brands and grab market share.

Will Chinas Cargo Limit Lift Lube Sales?

China recently introduced a ban on overloading transport vehicles, aiming to improve safety and road management. Some lube suppliers say more trips will increase demand for their products, while others are less optimistic.

Shell Lowers Anchor on Indonesian Marine Oil

Shell now produces nearly 100 products, including marine lubricants, from its almost one-year-old, 120,000 metric tons per year blending plant in Jakarta, Indonesia.

Balmer Lawrie, GP Profits up Double Digits

Balmer Lawrie & Co.s greases and lubricants segment recorded a 17 percent increase in operating profit in its second quarter, and blender GP Petroleums profit nearly doubled.

Briefly Noted

Atiel (the Technical Association of the European Lubricants Industry) published a new online list of lubricant marketers and base stock refiners that have signed letters of conformance with the European Engine Lubricants Quality Management System and Atiels Code of Practice, the prescribed protocols for demonstrating ACEA engine oil sequence performance claims. The list includes at least eight Asian companies. Volume demand for friction modifiers for lubricants and other applications is forecast to grow at a cumulative average annual rate of 5.1 percent through 2026, whereas revenue from those chemicals is expected to grow at a 6.9 percent annually, according to a study by Future Market Insights. Asia-Pacific, excluding Japan, is the biggest regional market with demand of 48,000 tons in 2016.