While the electric vehicle is the talk of the town, oil- and natural gas-reliant economies of the Gulf Cooperation Council (GCC) witness massive threats owing to the negligible dependency of the electric engine-based vehicle on oils. Belonging to a hydrocarbon-rich region refrains them from switching entirely to hybrid or electric models.
But the question arises, how is GCC going to sustain its well-established economy predominantly breathing over the oil and natural gas plants? Likewise, questions are many. However, the answer lies simply in seeking ways to stay relevant in a decarbonizing world. And for this, the gulf countries are required to defend the oil demand while simultaneously working on creating more such requirements in the automotive industry.
Envisioning the criticality, a few of them have already started to invest meticulously in Research and development and come up with numerous solutions that surely are going to uplift the industry for at least decades. Investing in Better- performance lubricants for Automotive markets is one such way of defending the oil industry. Such initiatives instigate the considerable growth of the GCC Automotive Lubricants Market with a CAGR of around 3.0% through 2027, cites a report published by MarkNtel Advisors recently.
What Are Automotive Lubricants, And Why Are They Crucial to Vehicles?
Automotive lubricants are fluids composed of base oils and additives meant to recede friction between surfaces and the contacts such as vehicles or roads. Considering their remarkable properties as coolant and sealant between engine piston rings and cylinder walls, they make up the perfect choice for ICE (Internal Combustible Engine). The best part, they upscale the performance and durability of the engines along with blocking excessive noise. That being said, Lamborghini is looking forward to pushing combustion engine longevity beyond 2030.
Key Trends Fostering the Automotive Lubricants Industry Through 2027
Now, let’s dive deep and unfold the initiatives or trends prevailing across the region, that possibly influence the Automotive Lubricants industry in the coming years.
Market Players Take On the Above Trends
Why Is Synthetic Lubricant Gaining Popularity, Among Other Variants?
Over the years, Mineral oil has posed higher demand due to greater affordability. However, Synthetic lubricants have gained popularity among consumers for the last few years. Here, synthetic oils are nothing but the chemical modification of oil components. These oils are produced in certain regulated physical conditions, required to create uniform particle size and targeted performance properties.
Such ubiquitous properties project them as a real trouble-shooter. Talking about its amazing benefits, these have the potential to sustain in extreme temperatures. Also, they make the best choice when considering longer service intervals. The best part, these automotive lubricants cater to the emerging need for service intervals, improved fuel efficiency, and extended oil drain & protection period. Besides, they are known for their reduced carbon emissions.
With the majority of transportation still powered by internal combustion engines(ICE) across the region, consumers are keen to invest in more fuel-efficient engines offering better performance and reducing carbon footprints. And hence, the government in concerted efforts with companies is all set to invest in Investments in refineries, petrochemical facilities, and especially improved internal combustion, which automatically instigates the GCC Automotive Industry in the coming years.