Costco imposes purchase limits on motor oil, hikes prices by nearly double

Costco set purchase limits and price hikes on motor oil as the company grapples with rising prices from global energy market disruptions.A case of two 5-quart bottles of Costco’s Kirkland Signature full-synthetic motor oil now costs $57.99, a near 100% increase from its previous approximate price of $30. The bottles are now rationed as well, as each customer can only buy two boxes per week per membership.Each pack is enough for a single oil change on a V-6 or V-8 engine. Mobil 1’s full-synthetic motor oil six-pack of 1-quart bottles also rose in price to $44, and customers are limited to five purchases per membership.While the latest noticeable impact of global energy disruptions, the rationing and price hike won’t be too noticeable for most. Patrick De Haan, head of petroleum analysis for GasBuddy, quipped to Nexstar that people only have to worry about the increase and rationing if you’re responsible for “a fleet of thousands of cars.”“The normal car requires 4 to 5 quarts every 5,000 miles or so,” he said, arguing that the rationing from Costco amounts to “what would be an extremely reasonable amount.”SAUDI ARABIA APPEALS TO US AS PIPELINE CLOSURE AND HOUTHIS SPIKE OIL PRICESNevertheless, the revelation that the retail giant has to double the lubricant’s price and ration it may cause some alarm in and of itself.Much more notable are the recent oil price hikes due to the Houthis’ seizure of the Bab el-Mandeb Strait and attacks on the Saudi East-West oil pipeline. The shocks triggered a 4% rise in prices. Brent crude rose to $105.66 per barrel Monday afternoon, and West Texas Intermediate rose to $101.28.