Automotive Engine Oil Market By Product (0W-20, 0W-30, 0W-40, 5W-20, 5W-30, 5W-40, 10W-60, 10W-40, 15W-40), By Application (Passenger Cars, Commercial Vehicles, Motorcycles), and By Region; Global Insights & Forecast (2024 – 2030)

As per Intent Market Research, the Automotive Engine Oil Market was valued at USD 61.8 billion in 2023 and will surpass USD 89.7 billion by 2030; growing at a CAGR of 5.5% during 2024 - 2030.

The Automotive Engine Oil market is an essential component of the broader automotive maintenance and aftermarket services industry. Engine oils are crucial for vehicle performance, as they lubricate engine parts, reduce friction, and minimize wear and tear. With growing consumer awareness around vehicle maintenance, coupled with stricter regulations regarding emissions and fuel efficiency, the demand for high-quality engine oils has been on the rise. The market offers a variety of products with different viscosity grades and formulations, catering to the diverse needs of vehicles such as passenger cars, commercial vehicles, and motorcycles.

The industry is witnessing a shift towards synthetic and semi-synthetic oils, which offer enhanced performance, longer oil life, and superior protection under extreme conditions. This trend is particularly pronounced in regions where consumers prioritize vehicle longevity and efficiency. As the automotive industry progresses toward greener and more efficient solutions, the engine oil market is also evolving, with manufacturers focusing on developing oils that contribute to improved fuel efficiency and reduced environmental impact.

5W-30 Segment is Largest Owing to Its Versatility and Fuel Efficiency

The 5W-30 product segment is the largest in the automotive engine oil market due to its versatility and fuel efficiency. This grade of oil is widely compatible with a variety of engine types and is especially popular in passenger cars and light-duty vehicles. 5W-30 oil offers a balanced performance that supports smooth engine function in both low and high temperatures, making it suitable for a range of driving conditions. This flexibility has made it a preferred choice among consumers who seek reliable, all-season engine protection.

In addition, 5W-30 engine oil is often recommended by manufacturers for newer vehicles as it contributes to improved fuel efficiency, helping reduce emissions in compliance with stringent environmental regulations. Its balanced viscosity characteristics allow it to flow easily at cold temperatures while providing sufficient lubrication at high temperatures, contributing to its popularity among car owners and automotive professionals. The steady demand for 5W-30 oil across vehicle categories reinforces its dominant position in the market.

Passenger Cars Segment is Largest Due to High Vehicle Ownership and Regular Maintenance Needs

The Passenger Cars application segment leads the automotive engine oil market, primarily due to the high ownership rate and regular maintenance requirements of personal vehicles. Passenger cars constitute the majority of vehicles on the road, and engine oil changes are a routine maintenance task for car owners. As personal vehicle ownership rises globally, driven by urbanization and improving economic conditions, the demand for automotive engine oil for passenger cars has grown significantly.

This segment also benefits from advancements in engine technology, as newer vehicles often require high-performance engine oils to meet efficiency and emission standards. Moreover, the increasing adoption of synthetic oils, which are popular among passenger car owners for their extended oil life and superior protection, further strengthens this segment. The high frequency of oil changes and a large consumer base make the passenger cars segment a substantial contributor to the overall automotive engine oil market.

Asia-Pacific is Fastest Growing Region Due to Expanding Vehicle Market

Asia-Pacific is the fastest-growing region in the automotive engine oil market, driven by the rapid growth in vehicle ownership and automotive manufacturing in countries such as China, India, and Japan. The region’s expanding middle class and increased urbanization have led to a surge in demand for personal vehicles, particularly in emerging economies. This rise in vehicle ownership has directly influenced the demand for engine oils as consumers prioritize regular vehicle maintenance to ensure longevity and performance.

Asia-Pacific is also home to some of the world’s largest automotive manufacturers, who continue to ramp up production to meet both domestic and export demand. The robust growth in both passenger and commercial vehicle segments in this region underpins the increasing demand for engine oils across various grades. As disposable income rises and awareness around vehicle maintenance grows, Asia-Pacific is expected to continue its rapid growth trajectory in the automotive engine oil market.

Competitive Landscape

The Automotive Engine Oil market is highly competitive, with key players such as Royal Dutch Shell, ExxonMobil, BP, TotalEnergies, and Chevron dominating the landscape. These companies invest heavily in research and development to produce high-performance, environmentally friendly engine oils that meet the latest regulatory standards. With a strong emphasis on innovation, leading players offer a wide range of products, from synthetic and semi-synthetic oils to specialty oils designed for extreme conditions.

In addition to established global players, the market also includes regional companies and private label brands, which provide competitive pricing options in local markets. To maintain a competitive edge, companies focus on expanding distribution networks, forming partnerships with automotive service centers, and engaging in direct-to-consumer marketing. As consumer preferences shift toward high-performance and eco-friendly oils, the competitive landscape of the automotive engine oil market remains dynamic, characterized by continuous product innovation and strategic market positioning.

Recent Developments:

• In October 2024, Castrol introduced a new range of synthetic engine oils formulated for electric vehicles, offering advanced lubrication for battery cooling systems.
• In September 2024, Royal Dutch Shell announced the acquisition of a major bio-based engine oil manufacturer to strengthen its position in the eco-friendly oil market.
• In August 2024, Valvoline launched a new high-mileage engine oil line, designed specifically for vehicles with over 75,000 miles to improve engine performance and reduce leaks.
• In July 2024, ExxonMobil released a new series of performance-enhancing engine oils for high-performance sports cars, meeting the latest international regulatory standards.
• In June 2024, TotalEnergies received regulatory approval for its new line of synthetic oils formulated to improve fuel economy and reduce emissions in commercial vehicles.

List of Leading Companies:

• Shell
• Castrol Limited
• Petroliam Nasional Berhad
• Repsol
• Exxon Mobil Corporation
• BP p.l.c.
• Chevron Corporation
• Valvoline Global Operations
• Suncor Energy Inc.
• FUCHS
• China Petroleum & Chemical Corporation
• TotalEnergies
• LUKOIL
• Motul
• Amsoil Inc

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