War-related supply disruptions raise motor oil prices

The price of base oil used to blend synthetic motor oil has more than tripled to record levels since the start of the war, according to Amanda Hay, an analyst with Independent Commodity Intelligence Services. More than 45 percent of U.S. imports of this grade come from the Middle East.

Supply routes and facility damage Traffic through the Strait of Hormuz has declined, limiting shipments from South Korea, which itself relies on Middle East crude. The Shell Pearl GTL plant in Qatar, the world's largest producer of group III base oil, was damaged by a missile in March, and half its output is expected to remain offline for at least a year.

U.S. refineries can produce group II base oil for conventional motor oil, but many are prioritizing diesel fuel because it is currently more profitable, further tightening lubricant supplies.

Price effects on drivers and repair shops Nathan Matheson, owner of Nathan's Small Engine Repair and Automotive Services in Poolesville, Maryland, said the cost of regular motor oil has risen 60 percent. He has kept oil-change prices unchanged so far, absorbing the increase.

Matheson also noted higher costs for auto parts subject to tariffs that remain in effect. Customers are driving less and postponing non-essential repairs.

the Independent Lubricant

Manufacturers Association, said new U.S. plants capable of producing group III base oil are not scheduled to open until 2027 or 2028. Inventories that had cushioned earlier price increases are now running low. Drivers are advised to follow manufacturer specifications listed in vehicle manuals and to obtain multiple repair estimates before authorizing work.