PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1756463
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1756463
E-Fluid Market size was valued at US$ 730.22 Million in 2024, expanding at a CAGR of 28.99% from 2025 to 2032.
E-fluids are specific types of lubricants made for electric vehicles (EVs) and their parts. Their importance lies in guaranteeing the efficiency, reliability, and performance of electric powertrains. This includes electric vehicles, commercial options such as electric delivery vans and hydrogen buses, as well as long-haul trucks. E-fluids perform multiple roles such as reducing friction in gears and bearings, dissipating heat from electric motors, and managing temperature for battery systems.
E-Fluid Market- Market Dynamics
The rise in global demand for electric vehicles is likely to propel the expansion of the market. The E-Fluids are essential for meeting the specific thermal, electrical, and mechanical demands of electric powertrains, thus guaranteeing peak performance, safety, and durability. As a result, the growing market for electric vehicles is driving innovation and increasing the global demand for high-performance E-Fluids. The International Energy Agency forecasted that around 14 million new electric vehicles would be registered in 2023, resulting in a total of 40 million cars on the roads. In 2023, approximately 18% of the total cars sold were electric vehicles. Moreover, strict environmental regulations present new opportunities for market expansion. On the other hand, the elevated costs associated with advanced e-fluids may hinder the growth of the market.
E-Fluid Market- Key Insights
As per the analysis shared by our research analyst, the global market is estimated to grow annually at a CAGR of around 28.99% over the forecast period (2025-2032)
Based on product type segmentation, Coolants was predicted to show maximum market share in the year 2024
Based on Propulsion segmentation, Hybrid Electric Vehicles were the leading Propulsion in 2024
Based on Vehicle Type segmentation, On-highway vehicles were the leading Vehicle Type in 2024
On the basis of region, the Asia Pacific was the leading revenue generator in 2024
The Global E-Fluid Market is segmented on the basis of Product Type, Propulsion, Fill Type, Vehicle Type, and Region.
The market is divided into four key categories of products: greases, coolants, brake fluids, and transmission fluids. The increasing trend of electric mobility has led to a notable rise in the need for E-Fluids, which are fluids specially formulated for electric vehicles (EVs). Coolants help maintain the temperature of batteries and motors, which is essential for the best performance and safety in electric vehicles. Hydraulic braking systems rely on brake fluids, which are crucial for ensuring steady and dependable braking performance in different conditions. The fluids used in electric vehicles are specifically designed to provide cooling and lubrication for e-axles or gear systems, which improves both their efficiency and longevity. Lubricants are used on bearings, joints, and various moving components to minimize wear and promote smooth functioning. These fluids are essential for ensuring the performance, safety, and durability of both traditional and electric vehicles. As electric vehicles develop further, there will likely be a consistent increase in the need for fluids that are thermally stable, electrically compatible, and offer high performance.
The market is divided into two groups depending on the type of propulsion: Battery Electric Vehicles (BEVs) and Hybrid Electric Vehicles (HEVs). Hybrid electric vehicles are at the forefront of market expansion. The dual powertrain systems of HEVs, integrating internal combustion engines and electric motors, create a substantial need for E-Fluids. To achieve peak performance, efficiency, and longevity, this intricate configuration necessitates a specific variety of fluids. Essential E-Fluids for hybrid electric vehicles comprise sophisticated coolants designed to regulate the temperature requirements of the engine and electrical parts, along with brake fluids engineered to provide reliable functionality in both regenerative and conventional braking systems. As a result, manufacturers are focusing on creating high-performance, versatile E-Fluids tailored to address the specific needs of hybrid vehicles.
The segmentation of the market revolves around two distinct categories determined by the type of fill: First Fill and Service Fill. In the automotive sector, E-Fluids, which are unique lubricants and coolants created for electric and hybrid cars, are used mainly in these two categories. The term First Fill denotes the primary use of E-Fluids when manufacturing vehicles at the OEM stage, where they are essential for guaranteeing the best possible performance of electric motors, batteries, and transmission systems right from the start. Service Fill refers to the process of replacing or refilling fluids as part of standard maintenance or during repairs while the vehicle is operational. First Fill and Service Fill play essential roles during the entire lifespan of electric and hybrid vehicles. With the rising popularity of electric vehicles, there is a growing need for high-quality E-Fluids across both sectors, spurring advancements in fluid formulations to address changing thermal, electrical, and mechanical requirements.
The division of the market is classified into two types according to the vehicle category: Off-highway vehicles and On-highway vehicles. In this sector, the growth of the market is primarily driven by on-highway vehicles. Electric and hybrid passenger vehicles, along with buses and commercial trucks, comprise this category and collectively dominate the E-Fluid market. The growing use of electric and hybrid vehicles in city transportation and commercial logistics is boosting the need for specialized fluids. Furthermore, the production of passenger electric vehicles and hybrid cars occurs at much greater scales than that of electric vehicles intended for off-highway or industrial use. Due to their longer and more regular usage patterns, on-highway vehicles need servicing and fluid replacements more often, especially in fleet and logistics settings.
E-Fluid Market- Geographical Insights
Asia Pacific leads market growth, driven largely by the expansion of aftermarket services. With the increasing number of electric and hybrid vehicles on the road, demand for maintenance, replacement, and servicing of specialized E-Fluids is rising rapidly. This growth is supported by an expanding network of service centers and heightened awareness of the importance of regular vehicle maintenance. Research from China highlights this trend in 2020, approximately 17.59 million used cars were sold, marking a 22.6% increase from the previous year. The used car market is expected to continue growing, further boosting the automotive aftermarket in the region. Meanwhile, North America holds a significant share of the market, thanks to its mature automotive industry and early adoption of electric vehicles.
The market for E-Fluid is extremely competitive, as top companies are continually innovating and broadening their range of products to satisfy the increasing needs of electric and hybrid vehicles. Significant industry leaders prioritize extensive research and development efforts, crafting innovative formulations tailored for essential electric vehicle components like batteries, motors, and transmissions. There is also a significant focus on creating environmentally friendly, biodegradable fluids to adhere to more stringent environmental laws and meet the increasing demand from consumers for sustainable products. The dynamic landscape encourages ongoing innovation and variety in the E-Fluid sector, propelling the overall advancement of the electric mobility ecosystem.
15 Oct 2020, The Shell E-fluids range enhances the reliability, efficiency, and performance for both passenger and commercial vehicles equipped with electric powertrains. Shell broadens its worldwide selection of specialized fluids - Shell E-Fluids - to assist battery electric vehicles (BEV) and fuel cell electric vehicles (FCEV) for commercial light, medium, and heavy-duty vehicles.
Repsol starts significant production of renewable fuels in Cartagena, marking it as the first facility of this type on the Iberian Peninsula.