The emergence of Electric Vehicles (EVs) & Hybrids has led to a profound shift in the automotive industry globally. With more power and improved battery ranges & charging speeds in EVs, standard fluids no longer can maintain their heat resistance, robustness, safety, & cooling capacity effectively.
Like other vehicles, EVs also require lubricants that can meet the specific requirements of their powertrains. Hence, the leading companies in the industry are striving to engineer EV-only fluids & lubricants with dielectric characteristics, material protection & thermal properties, and standard lubrication.
According to MarkNtel Advisors, the Global Fluid and Lubricants for Electric Vehicle Market is anticipated to grow at around 17.5% CAGR during the forecast period, i.e., 2021-26. The market growth primarily attributes to the rising inclination of consumers toward EVs as they are eco-friendly, sustainable, & help curb CO2 emissions, coupled with the burgeoning need for durable fluids for EVs and the introduction of various types of coolants & lubricants.
|Study Period||Historical Data: 2016-19|
|Base Year: 2020|
|Forecast Period: 2021-26|
|Regions Covered||North America: USA, Canada, Mexico|
|Europe: Germany, UK, France, Italy, Spain, Others|
|Asia-Pacific: China, India, Japan, South Korea|
|South America: Brazil and others|
|Middle East & Africa: UAE, Saudi Arabia, South Africa|
|Key Companies Profiled||3M, Exxon Mobil Corporation, Valvoline Inc., Afton Chemicals, Dober, Infineum International Limited, Klüber Lubrication, M&I Materials Limited, Motul, FUCHS, Engineered Fluids, PolySi Technologies Inc., Lubrizol, Castrol, Panolin International Inc., Petronas, Royal Dutch Shell, Total Lubricants|
|Unit Denominations||USD Million/Billion|
Covid-19 Impact on Global Fluid and Lubricants for Electric Vehicle Market
In 2020, the global impact of COVID-19 on the automotive sector was tremendous & unprecedented, and EVs witnessed a continuous demand drop across all regions amid the crisis due to stringent movement restrictions & lockdown imposed by governments worldwide to curb the virus spread. It led to the closure of several manufacturing units and caused cross-border trade restrictions, which impacted exports & imports of goods & services and resulted in massive revenue losses.
However, with the upliftment of lockdown in most countries, the market dynamics changed, and improved sales volume of all types of EVs, particularly of BEVs & HEVs, were observed. The upcoming years are expected to be the most optimistic ones for the EV sector, with various OEMs launching new models, which, in turn, would fuel the production & purchases of fluids & lubes required for EVs, too. Moreover, the strong support of the governments of member countries for vehicle electrification entwined with the declining battery prices is also likely to boost the market in the years to come.