The Global Market for Lubricating Oils and Greases is Projected to Reach 12.4 Billion Gallons by 2020

Steady Rise in Vehicle Ownership Rates Drives Demand for Lubricating Oils & Greases, According to a New Report by Global Industry Analysts, Inc.

GIA announces the release of a comprehensive global report on Lubricating Oils and Greases. The global market for Lubricating Oils and Greases is projected to reach 12.4 billion gallons by 2020, driven by the rise in vehicle ownership rates in developing countries. 

Strong demand for a range of manufactured finished goods and the subsequent need to expand production capacities are compelling manufacturers to rely on machinery to automate their production and processing activity. The importance of smooth functioning of such machinery and the need to prevent equipment failure due to excess friction and lack of lubricity, are driving demand for lubricating oils and greases. Lubricating oils and greases help reduce friction and heat between moving mechanical parts in machinery and automobiles, thus preventing premature wear and tear and ensuring longer working life of machines. The automotive industry is one of the major markets for lubricating oils and greases. Automotive lubricants are used in the crankcase of a vehicle engine to ensure smooth operation. 

Industrial machinery also represents a major end-use market for lubricating oils and greases. The health of the manufacturing sector therefore influences demand dynamics in the market. Improving global manufacturing PMI indices and the resulting expansion in production capacities will help drive growth in the industrial lubricants market. The increase in manufacturing activity will spur investments in production machinery, thus creating a strong business case for the use of industrial lubes. In the automotive sector, strict standards for controlling exhaust gas emissions from vehicles are necessitating frequent vehicle maintenance. The scenario creates lucrative opportunities for auto lubes in the automotive service sector. Use of engine oils in automobiles helps bring excellent fuel efficiency by reducing friction between different moving parts in an engine.

As stated by the new market research report on Lubricating Oils and Greases, Asia-Pacific represents the largest and the fastest growing market, with volume sales projected to grow at a CAGR of 5% over the analysis period. Automotive lubricants represents the largest product market, with engine oils generating a major chunk of the revenues. The market for industrial lubricants is supported by the huge demand for industrial engine oils and growing consumption of process oils.

Major players in the market include Ashland Inc., Chevron Corporation, Exxon Mobil Corporation, Esso S.A.F., Fuchs Petrolub AG, Idemitsu Kosan Co., Ltd., Indian Oil Corporation Ltd., LUKOIL Oil Company, JX Nippon Oil & Energy Corporation, Shell, Sinopec Corporation, and Total S.A., among others.

The research report titled “Lubricating Oils and Greases: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, company profiles, mergers, acquisitions and other strategic industry activities. The report provides market estimates and projections in Thousand Gallons for all major geographic markets such as the US, Canada, Japan, Europe (France, Germany, Italy, UK, Spain, Russia, and Rest of Europe), Asia-Pacific (China, India, and Rest of Asia-Pacific), Middle East, and Latin America (Brazil and Rest of Latin America). Products segments analyzed include Automotive Lubricants (Engine Oils, Transmission & Hydraulic Fluids), Industrial Lubricants (General Industrial Oils, Industrial Engine Oils, Marine Lubricants, Metal Working Oils, Process Oils) and Greases.