Grease Market Size, Share & Trends Analysis Report By Product (Mineral, Synthetic, Bio-Based), By End-use (Construction, Metal & Mining, Power Generation, Food Processing, Agriculture, Manufacturing), By Region, And Segment Forecasts, 2024 - 2030

Grease Market Size, Share & Trends Analysis Report By Product (Mineral, Synthetic, Bio-Based), By End-use (Construction, Metal & Mining, Power Generation, Food Processing, Agriculture, Manufacturing), By Region, And Segment Forecasts, 2024 - 2030

Grease Market Growth & Trends

The global grease market size is anticipated to reach USD 7.68 billion by 2030, growing at a CAGR of 4.1% from 2024 to 2030, according to a new report by Grand View Research, Inc. The growth is majorly attributed to increasing demand for automotive greases across the world owing to the surging demand for vehicles and their spare parts.

The product plays a crucial role in the manufacturing of automobiles, particularly in the production units of original equipment manufacturers (OEMs). It is primarily used as a lubricant in various components of automobiles as it reduces friction between their moving parts, preventing their wear and tear and ensuring their smooth operations. Moreover, the product possesses high initial viscosity, which decreases with the application of shear to it. This allows moving parts of automobiles to function like oil-lubricated bearings with similar viscosities as the base oil used in the product.

The manufacturers of the product often invest in research & development activities to improve the performance of their products, introduce new formulations of these compounds in the market, and enhance their production processes. For instance, companies such Unit Grease of India manufactures a wide range of standard, specialty, and niche grade products using its own and customer-specified formulations.

The global product market is governed by stringent regulations, ranging from their production to use & disposal. Furthermore, the additives used in the manufacturing of products are checked for their toxicity and potential to harm the environment. Some of the regulatory bodies that influence market dynamics include the Occupational Safety & Health Administration (OSHA), Environmental Protection Agency (EPA), and Registration, Evaluation, Authorization and Restriction of Chemicals (REACH) standards.

In February 2024., the U.S. Food & Drugs Administration (FDA) announced that grease-proofing substances containing Per and Polyfluoroalkyl Substances (PFAS) are no longer being sold by manufacturers for food contact use in the U.S. market. The completion of the voluntary market phase-out of these substances used on food packaging paper and paperboard eliminates the primary source of dietary exposure to PFAS from authorized food contact uses.

Fluctuations in the prices of raw materials, including base oils, thickeners, and additives, can impact the production costs of product across the world. Volatile crude oil prices, geopolitical tensions among different countries, and supply chain disruptions of raw materials of products may lead to price instability, thereby affecting profit margins for product manufacturers and potentially limiting the growth of the market.

Grease Market Report Highlights

• Mineral based product dominated the market with a revenue share of 62.3% in 2023 owing to their better solubility with additives and cost-effectiveness. Mineral-based greases are considered to be inherently biodegradable.
• Manufacturing application dominated the market with a revenue share of 51.3% in 2023. Grease plays a crucial role in the manufacturing of heavy machinery by providing lubrication to moving parts, reducing friction, preventing wear and tear, and ensuring smooth operation.
• Asia Pacific dominated the market segment with a revenue share of 39.7% in 2023 owing to construction activities and growing demand for product from automotive sector in emerging countries, such as India, Japan, and South Korea, are expected to drive the market over the forecast period.
• China is expected to be one of the promising product markets in the region on account of the government’s support to promote investments in manufacturing sector. Several companies are expanding or setting up new manufacturing facilities owing to low labor costs and ease of raw material procurement in the country.

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