Transmission Fluids Market Size, Share & Trends Report

Transmission Fluids Market Size, Share & Trends Analysis Report By Product Type (Automatic, Manual, Dual Clutch, Continuously Variable Transmission Fluids), By Application, By Region, And Segment Forecasts, 2018 - 2025

  • Published Date: Aug, 2017
  • Base Year for Estimate: 2016
  • Report ID: GVR-2-68038-849-7
  • Format: Electronic (PDF)
  • Historical Data: 2014 - 2016
  • Number of Pages: 140

Industry Insights

The global transmission fluids market size was estimated at 2.56 million tons in 2016. Increasing innovation in fluid processing technologies and advent of fuel-efficient automobile & industrial standards driving lower carbon emissions have been key drivers of the market. 

Automatic transmission fluid (ATF) was the fastest growing product concerning consumption with significant volume share in 2016. Smooth engine performance and anti-clogging capabilities of this product have contributed to its demand in the transportation sector. The product also drives lower carbon emission levels while boosting overall fuel efficiency, which fosters their application in new automobiles.

U.S. transmission fluid market revenue by product, 2014 - 2025 (USD Million)

U.S. transmission fluid market

Asia Pacific and North America are anticipated to remain key consumers owing to the rise in automatic vehicle assembly & production, which has boosted lubricants consumption at the OEM level. These fluids foster longer vehicle operational life, ease of automatic transmission and enhanced fuel efficiency, which are key reasons impacting ATF use.

Favorable governmental regulations in the Middle East and Africa are driving infrastructural development, which is likely to drive product demand in construction machinery & equipment as well as heavy-duty vehicles that transport construction materials to building sites. The shift in trend towards replacement of conventional products with higher output fluids is also driving consumption in advanced automatic vehicles.

Key OEMs are incorporating ATF into vehicles to reduce the reliance on conventional petroleum-based fluids which in turn reduces environmental hazards and raw material price volatility. The global industry is concentrated and technologically innovative, and the top manufacturers hold over 50% of the global transmission fluid market. The pricing and various other strategic initiatives of the market depend on the top market players and raw material supply.

There are several organizations such as The Spill Prevention Countermeasures and Control act under the U.S. Environmental Protection Agency (EPA), which attempt to ensure that there are no leakages or spillages from vehicles that might be a potential hazard to the environment. Other regulatory bodies also serve the same function by reducing the risk of exposure to humans and environmental detriment caused by such liquids.

Temperature sensors implanted in fluid-applied components are also expected to provide lucrative growth opportunities for the product. These temperature sensors are placed in the valve or oil pan of the transaxle, which monitors temperature and ensures longer machine operational lifespan.

Powerful and high torque engines utilized for racing & sports also place tremendous pressure on internal components which in turn causes overheating issues. New super shift racing transmission fluids have thus been introduced to withstand such intense heat and sheer forces to foster optimum performance and longer vehicle operational life.

Heavy-duty vehicles such as tractors also require high-performance lubricants that deliver desired output for agricultural activities. These require specialized manual transmission fluids (MTF), are directly sourced to the gearbox and axles of heavy-duty vehicles.

Product Insights 

The ATF market is anticipated to grow the fastest regarding volume and revenue. Vast application scope in diverse automobiles is key driving factors of this segment. ATF contains anti-wear and other additives that enhance vehicle performance while simultaneously decreasing fuel consumption, thereby reducing emission levels.

MTF finds application in specific manual transmission vehicles, and innovation in this segment has been a critical factor owing to numerous complexities associated with these fluids. A major concern is fuel efficiency enhancement and suppressing transmission noise to enable a smooth transmission.

Asia Pacific is expected to grow the fastest, especially for dual clutch fluids, followed by North America. Several multinationals such as BMW, Honda, Ford, General Motors and others are manufacturing vehicles equipped with dual clutch technologies. Emission control is most important for the transmission box, and stringent CO2 emission regulations are expected to foster high growth in this segment.

Continuously variable transmission fluid (CVTF) are formulated with unique anti-wear additives and stable viscosity enhancers which prevent oil film breakdown. These fluids are widely used in passenger cars and expanding OEM facilities producing Nissan, Mitsubishi, BMW Mini Cooper, Dodge, Mercedes Benz and other passenger cars in emerging economies are driving segment growth.

Application Insights

Transmission fluids is extensively used in the automotive sector owing to increasing demand for automatic transmission engines in an expanding market. Vehicle upgradations and the constant need for innovative lubricants is also likely to remain a key driving factor. 

The transmission system of heavy-duty vehicles varies from sports and passenger cars, thereby requiring specialized lubricants for efficient transmission as well as to ensure vehicle condition and economical driving.

Global transmission fluids market volume share by application, 2016 (%)

Global transmission fluid market

These lubricants are used in construction vehicles for delivering optimum on-road force by providing wear protection for longer vehicle life. Power-shift engines used in off-highway applications also benefit from such lubricants. Backhoe loaders are one example of equipment that lifts multiple tons of earth and require frictional stability, elastomer compatibility, and sludge control. 

Heavy motor-works such as tractors, sprayers, harvesters and other such big machines require constant lubrication during field applications. These tractors operate in diverse weather conditions, under heavy-load conditions and thus require high performance lubricants to achieve optimum performance.

Regional Insights

North America is predicted to emerge as the fastest-growing region owing to the exponential rise in automobile production levels after recovery from the economic recession. Construction spending in the North America is increasing at a steady growth rate of 3%, which is expected to reflect in demand for lubricants in heavy-duty construction vehicles & equipment. 

The European market comprises of Germany, France, UK, Russia, Spain, Belgium and The Netherlands among other Eastern and Central European countries. Rest of Europe (RoE) dominated the regional market with 31.8% market share in 2015. A revitalized automotive market, along with increasing renovation & refurbishment construction activities is driving consumption in this region.

Asia Pacific is characterized by a significant amount of skilled labor at low cost along with vast land availability. Shift in production landscape towards emerging economies, particularly China and India is expected to positively influence market growth over the forecast period. Increasing construction spending owing to the need for sustainable infrastructure is projected to drive the growth over the next couple of years.

Transmission Fluids Market Share Insights

The industry is dominated by four major multinationals BASF SE, Chevron Corporation, Exxon Mobil Corporation and Royal Dutch Shell which have diverse product portfolios. Widespread distribution network along with innovative product portfolio is a major factor driving their success. These companies are also recognized for their extensive R&D operations which lead them to cater all kinds of application sectors globally. 

BASF has its diverse range of innovative products for heavy duty vehicles which are known for longer maintenance intervals and increased fuel economy. Live product testing before market launch provides these companies with an edge over their competitors. Application development and customized products are key parameters for success in this market, with frequent M&As to boost presence.

Report Scope 



Base year for estimation


Actual estimates/Historical data

2014 - 2016

Forecast period

2017 - 2025

Market representation                                                 

Volume in tons, revenue in USD Million and CAGR from 2017 to 2025

Regional scope

North America, Europe, Asia Pacific, Central & South America, Middle East & Africa

Country scope

U.S., Mexico, Canada, Germany, U.K., China, India, Brazil, Saudi Arabia, Argentina, Japan

Report coverage             

Volume & revenue forecast, company share, competitive landscape, growth factors and trends

15% free customization scope (equivalent to 5 analyst working days)

If you need specific market information, which is not currently within the scope of the report, we will provide it to you as a part of customization

Segments covered in the report

This report forecasts revenue growth at global, regional & country levels and provides an analysis on the industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global transmission fluids market on the basis of product, application and region:

  • Product Outlook (Volume, Kilo Tons; Revenue, USD Million, 2014 - 2025)

    • Automatic Transmission Fluid

    • Manual Transmission Fluid

    • Dual Clutch Transmission Fluid

    • Continuously Variable Transmission Fluid

  • Application Scope (Volume, Kilo Tons; Revenue, USD Million, 2014 - 2025)

    • Passenger Vehicle

    • Heavy-duty Vehicle

  • Regional Outlook (Volume, Kilo Tons; Revenue, USD Million, 2014 - 2025)

    • North America

      • U.S.

      • Canada

      • Mexico

    • Europe

      • Germany

      • France

      • U.K

    • Asia Pacific

      • China

      • India

      • Japan

    • Middle East & Africa

      • Saudi Arabia

    • Central & South America

      • Brazil

      • Argentina

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