Global Grease Market – Industry Trends and Forecast to 2029

Global Grease Market, By Base Oil (Mineral, Synthetic, Bio-Based), Thickener Type (Metallic Soap, Non-Soap, Inorganic), End-Use Industry (Automotive, Construction, General Manufacturing, Metal, Mining, Food and Beverage, Power) – Industry Trends and Forecast to 2029

Market Analysis and Size

Rise in the automotive industry, overall the world is generating a positive outlook for the market. Grease is extensively used to lubricate suspension, chassis, ball joints, tie-rod ends, control arm-shafts and U-joints. In line with this, the growing demand for high-performance vehicles is favoring the market growth. Furthermore, grease prevents numerous auto parts, such as connectors, switches, wheel bearings and gears from wear and tear due to its stability and temperature tolerance properties. Moreover, the cleaner operations and extensive adoption of high-performance grease in wind power plants to eliminate residue positively impact market growth. Apart from this, the implementation of many government initiatives boost the market by using bio-based grease and the growing product demand in the manufacturing sector are expected to drive the market toward growth.

Data Bridge Market Research analyses that the grease market was valued at USD 5.45 billion in 2021 and is expected to reach USD 6.78 billion by 2029, registering a CAGR of 2.77% during the forecast period of 2022 to 2029. The market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, patent analysis and technological advancements.

Report Scope and Market Segmentation

Market Definition

Grease is a semi-solid lubricant which is used for protecting vessels, vehicles machines, and their constituents from tear, wear and corrosion. It has lubricating fluids performance-enhancing additives, and thickeners. It is produce by using reduced fat of waste inedible lard, animal parts, and synthetic oil, or can be petroleum-derived containing a thickening agent. Grease acts as a sealant to decrease leakage of water and protects from impurities. It helps to maintain stop-start performance flexibility, protect bearing surfaces, and reduce friction. It provides enhanced rust-proofing performance, high thermal stability and wear resistance, and high viscosity index and corrosion protection. As a result, grease finds widespread application across several industries, such as power generation, automotive, chemical manufacturing, metallurgy, food and beverage.

Grease Market Dynamics

This section deals with understanding the market drivers, advantages, opportunities, restraints and challenges. All of this is discussed in detail as below:

Drivers

• Rise in automation in various industries

Construction, manufacturing, and mining are some of the businesses that use several heavy-load equipment required for regular lubrication. Due to rising competition and increasing challenges in manual operations, the use of highly efficient technology is dynamic for the growth of all these industries. The growing cost of safety requirements and workforce is also expanding the demand for process automation. Hence, most companies are automating their operating systems, which is expected to drive the consumption of grease.

• Lower crude oil prices to benefit grease suppliers

The distinction significantly influences in the crude oil market affect the grease market. The volatile costs affect the margins of manufacturing industries. The majority of grease products are based on mineral oil, which is obtained from the crude oil. Thus, the costs of grease depend on the prices of crude oil which has positively affect the growth of the grease market.

• Increase the demand in automotive sector

Substantial growth in the automotive industry overall the globe is generating a positive outlook for the grease market. Grease is extensively used to suspension, chassis, lubricate ball joints, tie-rod ends, and control arm-shafts and U-joints. Therefore, the growing demand for high-performance vehicles is favoring the growth of grease market.

Opportunities

• Rise in product innovations

Moreover, many product innovations, such as the development of environment-friendly and bio-based grease manufactured using non-toxic and renewable materials with low sulfur levels, are providing a considerable boost to market growth.

• Adoption of high performance grease

The extensive adoption of high-performance grease in wind power plants to ensure cleaner operations and eliminate residue positively impacts market growth which will act as market drivers and further boost beneficial opportunities for the market's growth rate.

Restraints/ Challenges

The growth of the grease market is restrained by many regulatory rules issued by different governing authorities. Environmental Protection Agency (EPA) imposes rules to ensure that industries treated pollutants in their wastes to protect wastewater treatment plants. All these guidelines apply pressure on grease producers and forced them to invest in eco-friendly products. Furthermore, the factors such as equipment, exchange charges, fluctuation in development of self-lubricating and unfavorable accessibility of raw materials are projected to restrain the growth of the market during the forecast period.

This grease market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the grease market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

COVID-19 Impact on Grease Market

In 2019, a coronavirus epidemic occurred, resulting in a global pandemic of COVID-19. Companies that used to play a big role have shifted their operations away from the source. The epidemic of COVID-19 has caused momentous social and economic disruption. The pandemic has had an influence on the value chain and supply chain of several industries. The grease market is not an exception. The impact of the COVID-19 pandemic will be analysed based on the overall industry, including both the supply side and demand side outlooks. The lockdown and travel bans imposed in most of the major cities have reduced the production of oil in the country. However, Most of the businesses have now reopened, which is expected to create demand for grease. 

Recent Development

• In March 2021, Castrol declared that they will launch of Castrol ON (a Castrol e-fluid range that includes e-coolants, e-gear oils, and e-greases) to its product portfolio. This range is specially considered for electric vehicles.
• In February 2020, a UAE-based lubricants manufacturer, GP Global announced its plans in western India to invest USD 14 million in building a greenfield lubricant blending plant which will produce lubricants, grease, and white oil.
• In March 2020, Royal Dutch Shell PLC, doubled its production capacity in the lubricant plant in Java. This is to capture a bigger part of the domestic market

Global Grease Market Scope

The grease market is segmented on the basis of base oil, thickener type and end-user. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Base Oil

• Mineral
• Synthetic
• Bio-Based

Thickener Type

• Metallic Soap
• Non-Soap
• Inorganic

 End-User

• Automotive
• Construction
• General Manufacturing
• Metal
• Mining
• Food and Beverage
• Power

Grease Market Regional Analysis/Insights

The grease market is analysed and market size insights and trends are provided by country, base oil, thickener type and end-user as referenced above.

The countries covered in the grease market report are U.S., Canada, Mexico, Brazil, Argentina, Rest of South America, Germany, France, Italy, U.K., Belgium, Spain, Russia, Turkey, Netherlands, Switzerland, Rest of Europe, Japan, China, India, South Korea, Australia and New Zealand, Singapore, Malaysia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific, United Arab Emirate, Saudi Arabia, Egypt, Israel, South Africa, Rest of Middle East and Africa.

Asia-Pacific dominates the grease market in terms of market share and revenue and will continue to flourish its dominance during the forecast period. This is due to the rising demand for grease in this region. The Asia-Pacific region dominates the grease market, with China leading the way in terms of huge production and consumption of grease. Due to the ease of huge production and consumption grease, China leads the Asia-Pacific market.

During the projected period, North America is expected to be the fastest developing region due to the rising demand of grease in automotive sector in this region.

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.

Competitive Landscape and Grease Market Share Analysis

The grease market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to grease market.

Some of the major players operating in the grease market are:

• Shell PLC. (UK)
• Chevron Corporation (US)
• Idemitsu Kosan Co., Ltd. (Japan)
• China Petrochemical Corporation (China)
• BP p.l.c. (UK)
• TotalEnergies (France)
• ExxonMobil Corporation (US)
• JX Nippon Oil & Gas Exploration Corporation (Japan)
• Chemtool Incorporated (US)
• Petroliam Nasional Berhad (Patrons) (Malaysia)
• FUCHS (Germany)
• Lubrita Europe B.V (Europe)
• Dow (US)
• Citgo Petroleum Corporation (US)
• Balmer Lawrie & Co. Ltd (India)
• Penrite Oil (Australia)
• Harrison Manufacturing Company (Australia)
• Axel Americas LLC (US)
• Calumet Branded Products llc (US)
• Hexol. Com (Canada)
• Indian Oil Corporation Ltd. (India)
• Phillips 66 Company (US)