Automotive Engine Oil Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2031 - By Product, Technology, Grade, Application, End-user, Region: (North America, Europe, Asia Pacific, Latin America and Middle East and Africa)

Automotive Engine Oil Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2031 - By Product, Technology, Grade, Application, End-user, Region: (North America, Europe, Asia Pacific, Latin America and Middle East and Africa)

According to a recent report by Fairfield Market Research, the global automotive engine oil market recorded a total revenue of US$ 42.9 billion at the end of 2024. The market is projected to witness robust growth, with worldwide demand for automotive engine oil expected to reach US$ 55 billion by 2031, reflecting a CAGR of 3.61%. Automotive engine oil, also known as motor oil, plays a critical role in reducing friction and wear on engine components, improving fuel efficiency, and meeting stringent vehicle pollution regulations.

Key Drivers of Market Growth

Surging Automotive Sector: The automotive industry's expansion, coupled with the demand for fuel-efficient vehicles, luxurious passenger cars, and the need to prolong engine life, is propelling the market forward. Low-viscosity engine oil is increasingly used to enhance fuel economy and meet evolving emissions standards.

Engine Efficiency and Pollution Control: Automotive engine oil lubricates engine components, reducing friction, and optimizing power output. A well-lubricated engine burns fuel more efficiently, improving performance and reducing emissions. Engine oil also protects against corrosion and chemical reactions inside the engine, contributing to increased demand across various vehicle types.

Increased Demand for Commercial and Luxury Vehicles: Rising demand for commercial vehicles and luxurious passenger cars, along with the adoption of synthetic engine oils in most vehicles, has further bolstered the market's growth trajectory.

Challenges and Market Restraints

Fluctuating Raw Material Prices: The market faces challenges related to volatile raw material prices, currency fluctuations, and supply chain disruptions. These factors impact production costs and overall demand for automotive engine oil.

Growth of Electric Vehicles (EVs): The increasing adoption of electric vehicles worldwide, driven by environmental concerns and government incentives, is expected to reduce the demand for engine oil in the long term. EVs do not require engine oil for propulsion, leading to decreased consumption.

Country-wise Analysis

China: The Chinese market for automotive engine oil is poised for substantial growth, with a projected CAGR of 2.8% over the next decade. China, a dominant player in the East Asian region, is expected to witness rising automotive production, further boosting the demand for engine oil.

United Kingdom (UK): The UK stands out as a lucrative market for automotive engine oil manufacturers in Europe, with an anticipated 2% value CAGR through 2022. The country ranks fourth in Europe in automotive manufacturing and continues to see growth in light commercial vehicle sales.

Competitive Landscape

The automotive engine oil market's supply chain has witnessed improvements in recent years, driven by increased acquisition and expansion activities. Key market players are focusing on business expansion through partnerships, contracts, and new product launches to strengthen their presence in both regional and international markets.

Key Companies Profiled
• Saudi Arabian Oil Co.
• Total S.A
• ROSNEFT
• LUKOIL oil company
• Shell plc
• Exxon Mobil Corporation
• BP p.l.c
• Chevron Corporation
• Sinopec Lubricant Company
• Eni SPA
• Valvoline
• Castrol
• Jiangsu Lopal Tech. Co., Ltd.
• Fuchs Petrolub

Key Segments of Automotive Engine Oil Industry Research

By Grade:
• Mineral Engine Oil
• Synthetic Engine Oil
• Semi-Synthetic Engine Oil

By Engine:
• Gasoline Engines
• Diesel Engines

By Vehicle:
• Passenger Vehicles
• Heavy Commercial Vehicles
• Light Commercial Vehicles
• Two Wheelers

By Region:
• North America
• Latin America
• Europe
• East Asia
• South Asia & Pacific
• Middle East & Africa

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