Global Grease Market - Forecasts from 2025 to 2030

The global grease market is projected to grow at a CAGR of 2.02% during the forecast period, reaching US$4,298.093 million by 2030 from US$3,899.954 million in 2025.

Grease is a semi-solid lubricant that prevents corrosion, strain, and wear on vessels, machinery, automobiles, and their parts. It comprises additives that improve performance, as well as lubricating fluids and thickeners. It's made from rendered fat from waste animal parts, inedible lard, and synthetic oil, or it might be petroleum-based. The market is expected to increase due to factors such as the increasing manufacturing sector, rapid industrialization, and the increasing acceptance of better performance greases in the power and electric vehicle industries. In addition, the market is expected to increase due to the implementation of various government efforts to encourage the use of bio-based grease and rising product demand in the industrial sector.

Global Grease Market Drivers

• The growing demand from the automotive and manufacturing sectors.

The global grease market is mostly fueled by demand from the automobile industry. During the projection period, the rising OEM and RMO markets in the automobile industry are likely to directly influence grease consumption. Moreover, increasing government initiatives and investments in the automotive industry will also boost the demand for the global grease market in the coming years. For instance, in March 2022, LG Energy Solution and automaker Stellantis partnered to create Windsor's first large-scale electric vehicle (EV) battery production factory, with backing from the Ontario, federal, and municipal governments. The partnership between LG Energy Solution, Ltd. (LGES) and Stellantis N.V. will fund more than CDN $5 billion (USD 4.1 billion) in Windsor to develop a factory to produce batteries for electric vehicles, which will be the province's biggest auto manufacturing project.

Similarly, the PLI Scheme announced by the Indian Government for growing the automotive sector is anticipated to positively influence the market in the projected period. For instance, the Union Cabinet approved the PLI-Auto Scheme in September 2021, with a budgetary outlay of Rupee 25,938 crore for 5 years (FY2022-23 to FY2026-27). The PLI-AUTO Scheme will boost the manufacturing of Advanced Automotive Technology (AAT) Products. This scheme will also help facilitate and promote deep localization for AAT products and enable the creation of domestic and global supply chains.

Furthermore, the growing manufacturing industry worldwide will also propel demand for grease in the market. For example, as per the data by the Federal Reserve, in February 2022, manufacturing production in the United States increased 7.4% year over year, the largest annual growth in seven months. Similarly, according to the Federal Statistical Office, manufacturing production in Germany increased by 0.22 percent in January 2022 compared to the same month the previous year.

Global Grease Market Geographical Outlooks:

• During the projected period, Asia Pacific is expected to hold a significant proportion of the global grease market.

Increased growth in the automotive and manufacturing industries in this region, particularly India and China, is anticipated to be a major factor for the market growth during the forecast period. According to the China Association of Automobile Manufacturers (CAAM), car sales in the country are expected to increase by 5.4 percent to 27.5 million in 2022.

Similarly, according to OCIA, International Organization of Motor Vehicle Manufacturers, in 2022, in the US, 1,751,736 units were made, a 10% rise compared to that recorded in 2021, where the figure was 1,563,060 units. Such an elevated rise in the automobile production lines indicates enhanced consumption of key parts used like grease, which is indispensable to avoid friction and upgrade efficiency with durability in the constituents. With the automotive industry further recovering and expanding, the rising output of passenger cars and electric and hybrid vehicle innovation is expected to raise the demand for high-performance grease formulations. The growth is also supported by the focus on durability, efficiency, and sustainability, making grease an essential product in automotive and other end-use industries in the coming years.

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Report Coverage:

• Historical data & forecasts from 2022 to 2030
• Growth Opportunities, Challenges, Supply Chain Outlook, Regulatory Framework, Customer Behaviour, and Trend Analysis
• Competitive Positioning, Strategies, and Market Share Analysis
• Revenue Growth and Forecast Assessment of segments and regions including countries
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The Global Grease market is segmented and analyzed as follows:

By Thickener Type

• Metallic Soap
• Non-Soap Thickener
• Others

By Industrial Vertical

• Automotive
• Construction
• Metallurgy
• Mining
• Energy & Power
• Food & Beverage
• Manufacturing

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• Germany
• France
• United Kingdom
• Italy
• Others
• Middle East and Africa
• Saudi Arabia
• Israel
• Others
• Asia Pacific
• China
• Japan
• South Korea
• India
• Others