PRODUCT DUMPING
Tackling product dumping in the UK lubricants market: A call for fair competition
Mark Lord, Managing Director, Aztec Oils
One of the most serious issues facing the sector today is product dumping; the import and sale of goods below their fair market value. This practice first became evident in 2022, following the introduction of sanctions against Russia. Almost immediately, there was a surge in lubricant imports from Lithuania and the UAE, with products entering the UK at prices so low they defied logic. In some cases, imported lubricants were sold cheaper than the cost of base oil itself, signalling that something was fundamentally wrong.
The effects of this dumping have been profound. For Aztec Oils and other independent manufacturers, the market disruption has eroded both volume and confidence. Competing against artificially low prices has been impossible, driving market values below sustainable levels. At the height of the crisis, prices fell so far that manufacturing became unviable, forcing companies to scale back production, delay investments, and tighten operations.
For Aztec Oils, the impact has been personal as well as financial. The company has had to operate with a leaner team, pausing key projects such as a new office and production facility that began construction in 2021. Despite these challenges, the team’s resilience and commitment have enabled the business to remain strong, navigating an exceptionally turbulent period with integrity and determination.
In response, the UK’s Trade Remedies Authority (TRA) has investigated the issue and recommended tariff increases to counter the effects of dumping. While this move is welcome, it is only a partial solution. As of now, the recommendations await approval from the Secretary of State, and gaps remain in enforcement. Notably, one UAE exporter was assigned a 0% tariff, effectively leaving a route open for dumped products to continue entering the market.
Since provisional tariffs were introduced in April 2025, official government data has shown concerning trends. Declared import prices from both the UAE and Lithuania have fallen sharply, by as much as 42% and 47% respectively, while import volumes have remained steady or increased. These figures suggest deliberate under-declaration or re-routing to avoid tariffs, undermining the intended effect of trade remedies.
To restore fair competition, stronger oversight is needed. Enhanced auditing, tighter customs checks, and closer collaboration between the TRA, HMRC, and the National Crime Agency would help uncover how such pricing practices are being sustained. As industry leaders have pointed out, the fundamental question remains: how can products be sold at a loss and still generate profit? Until this question is answered, the UK lubricants sector will continue to operate at a disadvantage.
Protecting the integrity of British manufacturing requires vigilance, transparency, and decisive action. Only through robust enforcement can the UK ensure a level playing field, and safeguard the future of an industry built on quality, trust, and fair competition.
Founded in 1995, Aztec Oils has grown from a small start-up into one of the UK’s leading manufacturers and distributors of lubricating oils. Over three decades, the company has earned a reputation for quality, reliability, and innovation, supplying multiple sectors across the UK and internationally. Its founder has remained focused on sustainable growth, high standards, and protecting the integrity of the lubricants industry—principles that have become increasingly vital amid growing challenges in the global market.
aztecoils.co.uk
LUBE MAGAZINE NO.190 DECEMBER 2025
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