GS Caltex Cuts Base Oil Output: Market Supply Alert

GS Caltex to operate base oils units at lower rates

Jun 15, 2026

GS Caltex is likely to run its Group II/III base oils units at curtailed capacity levels. A source in the South Korea informed a team member, “The company is expected to reduce run rates at the units by end-March 2026 due to supply constraints caused by geopolitical tensions in West Asia.” Located in Yeosu, South Korea, the Group II base oils unit has a production capacity of 1.15 million mt/year, while the Group III base oils unit has a production capacity of 147,972 mt/year.