Compressor oil is a mixture of specially formulated fluids such as base oil (extracted from crude oil in various plants) and additives. The performance of compressor oil is mostly dependent on base oil characteristics. Compressor oil is a lubricant used for proper working of metal parts and for lubrication purpose involved in variety of reciprocating and rotary gas compressors. It serves as a sealing fluid, as protective surface film to decrease friction, and for performance improvement of compressor.

Market Dynamics:-

Increasing demand for compressor oil from marine, refrigeration, and automotive industry is expected to boost growth of the compressor oil market during the forecast period. Moreover, refilling of compressor oil in end-use industries such as power generation, oil & gas, and others during maintenance period also helps to boost the compressor oil market growth.

Among product type, the dynamic displacement compressor segment is expected to hold dominant position in the compressor oil market during the forecast period. Dynamic displacement compressors find applications in mining, food processing, petroleum refining, pulp and paper, and other industries. Compressor oils are used by these industries for in maintenance of equipment as they offer smooth functioning of equipment.

However, increasing demand for oil-free compressors is expected to adversely affect growth of the compressor oil market. Oil-free compressor offer some advantages such as, efficient operation at lower costs, retrofitting of existing systems, rising adoption of variable-speed compressors, and low maintenance costs.

Market Outlook:-

Asia Pacific holds dominant position in the compressor oil market and is the fastest growing market during the forecast period. Increasing demand for automobiles in the region is expected to boost growth of Asia Pacific compressor oil market over the forecast period. Compressor oil is used for removal of heat, for sealing, and for lubrication purposes in air condition systems in the automobile industry. Furthermore, increasing government initiatives for rapid growth of manufacturing industries is expected to support the market growth in the region.

According to Global Trade Atlas, MIIT, China Association of Automobile Manufacturers, China continues to be the world’s largest vehicle market with sales of over 28 million units in 2016, and is expected to reach 30 million units by 2020 and 35 million units by 2025.

Key Players:-

Major players operating in the global compressor oil market include, Fuchs Petrolub AG, Exxon Mobil Corporation, Total S.A., Royal Dutch Shell plc, Sinopec Limited, The Dow Chemical Company, Chevron Corporation, Lukoil, BP plc., BASF SE, Sasol Limited, Croda International plc., and others.

Market Taxonomy:-

On the basis of compressor type, the global compressor oil market is segmented into:

  • Dynamic Displacement
  • Positive Displacement

On the basis of base oil type, the global compressor oil market is segmented into:

  • Synthetic
  • Mineral
  • Semi-synthetic
  • Bio-based

On the basis of end-use industry, the global compressor oil market is segmented into:

  • Industrial Machinery
  • Power Generation
  • Oil and Gas
  • Automotive
  • Others

On the basis of region, the global compressor oil market is segmented into:

  • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Argentina
    • Mexico
  • Europe
    • U.K.
    • Germany
    • Italy
    • Spain
    • France
    • Poland
    • Russia
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • New Zealand
    • Japan
    • ASEAN
    • Australia
  • Middle East and Africa

Compressor Oil Market Key Developments:

  • In April 2016, Exxon Mobil Corporation introduced its new lubricant ‘Mobil SHC Gargoyle 80 POE’. This is a lubricant intended for use in refrigeration compressors. This lubricant oil is formulated using polyol ester technology (POE) and is specifically designed for reciprocating compressors using carbon dioxide as a refrigerant.
  • In August 2016, Fuchs Petrolub SE, a global leader in lubricants industry, announced that it has acquired a Delaware based company Ultrachem Inc. Ultrachem Inc is a producer and supplier of specialty synthetic lubricants for the compressor (Original equipment manufacturer) OEM. This acquisition is expected to strengthen Fuchs’ product portfolio.
  • In June 2019, Total Lubrifiants SA launched ‘Planetelf PAG K 40’ which is a high performance lubricant for automotive air conditioning compressors. Planetelf PAG K 40 meet the requirements of both R134a and HFO-1234yf refrigerant gases which are present in the automotive air-conditioners. Planetelf PAG K 40 is expected to offer good miscibility, and reduce wear on compressors.

Research Methodology

Coherent Market Insights followsa comprehensive research methodology focused on providing the most precise market analysis. The company leverages a data triangulation model which helps company to gauge the market dynamics and provide accurate estimates. Key components of the research methodologies followed for all our market reports include:

  • Primary Research (Trade Surveys and Experts Interviews)
  • Desk Research
  • Proprietor Data Analytics Model

In addition to this, Coherent Market Insights has access to a wide range of the regional and global reputed paid data bases, which helps the company to figure out the regional and global market trends and dynamics. The company analyses the industry from the 360 Degree Perspective i.e. from the Supply Side and Demand Side which enables us to provide granular details of the entire ecosystem for each study. Finally, a Top-Down approach and Bottom-Up approach is followed to arrive at ultimate research findings.

Data Triangulation Methodology | Coherent Market Insights

Coherent Market Insights desk research is based on a principle set of research techniques:

  • National level desk research: It Includes research analysis of regional players, regional regulatory bodies, regional trade associations, and regional organization.
  • Multinational level desk research: The research team keeps a track of multinational players, global regulatory bodies, global trade associations, and global organization.

Coherent Market Insights has a large amount of in-house repository of industry database. This is leveraged as a burner for initiating a new research study. Key secondary sources include:

  • Governmental bodies, National and international social welfare institutions, and organizations creating economic policies among others.
  • Trade association, National and international media and trade press.
  • Company Annual reports, SEC filings, Corporate Presentations, press release, news, and specification sheet of manufacturers, system integrators, brick and mortar - distributors and retailers, and third party online commerce players.
  • Scientific journals, and other technical magazines and whitepapers.

Market Analysis | Coherent Market Insights

Preliminary Data Mining

The raw data is obtained through the secondary findings, in house repositories, and trade surveys. It is then filtered to ensure that the relevant information including industry dynamics, trends, and outlook is retained for further research process.

Data Standardization

Holistic approach is used to ensure that the granular and uncommon parameters are taken into consideration to ensure accurate results. The information from the paid databases are further combined to the raw data in order to standardize it.

Coherent Statistical model

We arrive at our final research findings through simulation models. Coherent Data Analytics Model is a statistical tool that helps company to forecast market estimates. Few of the parameters considered as a part of the statistical model include:

  • Micro-economic indicators
  • Macro-economic indicators
  • Environmental indicators
  • Socio-political indicators
  • Technology indicators

Data Processing

Once the findings are derived from the statistical model, large volume of data is process to confirm accurate research results. Data analytics and processing tools are adopted to process large chunk of collected informative data. In case, a client customizes the study during the process, the research finding till then are benchmarked, and the process for new research requirement is initiated again.

Data Validation

This is the most crucial stage of the research process. Primary Interviews are conducted to validate the data and analysis. This helps in achieving the following purposes:

  • It provides first-hand information on the market dynamics, outlook, and growth parameters.
  • Industry experts validates the estimates which helps the company to cement the on-going research study.
  • Primary research includes online surveys, face-to face interviews, and telephonic interviews.

The primary research is conducted with the ecosystem players including, but not limited to:

  • Raw Material Suppliers
  • Manufacturers
  • System Integrators
  • Distributors
  • End-users