The Global Synthetic Lubricants Market is projected to reach a value of over USD 39.8 billion by 2027 at a CAGR of around 2.4%.
Synthetic lubricants are the lubricants formulated with base oil derived from advanced chemicals such as Esters, PAO, PAG, and others. The synthetic base oils replace the mineral base oils from the crude oil in the formulation and have better performance. These organic compounds have favorable properties that contribute to their rapidly growing use for a variety of industrial applications. Synthetic lubricants have been using in compressors processing in diverse materials such as ammonia, hydrocarbon gases, hydrogen, hydrogen chloride, natural gas, nitrogen, and others. Synthetic lubricants offer the number of advantages include decreased evaporation loss, better lubrication during extreme cold weather conditions, better chemical share-ability, improved fuel economy, better engine life, and increased horsepower and torque due to less drag on the vehicle engine.
Market Driver:
The increasing demand from vehicle aftermarket in developing economies for synthetic lubricants is due to the rapid growth in the number of cars and trucks in use. According to OICA, in 2018, approximately 94 million units vehicles were sold globally. The automobile industry is expected to grow at a substantial growth rate globally due to improved road infrastructure and increasing average age of vehicles. On the other hand, continuous innovation in lubricants is further expected to fuel the synthetic lubricant market.
As today’s developed countries grow richer, they are experienced a process of structural transformation. Technological progress in recent decades has contributed to growing industrialization in developing countries. Moreover, domestic and foreign investment into developing countries due to the easy availability of raw materials and low labor costs comparatively in developed countries. The Asia Pacific region has become a global center of manufacturing during the last decade. Thus, growing industrialization in developing economies will help to spur the synthetic lubricants market.
Market Challenges:
The main disadvantage of synthetic lubricants is high cost due to fluctuation of the raw material prices. Petroleum product is the only source for the manufacturing the synthetic lubricants. The gap between supply and demand influences the prices. Over the past few years, the combination of stable demand and oversupply has put the pressure on the petroleum product prices. Moreover, a natural disaster that could potentially disrupt the production of petroleum product that will directly effect on the product price.
The report on the synthetic lubricants market covers a deep dive analysis of historic, recent and current market trends. Furthermore, market share/ranking analysis of key players, market dynamics, competition landscape, country-wise analysis for each region covered and the entire supply chain dynamics are covered through the below segmentation.
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Report Features |
Specifics |
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Historical/Estimated/Forecasted Market Size Years |
2018-2027 |
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Base Year for Market Calculation |
2020 |
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Forecasted Period |
2020-2027 (2020 estimated year, forecasted up to 2027) |
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Measured Units |
Value (USD Million) and Volume (Kiloton) |
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Segments Included |
Base Oil, Product Type, and End User |
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Regional Coverage |
North America, Asia-Pacific, Europe, Middle East & Africa, South Africa |
For the scope of the report, In-depth segmentation is offered by Forencis Research
Synthetic Lubricants Market, by Base Oil
Synthetic Lubricants Market, by Product Type
Synthetic Lubricants Market, by End User
Synthetic Lubricants Market, by Region
60+ MARKET TABLES AND 30+ FIGURES WILL BE INCLUDED IN THE Synthetic Lubricants MARKET STUDY
Note1: Tentative table of contents, may get updated during the course of research.
Note2: Company financial information is subject to availability in public domain