The global industrial lubricants market is expected to value $68,412.0 million by 2024. the growth in the demand for lubricants is driven by the fact these help in enhancing various industrial processes without changing the quality and physical properties of the final product. Moreover, rapid industrialization, coupled with the need for a streamlined and effective production process, is expected to drive the growth of the industrial lubricants market during the forecast period.
Insights on market segments
On the basis of product, the market for industrial lubricants is categorized into general oil, process oil, engine oil, metalworking fluid, and others, wherein the “others” category consists of lubricating grease, demolding oil, compressor oil, chainsaw oil, industrial gear oil, and turbine oil. Among these categories, process oil dominated the industrial lubricants market in 2016, with an over 30.0% share in terms of volume. Process oils make the functioning of industrial machinery smooth by keeping the temperature constant and reducing the friction between the components. Rapid industrialization in countries such as India and China is expected to continue driving the sale of process oil for various manufacturing processes.
Under segmentation by application, the industrial lubricants industry is categorized into textile, metalworking, chemical manufacturing, energy, hydraulic machinery, food processing, and others (mining and jewelry). Among these, chemical manufacturing accounted for the largest sales volume in the market, with an over 20.0% share in 2016. Lubricants help enhance the manufacturing process, prevent the machine temperature from rising too much, and keep the contamination of chemicals in check. The expansion of the industrial base for chemical manufacturing is thus expected to drive the growth of the industrial lubricants market during the forecast period.
Asia-Pacific (APAC) was the largest regional market for industrial lubricants
Globally, APAC held the largest share in the industrial lubricants market, with more than 40.0% sales volume share in 2016. Rapid industrialization in regional countries, such as India, China, and Japan, is projected to continue raising the demand for lubricants from different industries. Further, emerging countries in the region are heavily investing on the construction of industrial hubs, utilities, and other civic infrastructure facilities. The increasing number of such projects is thus predicted to lead to growth in demand for industrial lubricants for machines pressed into construction.
Expansion in the industrial lubricants production base of APAC as a major market trend
In the past few years, several organizations engaged in petrochemical production have established their production bases in or near the major oil-rich regions in the Americas, the Middle East, and APAC. The shifting of production bases to the APAC region has strengthened the supply chain of various end-use industries. Further, the production capacity of industrial lubricants in the APAC region is expected to continue rising due to the large investments by different players. Thus, with growing investments in the APAC region, a key trend in terms of capacity expansion is being witnessed in the industrial lubricants market.
Emerging countries to serve as a lucrative market
In recent years, nations such as India, China, South Africa, and Brazil have witnessed rapid economic growth, apparent in the large-scale expansion of their industrial sector. In particular, China transformed into a global manufacturing hub with a well-developed machinery and electronics manufacturing base. Similarly, the construction and energy sectors are growing rapidly in India, owing to heavy investments in projects for the development of infrastructure by the government. The rapid developments in the economy of these countries have offered numerous growth opportunities for the industrial lubricants market, as these lubricants are essential in supporting the process of manufacturing in different industries.
Industrial lubricants market’s competitive landscape
Among the major players operating in the global industrial lubricants market are Amsoil Inc., Calumet Specialty Products Partners L.P., Phillips 66, Quaker Chemical Corporation, Houghton International Inc., Klüber Lubrication München SE & Co. KG, PETRONAS Lubricants International, BP PLC, Blaser Swisslube AG, FUCHS PETROLUB SE, Chevron Corporation, Exxon Mobil Corporation, The Lubrizol Corporation, Total S.A., Idemitsu Kosan Co. Ltd., Clariant AG, and Royal Dutch Shell PLC.