Bio-Based Lubricants Market - Global Outlook & Forecast 2022-2027

List of Tables

The global bio based lubricant market is expected to grow at a CAGR of 5.21% during 2022-2027.

Bio-based lubricants are natural organic chemicals formulated with organic materials such as vegetable oil (sunflower oil, rapeseed oil, castor oil, and palm oil), animal fats, natural esters, and special additives. These components are environment-friendly, thus release no harmful chemicals on the environment, and are capable of meeting stringent government standards, specifically related to carbon emission, while maintaining high performance. Bio-based lubricants also offer performance benefits such as prolonging the equipment life and reducing maintenance costs, friction, and energy consumption. Bio-based lubricants are highly preferred in sensitive environments such as forest, mining, marine, wind power, and construction equipment where there is a high chance of oil spill and oil mist which can potentially harm aquatic life and human health.

KEY INDUSTRY INSIGHTS

The increasing price of petrochemicals, the depletion of crude oil reserves, and the rising awareness among consumers towards protecting the environment from greenhouse gas emissions are stimulating the demand for the bio-based lubricants market.
The stringent regulatory standards of the EU Ecolabel, VGP, IMO, and other regulations (such as Blue Angel and Swedish Standard) to limit the CO2 and other harmful emissions are shaping the demand in the global bio-based lubricants market.
Under VGP regulation, the U.S. Environmental Protection Agency mandates the regulation regarding oil discharge during the usual operation of commercial vessels in the U.S. territorial waters and the Great Lakes.
The regulatory landscape is a significant hindrance for small and medium enterprises scaling up operations. But at the same time, it is driving the industry because these standards and regulations ensure the product's safety, quality, and low toxicity.
"The greatest impact in accelerating the growth of biodegradable lubricants has been the development of high-performance synthetic hydrocarbon base oils. This technology is both readily biodegradable and more oxidatively and hydrolytically stable than the ester technology that was used in the past", says Dr. Larry Beaver, Vice President, Research & Development for RSC Bio Solutions.

MARKET TRENDS

Stringent Government Regulation Driving Demand for Bio-based Lubricants

The increasing concern for environmental protection, carbon footprint, and sustainable development has contributed to the strict regulations to use bio-based lubricants. The U.S. Environmental Protection Agency (EPA), EU Ecolabel, and IMO are the regulatory bodies that monitor and implement stringent regulations regarding the discharge of oil spills in the ocean by the marine industry or provide a certified label that ensures the customer that the product is environment friendly. Therefore, with the rising focus of the government to reduce carbon footprint worldwide, companies across the industries (such as mining, construction, marine, wind power, and automotive) need to ensure that the lubricant products they are using must comply with the regulations set by the regulatory body and meet the performance standard, thereby augmenting the demand of the bio-based lubricants market.

Accelerating Demand from Mining Industry

The increasing automotive production, infrastructure development, and power industry is driving the bio-based lubricants market growth worldwide. This growth is creating a demand for bio-based lubricant products as these lubricants are primarily used in mining equipment ranging from large wheel loaders, mining trucks, wheel tractor scrapers, large dozers, underground mining loaders and mining, rock drills, and mining shovels which are used across above and below ground. Lubricants play a vital role in the smooth functioning of this equipment, continuous operation, and protection from dust, water, and breakdown. In addition, bio-based lubricants also reduce the health risk for employees and are gentle on the environment using protecting the aquatic life in case of spilled lubricants.

MARKET RESTRAINTS

Availability at High Cost & Lack of Lubricating Properties

The major challenge faced in the bio-based lubricant market is its availability at a high cost, especially in the emerging economies of India, where people are price sensitive. The high cost of bio-based lubricants is attributed to their production process. It is produced using several chemical modification processes, including transesterification, epoxidation, and esterification reactions which increases the overall cost of the product.

Similarly, the lack of lubricating properties is also a hurdle to the growth of the global bio-based lubricants market. Bio-based lubricants fail to provide crucial physical properties such as thermal stability, oxidative stability, and viscosity range. Also, it does not perform well in cold processing facilities, giving an edge to petroleum-based lubricants over vegetable oil-based ones. These properties play a vital role in ensuring the smooth functioning of the vehicle while protecting the machine from friction and corrosion and ensuring the machine functions at high temperatures without any damage.

SEGMENT ANALYSIS

INSIGHTS BY TYPE

Biodegradable synthetic is expected to dominate the industry during the forecast period. Since the 1950s, synthetic esters have been used to produce lubricants. Presently, manufacturers prefer synthetic esters over vegetable oil to produce bio-based lubricants because it offers enhanced benefits compared to vegetable oil and is abundantly available in nature as compared to vegetable oil. Synthetic esters are primarily preferred for those applications that require frequent lubricant changes, such as hydraulic fluid, engine oil, and stern tube-thruster fluid. TotalEnergies, Fuchs, and Condat are some companies offering lubricants based on synthetic esters.

INSIGHTS BY APPLICATION

Hydraulic fluid is the largest segment amongst others in the bio-based lubricant market. The segment is expected to witness growth due to the rising demand for bio-based hydraulic fluid in agriculture & forest equipment and the mining industry.

INSIGHTS BY END-USER

The marine industry held the highest share in the bio-based lubricants market in 2021; however, the automotive industry is expected to lead the bio-based lubricants market during the forecast period. Over the years, the demand for bio-based lubricants in the marine industry has increased due to the rising regulation and to mitigate the issues caused by the oil spill. A regulatory landscape highly characterizes the marine industry. The Vessel Grant Permit and IMO 2020 are the major regulations that promote biodegradable lubricants in marine vessels to reduce carbon emissions while protecting the equipment.

Segmentation by Product Type

Plant-Based
Biodegradable Synthetic

Segmentation by Application

Hydraulic Fluid
Gear Oil
Chain Oil
Metalworking Fluid
Others

Segmentation by End-Users

Marine
Mining
Agriculture & Forestry
Automotive
Others

GEOGRAPHIC ANALYSIS

The rising economic development, increasing sustainability to reduce carbon footprint, and growing automotive, mining, and industrial sectors are boosting the global bio-based lubricants market. The government's stringent regulation towards eco-friendly and environment-friendly products is also driving the industry for bio-based lubricants products across all the regions. Europe accounted for the highest contribution to the global bio-based lubricants market, followed by North America.

The bio-based lubricant industry in North America has grown dramatically in recent years. The U.S. is a crucial country in the region with the world's largest economy in terms of GDP. Because of rigorous emission standards and robust transportation infrastructure, the United States is one of the primary centers for bio-based lubricant manufacture, attracting global players to set up their facilities in the U.S.

Asia-Pacific is projected to be the fastest-growing bio-based lubricants market during the forecast period. Indonesia, Malaysia, and China lead the region. These regions are witnessing a surge in demand from the automotive & transportation sectors, increasing mining activities, and the manufacturing & machinery sector driven by the increasing regulation to reduce carbon emissions. In APAC countries Indonesia and Malaysia are rich in palm oil, whereas India is the third largest producer of rapeseed oil and the world's largest producer of castor oil. Thus, lubricant manufacturers are emphasizing increasing their production base in Asia due to the easy availability of raw materials and low labor costs. The consumption base is also highly driven by foreign investments, a booming manufacturing sector due to the friendly policy, a growing middle-class population, and increasing living standards across the APAC.

Segmentation by Geography

APAC
- China
- Malaysia
- India
- Indonesia
- Japan
- Rest of APAC
North America
- US
- Canada
Europe
- Germany
- UK
- France
- Italy
- Spain
- Rest of Europe
Latin America
- Brazil
- Mexico
- Rest of Latin America
Middle East & Africa
- Saudi Arabia
- UAE
- Iran
- Rest of MEA

COMPETITIVE LANDSCAPE

The competitive scenario in the global bio-based lubricants market is currently intensifying. The rapidly changing technological environment, the trend to reduce carbon footprint, and sustainability scenario can adversely affect vendors as customers expect continual innovations and upgrades. The market is moderately fragmented, with players providing bio-based lubricant products that are readily biodegradable, environmentally friendly, and highly functional.

The major companies operating in the global bio-based lubricants market are Castrol (UK), Fuchs (Germany), Cortec Corporation (US), Renewable Lubricants (US), and Metalube (UK), Repsol (Spain), and Kluber Lubrication (Germany), among others. These companies continually compete for the leading position in the industry, with steady competition from local vendors and international players.

Recent Developments

In 2019, Metalube launched biodegradable lubricants for lubricating and protecting umbilical cables and steel wire ropes operating in marine environments. The lubricant product is formulated from biodegradable resources and high-performance additives that are non-toxic to aquatic organisms.
In March 2020, Abu Dhabi National Oil Company (ADNOC) launched biodegradable lubricants for engine oil formulated with 100% plant oil in the UAE market.
In 2021, BioAccelergy entered into a joint agreement with Exxon Mobil to develop bio-based lubricants formulated from vegetable and seed oil. This joint agreement would benefit Exxon Mobil not only in terms of enhancing its sustainability aspect but would also be assisted in terms of technology.

Key Vendors

Castrol
FUCHS
Renewable lubricants
TotalEnergies

Other Prominent Vendors

Addinol
Cortec Corporation
Condat
DuBois Chemicals
Exxon Mobil Corporation
Environmental Lubricants Manufacturing
Haynes Lubricants
Kluber Lubrication
Lubriplate Lubricants Company
Metalube
Panolin AG
Repsol
Vickers Oil

KEY QUESTIONS ANSWERED

1. HOW BIG IS THE BIO-BASED LUBRICANTS MARKET?
2. WHAT IS THE GROWTH RATE OF THE BIO-BASED LUBRICANTS MARKET?
3. WHO ARE THE KEY VENDORS IN THE GLOBAL BIO-BASED LUBRICANTS MARKET?
4. WHAT ARE THE LATEST TRENDS IN THE GLOBAL BIO-BASED LUBRICANTS MARKET?
5. WHICH REGION HOLDS THE LARGEST GLOBAL BIO-BASED LUBRICANTS MARKET SHARE?

Product Code: ARZ220733

1 RESEARCH METHODOLOGY

2 RESEARCH OBJECTIVES

3 RESEARCH PROCESS

4 SCOPE & COVERAGE

4.1 MARKET DEFINITION
- 4.1.1 INCLUSIONS
- 4.1.2 EXCLUSIONS
- 4.1.3 MARKET ESTIMATION CAVEATS
4.2 BASE YEAR
4.3 SCOPE OF THE STUDY
- 4.3.1 MARKET SEGMENTATION BY GEOGRAPHY

5 REPORT ASSUMPTIONS & CAVEATS

5.1 KEY CAVEATS
5.2 CURRENCY CONVERSION
5.3 MARKET DERIVATION

6 PREMIUM INSIGHTS

6.1 GLOBAL BIO-BASED LUBRICANT MARKET 2021-2027
- 6.1.1 INDUSTRY TREND
6.2 SYNOPSIS
- 6.2.1 MARKET TRENDS
- 6.2.2 SEGMENT REVIEW
- 6.2.3 COMPETITIVE LANDSCAPE

7 MARKET AT A GLANCE

8 INTRODUCTION

8.1 OVERVIEW
- 8.1.1 KEY FACTS & FIGURES
- 8.1.2 LIFE CYCLE OF BIO-BASED LUBRICANTS
8.2 KEY INSIGHTS
8.3 COVID-19 IMPACT
- 8.3.1 MODERATELY AFFECTED SECTORS
- 8.3.2 HIGHLY IMPACTED

9 MARKET OPPORTUNITIES & TRENDS

9.1 INITIATIVES TO PRESERVE ENERGY AND NATURAL RESOURCES
9.2 ACCELERATING DEMAND FOR LUBRICANTS FROM MINING INDUSTRY
9.3 INCREASING IMPORTANCE OF BIO-BASED LUBRICANTS IN AUTOMOTIVE INDUSTRY

10 MARKET GROWTH ENABLERS

10.1 RISING FOCUS ON ENVIRONMENTAL SUSTANABILITY
10.2 STRINGENT REGULATIONS TO PROMOTE ENVIRONMENTALLY ACCEPTABLE LUBRICANTS
- 10.2.1 EU ECOLABEL
- 10.2.2 VESSEL GRANT PERMIT
- 10.2.3 INTERNATIONAL MARITIME ORGANIZATION (IMO)
10.3 RISE IN FREQUENCY OF NEW PRODUCT LAUNCHES

11 MARKET RESTRAINTS

11.1 HIGH COMPETITION FROM PETROLEUM-BASED LUBRICANTS
11.2 HIGH COST & POOR LUBRICATION PROPERTIES OF BIO-BASED LUBRICANTS

12 MARKET LANDSCAPE

12.1 MARKET OVERVIEW
12.2 MARKET SIZE & FORECAST
12.3 MACROECONOMIC FACTORS AFFECTING BIO-BASED LUBRICANTS MARKET
- 12.3.1 POWER INDUSTRY
- 12.3.2 AUTOMOTIVE INDUSTRY
- 12.3.3 MARINE INDUSTRY
- 12.3.4 MINING INDUSTRY
- 12.3.5 CONCLUSION
12.4 FIVE FORCES ANALYSIS
- 12.4.1 THREAT OF NEW ENTRANTS
- 12.4.2 BARGAINING POWER OF SUPPLIERS
- 12.4.3 BARGAINING POWER OF BUYERS
- 12.4.4 THREAT OF SUBSTITUTES
- 12.4.5 COMPETITIVE RIVALRY

13 TYPE

13.1 MARKET SNAPSHOT & GROWTH ENGINE
13.2 MARKET OVERVIEW
13.3 PLANT-BASED
- 13.3.1 MARKET OVERVIEW
- 13.3.2 MARKET SIZE & FORECAST
- 13.3.3 MARKET BY GEOGRAPHY
13.4 BIODEGRADABLE SYNTHETIC
- 13.4.1 MARKET OVERVIEW
- 13.4.2 MARKET SIZE & FORECAST
- 13.4.3 MARKET BY GEOGRAPHY

14 APPLICATION

14.1 MARKET SNAPSHOT & GROWTH ENGINE
14.2 MARKET OVERVIEW
14.3 HYDRAULIC OIL
- 14.3.1 MARKET OVERVIEW
- 14.3.2 MARKET SIZE & FORECAST
- 14.3.3 MARKET BY GEOGRAPHY
14.4 CHAIN OIL
- 14.4.1 MARKET OVERVIEW
- 14.4.2 MARKET SIZE & FORECAST
- 14.4.3 MARKET BY GEOGRAPHY
14.5 GEAR OIL
- 14.5.1 MARKET OVERVIEW
- 14.5.2 MARKET SIZE & FORECAST
- 14.5.3 MARKET BY GEOGRAPHY
14.6 METALWORKING FLUID
- 14.6.1 MARKET OVERVIEW
- 14.6.2 MARKET SIZE & FORECAST
- 14.6.3 MARKET BY GEOGRAPHY
14.7 OTHERS
- 14.7.1 MARKET OVERVIEW
- 14.7.2 MARKET SIZE & FORECAST
- 14.7.3 MARKET BY GEOGRAPHY

15 END USER

15.1 MARKET SNAPSHOT & GROWTH ENGINE
15.2 MARKET OVERVIEW
15.3 MARINE
- 15.3.1 MARKET OVERVIEW
- 15.3.2 MARKET SIZE & FORECAST
- 15.3.3 MARKET BY GEOGRAPHY
15.4 MINING
- 15.4.1 MARKET OVERVIEW
- 15.4.2 MARKET SIZE & FORECAST
- 15.4.3 MARKET BY GEOGRAPHY
15.5 AGRICULTURE & FORESTRY
- 15.5.1 MARKET OVERVIEW
- 15.5.2 MARKET SIZE & FORECAST
- 15.5.3 MARKET BY GEOGRAPHY
15.6 AUTOMOTIVE
- 15.6.1 MARKET OVERVIEW
- 15.6.2 MARKET SIZE & FORECAST
- 15.6.3 MARKET BY GEOGRAPHY
15.7 OTHERS
- 15.7.1 MARKET OVERVIEW
- 15.7.2 MARKET SIZE & FORECAST
- 15.7.3 MARKET BY GEOGRAPHY

16 GEOGRAPHY

16.1 MARKET SNAPSHOT & GROWTH ENGINE
16.2 GEOGRAPHIC OVERVIEW

17 NORTH AMERICA

17.1 MARKET OVERVIEW
17.2 MARKET SIZE & FORECAST
17.3 TYPE
- 17.3.1 MARKET SIZE & FORECAST
17.4 APPLICATION
- 17.4.1 MARKET SIZE & FORECAST
17.5 END USER
- 17.5.1 MARKET SIZE & FORECAST
17.6 KEY COUNTRIES
- 17.6.1 US: MARKET SIZE & FORECAST
- 17.6.2 CANADA: MARKET SIZE & FORECAST

18 LATIN AMERICA

18.1 MARKET OVERVIEW
18.2 MARKET SIZE & FORECAST
18.3 TYPE
- 18.3.1 MARKET SIZE & FORECAST
18.4 APPLICATION
- 18.4.1 MARKET SIZE & FORECAST
18.5 END USER
- 18.5.1 MARKET SIZE & FORECAST
18.6 KEY COUNTRIES
- 18.6.1 BRAZIL: MARKET SIZE & FORECAST
- 18.6.2 MEXICO: MARKET SIZE & FORECAST
- 18.6.3 REST OF LATIN AMERICA: MARKET SIZE & FORECAST

19 MIDDLE EAST & AFRICA

19.1 MARKET OVERVIEW
19.2 MARKET SIZE & FORECAST
19.3 TYPE
- 19.3.1 MARKET SIZE & FORECAST
19.4 APPLICATION
- 19.4.1 MARKET SIZE & FORECAST
19.5 END USER
- 19.5.1 MARKET SIZE & FORECAST
19.6 KEY COUNTRIES
- 19.6.1 SAUDI ARABIA: MARKET SIZE & FORECAST
- 19.6.2 UAE: MARKET SIZE & FORECAST
- 19.6.3 IRAN: MARKET SIZE & FORECAST
- 19.6.4 REST OF MIDDLE EAST & AFRICA: MARKET SIZE & FORECAST

20 APAC

20.1 MARKET OVERVIEW
20.2 MARKET SIZE & FORECAST
20.3 TYPE
- 20.3.1 MARKET SIZE & FORECAST
20.4 APPLICATION
- 20.4.1 MARKET SIZE & FORECAST
20.5 END USER
- 20.5.1 MARKET SIZE & FORECAST
20.6 KEY COUNTRIES
- 20.6.1 CHINA: MARKET SIZE & FORECAST
- 20.6.2 INDIA: MARKET SIZE & FORECAST
- 20.6.3 MALAYSIA: MARKET SIZE & FORECAST
- 20.6.4 INDONESIA: MARKET SIZE & FORECAST
- 20.6.5 JAPAN: MARKET SIZE & FORECAST
- 20.6.6 REST OF APAC: MARKET SIZE & FORECAST

21 EUROPE

21.1 MARKET OVERVIEW
21.2 MARKET SIZE & FORECAST
21.3 TYPE
- 21.3.1 MARKET SIZE & FORECAST
21.4 APPLICATION
- 21.4.1 MARKET SIZE & FORECAST
21.5 END USER
- 21.5.1 MARKET SIZE & FORECAST
21.6 KEY COUNTRIES
- 21.6.1 GERMANY: MARKET SIZE & FORECAST
- 21.6.2 FRANCE: MARKET SIZE & FORECAST
- 21.6.3 UK: MARKET SIZE & FORECAST
- 21.6.4 ITALY: MARKET SIZE & FORECAST
- 21.6.5 SPAIN: MARKET SIZE & FORECAST
- 21.6.6 REST OF EUROPE: MARKET SIZE & FORECAST

22 COMPETITIVE LANDSCAPE

22.1 COMPETITION OVERVIEW

23 KEY COMPANY PROFILES

23.1 CASTROL
- 23.1.1 BUSINESS OVERVIEW
- 23.1.2 CASTROL IN BIO-BASED LUBRICANTS MARKET
- 23.1.3 PRODUCT OFFERINGS
- 23.1.4 KEY STRATEGIES
- 23.1.5 KEY STRENGTHS
- 23.1.6 KEY OPPORTUNITIES
23.2 FUCHS
- 23.2.1 BUSINESS OVERVIEW
- 23.2.2 FUCHS IN BIO-BASED LUBRICANTS MARKET
- 23.2.3 PRODUCT OFFERINGS
- 23.2.4 KEY STRATEGIES
- 23.2.5 KEY STRENGTHS
- 23.2.6 KEY OPPORTUNITIES
23.3 RENEWABLE LUBRICANTS
- 23.3.1 BUSINESS OVERVIEW
- 23.3.2 PRODUCT OFFERINGS
- 23.3.3 KEY STRATEGIES
- 23.3.4 KEY STRENGTHS
- 23.3.5 KEY OPPORTUNITIES
23.4 TOTALENERGIES
- 23.4.1 BUSINESS OVERVIEW
- 23.4.2 TOTALENERGIES IN BIO-BASED LUBRICANTS MARKET
- 23.4.3 PRODUCT OFFERINGS
- 23.4.4 KEY STRATEGIES
- 23.4.5 KEY STRENGTHS
- 23.4.6 KEY OPPORTUNITIES

24 OTHER PROMINENT VENDORS

24.1 ADDINOL
- 24.1.1 BUSINESS OVERVIEW
- 24.1.2 PRODUCT OFFERINGS
24.2 CORTEC CORPORATION
- 24.2.1 BUSINESS OVERVIEW
- 24.2.2 PRODUCT OFFERINGS
24.3 CONDAT
- 24.3.1 BUSINESS OVERVIEW
- 24.3.2 PRODUCT OFFERINGS
24.4 DUBOIS CHEMICALS
- 24.4.1 BUSINESS OVERVIEW
- 24.4.2 PRODUCT OFFERINGS
24.5 EXXON MOBIL CORPORATION
- 24.5.1 BUSINESS OVERVIEW
- 24.5.2 PRODUCT OFFERINGS
24.6 ENVIRONMENTAL LUBRICANTS MANUFACTURING
- 24.6.1 BUSINESS OVERVIEW
- 24.6.2 PRODUCT OFFERINGS
24.7 HAYNES LUBRICANTS
- 24.7.1 BUSINESS OVERVIEW
- 24.7.2 PRODUCT OFFERINGS
24.8 KLUBER LUBRICATION
- 24.8.1 BUSINESS OVERVIEW
- 24.8.2 PRODUCT OFFERINGS
24.9 LUBRIPLATE LUBRICANTS COMPANY
- 24.9.1 BUSINESS OVERVIEW
- 24.9.2 PRODUCT OFFERINGS
24.10 METALUBE
- 24.10.1 BUSINESS OVERIEW
- 24.10.2 PRODUCT OFFERINGS
24.11 PANOLIN AG
- 24.11.1 BUSINESS OVERVIEW
- 24.11.2 PRODUCT OFFERINGS
24.12 REPSOL
- 24.12.1 BUSINESS OVERVIEW
- 24.12.2 PRODUCT OFFERINGS
24.13 VICKERS OIL
- 24.13.1 BUSINESS OVERVIEW
- 24.13.2 PRODUCT OFFERINGS

25 REPORT SUMMARY

25.1 KEY TAKEAWAYS
25.2 STRATEGIC RECOMMENDATIONS

26 QUANTITATIVE SUMMARY

26.1 MARKET BY TYPE
- 26.1.1 PLANT-BASED
- 26.1.2 BIODEGRADABLE SYNTHETICS
26.2 MARKET BY APPLICATION
- 26.2.1 HYDRAULIC OIL
- 26.2.2 CHAIN OIL
- 26.2.3 GEAR OIL
- 26.2.4 METALWORKING FLUID
- 26.2.5 OTHERS
26.3 MARKET BY END USER
- 26.3.1 MARINE
- 26.3.2 MINING
- 26.3.3 FORESTRY & AGRICULTURE
- 26.3.4 AUTOMOTIVE
- 26.3.5 OTHERS

27 GEOGRAPHY

27.1 NORTH AMERICA
- 27.1.1 TYPE
- 27.1.2 APPLICATION
- 27.1.3 END USER
27.2 EUROPE
- 27.2.1 TYPE
- 27.2.2 APPLICATION
- 27.2.3 END USER
27.3 APAC
- 27.3.1 TYPE
- 27.3.2 APPLICATION
- 27.3.3 END USER
27.4 LATIN AMERICA
- 27.4.1 TYPE
- 27.4.2 APPLICATION
- 27.4.3 END USER
27.5 MIDDLE EAST & AFRICA
- 27.5.1 TYPE
- 27.5.2 APPLICATION
- 27.5.3 END USER

28 APPENDIX

28.1 ABBREVIATIONS