Page 1 of 2 12 LastLast
Results 1 to 15 of 19

Thread: What the heck is going on with mineral spririts?

  1. #1

    What the heck is going on with mineral spririts?

    I use copious amounts of mineral spirits in my shop, from wiping "gunk off stuff", thinning, cleaning spray guns, etc. Usually buy 2-3 gallons "every few months". That's all I can fit in my flammable locker. Last time I bought was in April 2022 12.97, March 2022, it was 12.58/gal, which was the same price as April 2020. Today it's 17.98 at Lowes, 18.96 at HD (and it will be 18.97 at lowes by the end of the day. Their prices are always within 12 hours of each other in my market).

    There is zero chance that "inflation", oil prices (which are going down), etc resulted in a 4$/gallon increase in 4 months where it's been steady for the previous 2 years other than price gouging. Amazon, Walmart, all the same.

    Getting priced out of WW as a hobby, I can't even afford to do WW for house maintenance now. Don't get me going on blue painters tape, which I also depend on.....

  2. #2
    Join Date
    Sep 2013
    Location
    Wayland, MA
    Posts
    3,651
    Oil was about $65/barrel last January when your March purchase was likely made, $115 a barrel in June when the product purchased today was made. Price today is $90, so you should see it coming down in October or so. Not much mystery here.

  3. #3
    Join Date
    Mar 2006
    Location
    SoCal
    Posts
    22,480
    Blog Entries
    1
    Ooops! Blatant opportunistic exploitation exposed . I'm no conspiracy theorist. We have all been assailed by many companies jumping on the bandwagon inappropriately. There is still a lot of "money is our product" hangover from the 80s.
    "A hen is only an egg's way of making another egg".


    – Samuel Butler

  4. #4
    In agreement with all the above, but must not forget: $hipping
    Weight and volume of those gallons of mineral spirits do add up quickly.

    Also: every other solvent on the shelf next to the mineral spirits has risen at same rate = mineral spirits is hardly being singled out. We're all getting spanked.

    I honestly thought this was going the way of "can't get my hands on any, anywhere" type of thread, so I guess, in an insufferably optimistic way, I have to say, at least you can still buy some.
    I distinctly remember a recent thread indicating CA residents are having to bootleg it in from adjacent states...

  5. #5
    Join Date
    Dec 2006
    Location
    Mesa, Arizona
    Posts
    1,797
    Whenever we have large price increases for commodity products, consumers tend to be very creative in their explanations for such increases. Invariably, those explanations involve greed and usually involve collusion, if not a criminal conspiracy. However, when the FTC and state attorney generals investigate, they almost always conclude that the sudden price increase was a result of market forces rather than nefarious motives.

    So, what is going on here? Two things: First, mineral spirits are the target of new environmental regulations and scrutiny. They are basically banned in California, the USA's largest market, which means the fixed cost of producing mineral spirits has to be spread over fewer units -- increasing their cost of manufacture. These new regulations and increased scrutiny increase the cost of making the product in other ways, too.

    Second, and a much larger factor than the first, is how businesses price commodities for sale. They DON'T price the commodity on their cost; they price them based on their replacement cost. Consider this simplified example: Suppose you owned a gas station with a 10,000 gallon tank that supplied all your pumps. You've filled the tank with gas that cost you $1/gallon. (I picked $1 NOT because it represents actual wholesale costs, but to keep the math simple.) You sell the gas at $1.25/gallon, which gives you a gross profit of 25 cents on each gallon. The next day, before you've sold a single gallon of the $1/gallon gas, your wholesaler calls and tells you that the wholesale price of gas is now $2/gallon. In this situation, would you continue to sell your current stock of gas at $1.25/gallon, or would you raise your price to $2.25/gallon? If you keep your price at $1.25/gallon, you won't have enough money to fill your 10,000 gallon tank with the $2/gallon gas. If you raise your price, you will be able to keep your 10,000 gallon tank full. (This is why businesses use replacement cost in setting the price of the commodities they sell.)

    On the other hand, after your 10,000 gallon tank has been filled with $2/gallon gas, what would you do if your supplier called and gave you the good news that wholesale prices had fallen to $1/gallon? The smart thing to do is lower the retail price to $1.25/gallon. But, by doing that, you would be selling the gas for less than you paid for it. But, under such circumstances, people are seldom smart. We tend to avoid losses more than we pursue profits. So, instead of 'locking in' a $10,000 loss on the $2/gallon gas in the storage tank, most service station owners will just lower their price a little bit -- until their competitors lower their prices even more, etc. (This is why price increases are almost immediately made, but price decreases are more "sticky".)
    David Walser
    Mesa, Arizona

  6. #6
    Join Date
    Mar 2008
    Location
    Between No Where & No Place ,WA
    Posts
    1,339
    Dave Walser explained it! Thanks.

  7. #7
    Join Date
    Nov 2006
    Location
    Vancouver, BC
    Posts
    858
    Quote Originally Posted by David Walser View Post
    On the other hand, after your 10,000 gallon tank has been filled with $2/gallon gas, what would you do if your supplier called and gave you the good news that wholesale prices had fallen to $1/gallon? The smart thing to do is lower the retail price to $1.25/gallon. But, by doing that, you would be selling the gas for less than you paid for it. But, under such circumstances, people are seldom smart.
    Why would lowering the price to $1.25 be 'Smart'? Can't see any business doing that.

  8. #8
    Join Date
    Dec 2006
    Location
    Mesa, Arizona
    Posts
    1,797
    Quote Originally Posted by Greg Funk View Post
    Why would lowering the price to $1.25 be 'Smart'? Can't see any business doing that.
    Counterintuitive, isn't it? The reason it's 'smart' to lower the price quickly is because that's what all the economists would tell you to do. Listening to a bunch of egg-headed academics may not be the best policy, but, since they're all members of MENSA, what they say is by definition 'smart'.

    Okay, the bit about egg-headed academics was mostly a joke. But, reducing the price quickly, if not immediately, is what most economists would recommend. Why? For two reasons: First, the price is going to fall anyway. You won't be able to sell any gas at $2.25 when the stations around you are selling at $1.50. So, the argument goes, it's best to get ahead of the curve and price aggressively in the hopes of picking up new customers.

    Second, most gas stations make very little from selling gas. The overwhelming majority of their profits comes from selling soft drinks, beer (if the state allows), snacks, and the like. Selling gas at an attractive price is how gas stations attract customers to the more profitable 'store' part of their business. By setting the retail price of gas on how much it will take to refill their 10,000 gallon storage tank, owners ensure that they'll attract as many customers to their 'store' as possible. By keeping the retail price as high as they can for as long as they can, owners risk forgoing profits on store sales. These forgone profits can easily exceed the $1/gallon loss on the sale of gas the owners hope to avoid -- which is why economists say it's smart to reduce prices quickly.
    David Walser
    Mesa, Arizona

  9. #9
    Join Date
    Sep 2016
    Location
    Modesto, CA, USA
    Posts
    9,810
    I switched years ago to wally world camp fuel instead of paint thinner. Cost is about 2/3 of PT. less smell, dries quicker, stronger solvent action for cleaning.
    Bill D

  10. #10
    Quote Originally Posted by Bill Dufour View Post
    I switched years ago to wally world camp fuel instead of paint thinner. Cost is about 2/3 of PT. less smell, dries quicker, stronger solvent action for cleaning.
    Bill D
    The last MS I bought was Walmart's charcoal lighter fluid. At that time it was half the price of MS, even though it's the same stuff.

  11. #11
    Join Date
    Sep 2016
    Location
    Modesto, CA, USA
    Posts
    9,810
    The coleman fuel is mainly naptha.
    BILL D

  12. #12
    Meanwhile the BORG is selling me a gallon of Arm R Seal for 50$. Limit 2 per order, but no limit to the number of orders.........not happy that it now comes in hard-to-mix-up-from-the-bottom plastic jug with a narrow mouth. Metal can shortage my butt.

  13. #13
    In short, Lowes is bidding against a lot of other buyers to guarantee that they'll have mineral spirits when you need them to. Be sure to thank them. I'm sure it isn't easy.

  14. #14
    Join Date
    Dec 2006
    Location
    Toronto Ontario
    Posts
    11,236
    Quote Originally Posted by Bill Dufour View Post
    I switched years ago to wally world camp fuel instead of paint thinner. Cost is about 2/3 of PT. less smell, dries quicker, stronger solvent action for cleaning.
    Bill D
    Bill, naphtha is a very dangerous material to use as a thinner or cleaning agent.

    Naphtha has a flashpoint around 0 degrees F, compared to mineral spirits of around 110 degrees F…….Regards, Rod.

  15. #15
    Join Date
    Mar 2003
    Location
    SE PA - Central Bucks County
    Posts
    65,638
    Quote Originally Posted by Rod Sheridan View Post
    Bill, naphtha is a very dangerous material to use as a thinner or cleaning agent.

    Naphtha has a flashpoint around 0 degrees F, compared to mineral spirits of around 110 degrees F…….Regards, Rod.
    That's interesting considering it's sold as paint thinner and many of us also use it for cleaning because it doesn't leave a film behind like "mineral spirits". Or is the naptha sold in the big box and paint stores a different animal than you are describing?
    --

    The most expensive tool is the one you buy "cheaply" and often...

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •