United States Lubricants Market - Forecasts from 2024 to 2029

United States Lubricants Market - Forecasts from 2024 to 2029

The United States lubricants market is anticipated to register a compound annual growth rate (CAGR) of 2.82% during the forecasted period (2024-2029).

Lubricant refers to a chemical that is incorporated to control adhesion between surfaces. They can also be used to cool, drag away heat and/or wear debris, deliver additives into the contact, and transfer power. The main determinants for lubricants include environmental factors, technological advancement, and the tastes and preferences of customers in the particular industry. Lubricants are used in many industries, such as automotive and manufacturing.

Lubricant is commonly known as a substance used in different industries for multiple functions, such as increasing efficiency, providing a cooling effect, enhancing the service life of machinery, reducing friction, and even increasing efficiency. With the growing demand from the target audience and the increasing availability of raw materials, there is growing demand for the use of lubricants.

The United States is known to be a home for industrial machinery manufacturers. With increasing innovation and rapid urbanization, there is a growing need for enhanced lubricants in the market. Furthermore, several other factors fueling the demand for lubricants in the United States include increased globalization, industrialization, and the growth of various industries. The increase in demand for cars, especially in developing countries, is another factor that can be attributed to the market growth. Heavy vehicles are a major industry in which the USA has a commanding position.

According to S&P Global Mobility, the commercial vehicle market in the United States witnessed substantial growth. It is expected to be up by 14% every year, with more than 1.6 million new vehicles in the class. Moreover, with new insights every year, the commercial vehicle market shows that over 45% of upfitted vehicles in the US are currently being used as service/utility vehicles or as dry freight vans, according to the new commercial vehicle registrations in 2023.

UNITED STATES LUBRICANTS MARKET SEGMENT ANALYSIS:

The automotive and transportation segments in the United States lubricants market are expected to be the fastest-growing by application.

One of the major factors driving the US lubricant market’s growth is the growing automotive and transportation segment.

According to the International Energy Agency (IEA), 14% of electric vehicles (EVs) were sold in 2022, which increased to 18% in 2023. This growth in electric vehicles is expected to increase in the coming years owing to the growth of battery electric cars, accounting for about 70% of electric car stock in 2023. In this regard, the growing demand for plug-in electric vehicles (PHEVs) and battery electric vehicles (BEVs) is expected to positively impact the market in the projected period. This is mainly because EV lubricants are formulated with synthetic base oils such as polyalphaolefins or esters and these oils have better stability than traditional mineral oil-based lubricants, thus making them more efficient for EV drivetrains.

Additionally, several other factors are responsible for driving the United States lubricants market growth, such as the increase in urbanization, the growing middle-class population, and multiple governmental initiatives that are stimulating effective industrialization.

United States Lubricants Market Key Developments:

In June 2024, TotalEnergies signed off on its Quartz EV3R (passenger car) and Rubia EV3R (truck) lubricant lines. These lubricants are produced with high-quality regenerated base oils approved by vehicle manufacturers.
In June 2024, Castrol India Limited presented a new product portfolio under the Castrol EDGE brand. This superb and advanced engine oil known for on-demand performance is composed of three versions exclusively for passenger vehicles, which corresponds to the shifting needs of automotive consumers.
In April 2022, Nexus Automotive International, regarded as the world’s leading group of automotive and heavy-duty parts distributors, extended its partnership with Total Energies Lubrifiants, a major player in the lubricant market. This strategic partnership will last for 5 years. As part of this partnership, Total Energies will be expanding its presence in the Nexus Automotive International Community, which has been witnessing an increase in its sales from Euro 7.2 billion in 2015 to nearly Euro 35 billion in 2021.
In January 2022, ExxonMobil Corporation initiated the streamlining of its business structure by efficiently combining its chemical and downstream companies. This initiative is supported by the centralization of technology and engineering to better assist customers in enhancing their performance and increasing their value. Effective from April 1, the company was organized along three business lines - ExxonMobil Upstream Company, ExxonMobil Product Solutions, and ExxonMobil Low Carbon Solutions.

The United States lubricants market is segmented and analyzed as follows:

By Product Type

Engine Oils
Gear Oils
Hydraulic Oils
Greases
Others

By Base Stock

Mineral Oil Lubricant
Synthetic Lubricant
Semi-Synthetic Lubricant
Bio-Based Lubricant

By End-User Industry

Power Generation
Automotive and Other Transportation
Heavy Equipment
Food and Beverage
Metallurgy and Metalworking
Chemical Manufacturing
Others