Press Release Description

Escalating Commercial Vehicle Fleet to Augment the UAE Automotive Lubricants Market

The UAE Automotive Lubricants Market size is anticipated to grow at a CAGR of around 3.1% during the forecast period of 2024-30, cites MarkNtel Advisors in the recent research report. The rising prevalence of vehicles, fueled by a surge in vehicle ownership and the expanding footprint of commercial ventures like e-commerce and ride-hailing, has heightened the demand for lubricants to ensure the smooth operation of these vehicles. The hot and arid climate in the UAE adds an extra layer of strain on engines, requiring more frequent oil changes and lubrication. This emphasis on vehicle maintenance becomes crucial to prevent overheating and minimize both frequent engine wear and operating costs.

Moreover, as the UAE continues its substantial investments in infrastructure and construction endeavors, there is a notable surge in demand for commercial vehicles and machinery nationwide. These projects, integral to the Abu Dhabi Vision 2030 and Dubai Plan 2021, are fueling increased usage of commercial vehicles in loading and unloading construction materials at various sites, thereby escalating the consumption of lubricants.

The proactive initiatives by the UAE government to promote sustainable practices and the use of high-quality lubricants further play a pivotal role in sustaining market demand. Consequently, the substantial investment in infrastructure projects and the heightened focus on sustainability are anticipated to drive the growth of the Automotive lubricants market in the forecast period, further states the research report “The UAE Automobile Lubricants Market Analysis, 2024.”

Segmentation Analysis

Engine Oil to Hold Prominent Market Share

Based on the type segment, the market is further bifurcated into, engine oil, gear oil, transmission fluids, brake fluids, greases, coolants & antifreezes, and others (additives, oil benders, etc.). Among them, engine oil accounts significant share of the market. The country's harsh conditions, characterized by high temperatures and desert landscapes, contribute significantly to the heightened demand for engine oil. Engine oil plays a vital role in safeguarding engine components from extreme heat, ensuring smooth operation in challenging environments.

The imperative for frequent oil changes and high-quality engine lubrication becomes crucial to prevent overheating, minimize friction, and prolong the lifespan of vehicles. Additionally, as the number of cars and commercial vehicles on the road continues to grow, the universal reliance on engine oil for proper functioning further cements its position in the market.

Moreover, the continued rise in demand for premium vehicles is driven by new visa regulations, including the Green Visa and Golden Visa, targeting businesspersons, celebrities, and high-income individuals. This is expected to result in a further uptick in the adoption of premium vehicles, thereby contributing to the increased use of engine oil.

Dubai Projected to Account Major Share of the UAE Automotive Lubricants Market

Geographically, the UAE Automotive Lubricants Market is segmented into Abu Dhabi & Al Ain, Dubai, Sharjah & Northern Emirates. Among them, Dubai is projected to account for the major share of the UAE lubricants market in the upcoming years. The upswing in construction and infrastructure projects in Dubai, aligned with strategic plans like Dubai Plan 2021, is a key driver amplifying the demand for construction vehicles and machinery, thereby bolstering the requirement for automotive lubricants.

Moreover, the Dubai government is proactively promoting fuel efficiency and the reduction of emissions through diverse initiatives, notably the execution of the Green Mobility Strategy. This is poised to drive the demand for high-performance lubricants in the foreseeable future, enhancing both fuel efficiency and emissions reduction. Consequently, this is expected to play a pivotal role in elevating Dubai's share within the UAE Automotive Lubricants Market during the forecast period.

Competitive Landscape

With strategic initiatives, such as mergers, collaborations, and acquisitions, the leading market companies, including Shell UAE, ADNOC, Chevron Alkhalji, Gulf Oil International Ltd, Fuchs Oil Middle East Ltd., Exxon Mobil Corporation, British Petroleum, Valvoline Middle East & Africa, Total Energies, Oscar Lubricants LLC. EPPCO Lubricants, and others are looking forward to strengthening their market position.

Key Questions Answered in the Research Report

  1. What are the industry’s overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares)?
  2. What are the trends influencing the current scenario of the market?
  3. What key factors would propel and impede the industry across the country?
  4. How has the industry been evolving in terms of geography & product adoption?
  5. How has the competition been shaping across the country?
  6. How have the buying behavior, customer inclination, and expectations from product manufacturers been evolving during 2019-30?
  7. Who are the key competitors, and what strategic partnerships or ventures are they coming up with to stay afloat during the projected time frame?

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