Bio lubricants Market Share

Global Bio-lubricants Market Overview

Global Bio-lubricants Market Size was valued at USD 3.03 billion in 2023. The Bio-lubricants industry is projected to grow from USD 3.16 Billion in 2024 to USD 4.47 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.42% during the forecast period (2024 - 2032). Surging demand for automotive application and high demand in the marine industry are driving the market growth.Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Bio-lubricants Market Trends

• 
  

  SURGING DEMAND FOR AUTOMOTIVE APPLICATION

  
  

Bio-lubricants are functional fluids that are made from renewable or biomass feedstock. Because of their significant contribution to fuel-efficient and low-carbon-emission cars, they have rising uses in the automotive sector for engine oils, hydraulic fluids, and others. The automobile sector's profitable prospects are driven by electric vehicle projects, flourishing public transit, and growing. According to the European Automobile Manufacturer Association, South American automobile production increased by 11% in 2021, while U.S. car production increased by 3.1%. The International Organization of Motor Vehicle Manufacturers (OICA) reports that worldwide passenger vehicle production climbed from 55,834,456 units in 2020 to 57,054,295 units in 2021.

The electric vehicle (E.V.) market has witnessed robust growth in the past few years and is likely to expand rapidly. The demand for E.V.s increased in recent years, which is attributed to the growing sentiments of consumers and manufacturers toward environmental concerns. The development of Fuel Cell Electric Vehicles (FCEVs) is a breakthrough in the automotive industry. This development is expected to boost both the demand for and production of E.V.s shortly. International conventions and conferences, such as the Kyoto Protocol, the Montreal Protocol, and the Paris Agreement, are laying down binding regulations to limit pollution across the globe. This regulatory trend is expected to continue in the future and is likely to fuel e-mobility, which schedule accounts for 30% of global automotive production.

The present and future improvements of E.V. lubricants all aim to reduce friction loss, increase durability, increase efficiency, and improve other performance factors. Lubricants are required in critical electrical components such as coolants for car batteries, gear oils for differentials, chassis, gear reducer, wheels, braking fluids, and grease for other E.V. components. Also, with increased environmental concerns, biodegradability is a trendy development. Bio-lubricants are notable advancements of increased biodegradability used in producing E.V. fluids for a more ecologically friendly approach. Bio-lubricants are mainly composed of unsaturated animal fats and vegetable oils. Because of their physicochemical qualities, they are effective alternatives to mineral oils. Because of the airy backbone, bio-lubricants such as saturated esters and polyalkylene glycols have more fats than mineral or synthetic oils. Their functional profile for E.V.s can be improved by adding nanoparticles or sophisticated polymers like rubber, polypropylene, and methyl pentene, which have all demonstrated promising outcomes in high-speed applications.

Overall, the E.V. sales volumes are becoming large enough to create substantial profit pools for well-positioned suppliers and other upstream players; however, they are also hurting the consumption of lubricants required in the vehicles. Hybrid vehicles contain an internal combustion engine (ICE) and an electric motor for optimum power utilization and reducing vehicle emissions. Internal combustion engine requires lubricants, such as engine oil and transmission fluid. The increasing number of hybrid vehicles is likely to reduce the consumption of fats by half. Thus, the growing demand in the automotive industry is a factor driving the growth of the Bio-lubricants  market revenue.

Bio-Oil® is pleased to announce the beginning of its 'Labor of Love' campaign in 2023. This national program honors labor and delivery teams throughout September, the month most people choose to celebrate birthdays. This campaign honors the immense generosity, compassion, and sacrifice that hospital personnel—obstetricians, anesthesiologists, technologists, doulas, nurses, and more—provide to expectant mothers throughout childbirth, particularly during a season of the year when intensive activity occurs in delivery rooms.

Biosynthetic Technologies, one of the leading producers of green lubricants announced in January 2023 that they were introducing a novel collection of environmentally-friendly vehicle lubricants. The designs of these lubricants are made to correspond with contemporary vehicle performances.

COUNTRY-WISE TOP 10 VEHICLE MANUFACTURERS, 2021 (IN MILLION UNITS)Source: Statista, International Organization of Motor Vehicle Manufacturers, MRFR Analysis

Bio-lubricants  Market Segment Insights

Bio-lubricants Base-Oil Type Insights

The global Bio-lubricants market segmentation, based on base-oil type, application, end-use industry, and region. Based on base-oil type, the global market has been divided into vegetable oil, synthetic esters, and animal fats. The vegetable oil segment dominated the global market, accounting for 84.84% of the share in 2021. It was followed by the animal fats segment estimated to reach USD 401.64 million by 2030 growing at a CAGR of 5.34%. There are many readily accessible vegetable oils, including those made from rice-bran, cottonseed, peanut, sunflower, rapeseed, sesame, palm kernels, coconut, linseed, castor, sal, neem, and karanja. Vegetable oil-based bio-lubricants are nontoxic and easily biodegradable, which reduces the risk of accidental spills or disposal to the soil, water, flora, and animals. Vegetable oils are sustainable, environmentally benign, have a high flash point, high viscosity index, high lubricity, and minimal evaporative loss. Vegetable oils are said to have drawbacks that prevent them from being used as base oils for industrial bio-lubricants, including poor oxidative and hydrolytic stability, high cost, the food vs. energy issue, high temperature sensitivity of tribological behavior, and poor cold flow qualities.

November 2022: Shell signed an agreement to acquire the Environmentally Considerate Lubricants (ECLs) business of the PANOLIN Group. A portfolio of products for hydraulics, gears, universal tractor transmission oils, biodegradable engine oils (HDEO), turbine oils, chainsaw oils, and greases for machine lubrication are also included. This includes the PANOLIN brand, ECL product formulations, intellectual property, technical expertise, and technology. The acquisition increases Shell’s presence in the mining, construction, agriculture, renewable power, hydropower, and offshore wind sectors. The deal is expected to be completed by early 2023.

Bio-lubricants  Application Insights

The Bio-lubricants  Market segmentation, Based on application, the global bio-lubricants market has been segmented into hydraulic oil, mold release agents, chainsaw oils, greases, automotive engine oils, and others. The hydraulic oil segment accounted for the largest market share of 52.39% in 2021, with a market value of USD 1,309.71 million; it is expected to register a CAGR of 7.69% during the forecast period. The chainsaw oils segment accounted for the second largest market share in 2021, valued at USD 672.53 million; it is projected to exhibit a CAGR of 7.05% during the forecast period. Hydraulic oil is used to transfer hydrostatic power in hydraulic machinery. Common hydraulic oil, anti-wear hydraulic oil, and low condensation point hydraulic oil are the three categories. Engineering machinery hydraulic oil is a hydraulic system-specific oil created for the demands of die-casting machines and construction machinery in real-world operating environments. Engineering machinery hydraulic oils perform better in terms of wear resistance, rust resistance, emulsification resistance, oxidation stability, hydrolysis stability, and temperature stability when compared to other hydraulic oils. Hydraulic oil has a low freezing point and a low flow point. When choosing hydraulic oil, the high ignition point, and the flash point must also be addressed. For quarries/sand pits, civil works, forestry, river navigation, road-building equipment, and winter sports resorts, the use of biodegradable hydraulic fluids is advised. Thus, wide range application of hydraulic fluids positively impacts the market growth.

December 2021: RSC Bio Solution and Standard Sekiyu Osaka Hatsubaisho Co., ltd enter latest distribution partnership to meet growing demand for environmentally acceptable lubricants (EALs) in Japan serving industrial and marine applications announced.

Figure 2: Bio-lubricants  Market, by Application, 2021 & 2030 (USD Million)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Bio-lubricants  End-use Industry Insights

The Bio-lubricants  Market segmentation, Based on the end-use industry, the global bio-lubricants market has been segmented into automotive, construction, marine, general industrial, food, and others. The automotive segment accounted for the largest market share of 45.67% in 2021, with a market value of USD 1,141.58 million; it is expected to register a CAGR of 7.68% during the forecast period. The general industrial segment accounted for 29.84% market share in 2021, valued at USD 745.98 million; it is projected to exhibit a CAGR of 7.32% during the forecast period. Engine oil & gear oil, grease, penetrating lubricant, and dry lubricants are used in automotive. In automotive, agricultural machinery, and other vehicles, gear oil is designed for use in a variety of gear units, including bevel, standard, and helical gearboxes, transmissions, and differentials. A variety of pressure and temperature situations across a range of autos are addressed in the specifically designed high-grade gear oil. Gear oil has a higher viscosity than conventional motor oil and additives that make it more pressure resistant. Like motor oil, gear oil protects moving parts by preventing wear and tear and serving as a layer of protection. Automotive Grease is commonly used in suspension, steering, wheel bearing, and nipple joints in various autos for agricultural, construction, or industrial application. Automotive greases, as their name suggests, offer strong lubrication to prevent early wear and tear.

April 2020: FUCHS and BASF collaborated on a sustainability assessment and life cycle analysis of hydraulic oil as a sustainable lubricant product. The collaboration between the two companies has jointly pioneered sustainability aspects within the lubricants sector.

Figure 2: Bio-lubricants  Market, by End-Use Industry, 2021 & 2030 (USD Million)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Bio-lubricants Regional Insights

The global bio-lubricants market has been studied for the following regions—North America, Europe, Asia-Pacific, Latin America, And the Middle East & Africa. Among these, North America dominated the market with a share of 42.1%, accounting for USD 1,052.23 million in 2021; it is expected to register the highest CAGR of 6.91% from 2022 to 2030. Europe was the second largest with a share of 32.3% in 2021, sized at USD 807.59 million; it is projected to exhibit a CAGR of 6.46%.

A sizable, bio-lubricants industry in the region is likely to make the North American region the largest expanding market for bio-lubricants globally. The market for bio-lubricants is also anticipated to grow throughout the forecast period because of rising government investments in infrastructure development in the North American market. Because of the high demand for bio-lubricants for the automotive & transportation industries, Europe has been actively monitoring the North American market. The growing demand for the product from various applications, including the automotive and building & construction industry, drives the North American market. The Asia-Pacific and Middle East & Africa regions are showing consistent growth during the forecast period. Finally, due to technological developments and the rising demand for automotive in these countries, it is anticipated that the Middle East, Africa, And Latin America markets will experience considerable growth over the projection period.

Further, the major countries studied are: The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: Bio-lubricants  Market SHARE BY REGION 2021 (%)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe Bio-lubricants  market accounts for the second-largest market share due to the growthin the automotive industry in the region. Further, the Germany Bio-lubricants  market held the largest market share, and the was the fastest growing market in the European region.

The North America Bio-lubricants  Market is expected to grow at a CAGR of 6.91% from 2022 to 2030. North America is projected to hold a significant share of the target market owing to increasing automotive production. Moreover, US Bio-lubricants  market held the largest market share, and it was the fastest growing market in the North America region

Bio-lubricants  Key Market Players & Competitive Insights

The Bio-lubricants  Market is characterized by the presence of many regional and local vendors. The market is highly competitive, with all the players competing to gain maximum market share. The increasing global bio-lubricants  demand in boosting the sales of global bio-lubricants. The vendors compete based on cost, service quality, and the availability of the service according to the geographies. The vendors must provide cost-effective and high-quality global bio-lubricants  services to compete in the market. The competitive scenario is fragmented between the tier-1, tier-2, and tier-3 companies, while tier-1 and tier-2 companies hold over 60% of the global market share.

The market players' growth depends on the market and economic conditions, government regulations, and industrial development. Thus, the players should focus on expanding the production capacity to meet the demand and enhance their services. Shell plc, BP p.l.c., TotalEnergies SE, ExxonMobil Corporation, Fuchs Petrolub SE, Novvi LLC, Emery Oleochemicals, BIONA JERSÍN s.r.o., MO8 Specialities Limited, RSC Bio Solutions, BECHEM, and IGOL are the major companies in the market at the present that are competing in terms of quality, price, and availability. These players are primarily focusing on the development of bio-lubricants. Although the international players dominate the market, regional and local players with small market shares also have a moderate presence. The international players with a global presence, with established manufacturing units or sales offices, have strengthened their presence across major regions such as North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa.

In 2023, BASF plans to add a patented technology for producing 2-Octyl Acrylate (2-OA) to its expanding portfolio of 14C bio-based monomers. The new product, which has 73% 14C-tracable bio-based content in accordance with ISO 16620, highlights BASF's strong commitment to innovation for a sustainable future.

ExxonMobil Corporation (ExxonMobil) is an American multinational oil & gas corporation. It performs crude oil refinement, makes lube base stocks and finished lubricants, transports, trades, and sells petroleum products. Additionally, the business produces and sells a wide range of specialty goods in addition to commodity petrochemicals such as olefins, aromatics, polyethylene, and polypropylene plastics. High-performance fuels and lubricant products made by ExxonMobil power global transportation, increase efficiency and lower the entire life-cycle emissions of our clients. It runs through a network of production facilities, transit hubs, and distribution facilities. North America, Latin America, Asia Pacific, Europe, the Middle East, and Africa are all operational regions for the company.

Also, TotalEnergies SE (TotalEnergies), formerly Total SE, is an integrated global multi-energy company, which generates energy from natural gas & green gases, oil & biofuels, and renewables. Drilling, oil & gas production, processing, shipping, refining, petrochemical manufacture, storage, and distribution of petroleum products are all done by the company. It works in the field of renewable energy and engages in gas trading & power generating. It operates through four business segments: exploration & production, renewables & power, refining & chemicals, and marketing & services. The exploration & production segment encompasses oil & gas exploration and production activities. Meanwhile, the gas, renewables & power segment develops downstream gas and low carbon electricity and energy efficiency businesses. The marketing & services segment includes worldwide supply and marketing activities of oil products and services. The company has a petrochemical production capacity of 21,299 kilotons per annum. The company is known for its extensive global oil & gas operations and production across 30 countries. It offers more than 130 product lines and sells close to 8,000,000 metric tons of specialty fluids annually. TotalEnergies trades on multiple derivative markets, charter ships, and provides feedstock to chemical factories. The business provides consumer services to the manufacturing, transportation, automotive, aerospace, energy, and housing sectors. It conducts business in North and South America as well as Asia-Pacific, Africa, Europe, and the Middle East.

Key Companies in the Bio-lubricants Market Include

• Shell plc


• BP p.l.c.


• TotalEnergies SE


• ExxonMobil Corporation


• Fuchs Petrolub SE


• Novvi LLC


• Emery Oleochemicals


• BIONA JERSÍN s.r.o.


• MO8 Specialities Limited


• RSC Bio Solutions


• BECHEM


• IGOL

Bio-lubricants Market Developments

November 2022: Shell signed an agreement to acquire the Environmentally Considerate Lubricants (ECLs) business of the PANOLIN Group. A portfolio of products for hydraulics, gears, universal tractor transmission oils, biodegradable engine oils (HDEO), turbine oils, chainsaw oils, and greases for machine lubrication are also included. This includes the PANOLIN brand, ECL product formulations, intellectual property, technical expertise, and technology. The acquisition increases Shell’s presence in the mining, construction, agriculture, renewable power, hydropower, and offshore wind sectors. The deal is expected to be completed by early 2023.

December 2021: RSC Bio Solution and Standard Sekiyu Osaka Hatsubaisho Co., ltd enter latest distribution partnership to meet growing demand for environmentally acceptable lubricants (EALs) in Japan serving industrial and marine applications announced.

On February 2023, Green Earth Lubricants also, another top-notch manufacturer of bio-lubricants, launched its new range of industrial sector-based bio-lubricants. This new range has been developed for use under tough application conditions commonly found in industries and is environmentally friendly.

In November 2022, Wholly owned Shell plc subsidiaries in Switzerland, the United Kingdom, the United States, and Sweden signed agreements to acquire Panolin Group’s environmentally conscious lubes (ECLs) business. This comes with an offering of biodegradable lubricants.

Bio-lubricants  Market Segmentation

Bio-lubricants  Base-Oil Type Outlook

• Vegetable Oil


• Synthetic Esters


• Animal Fats

Bio-lubricants  Application Outlook

• Hydraulic Fluids


• Mold Release Agents


• Chainsaw Oil


• Grease


• Automotive Engine Oils


• Others

Bio-lubricants  End-Use Industry Outlook

• Automotive


• Construction


• Marine


• General Industrial


• Food


• Others

Bio-lubricants  Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Latin America
  
  
  
  • Mexico
  
  
  • Argentina
  
  
  • Brazil
  
  
  • Rest of Latin America
  
  
  
  


• Middle East & Africa
  
  
  
  • GCC Countries
  
  
  • South Africa
  
  
  • Rest of Middle East & Africa