Vietnam Lubricants Market Research Report: Forecast (2025-2030)

Market Insights & Analysis: Vietnam Lubricants Market (2025-30):

The Vietnam Lubricants Market size was valued at around 319.57 million liters in 2024 and is expected to reach 423.38 million liters by 2030. Along with this, the market is estimated to grow at a CAGR of around 4.80% during the forecast period, i.e., 2025-30. The Vietnam Lubricants Market is significantly growing due to several growth factors, including the high vehicle density, especially the motorbikes across the country, the continuous development of the industrial and manufacturing sector, the rising adoption of green and bio-based lubricants, etc. One of the most prominent growth factors is the rising demand by the automotive industry due to rapid urbanization and transportation. In Vietnam, motorbike and car ownership is substantially rising, which is significantly increasing the demand for lubricants, such as gear oils, engine oils, and others. Additionally, the growing infrastructure development in the country, including logistics, electronics, and textiles, is increasing the use of heavy machinery, which further increases the demand for various lubricants, thus offering ample growth opportunities for the market players to grow significantly.

Moreover, the rapid shift towards greener products to save the environment and public health is increasing the demand for green lubricants in the country. This has led to the manufacturing of multi-purpose biodegradable and sustainable lubricants. This is due to the rising implementation of governmental policies to lower carbon emissions in the country. For instance, Vietnam’s 2030 Environmental Strategy aims to reduce pollution and promote green growth by encouraging manufacturers to use green & biodegradable products. Consequently, in 2023, 80% of the domestic lubricant producers have reformulated their products under this policy to meet the standards, thus uplifting the size & volume of this market. However, the presence of counterfeit products and limited oil production base & manufacturing facilities in the country is restraining the market growth & expansion.

Vietnam Lubricants Market Scope:

Vietnam Lubricants Market Driver:

Rising Motorcycle Density in Vietnam – The market growth is driven by the rising motorbike registration in Vietnam, which is significantly increasing the demand for lubricants. For instance, about 60 million bikes have been registered in the country, for a population of about 100 million people, as of 2025. This is leading to frequent maintenance of these motorbikes, including frequent oil refills for their smooth running.

Additionally, many people use mineral oils or semi-synthetic oils, which require more frequent oil replacement, thus increasing the market demand. For instance, the two-wheelers require oil changes after every 1,000 to 2,000 km, which increases the engine usage and lubricant consumption. Consequently, the country has increased its production capacity for lubricant manufacturing. For instance, Vietnam produces more than 4,00,000 tons of lubricants per year. All these factors are augmenting the size & volume of the Lubricants Market of Vietnam.

Vietnam Lubricants Market Opportunity:

Expanding Infrastructure & Manufacturing Industry – The fastest-growing infrastructure and manufacturing industries are offering lucrative growth opportunities in this market, as heavy machinery, commercial vehicles, spare parts, and many more utilize lubricants extensively for their smooth operations. For instance, in early 2025, Vietnam received about USD12 billion in Foreign Direct Investments for the development of the manufacturing industry in the country.

Additionally, some of the major provinces like Bac Ninh, Dong Nai, and Hanoi are receiving significant funding for the development of electronics, semiconductors, and logistics departments, thus increasing the requirement for gear oils and greases, and ultimately the lubricants market. Moreover, the Nam Dinh province is a textile manufacturing hub, with major textile plants such as TOP Textile JSC, with an investment of about USD203 million, requiring hydraulic oils and lubrication for high-speed production. These kinds of investments are increasing potential growth opportunities for the market players.

Vietnam Lubricants Market Challenge:

Limited Oil Base Production & Counterfeit Products – The market is facing some major challenges, including the absence of well-established oil production units in the country. This has led to the high dependence of Vietnam on oil imports from other countries like South Korea, Japan, Singapore, and some parts of the Middle East. In 2023, Vietnam received about 2,40,000 metric tons of oil from other countries, which has increased the price volatility, fragmented supply chains, and overall production costs in the country.

Additionally, the presence of low-quality and counterfeit products in the country is another major challenge to this market. For instance, in mid-2025, in Ho Chi Minh City, the police exposed a fake oil production company used for motor vehicles that was mixing low-grade oil and selling those under famous brand names, and roughly produced over 2,00,000 fake bottles. Additionally, in 2024, the higher authorities of Hai Duong damaged approximately 500 bottles of counterfeit RP7 multi-purpose lubricant. This is leading to damaged customers’ trust and undermining brand reputation, thus hindering market growth & development.

Vietnam Lubricants Market Trend:

Inclination Towards Green & Biodegradable Lubricants – The market is witnessing a rapid shift due to the adoption of green and bio-based lubricants in the country. These products are highly efficient with better performance and higher shelf-life than traditional lubricants. Additionally, these products lower the carbon footprints and contribute to the safety of environmental health.

Several companies, such as Motul S.A., TotalEnergies, Shell Plc, BP Plc, etc., have started actively manufacturing green lubricants for various industrial purposes. For instance, the TotalEnergies company (2023) has launched a wide range of eco-friendly lubricants in the country, which has increased the total sales by 15%. Similarly, the company called Motul S.A. has recently launched a sustainable engine oil series, called “Motul NGEN”, in Vietnam. These launches are actively shaping the market dynamics in the country.

Vietnam Lubricants Market (2025-30): Segmentation Analysis

The Vietnam Lubricants Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It includes predictions for the period 2025–2030 at the national level. Based on the analysis, the market has been further classified as:

Based on product Type:

• Automotive Lubricants
• Industrial Lubricants

Between the two, the automotive lubricants hold the largest market share of about 70%. The dominance is due to the high reliance on motor vehicles, especially motorbikes, for daily commuting. Vietnam now has more than 60 million motorbikes, which is increasing the frequency of lubricant consumption. Also, car ownership is significantly rising in the country, which is increasing the requirement for transmission fluids, gear oils, and other lubricants.

Additionally, the growing penetration of e-commerce, transportation, and logistics in Vietnam has increased the number of vehicles in the country, which further boosts the demand for engine oils and other lubricants important for the automotive industry. For instance, in 2024, e-commerce generated over USD12 billion in revenue in Vietnam, making it the top country in Southeast Asia. Moreover, Vietnam is a country with hot and humid climatic conditions, along with heavy traffic congestion, is leads to reduced lubricant change intervals, thus increasing the frequency of oil change. These factors contribute to the dominance of automotive lubricants in the Vietnam Lubricants Industry.

Based on Distribution Channel:

• Direct Sales
• Indirect Sales
  • Distributors/Dealers
  • Online Retail
  • Service Stations
  • Supermarkets & Hypermarkets

Among these, the indirect sales hold the largest market share of about 80%. The dominance is due to the widespread distribution infrastructure in the country, where dealers are efficiently and smoothly working as intermediaries between the manufacturers and end users. For instance, the company called Castrol BP Pecto has hundreds of dealers and distributors, with more than 12,000 retail points in the country. Additionally, these are cost-effective distribution channels, as they utilize existing retail, wholesale service, and related infrastructure. Also, the local distributors of lubricants are strategically located near the industrial zones in states like Dong Nai, Binh Duong, Bac Ninh, etc., which are actively supporting the dominance of indirect sales distribution channels in this industry.

Moreover, the majority of customers are fully dependent on known retailers and local distributors to avoid fake and counterfeit products, thus contributing to the leadership of this channel in the market.

Top Lubricants Companies in the Vietnam Market: Players, Analysis & Future Outlook

The leading Lubricants companies in the market, including Castrol BP Petco Ltd., Petrolimex Petrochemical Corporation (PLC), Motul Vietnam Co., Ltd., Chevron Lubricants Vietnam Ltd (Caltex), Shell Vietnam Ltd., TotalEnergies Marketing Vietnam Limited, Mekong Petrochemical JSC, JX Nippon Oil & Energy Vietnam, Idemitsu, Sinopec, and others are looking forward to increasing their market size & share.

Vietnam Lubricants Industry Recent Development:

• 2025: TotalEnergies started a partnership with Cao Gia Quy Environment to recycle used engine oil in Vietnam. This step supports the country’s new EPR (Extended Producer Responsibility) rule, which requires oil companies to recycle at least 15% of their used products. The aim is to protect the environment and promote responsible oil use and disposal across Vietnam.
• 2025: Idemitsu announced plans to increase its investment in Vietnam. This includes starting a green fuel project in Binh Dinh and working to cut carbon emissions in Thanh Hoa. These efforts are linked to its role in the Nghi Son Refinery. The goal is to support cleaner energy and help reduce environmental impact in the country.

Gain a Competitive Edge with Our Vietnam Lubricants Market Report

1. Vietnam Lubricants Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
2. This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
3. Vietnam Lubricants Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.

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