PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1290858
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1290858
The Driveline Additives Market size was valued at USD 8,796.7 million in 2022, expanding at a CAGR of 8.8% from 2023 to 2030.
Driveline Additives are designed to improve vehicle performance in terms of fuel efficiency as well as fuel longevity. It was developed for step-type automatic (ATF), continuous variable (CVT), dual-clutch (DCT), and manual transmissions. The primary function of Lubricant additives is to improve the properties of the base stock under different operating conditions and the high-performance requirements of any machinery. For example, PXL's driveline additives are used to lubricate transmissions, axle differentials, final drives, and wet brakes in heavy-duty off-highway equipment. PXL's unique performance characteristics make these lubricants ideal for use in automotive, heavy-duty, high-pressure hydraulic systems, construction, mining, and forestry applications.
Driveline additives play a significant role in improving fuel efficiency by reducing friction, improving lubrication, and optimizing the performance of drivetrain components. As consumers prioritize fuel efficiency, the demand for driveline additives is expected to continue. According to the US Department of Energy, using the air conditioner can reduce a vehicle's fuel economy by as much as 25%. This means that if car gets an average of 20 mpg (32 km/gallon), using the AC could reduce mileage to 15 mpg (24 km/gallon). Furthermore, the automotive industry has witnessed a steady rise in the number of on-road and off-road vehicles globally.
The Global Driveline Additives Market is segmented on the basis of Product Type, Application, Technology, and Region.
The market is divided into three categories based on product type: Transmission Fluid Additives and Gear Oil Additives. Transmission Fluid Additives dominate the market. These additives can provide several benefits, such as improved lubrication, reduced friction and wear, enhanced heat resistance, and better overall transmission performance.
The market is divided into two categories based on application: Passenger Vehicles, Commercial Vehicles, and Off-highway Vehicles. Passenger Vehicles dominate the market and are likely to maintain their dominance during the forecast period. Driveline additives for passenger vehicles are designed to enhance the performance, protection, and longevity of various drivetrain components.
Geographically, this market is widespread in the regions of North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. These regions are further divided as per the nations bringing business. Asia Pacific dominates the Driveline Additives Market, due to increased consumer spending on vehicles. Vehicle sales in China surged 82.7% year-on-year to 2.16 million in April of 2023, after a 9.7% rise in the previous month, due to a low base comparison from April last year when the country was under a covid lockdown, according to data from the China Association of Automobile Manufacturers (CAAM). The increased possession of vehicles converts to a higher demand for driveline additives to maintain and enhance the performance of drivetrain components. Overall, the Driveline Additives market is expected to experience significant growth in all regions.
Due to the continued development in demand for Driveline Additives in the coming years, the worldwide market for Driveline Additives is made of both international and local producers, making it one of the most competitive sectors in the world. Companies sell their products through a variety of channels, including corporate websites, e-commerce websites, retailers, distributors, and end consumers. Products makers compete on a variety of aspects, including product costs, performance, product making, technology, reputation, and availability. For example, in august 2022, BASF has started producing fuel performance additives at its Pudong site in Shanghai, China. The new plant addresses the increasing regional demand for fuel performance additives and brings greater supply security and flexibility to customers in Asia.
In July 2022, Afton Chemical Corporation, a global leader in petroleum additives, announced the recent completion of a USD 70 MM USD investment in its Sauget, IL Plant's Automatic Transmission Fluid (ATF) additive production facility.
The scope of this report covers the market by its major segments, which include as follows: