Metalworking fluid is a formulation that is used to enhance the efficiency of machining tools during various operations such as drilling and grinding. These fluids are highly stable at high and low temperature and also have excellent chemical resistance property. Metalworking fluids help in reducing the heat in machining tools, and eliminate the small metal chips produced during grinding and cutting of metal pieces.
Global metalworking fluids market was valued at US$ 1080.00 Million in 2021 in terms of revenue, exhibiting a CAGR of 4.4% during the forecast period (2022 to 2030).
Increasing production of automobiles is primarily fueling the market growth of metalworking fluids. Metalworking fluids are widely used as coolants across metal treating, metal removal, metal forming, and metal protecting in metalworking application. Hence, growth in the production of the automobiles is expected to foster the market growth of the metalworking fluids.
Increasing demand for automobiles in U.S. is expected to augment growth of the metalworking fluids market over the forecast period. Emerging economies such as India, China, Brazil, and Russia are witnessing significant growth in automotive and transportation services, specially manufacturing sectors. The increasing production of vehicles is the major factor driving demand for metalworking fluids. Besides automotive industries, aerospace, railways, marine, and defense industries are also contributing to the growth of global metalworking fluids market.
The global economy has suffered a negative impact during and after the COVID-19 pandemic. It has hit major industrial hubs of the world, which has resulted in supply chain disruptions and production halts. Manufacturing and industrial production in many countries witnessed sharpest declines. Small and medium-sized enterprises (SMEs) have been hit hard globally. This reduced demand for metalworking fluids during the pandemic.
Figure 1. Global Metalworking Fluids Market Value Share (%), By Region, 2021
Environmental issues like contamination of soil, groundwater, seawater and health risks such as asthma, chronic bronchitis, cancer and skin diseases associated with the workers is expected to hinder the market growth of metalworking fluids. Metalworking fluids release various toxic waste disposal that creates environmental issues. Moreover, the chemical present in metalworking fluids lead to cancer, respiratory and skin diseases to workers. All these factors are expected to hamper the market growth of metalworking fluids during the forecast period.
|Base Year:||2021||Market Size in 2021:||US$ 1080.00 Mn|
|Historical Data for:||2017-2020||Estimated Year:||2022|
|Forecast Period 2022 to 2030 CAGR:||4.4%||Forecast Period:||2022-2030|
Apar Industries Ltd., Castrol Limited, Chevron Phillips Chemical Company LP, Chem Arrow Corporation, Exxon Mobil Corporation, FUCHS, Houghton, Lukoil Lubricants, and The Lubrizol Corporation
|Restraints & Challenges:||
The growing aerospace industry in the North America region is expected to drive demand for metalworking fluids and this is attributed to growing travel & tourism trends. According to USA Government, the U.S. aerospace industry is the largest in the world. In 2018, the industry contributed US$151 billion in export sales to the U.S. economy. The foreign direct investment (FDI) into the U.S. aerospace industry totalled around US$ 22 billion in 2018.
The establishment of new facilities in machinery and tools by manufacturers for increasing production capacities is a growing trend in the industry. This trend is expected to foster the market growth. For instance, in February 2019, Quaker Chemical Corporation held the grand opening of its state-of-the-art manufacturing facility in Dahej, India. The site will produce rolling oils and metalworking fluids for the steel and metalworking market in India, Middle East, and East Africa.
Figure 2. Global Metalworking Fluids Market Value Share (%), By Application, 2021
On the basis of application in 2021, removal fluids segment accounted for the largest market share of 49.4%, in terms of value, followed by forming fluids and protecting fluids segment respectively.
Major players operating in the global metalworking fluids market include Apar Industries Ltd., Castrol Limited, Chevron Phillips Chemical Company LP, Chem Arrow Corporation, Exxon Mobil Corporation, FUCHS, Houghton, Lukoil Lubricants, and The Lubrizol Corporation.
Metalworking fluids are chemical solutions used to improve the performance of the machining tools during manufacturing operations. They have excellent resistance to chemicals and provide lubrication to various metal parts. They are classified into forming fluids, removal fluids, protecting fluids, and treating fluids. Automotive, metal fabrication, machinery, and manufacturing industry are some of the major end user of the metalworking fluids.
Partnerships and collaborations among major manufacturers of machinery and tools for strengthening regional as well as global presence is a major trend in the market. For instance, in August 2018, Yushiro Manufacturing America, Inc., a subsidiary of Yushiro Chemical Industry Co., Ltd. and QualiChem, Inc. announced that they have entered into a global strategic partnership. Yushiro is a supplier of metalworking fluids in the Asia Pacific region, and QualiChem is a metalworking fluids business in Salem, North America.
Growing steel & metal fabrication industry is expected to drive the market growth of the metalworking fluids. According to the India Brand Equity Foundation, India was the world’s second-largest steel producer with production standing at 106.5 MT in 2018. Moreover, India’s steel production capacity has expanded to 137.975 million tons in 2019.
Fluctuating price of crude oil due to the geopolitical scenario is expected to hamper the market growth of the metalworking fluids.
Key features of the study:
“*” marked represents similar segmentation in other categories in the respective section.
Joining thousands of companies around the world committed to making the Excellent Business Solutions.View All Our Clients