Some of the most prominent companies in the global lubricant additives market are focusing on product innovation to gain competitive advantage, finds Transparency Market Research (TMR) in a recent study. As per TMR, the presence of numerous players has rendered the market highly competitive. Some of the leading companies including Afton Chemical Corporation, Chevron Oronite Company LLC, Infineum International Limited, and Lubrizol Corporation are profiled in the report and discussed in detail. TMR forecasts the market players to develop and design products to cater to dynamic consumer preferences, while cohering stringent emission control standards.
“New players are likely to focus on developing technologically advanced products to create brand image and gain a stronger foothold in the global lubricant additives market,” said a lead TMR analyst. Expansion strategies adopted by the companies are expected to augment growth in the global lubricant additive market in the coming years.
Asia Pacific to Offer Lucrative Growth Opportunities
Analysts predict the market to rise at a slow pace. As per TMR, the global lubricant additives market, which stood at 4,334.54 kilo tons in 2015, is expected to reach 4,934.61 kilo tons by the end of 2020, expanding at 2.66% CAGR between 2015 and 2020. Among products available in the global lubricant additives market, the dispersants segment held lead in 2013. By the end of the report’s forecast period, the dispersants segment is expected to hold nearly 25.55% of the market. However, analysts predict the antioxidants segment to show growth at a faster pace.
Regionally, the lubricant additives market in North America has plateaued, however, the practice of using lubricants to maintain machineries will enable the market record steady growth in the region. TMR predicts, the Asia Pacific lubricants market to rise significant owing to rising disposable income of customers that bolstered the automotive purchase in the region.
Stringent Emission Control Regulations Fuel Scope for Expansion
Stringent regulations mandating emission reduction to 95 grams of carbon dioxide per kilometer by the end of 2021 are pushing the lubricant additives market in North America and Europe. These regulations have propelled the use of lubricants to maintain engine efficacy. Furthermore, lubricants also reduce friction and wear and tear in machines. They also act as coolants, which is expected to fuel their demand in the coming years.
TMR expects the global lubricant additives market to greatly benefit from the booming automotive sector. As manufacturers work towards meeting various emission standards, their demand for lubricants additives will rise. Several million vehicles are sold in Asia Pacific every year and analysts are predicting this trend to continue unscathed through the forecast period. This is expected to spur growth in the lubricant additives market. Furthermore, lubricant vendors are devising novel technologies to replace zinc dialkyldithiophosphate in engine oils. This will create opportunities for the market to grow in the near future.
Improvements in Lubricant Oil Chemistry May Reduce Demand from Commercial Vehicles Segment
On the downside technology evolution in engine and improvements in lubricant oil chemistry will allow remarkable progress in engine oil drain interval. This could reduce the consumption of engine oils especially in commercial vehicles, which can negatively impact the global lubricant additives market.