Lubricants Market Size, Share & Trends Analysis Report By Application (Automotive, Marine, Aerospace, Industrial), By Region (Asia Pacific, North America, Europe, MEA, CSA), And Segment Forecasts, 2022 - 2030

Report Overview

The global lubricants market size was valued at USD 130.03 billion in 2021 and is projected to grow at a compound annual growth rate (CAGR) of 3.7% in terms of revenue from 2022 to 2030. This is attributed to the growing demand for automotive oils and greases as a result of the growing trade of vehicles and their spare parts. Lubricants are an essential part of rapidly expanding industries. They are used between two relatively moving parts of machinery to reduce friction and wear & tear. They can be either petroleum-based or water-based and are essential for proper machinery functioning. Lubricants also decrease operational downtime and eventually increase overall productivity.

Lubricants are extensively used in processing industries and automobile parts, especially in brakes and engines, which need lubrication for continuous smooth functioning. The increasing imports and exports of piston engine lubricants are contributing to the growth of the market. The product demand is driven by the rising focus of consumers on enhancing vehicle performance coupled with the introduction of innovative & premium product offerings. Future growth will be highly dependent on motor vehicle production and the miles covered by each vehicle. Furthermore, consumers are looking for standard and specialized lubricants for their regular vehicles to ensure the smooth functioning of their vehicles and reduce long-term maintenance costs.

Lubricant manufacturing requires crude oil, tight oil, and other additives to formulate all types of lubricants. There are multiple additives incorporated in lubricants to enhance their functionality and properties. These additives include antioxidants, extreme pressure additives, rust- & corrosion-prevention additives, detergents, viscosity index improvers, anti-wear agents, and dispersants among others. Lubricants are 90% base oil and 10% additives, wherein base oils include petrochemical fractions, such as fluorocarbons, esters, polyolefin, and silicones. Base oils increase the viscosity of the lubricants and reduce wear & tear. Paraffinic and naphthenic are the two important base oils used in lubricant formulations.

Application Insights

The automotive segment dominated the global industry in 2021 and accounted for the largest revenue share of over 53.63%. This is attributed to the increased sales of consumer automobiles, such as buses, trucks, and other forms of passenger transport. Economic growth in emerging markets, such as China, India, and Brazil, has led to the betterment of public transportation in these regions. This trend is expected to further strengthen commercial automotive lubricants demand. Increasing sales of commercial vehicles, such as heavy-duty trucks, and construction automotive, such as cranes, bulldozers, and concrete mixers, is expected to complement the Middle East & Africa region’s growth over the forecast period.

The industrial segment held the second-largest segment share in 2021 due to the high industrial production in emerging markets. The chemical, mining, and unconventional energy industries are projected to be among the largest markets for industrial lubricants. This trend is expected to strengthen industrial lubricants demand in compressors, industrial engines hydraulics, bearings, and centrifuges. The marine segment is expected to grow at a significant CAGR during the forecast years. The growth is attributed to the product application in low-, medium-, and high-speed marine engines.

The product helps extend the engine life and protects the components at high temperatures. Many marine lubricants offer additive technology to protect camshafts, crankcases, and under crowns. In addition, the product is used in slow-speed cylinders as they offer high-performance lubrication, enhanced mechanical wear protection, and mitigate cold corrosion.

Regional Insights

Asia Pacific dominated the industry and accounted for a revenue share of over 40.0% in 2021. The growth is attributed to the rapid growth of the automotive industry along with industrial development and the presence of automotive manufacturing industries in the countries, such as Japan, India, and China. The most extensively used lubricants in the Asian market include automotive engine oils, greases, and hydraulic fluids. Asia Pacific has started mirroring the American and European regulatory systems, and countries like Japan and South Korea are thus emphasizing eco-labeled lubricants.

Moreover, Asia Pacific holds the dominant position in the global marine industry as well owing to a large number of ports and increasing trade activities with the U.S. and other developed economies. The Chinese, Indian, and Singaporean marine industries are anticipated to emerge as international port operators over the forecast period. These factors are anticipated to boost lubricant consumption in various marine applications. China is the largest and most mature lubricant market in the Asia Pacific with over 55,000 participating businesses. According to the Society of Tribologists and Lubrication Engineers, around 65% of the global newly added chemical material capacity in 2020 was in China.

Thus, rapid industrialization in the country is anticipated to increase product demand over the forecast period. According to a report by STLE, the production of commercial vehicles in China led to a surge in demand for trucks by around 20% and an increase in sales of trucks by 18.7%, worth USD 5.1 million in 2020. As per OICA in 2021, China witnessed a 3% increase in the production of vehicles to meet the increasing demand. Europe accounted for a significant revenue share in 2021 and is predicted to grow at a considerable CAGR over the forecast period. The automotive industry in the European Union is one of the largest industries across the globe forming a crucial part of its economy.

According to the European Commission, this industry employs approximately 2.6 million people who are directly involved in the manufacturing of vehicles, thereby representing approximately 8.5% of the total manufacturing employment of the European Union. The region is also one of the leading producers of motor vehicles in the world owing to increased support provided by governments of different countries of the region in the form of funds and technological harmonization for carrying out research and development activities in automation. This is likely to have a positive impact on the industry.

Key Companies & Market Share Insights

Key players are adopting various strategies including joint ventures, business expansions, and new product development to strengthen their industry presence. For instance, in March 2021, ExxonMobil and Nissan Motors India signed a contract for the supply of lubricants for passenger car aftermarkets. ExxonMobile increased its lubricant output by offering a selection of engine oils suited for BS6, BS3, and BS4 models from OEMs. Some of the prominent players in the global lubricants market include:

• ExxonMobil Corp.

• Royal Dutch Shell Co.

• BP PLC.

• Total Energies

• Chevron Corp.

• Fuchs

• Castrol India Ltd.

• Amsoil Inc.

• JX Nippon Oil & Gas Exploration Corp.

• Philips 66 Company

• Valvoline LLC

• PetroChina Company Ltd.

• China Petrochemical Corp.

• Idemitsu Kosan Co. Ltd.

• Lukoil

• Petrobras

• Petronas Lubricant International

• Quaker Chemical Corp.

• PetroFer Chemie

• Buhmwoo Chemical Co. Ltd.

• Zeller Gmelin Gmbh & Co. KG

• Blaser Swisslube Inc.

Lubricants Market Report Scope 

Global Lubricants Market Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global lubricants market report on the basis of application, and region:

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Industrial

    • Process Oils

    • General Industrial Oils

    • Metalworking Fluids

    • Industrial Engine Oils

    • Greases

    • Others

  • Automotive

    • Engine Oil

      • 0W-20

      • 0W-30

      • 0W-40

      • 5W-20

      • 5W-30

      • 5W-40

      • 10W-60

      • 10W-40

      • 15W-40

      • Others

    • Gear Oil

    • Transmission Fluids

    • Brake Fluids

    • Coolants

    • Greases

  • Marine

    • Engine Oil

    • Hydraulic Oil

    • Gear Oil

    • Turbine Oil

    • Greases

    • Others

  • Aerospace

    • Gas Turbine Oil

    • Piston Engine Oil

    • Hydraulic Fluids

    • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • Switzerland

    • France

    • Russia

  • Asia Pacific

    • China

    • India

    • Japan

  • Latin America

    • Brazil

    • Argentina

  • Middle East & Africa

    • Saudi Arabia