Marine lubricants are primarily used across the shipping industry in order to protect and improve the efficiency of the equipment and engine. These are high-performance fuel that is specially designed to enhance performance in operations. They exhibit exceptional properties that help in increasing shelf-life and protect the components exposed to high temperatures. They improve the performance and also reliability of the machine by protecting it from wear and tear by eliminating corrosion. Inflatable boats, drill ships, outboard motorboats, tankers, cargo ships, passenger ships, and semi-submerged ships are some of the application areas of the marine lubricants.
The global marine lubricants market is estimated to be valued at US$ 11,185.6 million in 2021 and is expected to exhibit a CAGR of 6.1% over the forecast period (2021-2028).
Figure 1. Global Marine Lubricants Market Value (US$ Mn), by Region, 2020
Europe held dominant position in the global Marine lubricants market in 2020, accounting for 47.1% share in terms of value, followed by Asia Pacific and North America, respectively. Large volume of trade activities and developed infrastructure in the shipping industry are primarily responsible for the high demand of marine lubricants in the region.
Growth in the shipping industry where marine lubricants are widely used is expected to propel the market growth of marine lubricants. According to the Department of Transport and Supply Chain Management (University of Johannesburg, South Africa), the shipping industry is considered as one of the catalysts for the development of an economy that is projected to contribute 90% of world trade. Moreover, continuously evolving marine lubricants along with the new formulation are further expected to accelerate the market growth of marine lubricants.
Increasing seaborne trade around the globe is projected to augment the market growth of the marine lubricants. According to the United Nations, in 2018, developing economies accounted for the largest share of global seaborne trade, both in terms of exports (goods loaded) and imports (goods unloaded). They loaded 59 percent and unloaded 64 percent of the world total. With a volume of 4.2 billion tons loaded and 5.9 billion tons unloaded.
|Base Year:||2020||Market Size in 2021:||US$ 11,185.6 Mn|
|Historical Data for:||2017 to 2020||Forecast Period:||2021 to 2028|
|Forecast Period 2021 to 2028 CAGR:||6.1%||2028 Value Projection:||US$ 16,961.2 Mn|
Lubmarine (Total Group), Royal Dutch Shell Plc, BP Marine, Chevron, ExxonMobil Corporation, Sinopec Corporation, Castrol, Gulf Marine and Industrial Supplies Inc., Lukoil Marine Lubricants, Quepet Lubricants, JX Nippon Oil & Energy Corporation, Idemitsu Kosan Co., Ltd., and IKO Marine Lubricant Supply Co. Ltd
|Restraints & Challenges:||
Growing demand for bio-based marine lubricants is expected to open new doors of opportunity to the market of marine lubricants. For instance, in December 2019, Neste introduced the first industrial lubricant with nearly 100% biobased content. The product is based on a new formulation: 95% of its content is produced from renewable sources, Neste MY Renewable Isoalkane being the key component. The new Lubricant can be safely used in all industrial, automotive, DIY applications.
Rising usage of hydraulic oil across the marine industry is expected to accelerate the market growth of the marine lubricants. Hydraulic oil helps in increasing the machine life under the severe condition and also meet the environmental norms due to its low toxicity level is expected to raise its demand which in turn is fueling the market growth of marine lubricants.
Market Trends/Key Takeaways
The rising popularity of recreational boats due to increasing participation in recreational activities and sports is propelling the market growth of the marine lubricants. Growth in the tourism industry has increased various sports activities such as boat racing, fishing, campaigning, and water sport games. This is expected to positively impact the market growth of marine lubricants over the forecast period.
Favorable government policies coupled with the significant increase in the investment in the naval defense sectors is expected to augment the market growth over the forecast period. In the recent past few years, the government has invested in the naval defense sector in order to increase the naval ships manufacturing which is further raising demand for the lubricants. This is turn is augmenting the market growth of marine lubricants.
Figure 2. Global Marine Lubricants Market Share, By Application, 2020
Key Takeaways of the Graph:
Fluctuating prices of crude oil along with the strict rules and regulations is projected to hamper the market growth of the marine lubricants over the forecast period.
The shortage of raw materials such as bright stock materials due to increasing utilization of bright stock material in the production of group II and group III base oils is expected to hinder the market growth of marine lubricants.
Marine lubricants are used in almost all industries to improve and protect the efficiency of marine equipment and engines. These are specially designed lubricants, specifically made for marine applications to allow optimal performance in marine operations. Some marine lubricants have been developed using novel production processes that give them much better characteristics than traditional lubricants. Other marine lubricants have been proven to be highly effective in adverse operating conditions such as low water and high salt content environments, and they have excellent resistance to wear and tear.
Rise in the shipping industry coupled with the increasing launch of new and eco-friendly product due to growing environmental concern is expected to drive growth of the marine lubricants market over the forecast period. For instance, in March 2019, Zaeto launches five environmentally friendly grease and lubricant products for the marine industry.
On the other hand, fluctuating price of crude oil is projected to hinder growth of the market.
Key features of the study: