The global biolubricantsmarket size was valued at USD 3.26 billion in 2023 and is projected to growfrom USD 3.44 billion in 2024 to USD 4.90 billion by 2032, exhibiting a CAGR of
4.7% during the forecast period. Soaring demand for electric vehicles(EVs) worldwide will create unique opportunities for players in this market,
observes Fortune Business Insights™ in its report, titled “Bio lubricantsMarket Size, Share & Covid-19 Impact Analysis, By Application (Hydraulic
Fluids, Metalworking Fluids, Chainsaw Oils, Mold Release Agents, Two-Cycle
Engine Oils, Gear Oils, Greases, and Others), By End-use Industry (Automotive
and Other Transportation, Metalworking, Mining, Forestry, Marine, Engines, and
Others), and Regional Forecast, 2024-2032”. As per recent data and analysisreleased by the International Energy Agency (IEA), 2.1 million electric cars
were sold across the globe in 2019, taking the global EV stock to 7.2 million.
Electric car sales, the IEA highlights, accounted for 2.6% of the global car
sales, and even amid the coronavirus pandemic, the IEA predicts that EVs will hold
a 3% share in the overall car sales worldwide in 2020.
Bio-lubricants are expected to play a critical rolein augmenting the eco-friendly quotient of EVs. Bio-based compounds, such as
polyalkylene glycols and saturated esters, have proven to be highly effective
as lubricants, even more so than conventional mineral oil-based lubricants. The
increasing intensity towards achieving sustainable mobility is, therefore,
foreseen to drive the dynamics of this market over the next decade.
In 2019, the report states that the global marketvalue stood at USD 3,275.7 million. The report also shares the following:
- Microscopic diagnosis of all the factors driving and restraining the market;
- Comprehensive analysis of the various market segments;
- Granular examination of the regional prospects for the market; and
- Unparalleled research of the competitive landscape of the market.
Restraining Factor
Stalled Automotive Production amid COVID-19 toHamper Market Growth
The COVID-19 pandemic has led to a severe andunprecedented downturn in the automotive industry. Lockdowns, social
distancing, and strict government regulations on the movement of people and
materials have forced auto companies to shut down production and sales
operations. For example, in March 2020, the French automotive giant, PSA Group,
announced the closure of a dozen of its plants across Europe. Similarly, Fiat
Chrysler halted production at most of plants in Europe, with temporary shutdown
of its facilities in Serbia, Italy, and Poland.
The demand for vehicles has also had to deal withmultiple shocks across regions as employees swiftly adopted work from home
measures. For example, the Oxford Business Group found that light vehicle
year-on-year sales in China contracted by a historic 79.1% in February, while
in Europe the decline was by 44% in March. The pandemic is, thus, restraining
the bio-lubricants market growth as these materials are extensively used in the
automotive industry and contracting activities of this industry will inevitably
affect markets associated with it.
Regional Insights
North America to Retain Leading Position withGrowing Activities in the Region’s Auto Industry
North America is slated to dominate thebio-lubricants market share during the forecast period due to the rising
intensity of technological advancements in the region’s automotive industry.
Top carmakers are constantly experimenting with different ecofriendly materials
to increase the sustainability of their products and manufacturing operations.
In 2019, the North America market size stood at USD 1,410.3 million.
