Process Oil Market Research Report By Application (Lubricants, Plastics, Rubber, Printers Ink, Asphalt, Textiles), By Type (Heavy Process Oils, Medium Process Oils, Light Process Oils), By Feedstock (Petroleum, Natural Gas, Coal Tar), By End User (Automotive, Construction, Manufacturing, Energy, Pharmaceuticals, Oil and Gas) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2032

Process Oil Market Overview:

As per MRFR analysis, the Process Oil Market Size was estimated at 11.54 (USD Billion) in 2022.The Process Oil Market Industry is expected to grow from 11.79 (USD Billion) in 2023 to 14.33 (USD Billion) by 2032. The Process Oil Market CAGR (growth rate) is expected to be around 2.19% during the forecast period (2024 - 2032).

Key Process Oil Market Trends Highlighted

Key market drivers for process oils include the increasing demand for plastics, rubber, and other petroleum products. Process oils are used as additives and plastics in the products to help enhance the properties and reduce the costs of these products. Furthermore, the growing automotive and construction industries are anticipated to fuel demand for process oils to be used in different lubricants, sealants and other automotive and construction materials.

The major driver for growth opportunities for the process oil market is the new inventions and uses of process oils, which are quite innovative. For instance, the use of process oils in the manufacture of bio-based plastics and composites is rapidly rising because of the green advantages as well as the ability to minimize the usage of petroleum. Moreover, it is also anticipated that the growing trend for process oils with renewable or recycled sources will reach a high demand as a result of the increase in eco-friendly market trends.

Another trend developing in the process oil market is a higher degree of automation and digitalization of oil refineries. It will help enhance the productivity and precision levels in process oil production while cutting down on costs and environmental pollution. Moreover, the emphasis on the modernization of process industries has also been shifted to the production of high-performance process oils, which are required in many processing industries. These process oils are more advanced with enhanced characteristics like resistance to oxidation, low volatility, and high viscosity index.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Process Oil Market Drivers

Growing Demand for Lubricants and Greases

Process oils are widely used in the production of lubricants and greases, which are essential components in various industries such as automotive, manufacturing, and construction. The increasing demand for lubricants and greases is attributed to the growing number of vehicles on the road, the expansion of industrial activities, and the need for efficient maintenance of machinery. As a result, the demand for process oils is expected to rise in parallel with the growth of the lubricants and grease market.The Process Oil Market Industry is expected to witness steady growth over the forecast period, driven by the increasing demand for lubricants and greases, rising industrialization, and the growing popularity of synthetic process oils. The increasing adoption of process oils in various end-use industries such as automotive, metalworking, and textiles is also anticipated to contribute to the growth of the market. Additionally, the rising demand for process oils in the production of plastics and rubber is projected to further propel market growth over the coming years.

Expansion of the Petrochemical Industry

The petrochemical industry is a major consumer of process oils, which are used in the production of various petrochemicals, such as plastics, synthetic fibers, and solvents. The expansion of the petrochemical industry, particularly in emerging economies, is expected to drive the demand for process oils. As countries continue to invest in infrastructure and industrial development, the demand for petrochemicals is projected to increase, leading to a corresponding rise in the demand for process oils.

Technological Advancements and Product Innovation

Technological advancements and product innovation are also shaping the Process Oil Market Industry. The development of new and improved process oils with enhanced properties, such as higher temperature resistance and longer service life, is expected to drive market growth. Additionally, the adoption of sustainable and environmentally friendly process oils is gaining traction, driven by increasing regulatory pressure and consumer demand for eco-conscious products.

Process Oil Market Segment Insights:

Process Oil Market Application Insights

The Application segment of the Process Oil Market is particularly vast, with applications associated with Lubricants, Plastics, Rubber, Printers Ink, Asphalt and Textiles. The largest application, Lubricants, is experiencing significant growth due to the increased demand for higher performing Lubricants in automobiles, industrial machinery, and marine engines. The Lubricants segment, however, faces challenges such as the increased use of electric vehicles and automobile industries. The second-largest application, Plastics, is benefiting from the increased use of plastic materials in the Packaging, construction and automotive industries.Rubber, the third-largest application, is mainly consumed in the Tires industry, which accounts for up to 70% of the segment’s total market. Higher demand from the automotive and transportation industries is propelling the growth of the Rubber application. The Printers Ink application is relevant in both analog and digital printing production, both of which are gaining increasing popularity in the market. Asphalt is used on a daily basis to construct roads and pave, marking its relevance in existing and new government and urban infrastructure.The consumption of the Textiles application is also increasing due to the interest in the fashion and textiles industry. All these drivers propel the overall growth of the Process Oil Market. Over the assessment period, the market revenue of the industry is expected to increase to USD 12.45 billion by 2024, growing at a CAGR of 2.3% from 2024-2032. This growth is propelled by the increasing industrialization, urbanization and technological developments across the globe. The Asia Pacific has the largest hold on the market, driven by consumption rates in China and India.Europe and North America follow with significant market shares with Latin America and the Middle East and Africa. Overall, the biggest growth is observed in the Lubricant Application and the Automotive and Transportation industry as a whole.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Process Oil Market Type Insights

Type The Process Oil Market type segment is divided into heavy, medium, and light process oils. The global revenue percentage for 2023 has been shown, where the heavy process oils have dominated the market with about 45% global revenue share. Heavy process oils are used for processing rubber, adhesives, and sealants industries. Medium process oils are used in metalworking fluids, lubricants, and textile processing, and the market share is about 30%. Light process oils have a share of about 25% in the market, and they are used for cosmetics, pharmaceuticals, and personal care products.

Process Oil Market Feedstock Insights

The Process Oil Market is segmented by feedstock into petroleum, natural gas, and coal tar. Petroleum is the most commonly used feedstock, accounting for over 60% of the market in 2023. It is expected to retain its dominant position over the forecast period, driven by the increasing demand for petroleum-based products such as lubricants, greases, and transformer oils. Natural gas is the second largest feedstock, with a market share of around 25% in 2023. It is expected to grow at a steady pace over the forecast period, driven by the increasing demand for natural gas as a cleaner and more efficient fuel source.Coal tar is the smallest feedstock segment, with a market share of less than 15% in 2023. It is expected to decline over the forecast period, due to the decreasing demand for coal and the environmental concerns associated with its production.

Process Oil Market End User Insights

The end-user segment plays a pivotal role in shaping the Process Oil Market revenue. Among the key end-users, the automotive industry emerged as a significant consumer, utilizing process oils in the production of tires, lubricants, and other automotive components. The construction segment also holds a notable share, leveraging process oils for roofing materials, asphalt, and sealants. Manufacturing industries, including metalworking, textile, and plastics, rely on process oils for lubrication, cooling, and mold release agents. The energy sector finds applications for process oils in drilling fluids, lubricants, and fuel additives.Pharmaceuticals and personal care industries utilize process oils as excipients and ingredients in various formulations. Finally, the oil and gas industry employs process oils in drilling operations and oilfield chemicals.

Process Oil Market Regional Insights

The Process Oil Market is segmented into North America, Europe, APAC, South America, and MEA. The APAC region held the largest market share in 2023 and is expected to continue its dominance throughout the forecast period. The growth in the APAC region can be attributed to the increasing demand for process oils from various industries, such as automotive, construction, and manufacturing. The region is also home to some of the largest producers of process oils, which gives it a competitive advantage. North America is the second-largest market for process oils, followed by Europe.The market in North America is expected to grow at a significant rate during the forecast period due to the increasing demand from the automotive industry. The region is also home to a number of large refineries, which produce process oils as a byproduct of their operations. Europe is the third-largest market for process oils. The market in Europe is expected to grow at a moderate rate during the forecast period due to the increasing demand from the construction industry. The region is also home to a number of large chemical companies which produce process oils as a part of their product portfolio.South America and MEA are the two smallest markets for process oils. The market in South America is expected to grow at a significant rate during the forecast period due to the increasing demand from the mining and construction industries. The region is also home to a number of large refineries, which produce process oils as a byproduct of their operations. The market in MEA is expected to grow at a moderate rate during the forecast period due to the increasing demand from the automotive and manufacturing industries.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Process Oil Market Key Players And Competitive Insights:

Major players in the Process Oil Market industry are constantly focusing on developing new and innovative products to gain a competitive edge in the market. Leading Process Oil Market players are also investing heavily in research and development to improve the quality and performance of their products. The Process Oil Market is highly competitive, with a number of major players competing for market share. Some of the key players in the market include ExxonMobil, Shell, Chevron, and BP. These companies are constantly competing to develop new and innovative products, as well as to expand their market reach. The Process Oil Market is expected to grow significantly in the coming years, driven by increasing demand from the automotive, construction, and industrial sectors.ExxonMobil is a leading global supplier of process oils. The company's process oils are used in a wide variety of applications, including lubricants, greases, and metalworking fluids. ExxonMobil has a strong track record of innovation in the process oils industry, and the company is constantly developing new and improved products to meet the needs of its customers. ExxonMobil is also a major supplier of base oils, which are used in the production of lubricants and other petroleum products. The company's base oils are known for their high quality and performance, and they are used by a wide range of customers around the world.Chevron is another leading global supplier of process oils. The company's process oils are used in a variety of applications, including lubricants, greases, and metalworking fluids. Chevron has a strong track record of innovation in the process oils industry, and the company is constantly developing new and improved products to meet the needs of its customers. Chevron is also a major supplier of base oils, which are used in the production of lubricants and other petroleum products. The company's base oils are known for their high quality and performance, and they are used by a wide range of customers around the world.

Key Companies in the Process Oil Market Include:

• Chevron


• Repsol


• Eneos


• Saudi Aramco


• ExxonMobil


• TotalEnergies


• PetroChina


• BP


• Sinopec


• Shell

Process Oil Market Industry Developments

The Process Oil Market is projected to reach USD 14.33 billion by 2032, exhibiting a CAGR of 2.19% during the forecast period (2024-2032). The growing demand for process oils in various industries, including rubber, plastics, and pharmaceuticals, is driving market growth.Recent developments in the market include the increasing adoption of bio-based process oils as a sustainable alternative to traditional petroleum-based oils. Additionally, the development of new process oil grades with enhanced properties, such as improved oxidation stability and low volatility, is expected to drive demand.Key industry participants are focusing on strategic partnerships and acquisitions to expand their product portfolios and geographical reach. For instance, in 2023, Chevron Phillips Chemical Company acquired the global process oils business of Infineum International Limited, a leading producer of specialty chemicals and additives. This acquisition strengthens Chevron Phillips Chemical's position in the process oil market and enhances its ability to meet the growing demand for high-performance process oils.

Process Oil Market Segmentation Insights

• Process Oil Market Application Outlook


• Lubricants


• Plastics


• Rubber


• Printers Ink


• Asphalt


• Textiles

• Process Oil Market Type Outlook


• Heavy Process Oils


• Medium Process Oils


• Light Process Oils

• Process Oil Market Feedstock Outlook


• Petroleum


• Natural Gas


• Coal Tar

• Process Oil Market End User Outlook


• Automotive


• Construction


• Manufacturing


• Energy


• Pharmaceuticals


• Oil and Gas

• Process Oil Market Regional Outlook


• North America


• Europe


• South America


• Asia Pacific


• Middle East and Africa