PUBLISHER: The Business Research Company | PRODUCT CODE: 1653280
PUBLISHER: The Business Research Company | PRODUCT CODE: 1653280
Process oils are specialized oils derived from petroleum, serving as carriers for other products and finding application as a component in various industries.
The primary types of process oils include naphthenic, paraffinic, non-carcinogenic, and aromatic. Paraffinic denotes a waxy crystalline flammable substance obtained from distillates of wood, coal, petroleum, or shale oil. It is a complex mixture of hydrocarbons and is utilized primarily in coating and sealing, candles, rubber compounding, as well as in pharmaceuticals and cosmetics. These oils serve various functions such as extender oil, plasticizer, solvent, defoamer, among others, and find applications in rubber processing, adhesives and sealants, consumer products, paints and coatings, pharmaceuticals, polymers, and various other industrial applications.
The process oil market research report is one of a series of new reports from The Business Research Company that provides process oil market statistics, including process oil industry global market size, regional shares, competitors with a process oil market share, detailed process oil market segments, market trends and opportunities, and any further data you may need to thrive in the process oil industry. This process oil market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The process oil market size has grown strongly in recent years. It will grow from $5.46 billion in 2024 to $5.77 billion in 2025 at a compound annual growth rate (CAGR) of 5.7%. The growth in the historic period can be attributed to industrial growth, automotive sector, construction boom, globalization.
The process oil market size is expected to see strong growth in the next few years. It will grow to $7.1 billion in 2029 at a compound annual growth rate (CAGR) of 5.3%. The growth in the forecast period can be attributed to emerging economies, environmental regulations, automotive innovations, construction and infrastructure projects. Major trends in the forecast period include technological advancements, shift to bio-based process oils, increased emphasis on specialty process oils.
The expansion of the automotive industry is anticipated to drive the growth of the process oil market in the future. The automotive industry encompasses the design, manufacture, and sale of vehicles. Process oils are compatible with most rubber polymers and are widely utilized in the production of automobile tires, tread rubber, conveyor belts, automotive components, and floor mats. For example, in May 2023, the European Automobile Manufacturers Association, a Belgium-based organization, reported that 85.4 million motor vehicles were produced globally in 2022, marking a 5.7% increase compared to 2021. Thus, the growth of the automotive industry is fueling the expansion of the process oil market.
The rising demand for personal care products is expected to be a driving force behind the growth of the process oil market in the coming years. Personal care products encompass a diverse range of items used for personal hygiene, grooming, and overall well-being. Process oils play a crucial role in skincare products, such as lotions, creams, and moisturizers, contributing to skin softening and hydration. McKinsey & Company reported in May 2023 that the beauty market in the United States generated approximately $430 billion in revenue in 2022, with a projected annual growth rate of 8% for the premium beauty tier between 2022 and 2027. This escalating demand for personal care products is expected to fuel the growth of the process oil market.
Leading companies in the process oil market are developing innovative products like high-octane petrol, which improves engine performance and fuel efficiency while adhering to stricter environmental standards. High-octane petrol is a fuel specifically formulated for use in internal combustion engines, particularly in vehicles. For example, in July 2024, Indian Oil Corporation Limited, a petroleum refining company based in India, introduced STORM-X. STORM-X is a high-octane petrol tailored for racing cars, designed to enhance performance in motorsports and specifically targeting racing enthusiasts and teams.
Strategic partnerships are a key focus for major companies in the process oil market to expand their market reach and capitalize on business opportunities. In August 2022, Cross Oil Refining & Marketing Inc., an American oil refinery, and Process Oils Inc., a US-based supplier of process oils and base oils, entered into a strategic marketing agreement. This collaboration involves Process Oils taking on the responsibility of selling Cross Oil's product range, enhancing customer benefits such as cost savings on shipping, a wider product selection, and a reliable supply chain. Additionally, it facilitates Cross's outreach to new customers, providing access to technical expertise, resources, and an extended logistics network.
In August 2023, Process Oils Inc., a US-based supplier of process oils and base oils, acquired MOGoil GmbH for an undisclosed amount. This acquisition allows Process Oils Inc. to bolster its presence in Europe to satisfy the demand for base oils, which are crucial in several industries, including automotive and industrial lubricants. MOGoil GmbH is a process oil provider based in Germany.
Major companies operating in the process oil market include Shell plc, Exxon Mobil Corporation, TotalEnergies SE, Indian Oil Corporation Limited, National Petroleum Limited(PETRONAS), Repsol S. A, Hindustan Petroleum Corporation Limited, Idemitsu Kosan Co. Ltd., Orlen Unipetrol, Panama Petrochem Ltd., Nynas AB, H&R GROUP, Apar Industries Ltd., Gandhar Group, HF Sinclair Corporation, CPC Corporation (Taiwan Chinese Prtroleum Co. ), Chevron Corporation, Ergon Inc., PJSC Gazprom, Saudi Aramco, Calumet Specialty Products Partners L. P., The Phillips 66 Company, Bharat Petroleum Corporation Limited, PJSC Rosneft Oil Company, JX Nippon Oil & Energy, PT Pertamina, Thai Oil Public Company Limited
Asia-Pacific was the largest region in the process oil market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the process oil market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the process oil market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.
The process oil market consists of sales of finished lubricants, greases, thermal oils, hydraulic fluid, metal working fluids. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Process Oil Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on process oil market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for process oil ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The process oil market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.