Home > Chemicals & Materials > Driveline Additives Market
Driveline Additives Market Size
Driveline Additives Market experienced robust growth in 2023 and will grow at a noteworthy CAGR between 2024 and 2032, attributed to a dual focus on reducing fuel consumption and the increasing preference for automatic transmission vehicles. As consumers seek ways to improve fuel efficiency, the demand for additives that enhance performance and optimize fuel use rises. Additionally, the growing popularity of automatic transmission vehicles necessitates specialized additives to ensure smooth operation and durability, further driving the market's growth.
For instance, in January 2024, SBZ launched SBZ 7030K, a versatile gear oil package for automotive and industrial use, offering superior protection and excellent wear resistance in high-load conditions.
Increasing automotive production worldwide will catalyze the growth of the driveline additives market. With more vehicles being manufactured, the demand for additives that enhance performance and efficiency rises. Additionally, advancements in automotive technologies, such as transmissions and differentials, necessitate specialized additives to optimize their functions. These trends create a significant opportunity for the driveline additives industry to cater to the evolving needs of modern vehicles and ensure their smooth operation on the road.
For instance, in January 2023, Goodyear Lubricants unveiled a line of vehicle lubricant oils aimed at lowering carbon emissions and meeting BS-6 and EURO 6 standards. Developed in collaboration with Assurance International Limited, these products are cleaner and more sustainable.
Though stringent environmental regulations and fluctuating crude oil prices pose barriers to the growth of the driveline additives market, these present opportunities for innovation in the driveline additives sector. These regulations drive the development of eco-friendly additives, meeting sustainability goals. Additionally, fluctuations in crude oil prices encourage the industry to explore alternative, cost-effective sources for additives. Such challenges foster creativity and the adoption of greener technologies, ensuring a more resilient and adaptable sector for the future.
Driveline Additives Market Trends
The trend towards environmentally friendly additives is a significant driver in the driveline additives industry. As regulations become stricter and environmental awareness grows, there's a greater demand for additives that are eco-friendly and sustainable. Companies are developing bio-based and renewable driveline additives to meet these demands, appealing to environmentally conscious consumers. This shift aligns with sustainability goals and creates new opportunities for growth and innovation in the market.
For instance, in January 2024, KYB, a hydraulic equipment manufacturer, unveiled its latest eco-conscious hydraulic fluid, branded as SustainaLub, promoting sustainability in its product lineup.
Driveline Additives Market Analysis
The detergents segment will encounter a marked upturn by 2032, fueled by its crucial role in maintaining engine cleanliness and performance. These additives excel in preventing deposit buildup on engine parts, such as pistons and valves, enhancing fuel efficiency and longevity. With increasing demands for cleaner emissions and improved fuel economy, the need for high-quality detergents in lubricants is rising. As automotive manufacturers strive for more efficient and environmentally friendly vehicles, the detergents segment will dominate the driveline additives industry.
The passenger vehicle segment will undergo a significant uptick by 2032 due to its extensive use of driveline additives. As consumer preferences shift towards more fuel-efficient and high-performance cars, the demand for additives to improve drivetrain efficiency grows. These additives play a vital role in reducing friction, enhancing fuel economy, and extending the lifespan of vehicle components. With the global surge in passenger vehicle sales and the continuous advancement of automotive technologies, this segment will maintain its dominance in the market.
Asia Pacific will register a substantial CAGR from 2024 to 2032, owing to its booming automotive industry and rising demand for efficient lubricants. Countries like China and India are witnessing significant growth in vehicle production and sales, creating a substantial market for driveline additives. Moreover, the region's increasing focus on sustainable and fuel-efficient transportation further boosts this demand. With a multitude of automotive manufacturers and a growing emphasis on environmental regulations, Asia Pacific will emerge as a major contributor to the market.
Driveline Additives Market Players
- Lubrizol Corporation (Berkshire Hathaway)
- AB Petrochem
- Lubrilic
- DowDuPont
- Afton Chemical, LLC.
- Vanderbilt Chemicals (R.T. Vanderbilt Holding Company, Inc.)
- VPS Lubricants
- Chevron Oronite Company LLC. (Chevron Corporation)
- BASF SE
- Evonik Industries (RAG-Stiftung)
Prominent players are expanding their industry foothold through strategic initiatives such as product innovations, collaborations, and acquisitions. Leading companies are continuously investing in research and development to introduce advanced additives that cater to evolving automotive needs. Collaborations with automotive manufacturers and suppliers enable these players to customize their products for specific vehicle models, enhancing their market penetration. Acquisitions of smaller firms with unique technologies or regional expertise also allow for rapid expansion into new markets.
Furthermore, marketing strategies that highlight the advantages of their additives, such as enhanced fuel efficiency and lower emissions, draw in a wider range of customers. These targeted campaigns contribute significantly to the expansion of market share for these companies. As a result of these combined efforts, these firms are bolstering their presence in the driveline additives industry and establishing themselves as pivotal contributors in the industry.
Driveline Additives Industry News
In August 2022, Exol unveiled its newest addition to the lineup, Optifarm HP, a high-performance gear oil specially designed for JCB equipment.
In February 2024, LIQUI MOLY introduced an additive for AdBlue®, which safeguards the Selective Catalytic Reduction (SCR) system in exhaust gas treatment from potential damage.