The global lubricants market attained a value of $95,403.9 million in 2019 and is predicted to generate a revenue of $115,350.6 million by 2030. According to the forecast of the market research
firm, P&S Intelligence, the market will progress at a CAGR of 2.3% between 2020 and 2030. The rapid expansion in the automotive industry, especially in the developing countries and the growing public awareness about the benefits of lubricants are the major market growth drivers.
During the last few years, the automotive sector has grown sharply in the emerging economies such as India, Brazil, Mexico, and China and this trend will continue in the coming years, because of the surging disposable income of people and the rising consumer awareness about the various benefits of using lubricants in automobiles. The soaring sales of vehicles in these countries are creating lucrative growth opportunities for the lubricant producing companies operating across the globe.
Lubricants are mainly used in the crankcase of an automobile engine in order to ensure the efficient functioning of the vehicle. Moreover, lubricants are used for reducing friction, which, in turn, reduces the wear and tear of the automobile and increases its lifespan. Besides this, the rising public awareness about the requirement for lubricants in various industries is also contributing toward their surging sales across the world. Moreover, organizations are increasingly adopting various customer-oriented methods for creating awareness among people.
Depending on base oil, the lubricants market is divided into synthetic oil, bio-based oil, and mineral oil. Out of these, the mineral oil category is predicted to register the highest growth in the market in the forthcoming years. This will be because of the fact that in developing countries, people and end-use industries are increasingly preferring mineral oils over the bio-based and synthetic oils, on account of the lower costs of these oils than the others.
When end user is taken into consideration, the lubricants market is classified into heavy equipment, metallurgy and metalworking, food and beverages, automotive and other transportation, and chemical. Out of these, the automotive and other transportation category recorded the highest growth in the market in the past years. This was because of the rapid expansion in the aviation and marine industry, on account of the large-scale manufacturing of ships and aircrafts all over the world.
Globally, the lubricants market will demonstrate the fastest growth in the Middle East and Africa region in the future. This will be because of the availability of several oil wells in this region. The cost of crude oil and its various by-products such as lubricants are very low in this region. This is fueling the large-scale usage of lubricants in various manufacturing industries. Furthermore, the establishment of numerous industries is pushing up the requirement for lubricants in the region.
Hence, it is safe to say that the market will boom in the future years, on account of the mushrooming usage of lubricants in various manufacturing and industrial operations and the increasing public awareness about the benefits of crude oil all over the world.