It’s hard enough for lubricant makers to keep up with new regulations and shifting markets without having to worry about supply chain breakdowns. Partners with the right credentials, such as SQF-certified suppliers, can make a significant difference.
But why SQF? While the Safe Quality Food certification is clearly applicable to industrial lubricants used in food manufacturing and agriculture, it might not seem beneficial to the broader lubricant industry.
SQF is about far more than food safety, however. This global certification is a set of quality, efficiency, and consistency standards that help ensure excellence and cost-effectiveness for all lubricant makers.
The lubricant industry faces new challenges heading into 2025. Here are just five of them—and five ways SQF-certified suppliers can help.
Suzanne Kingsbury, Director of Quality
1. New Documentation Standards
U.S. regulatory bodies are bearing down on lubricant makers with new rules regarding safety for workers and the handling of hazardous substances.
Regulations include:
- OSHA’s amendments to the Hazard Communication Standard, requiring lubricant makers to update safety data sheets (SDS) with potential downstream reactions
- OSHA pushing manufacturers to protect workers from extreme heat
- The FDA is regulating certain per- and polyfluoroalkyl substances (PFAs)
In every case, consistency in following documentation protocols is necessary to avoid fines and other punitive actions by regulators. This includes ensuring compliance throughout the supply chain.
PRO TIP: SQF-certified suppliers must follow strict documentation protocols to earn the SQF certification, and must demonstrate consistency to recertify each year. Training resources are already in place to adapt documentation to clearly demonstrate regulatory compliance.
2. Shifting Global Standards
Outside the U.S., regulators are intensifying restrictions on certain chemicals and often sending mixed messages that make it difficult for the global lubricant industry to do business.
- ECHA (the European Chemicals Agency) is putting restrictions on medium-chain chlorinated paraffins (MCCPs), exceeding FDA regulations
- Although ASEAN (Association of Southeast Asian Nations) regulations are supposed to be uniform, member nations often have regulatory agencies with conflicting laws
- ECHA’s regulatory framework REACH has been adding requirements for companies to do business in Europe so quickly, it can be difficult to keep up
For lubricant makers doing business internationally, it’s vital to have a global perspective—to meet standards that satisfy all, or least the majority, of requirements worldwide.
“(ECHA) still have a lot of areas where you have to contact the agency to get their posture on it. The problem with ECHA is they don’t always say the same thing twice.” — Richard Camper, Executive Vice President, Hasco Oil Co.
PRO TIP: As a global safety standard, SQF is among the most dependable for international business. The SQF Institute is a world leader in certification programs designed to help companies and their supply chains stay ahead of shifting regulatory requirements.
3. Enhanced Performance Requirements
The demand for electric vehicles is slowing, but lubricant makers must prepare for an electrified future nonetheless. At the same time, they must meet new demands created by advanced internal combustion engine (ICE) technology.
- Higher power densities in ICE vehicles require new performance levels for heavy-duty engine oils
- To meet market needs, the International Fluids Consortium (IFC) is developing requirements beyond those established by the American Petroleum Institute
- Starting in January 2025, lubricant makers will be pushed to invest in additional testing to meet requirements for IFC-approved fluids
Lubricant companies will need a cost-effective approach to developing new EV fluids and passenger car motor oils (PCMO) that meet increasingly demanding requirements.
“The continual layering of additional requirements over and above API licensing, which was the standard, is going to drive costs up because it is additional testing.” — Jim Carroll, Executive Vice President, Schaeffer Manufacturing Co.
PRO TIP: SQF-certified base oil suppliers adhere to meticulous testing protocols to ensure consistent product quality. Base oil consistency may prove essential to avoiding costly testing redundancies and sub-optimal performance metrics.
4. Global Supply Chain Instability
Shipping routes around the world were plagued by conflicts, natural disasters, and other challenges throughout 2024 that continue into 2025.
- Conflicts in Russia, the Middle East, and the Red Sea caused major rerouting
- Hurricanes battered refinery routes along the Gulf Coast, including Helene, the devastating Category 4 storm that caused catastrophic flooding across the southern Appalachians
- The port strike in October was brief but highlighted yet another point of instability in the global shipping network—discontent among U.S. dockworkers
These challenges are intensifying the interest in nearshoring or fully reshoring supply chains to reduce reliance on global shipping and improve stability.
PRO TIP: As a quality management system (QMS), SQF encompasses efficiency and logistical advancement in addition to safety. SQF-certified suppliers like Renkert Oil invest in redundant supply points, alternative routes, and transportation solutions to optimize supply security.
5. Sustainable Supply Chains
The entire oil and gas industry is under pressure to advance sustainability, with attention focused on reducing the carbon footprint of companies throughout the supply chain.
- Major players such as Shell and BP Castrol are partnering with environmental organizations to advance sustainability goals
- ExxonMobil and others are enhancing investment in re-refining facilities, either expanding existing facilities or converting traditional refineries
These industry leaders will increasingly expect distributors to follow suit, making reasonable investments in sustainability so the entire supply chain is as eco-friendly as possible.
PRO TIP: Although the SQF certification doesn’t focus primarily on environmental impact, the focus on safety includes responsible handling and waste reduction, and efficiency measures include emission-reducing logistics. Renkert Oil is an SQF-certified, zero-waste supplier with a bronze medal from Ecovadis for sustainability.
Make Renkert Oil Your SQF-Certified Supplier
At Renkert Oil, our commitment to quality, safety, and sustainability sets us apart as a trusted partner for businesses across several industries from food manufacturing to lubricant manufacturing and more.
Whether it’s achieving SQF certification year after year or earning our bronze rating from Ecovadis, setting us in the top 35 percent of companies rated for sustainability, we are proud of the standards we uphold—and the benefits these achievements bring to our customers.
Partnering with Renkert Oil not only strengthens your supply chain but also reinforces your commitment to quality and sustainability. For more information on how we can help you navigate shifting industry landscapes and meet your goals, contact us today!