Marine lubricants market worth $6.66 billion by 2023
Marine lubricants market is estimated to be USD 5.98 billion in 2018 and is projected to reach USD 6.66 billion by 2023, at a CAGR of 2.17% from 2018 to 2023, says a market research report.
International Maritime Organization (IMO) 2020 mandates the use of marine fuels with sulfur levels lower than 0.5% to check greenhouse gas emissions. This has halted the operation of many shipping vessels that do not comply with the emission standards, according to MarketsandMarkets.
Industry players are integrating advanced technologies like scrubber systems and selective catalytic reduction systems in older ships to conform to the emission norms. The retrofitting of old ships to keep them operational coupled with the rising marine trade will drive the demand for marine lubricants.
Based on oil type, the global Marine Lubricants Market has been segmented into mineral oil, synthetic, bio-based, and grease. The synthetic segment is projected to grow at the highest CAGR during the forecast period. This high growth rate is attributed to the strong environmental regulations regarding the use of greener products.
Some of the sources involved in the release of lubricants directly into the environment are marine engines, stern tube leakages, and tanker/vessel spills. Synthetic lubricants help in controlling pollution as they are less toxic and can be released into the environment directly.
Based on product type, the global Marine Lubricants Market has been segmented into engine oil, hydraulic fluid, compressor oil, and others. The compressor oil segment is projected to grow at the highest CAGR during the forecast period.
Expanding operations by shipping companies on a global scale and increasing ship sizes are major factors expected to help increase the demand for compressors in the maritime industry.
Among regions, APAC has the busiest ports where a large number of seaborne trades take place. These ports are also maintenance hubs for ships that demand marine lubricants. The Marine Lubricants Market in the APAC region is projected to grow at the highest CAGR between 2018 and 2023.
This growth is mainly attributed to increasing trade activities, rising infrastructural developments in the shipping industry (in the form of increasing network of ports), and growing use of less toxic products in APAC countries, such as India, Japan, South Korea, and China.
Total S.A. (France), BP plc (UK), Royal Dutch Shell plc (Netherlands), Chevron Corporation (US), Sinopec Corporation (China), PJSC Lukoil (Russia), Exxon Mobil Corporation (US), and Idemitsu Kosan Co. Ltd. (Japan) are some of the leading players in the global Marine Lubricants Market.