‘We’re looking at shortages.’ The Iran war has caused a motor oil supply crunch

Kraig Pakulski 0 16 Article rating: No rating

By Matt Egan, CNN

New York (CNN) — Wholesale motor oil prices are rising rapidly, and some industry executives are warning of imminent shortages caused by the war with Iran.

Damage to key facilities in the Middle East and the shutdown of the Strait of Hormuz have combined to create a perfect storm in this tiny but critical corner of the oil market.

The risk is that some of the most popular kinds of motor oil will be in very short supply, forcing drivers to delay getting their oil changed or rely on suboptimal lubricants.

“We’re looking at shortages — I have no doubt in my mind,” Holly Alfano, CEO of the Independent Lubricant Manufacturers Association (ILMA), an industry trade group, told CNN. “It’s a big mess — and it’s not going to be resolved quickly. It could take a year or so before we see any real relief.”

The most important motor oil

Tom Glenn, president and founder of Petroleum Trends International and publisher of industry publication JobbersWorld, has chronicled the multiple rounds of dizzying price hikes on motor oil since the war started.

“Three rounds of price increases over two and a half months is unheard of. And the magnitude is stunning,” Glenn told CNN. “I’ve been in this business since 1979, and I’ve never seen anything quite like this.”

In a normal year, motor oil producers would increase prices for distributors by 70 to 80 cents a gallon. But already this year, Glenn said, some producers have lifted prices on distributors buying in bulk by $5 or more a gallon.

These price hikes are being driven by a combination of higher prices for crude oil, base oils, additives, transportation, packaging and logistics.

Not only are prices rising, but ILMA warns of an “imminent shortage” of low viscosity grade oils, including 0W-16, 0W-8 and 0W-20 — which is the most important grade of motor oil on the market today.

It’s the go-to motor oil for newer vehicles, accounting for roughly one-third of total passenger car motor oil demand last year, according to Petroleum Trends International.

‘Safety valve is effectively closed’

The motor oil situation is another reminder of the fragile nature of global supply chains.

The problem is that almost half (44%) of the most important base oil used to make motor oil, known as Group III, comes from just three Persian Gulf producers, according to ILMA.

Those Middle East supplies have been derailed by the closure of the Strait of Hormuz after the war started in late February.

Not only that, but Pearl GTL, the world’s largest gas-to-liquids (GTL) plant located in Qatar, was attacked and seriously damaged in Iran. That means one of the leading suppliers of Group III base oils has been knocked offline indefinitely.

“The US is expected to run out of Mideast Gulf-origin Group III by June,” ILMA said in a bulletin published last week.

Normally, the United States would turn to South Korea to fill the gap, but Asian refiners rely on the Strait of Hormuz for much of their crude. And Asian refiners that do have access to crude are focused on making as much jet fuel and diesel as they can to capture historically high profit margins.

Motor oil can also be made with Group II base oils, but those are also being diverted to diesel to meet demand and historically high margins.

“The Group II safety valve is effectively closed,” ILMA said in its bulletin.

Talks with Trump administration

Alfano, the ILMA CEO, said her group is hearing anecdotal reports that certain parts of the United States are already facing shortages.

“It’s going t

NTSB probes why a UPS jet lost an engine and crashed on takeoff

Kraig Pakulski 0 21 Article rating: No rating

By Alexandra Skores, CNN

Washington (CNN) — The National Transportation Safety Board will meet Tuesday and Wednesday to investigate why a UPS McDonnell Douglas MD-11F lost an engine and crashed after taking off last year from Louisville, Kentucky.

The hearing comes just days after the Federal Aviation Administration cleared the same type of aircraft to return to the skies.

On November 4, UPS flight 2976, a cargo plane headed to Hawaii, crashed moments after taking off from Louisville Muhammad Ali International Airport, spreading flames and wreckage for a half-mile and sending black smoke billowing into the sky. Fourteen people died, including the three crew members on the plane 23 people on the ground were injured.

The UPS freighter was a 34-year-old jet with three engines: two on the wings and one on the tail.

Now, over the two days of the hearing, the NTSB will question witnesses, including representatives of UPS, the pilot’s union, the FAA and Boeing, to help determine what went wrong.

Preliminary findings show fatigue cracks, overstressing

The agency already determined a pair of structural fittings that kept the left jet engine attached to the wing failed, according to a preliminary NTSB report.

Airport surveillance video the NTSB analyzed frame by frame showed the engine separating and going up and over the wing before falling alongside the runway. The plane spewed fire and only got about 30 feet in the air before crashing into a warehouse, storage yard, and petroleum recycling facility.

The pieces attaching the engine to the wing, known as lugs, showed signs of fatigue cracking and over-stressing, investigators said.

Three days after the crash, UPS grounded its MD-11 planes, and the following day the FAA grounded all MD-11 planes in the United States until inspections were completed. At the time of the crash, MD-11 aircraft made up approximately 9% of UPS’ fleet, the carrier said. FedEx and Western Global Airlines also flew the same type of aircraft.

Last week, “after extensive review, the FAA approved Boeing’s protocol for safely returning MD-11 airplanes to service,” the agency told CNN in a statement.

Boeing, the manufacturer is responsible for the MD-11 since it bought McDonnell Douglas, provided inspection and repair instructions. Boeing “continues to provide technical support and guidance to help them meet FAA requirements,” a company spokesperson told CNN.

UPS announced it does not plan to fly its MD-11s any longer. However FedEx has already resumed some flights with repaired and inspected aircraft.

Unanswered questions

During this week’s hearings, more details about what caused the crash are expected to be made public.

All previous maintenance will be reviewed, including overhaul work done for six weeks that the aircraft was out of service in September and October in San Antonio, Texas. The plane resumed flying for UPS less than a month before the crash.

The information from the cockpit voice recorder and flight data recorder will indicate what the pilots said and how they reacted to the troubled flight.

Investigators will also probe what information UPS was required to report to Boeing and the FAA, operational safety process and engine attachment designs.

A final report from the NTSB is typically expected in 18 to 24 months after an accident, d

Juez dictamina que los escritos del cuaderno de Luigi Mangione y el arma incautada en su mochila serán admitidos como prueba

Kraig Pakulski 0 25 Article rating: No rating

Por Nicki Brown y Kara Scannell, CNN

Un juez de Nueva York dictaminó este lunes que algunas pruebas encontradas en la mochila de Luigi Mangione en el momento de su detención serán excluidas de su próximo juicio, aunque sí serán admitidos otros elementos clave, como una pistola impresa en 3D y escritos que expresan frustración con el sector sanitario.

Aunque algunas de las pertenencias de Mangione fueron excluidas del caso, el fallo mixto representa en gran medida una victoria para los fiscales, quienes podrán mostrar al jurado el llamado “manifiesto” y el arma de fuego que, según afirman, se utilizó para matar al CEO de UnitedHealthcare, Brian Thompson.

Los abogados de Mangione argumentaron que la policía local registró ilegalmente su mochila cuando fue arrestado en un McDonald’s de Pensilvania en diciembre de 2024, días después de que Thompson fuera asesinado a tiros en una acera de Manhattan.

Los agentes continuaron registrando la mochila en la comisaría de Altoona antes de solicitar una orden de registro ese mismo día.

El juez Gregory Carro dictaminó que la fiscalía puede usar el arma y una libreta roja con anotaciones manuscritas en el juicio.

Estos objetos, entre otros, fueron recuperados como parte de un registro válido según el protocolo del Departamento de Policía de Altoona, escribió Carro en su resolución.

Sin embargo, los objetos encontrados durante el registro inicial en el McDonald’s —entre ellos un cargador, un pasaporte, una cartera, un teléfono celular y un chip de computadora— serán excluidos.

Si bien los agentes de policía afirmaron que registraron la bolsa en parte por temor a que contuviera un arma, Carro determinó que dicha justificación no se sostenía tras un análisis minucioso.

“Sin embargo, si bien las imágenes de las cámaras corporales mostraron que los agentes expresaron su preocupación en el lugar de los hechos de que la mochila pudiera contener una bomba, no había pruebas de que existiera un arma de fuego ni de que esta fuera la razón del registro”, escribió el juez. “Pero incluso si hubiera sido una preocupación legítima, en el momento del registro no existía la posibilidad de que el acusado sacara un arma de la mochila, y por lo tanto, no había ninguna urgencia”.

Los abogados defensores de Mangione habían presionado para que el contenido de la mochila fuera excluido del caso por la fiscalía, alegando que fue registrada ilegalmente, sin una orden judicial.

Los fiscales de la Oficina del Fiscal de Distrito de Manhattan negaron las alegaciones de la defensa e insistieron en que los registros fueron legales y apropiados.

El fallo de Carro se produce meses después de una audiencia de supresión de pruebas que duró nueve días e incluyó horas de grabaciones de las cámaras corporales de la policía que mostraban cómo se desarrolló el arresto y el testimonio de varios agentes del orden sobre los registros.

La audiencia de supresión de pruebas permitió al público vislumbrar algunas de las “pruebas muy contundentes” que los fiscales tienen en este caso, según declaró el analista legal de CNN, Joey Jackson.

“Los miembros del jurado podrán escuchar todo sobre ese cuaderno y todas las pruebas que demuestran su intención, cómo identificó lo que estaba haciendo, por qué lo hacía, etcétera”, declaró Jackson. “Verán el arma, el silenciador, y creo que eso les preocupará mucho”.

El caso ha generado un debate nacional y ha puesto de relieve la opinión pública sobre el sistema de salud estadounidense.

Mangione ha recibido numerosas muestras de apoyo

Removing poison — and stigma — from the world’s most dangerous bowl of soup

Kraig Pakulski 0 22 Article rating: No rating

By Lilit Marcus, Erica Hwang, CNN

Busan, South Korea (CNN) — In a 1991 episode of “The Simpsons,” Homer goes to a Japanese restaurant and eats fugu, or poisonous pufferfish. He becomes convinced that he’s going to die, so he crosses off as many of the items on his bucket list as possible.

There’s one wrinkle — the skillful chef managed to remove all the poison, so Homer’s totally fine and has to keep living his life.

Pufferfish, though, still has a dangerous reputation.

Yes, it’s poisonous. Even a tiny amount of the tetrodotoxin it contains can be lethal.

However, the fish can be prepared in a way where the poison is safely removed. In Busan, South Korea’s second-largest city and a major seaside destination, pufferfish restaurants abound.

While seafood is popular all across South Korea, pufferfish is a Busan specialty. The fishermen who have long lived in this part of the country easily catch them in the surrounding waters. The seaside Mipo neighborhood in Busan is known locally as “Pufferfish Village.” Several of Busan’s pufferfish restaurants have been recognized by Michelin, which debuted its Busan guide in 2024.

Pufferfish chefs require special training and need to pass an exam before they’re licensed by a national government department. Nervous diners can ask to see these certificates, which are usually hanging on the wall inside the restaurant, to be sure they’re in safe hands.

One of the most famous pufferfish restaurants in Busan is Chowon Bokguk — bokguk means pufferfish soup in Korean.

Although the restaurant is in an unassuming brick building on a typical side street, it comes with significant prestige: founder Kim Dong-sik was the first licensed pufferfish chef in Busan.

At lunchtime, visitors can order a set menu where the fish is prepared in a soup. The rich broth contains vegetables like bean sprouts, white radishes and water parsley, while deep-fried pufferfish fritters are served as an appetizer.

The meal arrives with a full set of banchan, Korean side dishes, that include two different kinds of kimchi, water spinach and rice. The most basic of these sets costs 18,000 won (about $12).

Soup with a side of scandal

Chowon Bokguk’s reputation, though, goes well beyond its menu offerings. Ask any local Busanite about it, and they’ll tell you that the restaurant was the site of a significant political scandal decades ago.

A group of Busan political officials, including the city’s mayor and police chief, were having a meal at the restaurant in 1992. Unbeknownst to both them and the restaurant’s owners, Chowon Bokguk had been bugged.

It was a classic case of political espionage. Figures linked to the Unification People’s Party eavesdropped on high-ranking government rivals from the Democratic Liberal Party as they plotted to influence presidential elections.

The tapes dropped like a bombshell just three days before the election, causing a major scandal. The “Chowon Bokguk incident” led to a landmark legal case that, ironically, saw members of the Unification Party convicted of trespassing for planting bugs without permission.

Today, Chowon Bokguk is to Busan what Watergate is to Washington D.C., and these days the restaurant prefers to keep a low profile, letting its food do the talking.

The restaurant is popular for workday lunches, with an attendant helping cars maneuver in and out of the small lot in front of the building.

‘A sense of comfortable beauty’

Pufferfish consumption has long roots in South Korea. It was a specialty food for the Joseon dynasty, Korea’s final dynasty, which spanned from the 14th through the early 20th century, but Korean food historian Park Sung-bae believes it was eaten well before that.

Althoug

Starbucks Korea CEO fired after ‘Tank Day’ promo evokes brutal crackdown on democracy

Kraig Pakulski 0 29 Article rating: No rating

Reuters

Seoul (Reuters) — The head of Starbucks Korea has been fired after a marketing campaign sparked public outrage for evoking painful memories of a brutal military crackdown on pro-democracy protesters in 1980.

Shinsegae Group, the retail conglomerate that licenses and manages the US coffee chain in South Korea, said it had sacked Sohn Jeong-hyun, the head of Starbucks Korea, for carrying out “inappropriate marketing.”

Sohn’s dismissal came hours after Starbucks launched its “Tank Day” campaign on Monday promoting what it called its “Tank” line of tumblers with the tagline “put it on the table with a sound of ‘Tak!’”

Monday also marked Democratisation Movement Day, which commemorates the student-led Gwangju Uprising of May 1980, and the campaign drew strong criticism in South Korea.

Hundreds of people are estimated to have died or gone missing when the military dictatorship of Chun Doo-hwan deployed troops and tanks to crack down on the protests. Many details remain unconfirmed, including who gave the order to open fire on the protesters. Chun finally stepped down in 1988 amid growing calls for democracy.

Critics also questioned the use of the phrase “tak” for echoing explanations by South Korean police in 1987 for the death of a student protester, who was found to have been tortured. At the time, police said the student died after investigators struck a desk making a “tak” sound, according to local media reports.

Reuters was unable to reach Sohn for comment and Starbucks Korea declined to make him available for comment, saying he had already left the company. The company has withdrawn the campaign.

Companies apologize

Writing on X on Monday, South Korean President Lee Jae Myung said he was “enraged” by Starbucks’ campaign and demanded it apologize to families of people killed during the uprising.

The campaign “tarnished the bloody protests of Gwangju citizens and the victims of the protests,” Lee said, calling it the act of a “degenerate peddler.”

Starbucks Korea posted a statement on its website apologizing for the promotion while Shinsegae Group Chairman Chung Yong-jin also issued a public apology.

“I deeply bow in apology as the representative of the group,” Chung said. The marketing “deeply hurt the public, the bereaved families, and the victims of the May 18 demonstration.”

Shares of Shinsegae’s discount retail chain E-Mart 139480.KS, which owns a 67.5% stake in Starbucks Korea that is now called SCK Company, ended down 5.5% at the close of trade in Seoul.

Starbucks Global also issued a statement on Tuesday, saying it was sorry about what had happened and that an investigation had begun.

“We sincerely apologize to the people of Gwangju, to those impacted by this tragedy, and to our customers and communities,” a spokesperson at Starbucks Global said in an email to Reuters.

“Leadership accountability actions have been taken, and a thorough investigation is underway,” the spokesperson said. “We are implementing stronger internal controls, review standards, and company-wide training to ensure this does not happen again.”

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