The global lubricants market was 36.36 million tons in 2014 and is projected to grow to 43.87 million tons by 2022, at an estimated CAGR of 2.4%.
An intensified demand for the automotive, industrial machinery and construction are expected to drive industry growth over the forecast period.
Increasing demand for lightweight passenger cars and heavy-duty commercial vehicles has fostered global automotive production, which in turn is conducive to the development of lubricants for application in this field.
Rapid industrialization in China, India, Brazil, and Mexico has encouraged applications in industrial machinery maintenance.
Rising construction spending in Asia Pacific and Latin America have also been key drivers for the global industry.
These products are extensively utilized in construction and infrastructure sectors for hydraulic oil, bearings, engine oil and wire rope applications.
Moreover, rising oilfield chemicals demand to owe to expanding drilling and exploration activities are projected to positively influence the industry.
Additionally, Research & Development initiatives such as the development of bio-based counterparts to reduce harmful environmental effects are projected to boost global lubricants industry demand.
Based on product, the global market has been segmented into industrial, commercial automotive and consumer automotive.
Industrial lubricants emerged as the largest segment with a volume of 14.40 million tons in 2014. Accelerated industrial output in metal forming, mining and machining industries along with capacity expansions have led to a high demand in the global industry.
Industrial machinery generated considerable demand owing to rising machinery and maintenance costs in manufacturing industries across the globe.
Commercial and consumer automotive sectors emerged as growing segments for demand in engine oils, transmission fluids, and gear oils.
Rising consumerism and industrial output have led to higher demand for commercial transportation facilities, thus driving demand in emerging economies across Asia Pacific.
Increasing automotive sales have also promoted the development of commercial and consumer automotive lubricants.
Asia Pacific lubricants market was the largest in terms of volume and revenue, accounting for over 15 million tons of demand in 2014, estimated to grow at a CAGR of 3.0%.
Other regions analyzed in the report include North America, Europe, Central & South America and the Middle East & Africa. High industrialization in India and China and subsequently growing automotive, transportation and construction industries in these respective countries are expected to favorably impact Asia Pacific demand over the forecast period.
Robust passenger car sales owing to increasing disposable income in Southeast Asian countries are also expected to contribute to automotive lubricants growth.
Other developed and nearly saturated regions such as Europe are generating moderate growth owing to increasing output from end-use industries.
Central & South America lubricants market accounted for low volume share globally but is expected to witness significant growth over the forecast, primarily driven by expanding construction and automotive industries in this region.