The COVID-19 pandemic has caused serious damage to lubricants markets around the world, but the bigger problem could be the length of time it takes the industry to emerge from the crisis, according to speakers at a webinar hosted by Lubes’n’Greases.
Chevron Products Co. announced a base oil distribution agreement with Argentine energy company YPF S.A., adding its second API Group II base oil hub in South America.
North American production of lubricating greases seems to have dipped from 2018 to 2019, according to a survey by the United States-based National Lubricating Grease Institute.
The U.S. Air Force Civil Engineer Center’s Environmental Quality Technical Support Branch is leading a pilot study aimed at saving money and protecting the environment by changing its oil change procedures for engines used to power key systems on Air Force bases.
Sales for oil change and lubrication shops in the United States reached an estimated $6.6 billion in 2019, up 5% from $6.3 billion the previous year, according to a joint report by the Auto Care Association and the Automotive Aftermarket Suppliers Association.
Canadian wax maker The International Group Inc. has acquired Picayune, Mississippi-based Rheogistics LLC, which supplies lubricants and mechanical stabilizers to the rigid polyvinyl chloride industry. The transaction was completed on June 12, according to a press release by investment bank and financial adviser Grace Matthews. Financial terms were not disclosed.
Close to two-thirds of base oil sold by United States refiners into Mexico is transacted through brokers, according to five industry insiders, and the number is expected to increase as Mexico struggles to cope with Covid-19 and its ailing economy.
Covid-19’s impacts on lubricant markets varied due to the differences in how and when individual countries’ governments responded, while the drop in lubricant demand caused the spot market for base oils to evaporate, industry insiders said during a webinar last week.
The Covid-19 pandemic has hammered Brazil’s finished lubricant industry, a consultant said this week, causing a sharp reduction in demand that could endure for some months.
The lubricants market faces a “very gradual” recovery, regardless of the ultimate size of the dip in the economy or the economic modeling scenario, consultants from IHS Markit said during a virtual town hall meeting organized by the Independent Lubricant Manufacturers Association last week.