The improving quality of finished lubricants and the burgeoning supply of high quality basestocks continue to create greater pressure on Group I basestocks to exit the market in the face of stagnant overall demand. In 2015, Group I basestocks account for less than half of the global basestock demand, down from over two-thirds a decade earlier, according to the recently published Global Lubricant Basestocks: Market Analysis and Opportunities report.
Passenger car motor oils formulation changes are driven by improvements in fuel economy, increasing engine oil durability, and maintaining compatibility with emission control devices and biofuels. The high viscosity index, low volatility, and low sulfur content has resulted in the reduced use of Group I and increased use of Group II and Group III. Continue reading