️🇺🇸🇮🇷🇶🇦 FT⁠: A global shortage of motor oil is causing prices to rise sharply in the US, as Costco cuts sales as supplies of lubricants used in car engines run out.

️🇺🇸🇮🇷🇶🇦 FT⁠: A global shortage of motor oil is causing prices to rise sharply in the US, as Costco cuts sales as supplies of lubricants used in car engines run out.

The price of Group III base oil, a key ingredient in fully synthetic motor oil, has nearly quadrupled since February to a record high of $12.45 a gallon. Costco has raised its price for 10 liters of full synthetic oil to $57.99 and is limiting customers to one purchase.

The shortage began after an Iranian strike hit a major Shell gas-to-liquids plant in Qatar in March, while disruptions around the Strait of Hormuz have also limited crude shipments to major base oil producers in South Korea. Industry executives predict that the shortage will continue for several months even after the strait is reopened.