Manual Lubrication Management System Market

Market Overview

The global manual lubrication management system market was worth USD 1,254.69 million in 2020 and is predicted to grow at a CAGR of 3.13%, accounting for USD 1,565.81 million by 2029.

Lubrication management is an essential component of ongoing equipment maintenance. It is critical because it increases equipment durability and decreases downtime. Industrial machinery can be greased manually or automatically.

A manual lubrication management system requires a portable pump and an oil cup or grease fitting. The lubricant is transferred from the fittings to the friction points via the tubing or drilled passages. Then the lubricant is administered by connecting the pump channel to the fitting and injecting a predetermined volume of lubricant. The manual lubrication market is classified into components, end-uses, and regions.

Market Dynamics

Market Driver

Widescale Adoption of Manual Lubrication Management Systems in Steel and Cement Industry

The steel industry is one of the most important businesses that rely heavily on lubrication to ensure smooth functioning. The steel sector is growing at a substantial rate. It is expected to develop significantly in the following years due to increased demand for steel products in downstream industries such as automotive, construction, and marine. The increasing number of construction activities in China and India is expected to boost demand for steel goods. Steel is used in the automotive industry for engine components and chassis, necessitating the use of high-quality steel products.

The equipment is employed in various operating conditions, including dusty polluted to humid acid environments, heavy load to breakneck speed, low temperatures to high temperatures, and corrosive conditions. High impact loads, water and scale penetration, high temperature near reheating furnaces, loftier speed, and unit loads pose challenges for the equipment. The machinery needs a continual supply of lubrication to achieve maximum output.

The cement industry is another important business that requires continual lubrication under high temperature and pressure settings. Rising construction activity in the residential and commercial sectors and increased road infrastructure projects drive higher cement consumption. Further, rising purchasing power increases the number of residential projects in developing nations such as China and India, boosting construction activity and consequently cement consumption.

Drawbacks Associated with Manual Lubrication Management Systems to Inhibit its Demand

Historically, manual lubrication management systems were widely utilized in the industrial sector. However, several limitations of manual systems have led to a move from manual to automatic lubrication management systems across industries. Manual lubrication systems do not guarantee that the appropriate amount of lubricant is used at the correct time and in the right location. This poses severe dangers for industries that require optimal lubrication to ensure effective operation processes, fewer downtime, and lower maintenance costs.

Inadequate lubrication raises the possibility of bearing failure, leading to high maintenance costs. Industries are increasingly focusing on lowering maintenance costs and enhancing cost-effectiveness, hence opting for automatic manual lubrication management systems over manual systems.

An automatic lubrication system gives the appropriate amount of oil, in the right place, at the right time while the machine is running, something a manual lubrication management system cannot achieve because it requires continual monitoring. Further, automatic lubrication system management substitutes a traditional lubrication system and provides reduced wear, increased equipment life, and lower maintenance costs.

Lucrative Opportunities in Developing Regions

Significant expansion in key end-use industries such as automotive, construction, oil and gas, and food and beverage, among others, is expected to fuel demand for manual lubrication management systems in developing countries such as India, South Korea, Brazil, Malaysia, and Indonesia, among others. Rising construction sector expansion, increased spending on residential construction activities, growing per capita disposable income, and changing living standards are projected to boost product consumption.

Due to increased demand for business and residential spaces, the Indian real estate market has seen tremendous expansion in recent years. The Indian real estate business is predicted to grow to roughly USD 1 trillion by 2030, up from USD 120 billion in 2017. Further, the growing demand for lightweight vehicles to meet rising emission criteria imposed by local governments for reducing carbon emissions results in an increased need for proper lubricating systems.

Segmental Analysis

Based on components, the global manual lubrication management system market is divided into storage systems, lubricant handling containers, and distribution tools. Lubricating oils and greases must be stored properly to avoid contamination, deterioration, and costly waste disposal. Lubricants are susceptible to damage when exposed to extreme heat or cold, producing a considerable demand for storage systems. Storage Systems led the market with a share of USD 691.51 million and is anticipated to grow at a 3.45% CAGR by 2029. 

By end-uses, transportation dominated the market with a share of USD 325.03 million in 2021 and is projected to grow at a CAGR of 3.37% by 2029. Lubrication is essential in the automotive and transportation industries because it involves cars and machines with engines, chassis, window actuators, transmission, and brakes to doors. The growing demand for sensitive steering, smooth vehicle starting, and secure braking creates a significant need for lubrication, which boosts product acceptance in this area.

Impact of covid-19

Due to the lockdown in major economies, the COVID-19 pandemic significantly impacted international trade, supply networks, and manufacturing processes worldwide. However, after taking necessary precautionary measures and constantly monitoring the guidelines of the Centers for Disease Control and Prevention (CDC), the World Health Organization (WHO), and local health clinics for the most recent developments related to COVID-19, the manufacturers resumed operations in the late 2020s.

Prior to the pandemic, a manual lubrication management system was employed in various industries, including food and beverage, cement, power generation, and transportation. A vast increase in commercial and residential building construction activities across geographies fueled the market expansion. Steel is a raw material used in building and construction, which was growing at a reasonable rate before the pandemic.

Supply chain problems, strict lockdown restrictions, a limited workforce, and social distance norms harmed industrial growth. The implementation of social standards to prevent the spread of infection hampered the expansion of the construction industry. Some projects were delayed due to increased coronavirus infections, which caused a temporary shutdown of production plants, affecting product consumption. In addition, the steel and cement industries fell and suffered substantial supply chain disruption issues, which impacted product demand even more.

Market Recovery Timeline from the Impact of COVID-19 and its Challenges

Companies have enacted severe steps to reduce discretionary spendings, such as deferred merit increases, hiring freezes for non-critical roles, and the suspension of all non-critical expenditures, such as marketing and discretionary projects. Market participants focus on increasing their R&D capabilities to respond to the changing market environment by closely monitoring customers and market trends and expanding their production, research, sales, and marketing activities globally.

However, mobility is steadily improving overall as most countries have eliminated or decreased lockdown-related rules, and soon the manual lubrication management system market to see an increase in growth.

Regional Analysis

Remarkable Growth in Asia-Pacific and North America

The Asia-Pacific market held the most significant market share in 2021 of USD 565.63 million and is predicted to grow at a CAGR of 3.63% by 2029. In the Asia-Pacific region, China led the manual lubricant management system. End-use sectors such as steel, building, transportation, and mining have contributed to the country's growth.

Expanding industrialization in developing nations, growing urbanization, and rising per capita disposable income would increase during the review period. Further, a surge in residential building construction activities and supportive government measures generate robust output and demand for the cement industry.

North America had the second-largest market share with a market value of USD 283.94 million in 2021. The established presence of automotive, oil and gas, aviation, and food and beverage can be attributed to the regional market growth. Significant investment in oil and gas exploration activities in the United States is projected to improve regional product demand. Further, rising spending on residential construction activities is likely to fuel market expansion significantly.

Recent Developments

• February 2022- SKF Moving to 'Decentralized' Operating Model, Investing in High-Growth Industries. The bearings giant also plans to reposition its Automotive business while investing in its physical footprint.
• February 2022- Graco Launches First Cordless High-Performance Airless Finishing Sprayer. The industry's fastest, most portable finishing sprayer ever built.
• January 2022- Whitmore Manufacturing, Subsidiary of CSW Industrials, Expands Executive Leadership Team by Hiring Chad Spritz as Vice President of Sales.

Manual Lubrication Management System Market Segmentation

By Component

• Storage Systems
• Lubricant Handling Containers
• Distribution Tools

By End-Use

• Food and Beverage
• Oil and Gas
• Mining
• Paper and Pulp
• Steel
• Transportation
• Power Generation
• Cement
• Construction

By Regions

• North America
• Europe
• Asia-Pacific
• Latin America
• MEA