Asia Pacific Viscosity Index Improvers Market Size, Share & Trends Analysis Report By Type (Polymethacrylate, Olefin Copolymer, Polyisobutylene), By End-Users (Manufacturing, Food Processing, Mining, Construction, Power Generation) and By Country(China, Korea, Japan, India, Australia, Taiwan, South East Asia, Rest of Asia-Pacific) Forecasts, 2024-2032

Market Overview

A viscosity index improver is a complex polymer addition that increases at high temperatures, thickening the lubricant and more stable and consistent viscosity. It guarantees that the lubricant protects the equipment completely at low and high temperatures. Viscosity Index (VI) improvers are chemical compounds commonly added to lubricants to avoid thinking, i.e. reduction in viscosity of the lubricant with increasing temperature and provide constant performance at varied temperatures. Viscosity Index improvers are polymeric molecules that expand as the temperature rises. The internal friction between fluid molecules rises as the molecules stretch out, causing the fluid to flow slower and ultimately raising the viscosity.

The intrinsic reluctance of a liquid to flow is referred to as the liquid's viscosity. In addition, the viscosity index describes how a liquid reacts when its temperature is changed (often between 40 and 100 degrees Celsius). If a lubricant has a significant shift in its viscosity when subjected to a range of temperatures, then we classify it as having a low viscosity index. Viscosity index improvers are polymers that are combined with a lubricant in order to produce a substance that is resistant to changes in its viscosity as a result of an increase in temperature.

On the worldwide market for viscosity index improvers, some of the most important product types that are now accessible are polyisobutylene, polymethacrylate, and olefin copolymer. In addition to this, their goods are being utilised in a wide variety of end-use sectors, including the off-road vehicle business, the industrial machinery industry, and the automobile industry. Because of the product's widespread applicability, there are now a number of interesting business prospects available in the market for viscosity index improvers.

Lubricants are compounds that are used to reduce the amount of friction that exists between two surfaces. As a result, lubricants give wear protection to surfaces and increase the operating efficiency of a system. As a result, lubricants contribute to longer runtimes for machines and prevent the wear and tear that occurs on machine parts. Viscosity index improvers are becoming increasingly popular since they are an essential component of each batch of lubricant additives. This is due to the fact that they have the capacity to assist in the preservation of viscosity even when lubricants are subjected to high operating temperatures. As a result, it is anticipated that an increase in the use of lubricants will drive the demand channels in the market for viscosity index improvers in the years to come.

The rate of urbanisation is increasing in a number of emerging nations, including those that make up BRICS. Because of this feature, the worldwide market for viscosity index improvers is seeing significant prospects for expansion. Additionally, the growth of a number of industries in these countries, such as the automotive industry, the energy industry, and the industrial equipment industry, is anticipated to boost the sales of lubricants along with their additives, which may include viscosity index improvers.

Companies that are active in the market for viscosity index improvers are becoming more interested in research and development initiatives. The primary goal of these investigations is to enhance the general quality of their wares in some way. In addition, companies that compete in the market for viscosity index improvers are engaging in a variety of business tactics, including mergers, acquisitions, partnerships, and collaborations. These initiatives are assisting businesses in maintaining their leading position in the market for viscosity index improvers, which is essential for further success.

Asia Pacific: 2437.25 million USD (2030 value); CAGR: 4.20%

Market Dynamics

Drivers

When measured in terms of gross domestic product, China's economy is the most powerful in the Asia-Pacific region (GDP). In addition, despite the sluggish expansion of the economy, it is projected that the country would continue to see the same pattern given its position as the largest market for lubricants. In addition, the Chinese government is putting a strong emphasis on the replacement of outdated machinery, which is driving up the need for high-performance and advanced lubricants.

The primary factor that is driving the expansion of the Asia Pacific viscosity index improvers market is the expanding use of these products in various automotive applications. The pace of market expansion will be directly and favourably impacted by the increasing rate of industrialization, as well as the rise in demand for industrial lubricants to meet the needs of increasing amounts of industrial machinery. Growth and development of different end user verticals, particularly in emerging nations, coupled with a spike in the requirement for improvement in fuel economy will further pave the way for the growth of the market. This will further sculpt the way for the growth of the market. The increase in the number of manufacturing operations and the rise in the need for chemicals to extend the useful life of machinery will both contribute to the overall acceleration of market growth.

Restraints

A significant obstacle that will be presented to the expansion of the market is going to be the slow growth of the automobile industry as a direct result of the emergence of the coronavirus. Additionally, an increase in the oil drain interval will lower the consumption of engine oil, which would slow the rate at which the market is growing. The growing pace of the market is going to be further derailed by fluctuations in the pricing of raw materials.

Regional Analysis

By the end of the year 2028, it is anticipated that China would have achieved a total value of 1,064,36 million USD. Because it is home to a number of important firms in the global market, China is now the world's most important manufacturer and user of Asia Pacific viscosity index improvers market. The rise in disposable income per capita and the huge on-road vehicle fleet in developing nations like China and India are principally responsible for Asia's supremacy in the global automotive market. Over the course of the forecast period, the growth of the viscosity index in the lubricating oil market is anticipated to be impacted by the acceleration of urbanisation as well as the fast industrialization that is occurring. The worldwide demand for these resources is continuously increasing as more and more of the world's economies depend on lubricants to enhance performance efficiency.

The most important factors contributing to Asia's leading share are an increasing per capita disposable income as well as a sizeable on-road car fleet in growing nations like China and India.

It is anticipated that increased urbanisation, in conjunction with fast industrialization, would have a substantial influence on lubricant demand over the course of the forecast period, which will drive the expansion of the market for viscosity index improvers. Because lubricants are used everywhere to enhance performance and efficiency, the amount of these resources that are being consumed on a worldwide scale has been growing at a rapid rate.

Because of this, the effect of this element is somewhere in the middle between moderate and high. Demand for lubricants is anticipated to be driven by rapid industrialization as well as the increasing use of sophisticated machinery, which would have a favourable impact on the market. The automobile sector in Japan is consistently ranked among the world's most successful and well-known automotive industries. The significant amount of capital that has been invested in this area is primarily responsible for this result. The automotive sector in Japan is responsible for the production of the third-highest number of automobiles worldwide. In 2018, it was responsible for the production of about 972,8528 automobiles. In addition, the country is home to a number of the world's most well-known automotive manufacturers, including Yamaha, Kawasaki, Honda, Toyota, Suzuki, Nissan, and others. During the period under consideration, an increase in both the production and the sales of automobiles is predicted. Because of this, there will be an increase in the demand for Asia Pacific viscosity index improvers market, which will, in turn, provide new opportunities for market expansion.

The primary focus of Asian Oil Company is on the processing, distribution, and production of a wide variety of petroleum products, including white petroleum jelly, liquid paraffin, base oil, paraffin wax, car lubricants, and industrial lubricants. Customers come from a wide variety of sectors, including textile, cosmetics, pharmaceuticals, chemicals, and transformers, and they are catered to by the company. The headquarters of the firm may be found in Mumbai, which is located in India.

Segmental Analysis

The Olefin Copolymer Segment has been the most dominant in the market, and it is anticipated to develop at a high compound annual growth rate of 3.7% between the years 2020 and 2027, the period covered by the forecast. The global market for Olefin Copolymer-based Viscosity Index Improvers is witnessing rising demand as a result of the widespread usage of these products in a variety of industrial and automotive applications. Due to an increase in demand for lubricants from end-user sectors such as automotive, construction, and others, it is anticipated that the global market for Olefin Copolymer-based Viscosity Index Improvers would expand during the period covered by the projection. According to the findings of the SMR study, the worldwide Olefin Copolymer-based Viscosity Index market will expand as a result of technical advancements and product innovations in the near future. The grade of Olefin Copolymer-based Viscosity Index Improvers is frequently utilised in the process of lubricating oil formulation. This is due to the grade's stability as well as its resistance to thermal breakdown. Additionally, because there is less friction between moving elements, it helps to enhance the efficiency of the vehicle's fuel consumption.

Impact of covid-19

COVID Impact: During COVID-19, supply chain interruptions hampered the trade, causing a lack of raw materials for producers and a delay in delivering finished items in the form of blind bolts to customers. As official prohibitions around the world have been lifted, demand for blind bolts has already begun to rebound to pre-pandemic levels.

Recent Developments