Lubricating oil additives are a class of chemicals that enhance the performance of lubricants. These chemical substances include emulsifiers, detergents, and corrosion inhibitors. They are added to lubricants to improve their performance, reduce friction, prevent wear and tear, and extend the life of engine components.
The use of lubricants in the automotive industry is growing rapidly due to rising demand for fuel-efficient vehicles and improved technology. As a result, the market for lubricating oil additives is expected to expand. Despite these factors, some industry players are facing stiff competition from unorganized businesses, which offer cheap, inferior goods.
Increased demand for new vehicles is expected to boost the growth of the automotive industry. This, in turn, will drive the market for lubricating oil additives. In addition to this, advancements in technology are driving the introduction of new vehicles.
Furthermore, the emergence of the transportation industry in the Asian region is anticipated to accelerate the demand for lubricants. Due to this, the automotive industry is estimated to be the leading application for lubricating oil additives. Moreover, the automotive industry is expected to grow at a CAGR of 3.30% during the forecast period.
The lubricating oil additives market in Asia Pacific is dominated by the automotive sector. This is attributed to the growing industrial base in this region, and rapid urbanization. Increasing sales of commercial and passenger vehicles are also boosting the market.
Similarly, the lubricating oil additives market in Europe is expected to see an increase in the coming years. Besides, this market is heavily regulated.