Growth Factors of Automotive Engine Oil Market
The global automotive engine oil market is experiencing steady growth, driven by advancements in engine technologies, increasing vehicle ownership, and a rising focus on fuel efficiency and emission reduction. According ta report by Fortune Business Insights, the market was valued at USD 36.49 billion in 2018 and is projected treach USD 45.66 billion by 2026, exhibiting a Compound Annual Growth Rate (CAGR) of 2.88% during the forecast period.
Market Segmentation
The automotive engine oil market is segmented based on grade, engine type, application area, and geography.
- By Grade:
Synthetic Oil: Manufactured through chemical synthesis, synthetic oils provide superior performance, including better fuel efficiency, reduced oil consumption, and extended oil change intervals. Their resistance ttemperature variations and oxidation makes them suitable for modern engines.
Semi-synthetic Oil: A blend of mineral and synthetic oils, semi-synthetic variants offer a balance between cost and performance, providing better protection and efficiency than mineral oils.
- By Engine Type:
Petrol Engines: Petrol engines operate at higher RPMs and temperatures, necessitating engine oils that can withstand thermal breakdown and provide adequate lubrication.
Alternative Fuel Engines: With the rise of alternative fuels, there is a growing need for specialized engine oils compatible with these new engine types.
- By Application Area:
Light Commercial Vehicles (LCV) and Heavy Commercial Vehicles (HCV): These vehicles require engine oils that can handle heavy loads and extended operating hours.
Two-Wheelers: A significant segment in regions like Asia Pacific, where motorcycles are a primary mode of transport.
Regional Insights
Asia Pacific dominated the automotive engine oil market, holding a 34.03% share in 2018. This dominance is attributed tthe high number of vehicles in countries like China, India, and Thailand. The region's rapid urbanization and rising income levels have led tincreased vehicle ownership, thereby boosting the demand for engine oils.
North America and Europe are alssignificant markets. In North America, government initiatives promoting energy-saving automotive engine oils and consumer awareness contribute tmarket growth. Europe's market is influenced by stringent environmental regulations and a focus on high-performance synthetic oils.
Trends and Growth Factors
- Demand for High Mileage Vehicles: As consumers seek vehicles with longer lifespans, the demand for high-quality engine oils that enhance engine durability and performance is increasing. Lower viscosity oils are favored for their ability timprove fuel economy and reduce emissions.
- Shift Towards Synthetic Oils: Synthetic engine oils are gaining popularity due ttheir superior properties, such as better temperature resistance, reduced volatility, and longer oil change intervals. These oils cater tmodern engines' requirements, which are designed for higher efficiency and lower emissions.
- Technological Advancements: The evolution of engine and hardware technologies, including turbochargers and advanced fuel injection systems, necessitates engine oils that can provide enhanced protection and performance. Manufacturers are investing in research and development tformulate oils that meet these advanced specifications.
The market faces challenges such as volatility in raw material prices, which can affect production costs and pricing strategies. Additionally, the increasing adoption of electric vehicles (EVs), which dnot require traditional engine oils, poses a potential threat tmarket growth. However, the impact of EVs is expected tbe gradual, allowing manufacturers time tadapt and explore new opportunities.
Competitive Landscape
The automotive engine oil market is consolidated, with the top 10 companies accounting for about 50% of the global market revenue. Key players are focusing on research and development tintroduce innovative products that meet evolving engine requirements and environmental standards. For instance, in July 2018, Valvoline Inc. acquired Great Canadian Oil Change Franchising Ltd., expanding its quick-lube network and strengthening its market position in North America.
Conclusion
The automotive engine oil market is poised for steady growth, driven by increasing vehicle ownership, advancements in engine technologies, and a shift towards high-performance synthetic oils. While challenges such as raw material price volatility and the rise of electric vehicles exist, the market is expected tadapt through innovation and strategic initiatives, ensuring sustained demand for engine oils in the foreseeable future.
ATTRIBUTE DETAILS
Study Period - 2015-2026
Base Year - 2018
Forecast Period - 2019-2026
Historical Period - 2015-2017
Unit - Value (USD Billion) and Volume (KilTons)
Segmentation By Grade
- Mineral
- Synthetic
- Semi-synthetic
- Diesel
- Petrol
- Alternative Fuels
- Passenger Vehicles
- LCV
- HCV
- TwWheeler
- Others
- North America (U.S., Canada, and Mexico)
- Europe (Germany, France, UK, Italy, Spain, Turkey, Russia, and Rest of Europe)
- Asia Pacific (China, India, Japan, South Korea, Indonesia, Thailand, and Rest of Asia Pacific)
- South America (Brazil, Mexico, and Rest of South America)
- Middle East & Africa (South Africa, GCC, Iran, and Rest of Middle East & Africa)
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- 1. Introduction
- 1.1. Research Scope
- 1.2. Market Segmentation
- 1.3. Research Methodology
- 1.4. Definitions and Assumptions
- 2. Executive Summary
- 3. Market Dynamics
- 3.1. Market Drivers
- 3.2. Market Restraints
- 3.3. Market Opportunities
- 4. Key Insights
- 4.1. Key Emerging Trends – For Major Countries
- 4.2. Key Developments: Mergers, Acquisition, Partnership, etc.
- 4.3. Latest Technological Advancement
- 4.4. Insights on Regulatory Scenario
- 4.5. Porters Five Forces Analysis
- 5. Global Automotive Engine Oil Market Analysis, Insights and Forecast, 2015-2026
- 5.1. Key Findings / Summary
- 5.2. Market Analysis, Insights and Forecast – By Grade
- 5.2.1. Mineral
- 5.2.2. Synthetic
- 5.2.3. Semi-Synthetic
- 5.3. Market Analysis, Insights and Forecast – By Engine Type
- 5.3.1. Diesel
- 5.3.2. Petrol
- 5.3.3. Alternative Fuel
- 5.4. Market Analysis, Insights and Forecast – By Application
- 5.4.1. Passenger Vehicles
- 5.4.2. Light Commercial Vehicles
- 5.4.3. Heavy Commercial Vehicles
- 5.4.4. Two Wheelers
- 5.4.5. Others
- 5.5. Market Analysis, Insights and Forecast – By Region
- 5.5.1. North America
- 5.5.2. Europe
- 5.5.3. Asia pacific
- 5.5.4. Latin America
- 5.5.5. Middle East & Africa
- 6. North America Automotive Engine Oil Market Analysis, Insights and Forecast, 2015-2026
- 6.1. Key Findings / Summary
- 6.2. Market Analysis, Insights and Forecast – By Grade
- 6.2.1. Mineral
- 6.2.2. Synthetic
- 6.2.3. Semi-Synthetic
- 6.3. Market Analysis, Insights and Forecast – By Engine Type
- 6.3.1. Diesel
- 6.3.2. Petrol
- 6.3.3. Alternative Fuel
- 6.4. Market Analysis, Insights and Forecast – By Application
- 6.4.1. Passenger Vehicles
- 6.4.2. Light Commercial Vehicles
- 6.4.3. Heavy Commercial Vehicles
- 6.4.4. Two Wheelers
- 6.4.5. Others
- 6.5. Market Analysis, Insights and Forecast – By Country
- 6.5.1. U.S.
- 6.5.2. Canada
- 7. Europe Automotive Engine Oil Market Analysis, Insights and Forecast, 2015-2026
- 7.1. Key Findings / Summary
- 7.2. Market Analysis, Insights and Forecast – By Grade
- 7.2.1. Mineral
- 7.2.2. Synthetic
- 7.2.3. Semi-Synthetic
- 7.3. Market Analysis, Insights and Forecast – By Engine Type
- 7.3.1. Diesel
- 7.3.2. Petrol
- 7.3.3. Alternative Fuel
- 7.4. Market Analysis, Insights and Forecast – By Application
- 7.4.1. Passenger Vehicles
- 7.4.2. Light Commercial Vehicles
- 7.4.3. Heavy Commercial Vehicles
- 7.4.4. Two Wheelers
- 7.4.5. Others
- 7.5. Market Analysis – By Country
- 7.5.1. Germany
- 7.5.2. France
- 7.5.3. UK
- 7.5.4. Italy
- 7.5.5. Spain
- 7.5.6. Turkey
- 7.5.7. Russia
- 7.5.8. Rest of Europe
- 8. Asia Pacific Automotive Engine Oil Market Analysis, Insights and Forecast, 2015-2026
- 8.1. Key Findings / Summary
- 8.2. Market Analysis, Insights and Forecast – By Grade
- 8.2.1. Mineral
- 8.2.2. Synthetic
- 8.2.3. Semi-Synthetic
- 8.3. Market Analysis, Insights and Forecast – By Engine Type
- 8.3.1. Diesel
- 8.3.2. Petrol
- 8.3.3. Alternative Fuel
- 8.4. Market Analysis, Insights and Forecast – By Application
- 8.4.1. Passenger Vehicles
- 8.4.2. Light Commercial Vehicles
- 8.4.3. Heavy Commercial Vehicles
- 8.4.4. Two Wheelers
- 8.4.5. Others
- 8.5. Market Analysis – By Country
- 8.5.1. China
- 8.5.2. India
- 8.5.3. Japan
- 8.5.4. South Korea
- 8.5.5. Indonesia
- 8.5.6. Thailand
- 8.5.7. Rest of Asia Pacific
- 9. Latin America Automotive Engine Oil Market Analysis, Insights and Forecast, 2015-2026
- 9.1. Key Findings / Summary
- 9.2. Market Analysis, Insights and Forecast – By Grade
- 9.2.1. Mineral
- 9.2.2. Synthetic
- 9.2.3. Semi-Synthetic
- 9.3. Market Analysis, Insights and Forecast – By Engine Type
- 9.3.1. Diesel
- 9.3.2. Petrol
- 9.3.3. Alternative Fuel
- 9.4. Market Analysis, Insights and Forecast – By Application
- 9.4.1. Passenger Vehicles
- 9.4.2. Light Commercial Vehicles
- 9.4.3. Heavy Commercial Vehicles
- 9.4.4. Two Wheelers
- 9.4.5. Others
- 9.5. Market Analysis – By Country
- 9.5.1. Brazil
- 9.5.2. Mexico
- 9.5.3. Rest of South America
- 10. Middle East & Africa Automotive Engine Oil Market Analysis, Insights and Forecast, 2015-2026
- 10.1. Key Findings / Summary
- 10.2. Market Analysis, Insights and Forecast – By Grade
- 10.2.1. Mineral
- 10.2.2. Synthetic
- 10.2.3. Semi-Synthetic
- 10.3. Market Analysis, Insights and Forecast – By Engine Type
- 10.3.1. Diesel
- 10.3.2. Petrol
- 10.3.3. Alternative Fuel
- 10.4. Market Analysis, Insights and Forecast – By Application
- 10.4.1. Passenger Vehicles
- 10.4.2. Light Commercial Vehicles
- 10.4.3. Heavy Commercial Vehicles
- 10.4.4. Two Wheelers
- 10.4.5. Others
- 10.5. Market Analysis – By Country
- 10.5.1. GCC
- 10.5.2. Iran
- 10.5.3. South Africa
- 10.5.4. Rest of Middle East & Africa
- 11. Competitive Analysis
- 11.1. Company Profiles (Overview, Products & services, SWOT analysis, Recent developments, strategies, financials (based on availability))
- 11.1.1. ExxonMobil Corporation
- 11.1.1.1. Overview,
- 11.1.1.2. Products & services,
- 11.1.1.3. SWOT analysis,
- 11.1.1.4. Recent developments,
- 11.1.1.5. strategies,
- 11.1.1.6. financials (based on availability)
- 11.1.2. Valvoline, Inc.
- 11.1.2.1. Overview,
- 11.1.2.2. Products & services,
- 11.1.2.3. SWOT analysis,
- 11.1.2.4. Recent developments,
- 11.1.2.5. strategies,
- 11.1.2.6. financials (based on availability)
- 11.1.3. Fuchs Petrolub SE
- 11.1.3.1. Overview,
- 11.1.3.2. Products & services,
- 11.1.3.3. SWOT analysis,
- 11.1.3.4. Recent developments,
- 11.1.3.5. strategies,
- 11.1.3.6. financials (based on availability)
- 11.1.4. Castrol
- 11.1.4.1. Overview,
- 11.1.4.2. Products & services,
- 11.1.4.3. SWOT analysis,
- 11.1.4.4. Recent developments,
- 11.1.4.5. strategies,
- 11.1.4.6. financials (based on availability)
- 11.1.5. Royal Dutch Shell plc
- 11.1.5.1. Overview,
- 11.1.5.2. Products & services,
- 11.1.5.3. SWOT analysis,
- 11.1.5.4. Recent developments,
- 11.1.5.5. strategies,
- 11.1.5.6. financials (based on availability)
- 11.1.6. RelaDyne
- 11.1.6.1. Overview,
- 11.1.6.2. Products & services,
- 11.1.6.3. SWOT analysis,
- 11.1.6.4. Recent developments,
- 11.1.6.5. strategies,
- 11.1.6.6. financials (based on availability)
- 11.1.7. Pentagon Lubricants Private Limited
- 11.1.7.1. Overview,
- 11.1.7.2. Products & services,
- 11.1.7.3. SWOT analysis,
- 11.1.7.4. Recent developments,
- 11.1.7.5. strategies,
- 11.1.7.6. financials (based on availability)
- 11.1.8. HINDUJA GROUP
- 11.1.8.1. Overview,
- 11.1.8.2. Products & services,
- 11.1.8.3. SWOT analysis,
- 11.1.8.4. Recent developments,
- 11.1.8.5. strategies,
- 11.1.8.6. financials (based on availability)
- 11.1.9. Chevron Corporation
- 11.1.9.1. Overview,
- 11.1.9.2. Products & services,
- 11.1.9.3. SWOT analysis,
- 11.1.9.4. Recent developments,
- 11.1.9.5. strategies,
- 11.1.9.6. financials (based on availability)
- 11.1.10. Total S.A.
- 11.1.10.1. Overview,
- 11.1.10.2. Products & services,
- 11.1.10.3. SWOT analysis,
- 11.1.10.4. Recent developments,
- 11.1.10.5. strategies,
- 11.1.10.6. financials (based on availability)
- 11.1.11. Other Players
- 11.1.11.1. Overview,
- 11.1.11.2. Products & services,
- 11.1.11.3. SWOT analysis,
- 11.1.11.4. Recent developments,
- 11.1.11.5. strategies,
- 11.1.11.6. financials (based on availability)
- 12. Strategic Recommendations
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