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  • Global demand for lubricant additives is expected to increase in the near future on account of rising demand from the industrial machinery, automotive, marine, and power sector. Global lubricants consumption is expected to have a direct impact on the demand for lubricant additives.
  • The global lubricant additive marketis projected to grow at a CAGR of nearly 2% between 2019 and 2027. Technological advancement and changing government regulations for emissions is likely to impact the growth for lubricant additives market.
  • Lubricant additives are a combination of various chemicals that are mixed with the base oil to enhance the performance of lubricants. Apart from extending the life of lubricants, they perform functions such as preventing engine wear, reducing friction, stabilizing oxidation, and cleaning engines.
  • Global lubricant additives market to greatly benefit from the dynamic automotive sector. As manufacturers work towards meeting various emission standards, their demand for lubricants additives is expected to rise during the forecast period.


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Global Lubricant Additives Market: Key Trends and Segments

  • Lubricant additives are blended with base oils to produce finished lubricants. These additives perform different functions to enhance the life and performance of finished lubricants. High performance by these additives also increases the life span of machinery and reduces maintenance cost. Lubricant additives are used in industries such as automobile, marine, aviation, and power.
  • In 2018, dispersants was the largest segment in terms of volume and accounted for nearly 25%of the market share. Dispersants are used to prevent formation of varnish, sludge, and other deposits on critical surfaces in engines. Dispersants attach themselves to contaminants such as soot, dirt, depleted additives, and glycol. They are often used in conjunction with detergents and compressor oils in the crankcase. Dispersants are mostly used in heavy duty diesel engine oils and gasoline engines.
  • PPDs boost the operational range of engine oils by interfering with the wax crystal growth patterns. Demulsifiers prevent formation of emulsion by altering the surface tension of the oil. Friction modifiers are long-chain polar additives that are added to reduce the surface friction of lubricated parts. Detergents function as chemical cleaners to guard combustion surfaces against harmful deposits and combustion acids. Antioxidant agents, also known as oxidation inhibitors, can successfully improve oxidation stability by deactivating catalytic metallic contaminants and by decomposing any formed reactive hydro peroxides within the oil. Similarly, anti-wear agents, foam inhibitors, rust inhibitors, and extreme pressure additives are added to impart specific properties to the finished lubricants.


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Global Lubricant Additives Market: Regional Highlights

  • Asia Pacific dominated the global lubricant additives market in2018 with over 30% market share in terms of volume. Factors such as increasing number of passenger cars in China, increased disposable income, and stringent emission regulations have significantly contributed to the major market share of the region. Asia Pacific is considered as the most attractive market for lubricant additives. However, improved performance of finished lubricants that results in longer drain interval is hindering the growth of the lubricant additives market. Improved drain interval minimizes the consumption of finished lubricants and would ultimately affect the consumption of lubricant additives.
  • The permissible emission limits in Europe and North America are very low chiefly due to strict emission standards. High disposable incomes in these regions allow OEMs to provide better technology for the engines used in vehicles. High quality lubricants are preferred in these regions. These lubricants are compatible with the engines and result in lower emission and better fuel economy.
  • North America has large lubricant additive manufacturers and hence it is a net exporter to other parts of the world. Singapore has huge blending capacities catering to Asian lubricant additives demand in China and other Asian countries.


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Key Developments in Global Lubricant Additives Market

  • In January 2020, Krahn Chemie GmbH has acquired a majority share of InterActive S.A. which specialises in the distribution of lubricant additives in the Israeli, Greek and Cypriot market. This strategic acquisition is anticipated to make strong presence of Krahn Chemie Group in Israeli market.
  • In October 2019, Afton Chemical Corporation announced the completion of its Japan Technology Center expansion in Tsukuba. This will help to increase lubricant additive testing capabilities.
  • In April 2019, Mitsui Chemicals held a groundbreaking ceremony for a new plant for Lucant, a leading brand of Lubrizol Additives business segment. The additional plant is anticipated to meet growing demand from lubricants market.
  • In January 2020,Vertellus acquired Bercen Chemicals which will strengthen Vertellus’s current portfolio and supports lubricant additives market in North America.
  • In July 2017, Afton Chemical Corporation acquired Aditivos Mexicanos, S.A. de C.V. (AMSA), a petroleum additives manufacturing, sales and distribution company based in Mexico City, Mexico.


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Global Lubricant Additives Market: Competition Landscape

  • Some of the key players in the lubricant additives market include NewMarket Corporation, Infineum International Limited, Chevron Oronite Company LLC., The Lubrizol Corporation, and Tianhe Chemicals Group Limited. These companies compete with each other to increase their market share in the lubricant additives market. Research and development (R&D) to develop improved products is crucial to capture market share.


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