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Pavel314[_2_] Pavel314[_2_] is offline
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Default Gasoline prices have come down, but not motor oil prices.

On Wednesday, January 6, 2016 at 4:29:32 PM UTC-5, sms wrote:
A quart of name brand 5W30 is still about $2.25, and has not come down
as crude prices have fallen. I realize that crude is just a small part
of the cost of producing motor oil, but apparently it does not respond
to decreases in crude prices at all.

Soon I will have to do some 0W-20 oil changes and that costs about $6
per quart.


You're buying gasoline in bulk out of the underground tanks, while the oil has to be packaged in quart containers, which takes extra labor and materials, adding costs and hence price.

Long ago, I worked as a cost accountant for a company that made paint, among other things. I was very surprised when I learned that the cost of the can was more than the cost of producing the paint inside of it.

They used to sell oil in five-quart containers, which was enough for most oil changes, and it was cheaper per quart than buying five quart cans.

Paul