Global Independent Lubricant Manufacturers Market: Snapshot
Independent lubricant manufacturers usually do not have their own refineries. They purchase base oils from major oil suppliers. Manufacturers then blend these oils with additives to make lubricants for industrial manufacturing customers and automobile makers. Independent lubricant manufacturers primarily focus on manufacturing and marketing lubricants for specialties and niche businesses.
Independent lubricant manufacturers offer services to end-user industries such as automotive, aerospace, marine, and industrial. The lubricants required in these end-user industries chiefly comprise of engine oils, gear oils, hydraulics fluids, transmission fluids, greases, heat transfer fluids, coolants, and cleaners. Lubricants are also required in industries such as personal care, agriculture, and railway.
According to the report, the global independent lubricant manufacturers market was valued at US$6,800.79 mn in 2016 and is estimated to reach US$9,454.04 mn by 2025, expanding at a CAGR of 3.80% between 2017 and 2025.
Automotive Industry to Remain Dominant Revenue Contributor
In terms of the end users served by independent lubricant manufacturers, the report examines the growth prospects of the independent lubricant manufacturers market across the automotive, aerospace, marine, and industrial sectors. Of these, the automotive sector is presently the leading contributor of revenue to the global market. The segment accounted for a massive 67.4% of the global market in 2016 and is expected to remain the key consumer of lubricants manufactured by independent manufacturers.
Rise in demand for automotive is anticipated to drive the demand for automotive lubricants in the next few years as well. Increase in environmental awareness and implementation of strict government regulations are expected to boost the demand for high-quality and greener lubricants in the automotive industry in the next few years. As the global appetite for automobiles continues to rise, led by the growth in disposable income of consumers, the demand for products from independent lubricant manufacturers is also expected to rise significantly in the next few years.
Asia Pacific to Remain at Forefront of Development
In terms of geography, Asia Pacific is expected to observe a growth in its share during the forecast period, while there is expected to be a decline in the shares for the rest of the regions. Expansion in the independent lubricant manufacturers market in Asia Pacific is primarily ascribed to the expansion of emerging economies and the ever-developing automotive industry in the region. Asia Pacific shows strong potential for the independent lubricant manufacturers market in the forecast period due to the availability of raw materials to produce lubricants, low-cost of labor, and the number of major players that provide base oils as well as additives to the regional independent lubricant manufacturers.
The demand for lubricants in Europe is primarily led by countries such as Germany, France, U.K., and Russia. The market in Western Europe is comparatively mature than Eastern Europe, but the latter is anticipated to show comparatively higher promise in terms of growth potential for the independent lubricant manufacturers market.
North America and Europe are considered mature markets due to the presence of well-established key players and developed economies in these regions, which enables independent lubricant manufacturers in these regions to establish their presence in their respective local markets. The U.S. market accounts for the dominant share of the independent lubricant manufacturers market in North America. The well-established civil aviation industry, coupled with defense sector in the region, is primarily viewed as a key driver for the overall demand for lubricants manufactured by independent lubricants manufacturers.
Some of the leading companies operating in the global independent lubricant manufacturers market are FUCHS, ADDINOL Lube Oil GmbH, AMSOIL INC., BVA Oil, Carlube, Forsythe Lubrication, and Motul.