ASEAN, GCC, India, Africa Lubricants - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2027)

 

Regional Analysis – ASEAN, GCC, India, Africa Lubricants Market

Among all regions, India held the highest potential with respect to market volume and market value in 2017 and is projected to continue its dominance over the forecast period. Rapid industrialization, growing population, flexible government regulations, and increasing investments can elevate the market to higher dimensions.

However, the Africa region is the fastest growing region in the global lubricants market. Presence of multinational players such as Shell, BP, Chevron, Engen Petroleum, and others and increasing demand for agriculture equipment drives the market growth aggressively. For instance, in the first half of 2018, Shell became Aggreko’s largest lubricants supplier in Asia-Pacific.

 

Market Highlights

Market Research Future (MRFR) experts estimate that the ASEAN, GCC, Africa & India lubricants market capitalization can reach USD 29,532.9 million by 2023, at a CAGR of 4.30% during the forecast period (2017-2023). High demand for lubricants in the automobile industry results has provided numerous opportunities. Furthermore, growing sale of commercial vehicles and continuous economic development of the Association of Southeast Asian Nations (ASEAN) and Africa regions will trigger the product demand in the coming years. Also, expansion of oil & gas pipeline network and increased number of refinery and petrochemical projects are expected to supplement the demand for oil & gas lubricants during the forecast period.

On the flip side, increasing sales of electric vehicles are predicted to hit the product demand hard during the forecast period. However, rapid industrialization and increasing demand for automotive will prove buoyant for the market growth. Rigid environmental regulations by governments to use lubricants for better efficiency have also triggered the demand for lubricant products.

Also, to be noted are various trends cropping up within the market such as food-grade lubricants and development of low viscosity lubricants for wind turbines. These emerging trends give the market the necessary push to higher levels.

 

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Segment Analysis – ASEAN, GCC, India, Africa Lubricants Market

The ASEAN, GCC, Africa & India lubricants market is segmented on the basis of base oil, application, and end use.

Based on base oil, mineral oil has accounted for 86.2% market share in 2017 and estimated to reach USD 25,417.2 million by 2023, exhibiting a CAGR of 4.20% during the forecast period. The market for minerals is projected to exhibit slow growth in the coming years due to stern regulations by agencies owing to its negative environmental effects. Hence, demand for bio-based and synthetic oils alternatives has increased over the past years. Bio-based oils segment is growing rapidly owing to vast usage in the industrial sector, demand for zero toxic emissions, and high usage in premium end products.

Automotive and industrial are two major market applications. Automotive is the leading application segment, accounting for 57.52% market share in 2017. Increase in lightweight commercial vehicle production, as well as a shift towards better performance and fuel-efficient cars, has led to the market growth. Additionally, shifting production base coupled with growing production capacity of Southeast Asia market, particularly in Malaysia and Indonesia and the Philippines has boosted the production in ASEAN market.

The engine oil and gear oil segments within the industrial segment are collectively dominating the market. These oils are vital for construction in power transmission engineering and are used in almost all areas of application. On the other hand, process oil also exhibits promising growth due to low energy consumption resulting in reduced production costs and improved quality. Various benefits offered are increasing rubber softness, increasing penetration in the formulation of polymer compounds, and color stability and elasticity which opens up avenues for industry participants.

As per MRFR report, energy as the end-use industry is dominating the market and estimated to reach USD 7,277.9 million at a CAGR of 4.64% during the forecast period. Expansion activities of manufacturing sectors and infrastructural projects are likely to propel the market growth.

 

Competition Analysis – ASEAN, GCC, India, Africa Lubricants Market

Key players in the ASEAN, Gulf Cooperation Council (GCC), Africa and India lubricants market are Exxon Mobil Corporation, Royal Dutch Shell Plc, Total S.A., Lukoil, Petronas, Yushiro Chemical Industry, Morris Lubricants, Rock Valley Oil and Chemical Co., Indian Oil Corporation Limited, Gulf Oil India, and others.

 

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