• On March 11, Shell notified customers of price increases up to 9 percent effective April 18. In some instances, prices for specific products may change in amounts that fall outside the general increase, the companys letter stated. This adjustment is due in part to increasing costs of raw materials used in the production and delivery of our products, Shell said in its letter.

• Chevron on March 11 informed customers it would increase the prices of all lubricating oils, gear lubes and greases by 8 to 12 percent starting April 18. Certain specific products may increase in amounts outside of the general increase. This increase is being driven by the recent rise in base oil and additive costs which impact the manufacturing of our lubricants and greases, Chevrons letter stated.

• ConocoPhillips customers received letters dated March 14 outlining price hikes for finished lubricant products of 9 percent as of April 19, depending on product-specific factors. In certain circumstances, prices may change in amounts falling outside the general increase. This increase is being driven by recent increases in raw material costs that have occurred despite our best efforts to limit their impact on our product manufacturing, ConocoPhillipss letter noted.

• ExxonMobil on March 15 informed customers it would raise prices up to 8 percent effective April 15 on its branded and unbranded lubricants and greases. Different price treatment may apply to selected products, according to its letter.

• Citgo advised customers March 15 of a 9 percent general price increase on list and customer specific prices beginning with shipments on April 18. Some specific price changes would fall outside of the general increase. The change applies to Citgo, Mystik, Clarion and private-label bulk and packaged finished lubricants, white oils and grease. This increase is driven by escalations in base oil, additive and packaging material costs that have occurred over the past several months, Citgo said in its letter.

• On March 16, Valvoline told customers it would hike prices on average 9 to 11 percent effective April 18, varying by SKU and segment. This price adjustment is a result of various market factors, including cost increases in base stocks and other raw materials, Valvolines letter stated.

• BP Lubricants USA on March 17 informed customers that Castrol would raise prices up to 10 percent as of May 2 on all passenger car, motorcycle, commercial and ancillary products, including synthetics, in all package types. In its letter, the company cited the recent increase in base oil and other raw material costs.

An official with a distributor said the finished lubricant price increases werent a surprise, given the retail price of fuel, increases in base oil prices and political unrest in oil- producing countries. The reception in the marketplace to increases has been received relatively smoothly of late, according to this source, who adds, there has been very little hit-back – its received with understanding.

The fact theyre staggered, aggressive and quick means at the field level, there was still a lot of fighting and jockeying for market share and volume, this source continued. A lot of people are going after high-volume business with odd pricing, without full disclosure about whats going on behind the scenes. Its a tough thing to fight.

The distributor official pointed out that the majors and private label blenders were largely announcing price changes at staggered intervals. Because its private label, major, private label, major, its difficult to have an apples-to-apples comparison in the market place if youre an end-use customer, this source observed. Thats probably the biggest dynamic I see this go-round right now.

An official with another distributor said the latest round of increases was not unexpected, following sharp jumps in base oil prices in February. After that, I knew it was coming, this source told Lube Report, expressing concern about the effects of the increases on distributors. Its a big distraction for our business. Sometimes it creates opportunity, but it puts us on the defensive.

Other blenders who have informed customers of price increases include:

• Cross Oil informed customers Feb. 25 it would raise prices 10 to 15 percent on bulk lubricants for orders after March 11, and for packaged lubricants orders after March 31.

• Petro-Canada advised customers it would hike all area-wide and book pricing by up to 9 percent, effective April 13 for bulk and all package sizes at all warehouses.