Synthetic Gear Oil Market - Forecasts from 2023 to 2028

The synthetic gear oil market is estimated to grow at a CAGR of 4.55% during the forecast period.

Synthetic gear oil is a specially formulated lubricant created through the modification or synthesis of chemical compounds. There are various types of synthetic gear oils available, including synthetic hydrocarbon oils, polyglycols, and ester oils. The synthetic gear oil market serves a wide range of end users, including the automotive, marine, industrial, and various other sectors. The growth of the synthetic gear oil industry is primarily driven by the rising demand for automobiles, which has led to an increase in overall market size.

Bolstering automotive growth drives synthetic gear oil market growth.

Synthetic gear oil is widely used in the automotive due to its ability to withstand high temperatures, heavy loads, and extreme operating conditions. Synthetic gear oil offers superior thermal stability, improved viscosity index, and excellent lubrication properties, providing enhanced protection for gears and bearings. The automotive sector is experiencing significant growth due to higher demand for vehicles, resulting in a greater need for reliable and high-performance lubricants like synthetic gear oil. According to the Census and Economic Information Centre, in December 2022, the production of motor vehicles in Germany reached 3,677,820 units, representing a significant growth of 11.2% compared to the previous year.

Booming marine sector drives the synthetic gear oil market expansion.

The marine environment faces unique challenges such as exposure to saltwater, high loads, extreme temperatures, and constant vibration. Synthetic gear oil offers superior lubrication, corrosion protection, thermal stability, and oxidation resistance, ensuring optimal performance and extended equipment life. Additionally, the increasing demand in the marine sector is driven by factors like growing international trade, offshore exploration, and the expansion of the shipping industry which is creating a need for reliable and efficient lubrication solutions to enhance vessel performance.

Rapid industrialization drives synthetic gear oil market growth.

Synthetic gear oil is widely used in industrial manufacturing machinery due to its superior lubrication and protection properties. It offers excellent thermal stability, high viscosity index, and resistance to extreme operating conditions, making it ideal for industrial applications. As industrialization continues to expand, there is a growing demand for machinery and equipment, leading to a higher need for reliable lubricants like synthetic gear oil.

Asia-Pacific is anticipated to be the market leader.

The Asia-Pacific will account for significant market share due to its rapidly growing automotive production which has created a significant need for synthetic gear oils, as they offer superior performance and efficiency. According to the Society of Indian Automobile Manufacturers, India witnessed a notable increase in automobile production, with the total number of vehicles manufactured reaching 2,26,55,609 in 2020-2021. This figure further grew by 14.5% to reach 2,59,31,867 in the year 2022-2023. Also, according to the International Organization of Motor Vehicle Manufacturers, in 2021, China's total motor vehicle production reached 26,082,220 units, marking a 3% increase compared to the previous year.

Alternative availability will restrain the synthetic gear oil market growth.

The cost differential between synthetic gear oils and conventional mineral-based gear oils poses a significant restraint to the widespread adoption of synthetic options. Synthetic gear oils generally incur higher production and manufacturing costs, resulting in a higher price point compared to their conventional counterparts. This cost disparity creates accessibility challenges for certain industries, particularly those operating under tight budget constraints. As a result, these industries may be deterred from embracing synthetic gear oils, opting for more affordable alternatives instead. The cost factor thus serves as a significant limitation to the broader utilization of synthetic gear oils across various sectors.

Key Developments

• October 2021:MOTOREX introduced ALPINE PRO 220, a fully synthetic gear oil specifically designed for snow groomers, boasting enhanced properties and a range of benefits. This advanced oil ensures optimum protection for gear wheels, bearings, and brake discs, delivering maximum performance and longevity in harsh snow grooming conditions. With its exceptional formulation, ALPINE PRO 220 offers superior lubrication properties, minimizing friction, reducing wear, and extending the lifespan of critical components.
• January 2021:Valvoline Inc, a prominent global provider of high-quality lubricants and automotive services, introduced its latest packaging innovation for gear oil called FlexFil. FlexFill, the patented bag innovation, revolutionizes the process of changing synthetic gear oil, ensuring an effortless and efficient automotive DIY experience while promoting flexibility and minimizing waste.

Company Products

• Duolec Syn Gear Lubricant:Lubrication Engineers provides Duolec Syn Gear Lubricant, a premium product that utilizes a 100% synthetic base fluid to deliver exceptional performance in various temperature conditions. With its synthetic base fluid, this top-tier lubricant offers outstanding temperature resistance and superior oxidation stability, ensuring a longer lifespan for the lubricant and reducing the need for frequent and costly oil changes. Duolec Syn Gear Lubricant is specifically engineered to endure extreme loads and stresses typically encountered in heavy-duty applications, making it well-suited for pulverizer gear units and similar demanding environments.
• Servosyngear HVI 220:Indian Oil Corporation offers Servosyngear HVI 220, a premium synthetic gear lubricant. These lubricants are based on Polyalkylene Glycol (PAG), providing inherent advantages such as a high viscosity index and exceptional thermal and oxidation stability. Specifically designed for worm gear lubrication, Servosyngear HVI Oils are also highly recommended for various gear types, as well as anti-friction and plain bearings operating under extremely challenging conditions.

Segmentation

By Type

• Synthetic Hydrocarbon Oils
• Polyglycols
• Ester Oils

By Gear Type

• Bevel Gear
• Worm Gear
• Helical Gear
• Spur Gear

By End-User

• Automotive
• Marine
• Industrial
• Others

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• Germany
• UK
• France
• Spain
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Others
• Asia Pacific
• China
• Japan
• South Korea
• India
• Australia
• Other