The Global Market for Biolubricants is Projected to Reach US$2.9 Billion by 2022

Stringent Regulations and Growing Environmental Awareness Drive the Global Biolubricants Market, According to a New Report by Global Industry Analysts, Inc.

GIA launches comprehensive analysis of industry segments, trends, growth drivers, market share, size and demand forecasts on the global Biolubricants markets. The global market for Biolubricants is projected to projected to reach US$2.9 billion by 2022, driven by stringent emission control regulations, rising focus on clean and efficient lubricants, and growing demand from automotive and industrial end-use markets.

Biodegradable lubricants are generally based on vegetable oils, which constitute about 90% of the biolubricant product. Bio-based lubricants represent a ‘greener’ alternative to the conventional polluting lubricating oils. Biolubricants are witnessing strong market acceptance given the numerous benefits offered and the significant progress made over the years in terms of attributes such as biodegradability, lubricity, viscosity indices, better anticorrosion properties and relatively lower flammability, toxicity and volatility. The growth in the market is primarily driven by rising applications in construction and earth moving machinery, snow-track and snowmobiles maintenance machinery, agricultural machinery, ski jets, railway gears, push tugs, commercial elevators, water treatment, reservoirs, sewage plant, landfill operations, rock-drill, and motorboats, among others, where throw-off and leakage during normal usage is common.

Hydraulic oils are finding increased acceptance. Growing environmental awareness has been pressurizing lubricant manufacturers to develop new environment friendly products. Akin to mineral oils based products, biodegradable hydraulic fluids provide viscosity, lubricity, oxidative and thermal stability, seal compatibility, are non-corrosive, and flow at cold and hot temperatures. Another factor promoting growth is the rising popularity of biodegradable lubes in machinery operating in locations where there is a major risk of water or soil contamination due to lubricant leakage. Strong support from regulatory agencies such as EPA in the U.S. and REACH in the EU is also expected to spur market growth in the coming years. Favorable macro factors such as government regulations, legislations and incentives, volatile petroleum prices, depleting oil stocks and renewability of biolubes are expected to play a prominent role in the market’s growth over the long term. Other drivers poised to benefit market prospects include improved availability of bio products, rising consumer awareness, technology improvements, biotechnology innovations, and increasing acceptance by OEM. Despite the opportunities for growth, the market will face challenges posed by higher costs, absence of a global classification system, and huge installed base of legacy machinery and equipment designed to work with conventional lube oils.

As stated by the new market research report on Biolubricants Europe represents the largest market worldwide, followed by the United States. Asia-Pacific ranks as the fastest growing market with a CAGR of 9% over the analysis period, led by growing automobile production and sales, huge industrial base, lower levels of biolubes penetration due to lack of awareness, mass exodus of manufacturing and production bases to low cost destinations such as China, India, Vietnam, Taiwan, and Indonesia, and stringent government regulations to control industrial and automotive emissions.

Key players covered in the report include BP Plc, Cargill, Incorporated, Chevron Corporation, Emery Oleochemicals Group, Eurol B.V., ExxonMobil Corporation, FUCHS PETROLUB SE, HollyFrontier Corporation, Millers Oils Ltd., NuPro Industries Corporation, Panolin AG, Renewable Lubricants™, Inc., Royal Dutch Shell plc, Total S.A., and Valvoline Inc. among others.

The research report titled "Biolubricants: A Global Strategic Business Report" announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, growth drivers, product launches, and strategic industry activities of major companies worldwide. The report provides market estimates and projections in terms of value and volume for all major geographic markets including North America (US, and Canada), Europe (France, Germany, Italy, UK, and Rest of Europe), Asia-Pacific, and Rest of World. Product segments analyzed for the North American market include Bio 2 Cycle Engine Oils, Chainsaw Oils, Concrete Release Agents, Gear Oils, Greases, Hydraulic Fluids, and Metal Working Fluids. Segments analyzed for the European market include Chainsaw Oils, Concrete Release Agents, Hydraulic Fluids, and Niche Oils (Cutting Oils, Greases, Two-stroke Engine Oils, and Others).

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