Increasing Vehicle Ownership: The number of vehicles in circulation in Brazil reached ~46 million units in 2019 including 2.7 million new motor vehicles registered in the same year. The country has a robust automotive manufacturing sector with many large original equipment manufacturers operating in the country and largely manufacturing passenger cars. The growing vehicle ownership in the country has stimulated the demand for automotive lubricants in the country.
South & South-East Regions Dominating Sales: The South & South-East region in the country consists of some of the major cities & states including Sao Paulo, Rio de Janeiro, Minas Gerais, Parana, and Rio Grande do Sul which are home to major industrial hubs in the country. These regions also account for a large proportion of the vehicles in circulation in the country and therefore contributed highly to the overall sales of lubricants in the country.
Challenges in Lubricants Industry: The lubricants industry in Brazil is still largely dominated by mineral-based lubricants which are harmful to the environment. The country is also largely dependent on imports for base oils due to a lack of domestic production of API Group II base oils required for manufacturing lubricants. Growth of electric vehicles and shift towards sustainable & eco-friendly bio-based lubricants also poses a threat to the traditional lubricant manufacturers in the country.
Impact of COVID-19 on Brazil Lubricants Industry: COVID-19 has severely impacted the lubricant industry in Brazil. In April 2020, the lubricant sales volume declined by ~44.0% as compared to the same period in 2019. The imposed lockdown in the country, lack of industrial production, and movement of transport impacted the industry adversely. The industrial production declined by ~27.0% in April 2020 as compared to the same month in 2019 with all major industries including automotive, machinery & equipment, metallurgy and plastics taking a hit. The demand for both automotive & industrial lubricants in the country is expected to remain low throughout 2020, even after the lockdown has eased and slow recovery is expected in 2021. Companies are expected to invest in online sales channels & partnerships to ensure higher sales volumes.
Analysts at Ken Research in their latest publication “Brazil Lubricants Market Outlook to 2025- By Origin (Mineral, Synthetic & Semi-Synthetic), By Lubricant Type (Automotive & Industrial), By Automotive Lubricants (By Product Type, By End-Users & By Distribution Channels) and By Industrial Lubricants (By Product Type, By End-Users & By Distribution Channels)” observed that Brazil is the largest finished lubricants market in South America and is slowly recovering from the economic crisis. The increasing vehicles in circulation in the country along with rising demand from industrial end-users are driving the growth of the industry. Increasing focus on research & development and marketing activities, new product launches, partnerships & collaborations are expected to drive the industry in the future. The Brazil Lubricants Industry is expected to grow at a CAGR of 3.2% on the basis of sales revenue during the forecast period 2020-2025.
Key Segments Covered: –
By Origin of Lubricants (Volume in Kilo Tons & Value in BRL Billion)
Mineral
Synthetic
Semi-Synthetic
By Type of Lubricant (Volume in Kilo Tons)
Automotive
Industrial
Automotive Lubricants Market
By Type (Volume in Kilo Tons)
Passenger Vehicle Motor Oil
Heavy Duty Diesel Engine Oil
Gear Oils
Transmission Fluids
Hydraulic Oil
Greases
By End-Users (Volume in Kilo Tons)
Commercial Vehicles
Passenger Cars
Motor Cycles
Marine
Aviation
By Distribution Channels (Volume in Kilo Tons)
OEM Workshops
Supermarkets & Spare Part Shops (including Dealers & Distributors)
Unorganized Workshops
Online
Industrial Lubricants Market
By Type (Volume in Kilo Tons)
Hydraulic Oils
Industrial Gear Oils
Transformer Oils
Turbine Oils
Greases
Compressor Oils
By End-Users (Volume in Kilo Tons)
Construction
Engineering Equipment
Manufacturing
Power Generation
Iron & Non-Iron Production
Cement
Others
By Distribution Channels (Volume in Kilo Tons)
Direct Sales
Distributor-Lead
Companies Covered: –
Petrobras Distribuidora SA
Iconic Lubrificantes SA
Cosan Lubrificantes E Especialidades SA
Shell Brasil Petroleo LTDA
Petronas Lubrificantes SA
YPF Brasil Comercio de Derivados De Petroleo LTDA
Castrol Brasil LTDA
Total Brasil Distribuidora LTDA
Key Target Audience
Lubricant Manufacturing Companies
Lubricant Importing Companies
Additive Manufacturing Companies
Original Equipment Manufacturers
Consultancy Companies
Industry Associations
Regulatory Bodies
Time Period Captured in the Report: –
Historical Period – 2014-2019
Forecast Period – 2020-2025
Key Topics Covered in the Report: –
Economic & Geographical Overview of Brazil
Target Addressable Market for Automotive & Industrial Lubricants
Trends and Growth Drivers in the Industry and Challenges Faced
Brazil Lubricants Market Size and Segmentations, 2014 – 2019
Ecosystem and Value Chain of Lubricants Industry in Brazil
Industry SWOT Analysis and Lubricant Production Scenario
Customer Decision Making Parameters
Cross Comparison between Major Players and Company Profiles & Product Portfolios
Future Market Size and Segmentations, 2019-2025F
Covid-19 Impact on the Industry & the Way Forward
Analysts’ Recommendations
For More Information on the research report, refer to below link: –
Brazil Lubricants Market Analysis
Related Reports by Ken Research: –
Contact Us: –
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249
