[480 Pages Report] The base oil market size is projected to grow from USD 33.7 billion in 2019 to USD 39.6 billion by 2024, at a CAGR of 3.3% from 2019 to 2024. Surging demand for high-grade oils in the automotive industry and increasing GDP in Asia Pacific led by the increasing industrial activities are fueling the growth of the market across the globe. Lucrative market opportunities from BRIC nations (Brazil, Russia, India, and China) and rising demand for renewable energy are expected to boost the market�s growth.

Group II segment to register the highest CAGR from 2019 to 2024

Based on group, the Group II segment accounted for the largest base oil market share in 2018. This segment is projected to lead the market in terms of both value and volume during the forecast period. Group II base oil can be employed in a multitude of applications, such as marine and gas engines, in trunk piston engine oils, and other applications in the base oil industry. The high consumption of Group II base oil is mainly attributed to its higher performance and affordability in comparison to the other groups of base oil.

Automotive oil segment to dominate the base oil market from 2019 to 2024

Based on application, the base oil industry has been segmented into automotive oil, industrial oil, hydraulic oil, grease, metalworking fluid, and others. The other applications include agriculture, additives, and detergents/dispersants. The automotive oil application segment is projected to lead the market during the forecast period in terms of both value and volume. The growth of this segment can be attributed to the growth of the automotive sector in developing countries, such as India and China. In Asia Pacific, the population growth is increasing the demand for automobiles, thus propelling the market for base oil in the automotive oil application segment.

Asia Pacific to lead the base oil market during the forecast period

The Asia Pacific region is estimated to be the largest market for base oil in 2019. China, Japan, and India are the significant consumers of base oil in this region. Increasing GDP led by the rising industrial activities has increased the demand for base oil in this region. The growth of transportation, power generation, mining, and other sectors are also responsible for the growth of the base oil market in the Asia Pacific region.

Key Market Players

Chevron Corporation (US), Exxon Mobil Corporation (US), S-OIL Corporation (South Korea), Motiva Enterprises LLC (US), SK innovation Co., Ltd. (South Korea), Royal Dutch Shell plc (Netherlands), Neste Oyj (Finland), AVISTA OIL AG (Germany), Nynas AB (Sweden), Repsol S.A. (Spain), Ergon, Inc. (US), Calumet Specialty Products Partners, L.P. (US), H&R Group (Germany), Sinopec Corp. (China), PetroChina Company Limited (China), Saudi Aramco (Saudi Arabia), Abu Dhabi National Oil Company (ADNOC) (UAE), PT Pertamina (Persero) (Indonesia), Phillips 66 (US), Petroliam Nasional Berhad (PETRONAS) (Malaysia), GRUPA LOTOS S.A. (Poland), Sepahan Oil (Iran), GS Caltex Corporation (South Korea), and Hindustan Petroleum Corporation Limited or HPCL (India) are some of the leading players operating in the base oil market. These players have adopted the strategies of agreements, expansions, new product launches, acquisitions, collaborations, contracts, investments, and divestments to enhance their position in the market.

Scope of the Report:

Report Metric Details Market Size Available for Years 2017�2024 Base Year Considered 2018 Forecast Period 2019�2024 Forecast Units Value (USD Billion) and Volume (Kilotons) Segments Covered Group, Application, and Region Geographies Covered Asia Pacific, Europe, North America, Middle East & Africa, and South America Companies Covered Chevron Corporation (US), Exxon Mobil Corporation (US), S-OIL Corporation (South Korea), Motiva Enterprises LLC (US), SK innovation Co., Ltd. (South Korea), AVISTA OIL AG (Germany), Nynas AB (Sweden), Repsol S.A. (Spain), Ergon, Inc. (US), Calumet Specialty Products Partners, L.P. (US), H&R Group (Germany), Sinopec Corp. (China), PetroChina Company Limited (China), Saudi Aramco (Saudi Arabia), Abu Dhabi National Oil Company (ADNOC) (UAE).

Total 24 major players covered.

This research report categorizes the base oil market based on group, application, type (qualitative), and region.

Based on Group

Group I

Group II

Group III

Group IV

Group V

Based on Application

Automotive Oil

Industrial Oil

Hydraulic Oil

Grease

Metalworking Fluid

Others Agriculture Additives Detergents/Dispersants



Based on Type (qualitative)

Mineral

Synthetic

Bio-based

Based on Region

Asia Pacific

Europe

North America

Middle East & Africa

South America

Key Questions Addressed by the Report

How are developments undertaken by various companies expected to affect the base oil market in the mid- to long-term?

What are the upcoming industry applications of base oil?

What is the impact of changes in government policies on the base oil market?

What is the estimated size of the base oil market in 2019?

What are the different applications of base oil?

Frequently Asked Questions (FAQ): What are the various groups of base oil? According to the American Petroleum Institute (API), base oil has been characterized into five groups; Group I, Group II, Group III, Group IV, and Group V. What are the basic difference between Group I, II,III, IV and V base oils? The American Petroleum Institute (API) categorizes base oil into Group I, Group II, Group III, Group IV, and Group V. These base oil group division is based upon the chemical compositions and other physical properties, such as sulfur level, viscosity index, and saturates level. The first three groups (Group I, II, and III) are obtained from the refining of petroleum crude oil, whereas, Group IV is a fully synthetic (poly-alpha-olefin) oil. Group V comprises all base oils not included in Groups I, II, III, or IV. Naphthenic base oils, various synthetic esters, polyalkylene glycols (PAGs), phosphate esters, and others fall into Group V. Which group of base oil, leading the global market and why? Group II base oil dominated the global market in 2018. It contains more than 90 percent saturates and less than 0.03 percent sulfur and is available in the viscosity index ranging from 80 to 120. This group of base oil is mostly produced by the hydrocracking process. The increasing demand for clear and high-efficiency lubricants is driving the demand for Group II base oil in the western markets, whereas demand from industrial lubricants is considered as a key factor contributing to the growth of the Group II base oil market in Asian countries. What is the major factor, for the global base oil market growth? Rapidly growing demand for the high-grade lubricating oil in the automotive industry is considered as one of the major factors, driving the growth of the base oil market around the world. Advanced engine technology at present, is propelling the demand for high-grade lubricants to provide compatibility to fast-moving parts and high temperatures. The selection of base oil has a huge impact on the overall performance of the finished lubricants. Engine oils are composed of 70�90 percent base oil and 10�30 percent additives. Thus, the growing demand for high-grade engine oils is expected to fuel the market for base oil as well. What is biggest restraint for the base oil market? Declining demand for the Group I base oil is considered as a major challenge for the overall base oil market growth. Since the early 20th century, base oil production has been dominated by Group I. However, at present, the Group I base oil is expected to record a significant drop in demand, especially in the European and North American regions. Group I base oil has a high content of impurities, such as sulfur, nitrogen, olefins, and PCNA (Poly-Cyclic Nuclear Aromatics). The high sulfur content of Group I base oil makes it difficult to meet the mid SAPS (Sulfated Ash, Phosphorous, and Sulfur) specifications or match the high performance of lighter viscosity grade oils. What are the key applications of the base oil? The applications of base oil include automotive oil, industrial oil, metalworking fluid, hydraulic oil, grease, and others (agriculture, additives, and detergents/dispersants).Among all automotive oil, consumed the highest amount of base oil in 2018. Which type of base oil is most suitable for industrial oil? Naphthenic base oils are generally used to prepare industrial oils, which include turbine oil, transformer oil, refrigeration oil, oil for textile lubrication, and cutting fluid. The growth of the industrial oil segment is majorly driven by the increased consumption in Asia Pacific, due to rapid industrialization in the region. Who are the major players, operating in the global base oil market? Some of the key players in the base oil market are Chevron Corporation (US), Exxon Mobil Corporation (US), S-Oil Corporation (South Korea), Motiva Enterprises LLC (US), SK innovation Co., Ltd. (South Korea), Saudi Aramco (Saudi Arabia), Sinopec Corp. (China), Ergon, Inc. (US), Neste Oyj (Finland), Nynas AB (Sweden), Hindustan Petroleum Corporation Limited (HPCL) (India), PetroChina Company Limited (China), Abu Dhabi National Oil Company (ADNOC) (UAE), and Calumet Specialty Products Partners, L.P. (US).

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