Lubricants Market

Lubricants Market Research, 2031

The global lubricants market was valued at $123.8 billion in 2021, and is projected to reach $168.2 billion by 2031, growing at a CAGR of 3.2% from 2022 to 2031.

During the COVID-19 pandemic, extensive lockdown in crucial manufacturing sectors such as metalworking, fabrication, oil & gas, chemicals, and consumer goods caused a temporary production halt in all regions. As a result, the industrial sector witnessed a drop in demand for lubricating oils. However, the industrial sector resume their operations from starting of 2021, which increased the demand for lubricants from the industrial sector.

A lubricant is a substance that aids in decreasing friction between surfaces in close proximity, which, in turn, lowers the heat produced as the surfaces move. It may also have the function of transmitting forces, transporting foreign particles, or heating or cooling the surfaces. The property of reducing friction is known as lubricity. Lubricants reduce friction, prevent wear, protect the equipment from corrosion, control temperature, control contamination, transmit power (hydraulics), and provide a fluid seal. Light-duty vehicles include two-wheelers and passenger cars. The most common lubricants in these automobiles are engine oils, gear oils, transmission oils, greases, and compressor oils. Both the OEM and the aftermarket have a substantial share for the lubricant market.

The lubricants market is segmented on the basis of product type, base oil, end-use industry, and region. On the basis of product type, the market is classified into engine oil, transmission & hydraulic fluid, metalworking fluid, general industrial oil, gear oil, grease, process oil, and others. On the basis of base oil, the market is classified into mineral oil, synthetic oil, and bio-based oil. On the basis of end-use industry, the market is classified into automotive & other transportation, heavy equipment, food & beverage, metallurgy & metalworking, and others.

The major players operating in the industry include British Petroleum, Chevron Corp, ExxonMobil Corp, Marathon Petroleum Corporation, Neste OYJ, Philips 66 Company, Saudi Aramco, Shell Co, Sinopec Corp, and S-Oil Corporation. These players have adopted product launch, acquisition, and business expansion as their key strategies to increase their market shares.

By base oil, the mineral segment dominated the global lubricant market in 2021. This is attributable to the fact that mineral oil is used in a variety of industries, including automotive, textile, construction, industrial, medical, pharmaceutical, electronics, and consumer goods, as a result of which its demand is constantly increasing.

By product type, the engine oil segment dominated the global lubricant market in 2021. The engine oil lubricates the engine parts for its efficient movement, thereby reducing the extent of metal contact, friction, and heat generation within the engine. In addition, cleaning & cooling the engine parts, sealing the gaps, and rust prevention are the other functions carried out by the engine oil.

By end-use industry, the automotive & other transportation segment dominated the global lubricant market in 2021. Passenger cars offer maximum market potential in the automotive lubricants market, owing to increase in demand for these cars and general utility vehicles globally along with rise in public transportation expenditure.

By region, Asia-Pacific is projected to be the fastest growing market. Asia-Pacific is expected to dominate the market, owing to increase in urbanization, specifically in China, India, Brazil, and other developing countries.

IMPACT OF COVID-19 ON THE LUBRICANT MARKET

• The outbreak of the COVID-19 pandemic has had an adverse impact on the global economy as governments globally were forced to implement lockdowns to prevent the spread of the virus. As a result, the activities in the lubricants market were hampered.
• COVID-19 has spread to almost 213 countries around the globe, with the World Health Organization declaring it a public health emergency on March 11, 2020.
• Some of the major economies suffered from the COVID-19 crisis include, Germany, France, Italy, Spain, the UK, and Norway.
• The COVID-19 pandemic impacted negatively on the manufacturing and industrial industries due to scarcity of resources in various parts of the globe. The industry's top players are concerned about the market's prospects and are rethinking their strategies to meet the challenge.
• Transport limitations were implemented, resulting in reduced industrial production and disrupted supply chains, which affected global economic growth by a substantial proportion, severely impacting market growth due to COVID-19 pandemic.
• During the COVID-19 pandemic, extensive lockdown in crucial manufacturing sectors such as metalworking, fabrication, oil & gas, chemicals, and consumer goods caused a temporary production halt in all regions. As a result, the industrial sector witnessed a drop in demand for lubricating oils. However, the industrial sector was able to partially resume operations as the lockdown was gradually lifted.
• The COVID-19 outbreak had a rapid and devastating impact on the global automotive sector. Chinese parts shipments were disrupted, large-scale manufacturing disruptions occurred across Europe, and assembly plants in the U.S. collapsed. This has put a lot of pressure on the automotive sector that is already dealing with a downturn in global demand, and it will certainly lead to more merger and acquisition..
• Furthermore, due to social distancing norms during COVID-19, the manufacturing companies worked with limited workforce, thus negatively impacting the production of lubricants.

Key Benefits For Stakeholders

• This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the lubricants market analysis from 2021 to 2031 to identify the prevailing lubricants market opportunities.
• The market research is offered along with information related to key drivers, restraints, and opportunities.
• Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
• In-depth analysis of the lubricants market segmentation assists to determine the prevailing market opportunities.
• Major countries in each region are mapped according to their revenue contribution to the global market.
• Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
• The report includes the analysis of the regional as well as global lubricants market trends, key players, market segments, application areas, and market growth strategies.

 Lubricants Market Report Highlights