The global functional fluids market was worth more than USD xx billion in revenue in 2018 and is expected to cross USD xx billion in 2023, growing at a healthy CAGR of over xx% during the forecast period.
Functional Fluids are chemical compositions used to improve productivity, energy efficiency and durability of machines in various industries. Functional fluids are formulated with sources like natural petroleum mineral oils and synthetic polymers. The major use of functional fluids is for automobiles, heavy machinery, and other industrial applications.
Based on the type of source, they can be mineral oil, synthetic and biosynthetic functional fluids.
Based on product segments and functionality, functional fluids include hydraulic and transmission fluids, heat transfer fluids, metalworking fluids, process oils and others.
As functional fluids are one of the major products used in automobile, heavy machinery and other industries, demand from these industries is expected to increase the growth of this market. Demand from automobile, heavy machinery and other markets are actually increasing because of growing population and extra income in developing countries. Additionally, rising demand from various other industries such as metal working and others is likely to drive functional fluids market.
Drivers and Restraints of Functional Fluids Market
Growing investments in automobile, heavy machinery and other industries in regions like Asia and the Americas are likely to offer tremendous possibilities for functional fluids market in the future. As the business requires low intensive capital and has higher accessibility to raw material, many multinational businesses are investing in the market.
Functional fluids are exposed to the probability of volatility in supply and price of crude oil. Functional fluids have an adverse effect on human surroundings if exposed to it for a longer duration. Their acute toxicity often makes environmental regulatory institutions to implement strict regulations on functional fluids usage. Existing and future regulations concerning the use of crude oil based functional fluids are likely to hinder the market growth.
Functional Fluids Market by Region
North America was the largest consumer of functional fluids and this pattern is anticipated to continue to be identical over the following few years. Consumption in the USA is showing upward trend because of increase in economic activity. Growing demand for automobile, aircrafts, heavy machinery and construction and other industries will drive functional fluids market in the USA. With major production capacities in the USA, the region is likely to grow in terms of global supply capability. Consumption of functional fluids in Asia is likely to grow at a significant rate due to demand from automobile, heavy machinery and construction industry. Demand from the Europe was low relatively and is likely to stay same in the next few years.
Top players in this market include BASF, Chemtura Corp, Royal Dutch Shell Plc., Exxon Mobil Corporation, Dow Chemical, Henkel AG, Quaker Chemical Corp., Prestone, BP Plc., Chevron Corporation, Fuchs Petrolub AG, and Idemitsu Kosan Co., Ltd. among others.
The report covers exhaustive analysis on:
- Global Market Size
- Global Market Segments
- Market Regional Analysis
- Global Market Competitive Landscape
- Production Technology
- Global Market Value Chain
- In depth summary of parent market
- Altering market characteristics in the industry
- Detailed market segmentation
- Historical and forecast market size in terms of volume and value
- Current industry developments
- Competitive landscape
- Potential and niche segments, regions showing promising growth