Commercial aviation is gaining traction across the world. Rising passenger traffic and reduced airfares have created an environment conducive to the growth of the aviation lubricants market, finds a new study. According to the report, the market is poised to exhibit a steady CAGR of five percent during the forecast period of 2020 to 2030.
Demand for next generation aircraft lubricants is rising to ensure greater fuel efficiency and support growing travel and transport via aircraft. While developed nations will continue accounting for a lion’s share, surging air traffic witnessed in emerging economies will also aid the expansion of the aviation lubricants market over the coming years.
Key Takeaways from Aviation Lubricants Market Study
- Business jets and turboprop planes are likely to account for a majority of lubricant oil sales.
- Demand for mineral oils is expected to surge considerably over the forecast period.
- While synthetic lubricant producers have been exhibiting dominance, the spotlight is expected to shift to bio-based oils in response to soaring environmental concerns.
- Maintenance, repair, and operations (MROs) will emerge as the most preferred sales channel in the global aviation lubricants market.
- North America will continue exhibiting high demand for aviation lubricants throughout the forecast period.
- Reduced air travel amidst the COVID-19 pandemic is expected to stunt market growth in the near term.
Rising Air Traffic Creating Growth Opportunities
Increase in air traffic is projected to bolster the growth of the aviation lubricants market over the coming years. With the aviation industry expanding steadily, key market players are emphasizing on manufacturing semi-synthetic and synthetic lubricants to cater to huge requirements. In addition, demand for cargo services has risen considerably. This trend is unlikely to slow down anytime soon, causing demand uptick in the aviation lubricants market space.
Expanding Aviation Industry Propelling Growth
Rising environmental concern have resulted in surge in demand for bio-based oils. Yet, synthetic and semi-synthetic oils will still continue to dominate throughout the forecast period. Synthetic and semi-synthetic oils, being highly-efficient for fast and smooth engine movement, cost-effective, and lightweight, are witnessing increasing demand in the aviation sector. As a result, steady expansion of the aviation industry is spurring the growth of the global aviation lubricants market.
Who is winning?
The aviation lubricants market is highly consolidated in nature due to the presence of a limited number of companies. Some of the leading players operating in the market are Royal Dutch Shell Plc., Total Group, NYCO, Eastman Chemical Company, The Chemours Company, Phillips 66 Company, and Nye Lubricants, Inc. In order to a gain competitive advantage, some of these companies are focusing on launching next-generation fuels to ensure greater fuel economy in the aviation sector.
