Construction Lubricants Market

Construction Lubricants Market Size (2023-2028):

The Construction Lubricants Market is predicted to grow from USD 13.28 billion in 2022 to USD 17.25 billion by 2028, with a CAGR of 5.42% between 2023-2028

The expansion of the industry of construction in the APAC and the Middle East and Africa regions, along with the improvement in the quality of construction lubricants, are the main factors that are predicted to drive the construction lubricants market throughout the foreseen period. A lubricant is a type of chemical that is employed for the correct operation of large and small equipment by improving the efficiency of the equipment. The building and construction industry uses various pieces of equipment that require specialized lubrication to eliminate breakdowns and work stoppages. Continuous maintenance and lubrication of equipment in the construction industry are important for long equipment life, smooth operation, and high efficiency, as well as fuel savings. 

The worldwide call for construction lubricants is attributed to the expansion of the construction business around the world and the subsequent addition of construction equipment to the existing fleet. Lubricants such as gear oil, hydraulic oil, motor oil, and grease help construction equipment run smoothly and extend its life by eliminating wear and corrosion. Escalated construction and mining activities around the world, especially in developing economies, are predicted to boost the call for construction lubricants.

Construction Lubricants Market Drivers:

Escalated consumer awareness, strict regulations, and favorable properties of synthetic oil-based lubricants, such as water solubility, are predicted to drive synthetic lubricating oils during the foreseen period. The expansion of the construction industry in developing economies, the increase in automation in the construction industry, and the focus of major players on improving lubricant quality are driving the construction lubricants market. However, recent technological advances in construction lubricant formulations have led to the development of oil rejuvenation which is predicted to hamper the market call for construction lubricants during the foreseen period. The construction industry around the world is growing, one of the main factors driving the construction lubricants market. The focus of large companies on the use of better quality lubricants, as well as escalated use of automation in the construction industry, is driving the construction lubricants market. Escalated consumer awareness of the various properties of construction lubricants is also having a positive impact on the construction lubricants market.

Construction Lubricants Market Restraints:

Escalating control of the disposal and recycling of traditional lubricants is predicted to hamper the expansion of the worldwide market. Regulations that ensure the safety and quality of construction lubricants are likely to create challenges for unorganized actors marketing their non-conforming products. While this remains a challenge for unorganized market players, it is proving advantageous for organized firms selling genuine goods in the construction lubricants market.

Opportunities in the Construction Lubricants Market:

Product trends, such as the high adoption of synthetic lubricants, are a further driving call. Synthetic lubricants commonly referred to as lubricants, consist of base oils and additives and improve overall engine performance. Comparatively, synthetic oils offer superior performance, reduce maintenance costs, and address the environmental challenges posed by using traditional mineral oil-based lubricants. Therefore, escalated emissions control and growing consumer awareness of the benefits of synthetic lubricants have led to a substantial call for synthetic lubricants, adding to revenue expansion from the worldwide lubricants market for construction. The worldwide construction industry is predicted to see a massive expansion in the coming years due to underlying factors such as urbanization and worldwide economic recovery. This unprecedented expansion in the worldwide construction industry is predicted to augment the adoption of construction lubricants.

Challenges in the Construction Lubricants Market:

Fluctuations in crude oil prices continue to be one of the main challenges in the construction lubricants market. Construction lubricants are essentially petrochemicals made from Brent crude oil. Rising crude oil prices create volatility in raw material prices, creating significant challenges for manufacturers in the construction lubricants market.

CONSTRUCTION LUBRICANTS MARKET REPORT COVERAGE:

Construction Lubricants Market Segmentation:

Construction Lubricants Market - By Base Oil:

• Mineral oil

• Synthetic oil

The mineral oils segment is predicted to dominate the construction lubricants market during the foreseen period due to its easy availability and low cost.

Construction Lubricants Market - By Product Type:

• Hydraulic fluid

• Engine oil

• Gear oil

• Compressor oil

Hydraulic fluid is the largest construction lubricant product type segment by volume. Hydraulic fluid is employed primarily for power transmission and lubrication in various heavy-duty equipment employed in the construction industry.

Construction Lubricants Market - By Equipment Type:

• Earthmoving
• Material Handling
• Heavy construction vehicle

Portable and compact machines have been introduced to the construction industry and are gaining popularity. Due to the reduced size of the gearbox and hydraulic equipment and the extended change intervals, the consumption of lubricants in the construction industry has decreased.

Construction Lubricants Market - By Region:

 The Construction Lubricants Report includes the segmentation of Regions:

•  North America 

•  Europe 

•  Asia Pacific 

•  Latin America 

•  Middle East & Africa 

APAC is the world's largest construction lubricants market due to enormous industrial expansion in emerging countries in the region, such as China, India, and South Korea. National and foreign investment in construction has steadily escalated over the last decade in this region. Furthermore, escalated construction activity, especially in the Chinese residential sector, and escalated spending on infrastructure development in India are driving APAC's construction lubricants market. North America dominates the market due to the significant US market share in escalating automation in the construction industry, which will increase the call for machine lubricants in the region. The Asia-Pacific region is predicted to experience the highest expansion rate due to the increase in the workforce in developing countries, which will lead to an increase in building construction in the region. In terms of consumption, Asia-Pacific had a significant share of the worldwide construction lubricants market in 2021. The Asia-Pacific construction lubricants market is predicted to develop at a sustained pace over the foreseen period. The construction lubricants market is driven by strong expansion in the industrial sector driven by rapid economic expansion and the emergence of a large middle class in China, Japan, South Korea, and India. Domestic and foreign investment in the construction industry in Asia-Pacific has escalated steadily over the past decade.

Impact of Covid-19 on the Construction Lubricants Market:

COVID-19 disrupted the global economy in 2020. The disease had spread to almost every country, and some countries had faced severe challenges to curb the spread of the disease. Lockdown restrictions and bans on flights majorly affected the shares of the construction lubricants market. Disruptions in the supply chain and manufacturing units declined the growth rate of every market during these tough times. However, with the unlock guidelines released by governments in every country, the market shares started to grow at a double rate. By the end of 2021, the market shares to fall into a normal state. 

Recent Developments:

• Shell Lubricants Partners with Komatsu; Launches a new line of diesel engine oil for construction and mining equipment. Shell Lubricants, the world leader in market share in finished lubricants, in partnership with Komatsu, Japan's leading worldwide manufacturer of construction and mining equipment, has launched a specially reformulated lubricant - Genuine Komatsu 15W-40 Oil.

• Kobelco announces the launch of its own brand-name grease to complete the line of lubricants needed for excavators. Our distributors now offer a unique solution to our customers. Kobelco grease will be available at distributors' points of sale in 20 kg and 180 kg packages.

Construction Lubricants Market Key Players:

The major players covered in the construction lubricants market report are 

1. Royal Dutch Shell ExxonMobil

2. BP

3. Chevron Corporation

4. Total

5. PetroChina

6. Sinopec

7. LUKOIL

8. Indian Oil Corporation

9. Fuchs Petrolub SE

10. Petrochina Company

11. Lukoil, Sinopec

12. Phillips 66 Company

13. Bel-Ray Company LLC.

14. Morris Lubricants

15. Penrite Oil

16. Valvoline

17. Liqui Moly GmbH

18. ENI SPA

19. Addinol Lube Oil GmbH

20. Lubrication Engineers, Inc.

21. FUCHS

22. Lubricating Specialties Company

23. Southern Lubrication (Pvt) Ltd.

24. Schaeffer Manufacturing Co.

25. AFRILUBE

26. Leahy-Wolf

27. QALCO