Please be advised that Chevron Lubricants and Valvoline have announced a price increase, of up to 12% on all lubricating oils and greases, due to increasing costs of raw materials and packaging impacting the manufacturing of their products. Specific products may vary in certain instances in amounts outside of this range.
This increase is primarily due to the global and regional imbalances in the supply and demand of raw materials the petroleum industry is experiencing. These imbalances have rapidly escalated base oil costs and additives, which historically is one of the main drivers responsible for rising prices of finished lubricants. In addition to raw material increases, we are also dealing with much longer lead times and difficulties securing haulers to transfer product as well as facing rising costs associated with both inbound and outbound freight.
These factors make managing costs and implementing price changes an exceedingly challenging task under current market conditions. With costs moving up at a record pace, price increases announced today can easily and repetitively be eclipsed by raw material, transportation and other costs increasing tomorrow.
This increase is consistent with moves by most other lubricant suppliers in the same period. Please see the link listing recent changes reported by JobbersWorld.
We regret having to pass this increase on to you, but rest assured, we are always working hard to control costs and deliver quality products and valuable service at competitive prices. You can count on us not just as a trusted partner but as an extension of your team, continuing to provide ways to help save on overall costs, so we can maximize your profits and efficiencies.
As always, we greatly appreciate your continued business and partnership. For questions on this price increase, please contact your Greg’s Petroleum Service sales rep today.