The Construction Lubricants Market is to Touch $12.5 Billion by 2030; government investments in infrastructure projects and increasing construction activities propel market growth.

The Construction Lubricants Market size is estimated to reach $12.5 billion by 2030, growing at a CAGR of 3.8% during the forecast period 2024-2030, according to a recent report published by IndustryARC, titled, “Construction Lubricants Market – By Base Oil (Mineral Oil, Synthetic Oil and Bio-Based Oil), By Type (Hydraulic Oil, Engine Oil, Gear Oil, Automatic Transmission Fluid, Compressor Oil, Grease and Others), By Equipment (Earthmoving Equipment, Material Handling Equipment, Electrical & Electronics, Heavy Construction Vehicles and Others), By Application (Commercial and Residential), By Geography - Global Opportunity Analysis & Industry Forecast, 2024-2030”

Expanding residential construction and rising demand for advanced construction equipment lubricants are fueling the growth of the Construction Lubricants industry during the forecast period.

In 2023, the Asia-Pacific region held the largest share in the construction lubricants market, driven by rising demand from the construction industry and expanding construction activities across the region. The growth of the building and construction sector in Asia-Pacific is accelerating due to significant developments in infrastructure projects, an emphasis on affordable housing, and advancements in modular building technology. For example, according to India’s DPIIT, foreign direct investment (FDI) in construction development (including townships, housing, and infrastructure projects) totaled US$26.4 billion from April 2000 to September 2023. Additionally, the International Trade Administration projects that China’s construction sector will grow at an average annual rate of 8.6% from 2022 to 2030, which will further drive this growth. This robust expansion in construction across the Asia-Pacific region is boosting demand for construction lubricants, essential for equipment such as hydraulic fluids, engine oils, and greases, thereby driving the market over the forecast period. 

The market for construction lubricants in the commercial sector is expanding due to government investments that enhance the sector's infrastructure. Construction lubricants, known for reducing corrosion and friction in machinery, play a crucial role in extending the lifespan of equipment components. For instance, Japan's Kansai International Airport plans to invest approximately 100 billion yen (US$683 million) by 2025 to upgrade its terminals, accommodating more international flights. Similarly, the Indian Union Budget 2023 outlined the construction of 50 new airports, aerodromes, helipads, and waterways to improve national connectivity. Moreover, it allocated Rs 76,431 crore (US$9.3 billion) to the Ministry of Housing and Urban Development to help complete pending housing projects. These initiatives collectively increase demand for construction lubricants in commercial equipment, including hydraulic fluids, engine oils, and greases. This heightened demand is expected to bolster growth in the construction lubricants industry over the forecast period.

The residential sector is seeing increased use of construction lubricants, driven by the need to reduce friction, prevent equipment breakdowns, and enhance durability in residential construction projects. Additionally, as more individuals remodel homes to improve aesthetic appeal, demand for lubricants supporting construction equipment has risen. Urbanization trends further amplify this demand, notably in markets like Canada, where Statistics Canada reported a 1.6% increase in residential construction investment in August 2023, reaching $11.9 billion. This growth included a 2.4% increase in single-family homes to $5.9 billion and a 0.9% rise in multi-unit constructions to $6.0 billion. In Japan, the Ministry of Land, Infrastructure, Transport, and Tourism recorded a 5% increase in public-sector housing construction in 2023. As residential construction continues to grow, demand for construction lubricants in this sector is projected to rise, supporting the market’s expansion through the forecast period. 

• In May 2023, BIGBEN launched ScaffOil, marking a major innovation in construction lubricants. This eco-friendly, high-performance solution is specifically designed for scaffolding and construction, offering exceptional weather resistance and superior penetrating capabilities. Its focus on durability and operational efficiency meets the evolving needs of the industry.

• In June 2022, Volvo Construction Equipment introduced the Volvo Hydraulic Oil 98611 HO103, transforming the construction lubricants market. This oil extends drain intervals to 3,000 hours in Volvo’s crawler excavators, improving equipment performance and lifespan. With enhanced fuel efficiency, reduced oil consumption, and environmental benefits, it provides various viscosity options, representing a significant leap forward in lubricant technology.

• In March 2022, BPCL unveiled four new MAK lubrication products, each designed to enhance performance, reliability, and durability for customers.

Key companies profiled in the Construction Lubricants Market are Royal Dutch Shell, ExxonMobil, BP p.l.c., Chevron Corporation, TotalEnergies SE, Petrochina Company, LUKOIL, Indian Oil Corporation, Sinopec, Fuchs Petrolub SE and others