Grease Market Size, Share & Industry Analysis, By Base Oil (Mineral Oil, Synthetic Oil, and Bio-based Oil), By Application (Automotive, Food & Beverage, Power Generation, Construction, Agriculture, Mining, and Others), and Regional Forecast, 2024-2032

The global grease market size was valued at USD 6.60 billion in 2023. The market is projected to grow from USD 6.85 billion in 2025 to USD 9.49 billion by 2032 at a CAGR of 4.60% during the forecast period. Asia Pacific dominated the grease market with a market share of 44.18% in 2023.

Grease is a semi-solid or solid lubricant and is produced by combining three essential components such as thickeners, base oil, and additives. They are designed to reduce friction in machinery and equipment and provide protection against rust and corrosion. Moreover, its ability to maintain effective lubrication under a wide range of operating conditions, including high temperature and heavy loads, surged its adoption in various industries such as automotive, construction, food & beverage, and mining.

The spread of the COVID-19 pandemic severely disrupted the automotive and construction industries and brought all the activity to a grinding halt. Transportation and logistics faced unprecedented hurdles during the pandemic. International and domestic movement restrictions, coupled with a shortage of shipping containers and reduced workforce availability, led to delays in the delivery of raw materials and finished products. This affected the supply chain timeline and also increased transportation costs, further restraining the market expansion.

GLOBAL GREASE MARKET OVERVIEW & KEY METRICS

Market Size & Forecast:

• 2023 Market Size: USD 6.60 billion
• 2025 Market Size: USD 6.85 billion
• 2032 Forecast Market Size: USD 9.49 billion
• CAGR: 4.60% from 2024–2032

Market Share:

• Asia Pacific led the global grease market in 2023 with a 44.18% share, valued at USD 2.72 billion in 2022, rising from USD 2.81 billion in 2023. The region’s dominance is driven by the rapid expansion of the automotive, construction, and power generation sectors particularly in China, India, and Southeast Asia. Demand is further supported by strong manufacturing capabilities and government investments in industrial infrastructure.
• By base oil, mineral oil-based grease held the largest market share in 2023 due to its cost-effectiveness and wide adoption across automotive and construction applications. However, synthetic oil-based grease is expected to witness the fastest growth due to superior performance under extreme conditions. The bio-based segment is also growing steadily with rising demand for eco-friendly lubricants across industries.
• By application, the automotive segment dominated the market in 2023, supported by growing vehicle production and the need for lubrication in critical components such as chassis, wheel bearings, and steering systems. The power generation segment accounted for a 13.2% share, while food & beverage, mining, and agriculture segments are witnessing increasing demand for specialty and food-grade greasing solutions.

Key Country Highlights:

• China: Leads the Asia Pacific grease market due to strong automotive and construction activity. In 2023, the power generation segment in China is estimated to hold a 12.6% market share.
• United States: North America's market is driven by the expansion of the mining and construction sectors, alongside rising adoption of high-performance, environmentally compliant lubricants.
• Germany: In Europe, the market benefits from industrial automation trends and strong preferences for bio-based greases aligned with sustainability mandates.
• Brazil & Mexico: In Latin America, growing infrastructure development and industrialization support demand for grease in construction and transportation sectors.
• Saudi Arabia & South Africa: The grease market in the Middle East & Africa is bolstered by demand from oil & gas, mining, and heavy industries requiring robust lubrication solutions in extreme environments.

Grease Market Trends

Development of Eco-Friendly Products is Likely to Create New Market Opportunities for Bio-Based Grease

The development of eco-friendly products presents a significant opportunity for the market to grow sustainably during the forecast period. This shift toward green alternatives, growing environmental awareness, and rising adoption of environment-friendly products over traditional-based lubricants are the significant factors influencing the market growth. Eco-friendly greasing solutions often have the advantage of being more biodegradable and less toxic, which leads to cost savings in terms of disposal and cleanup. Additionally, some eco-friendly formulations offer superior performance characteristics such as better lubricity or longer life, leading to further savings and efficiency improvements for users.

As a result, in recent times, many regions such as Asia Pacific, North America, and Europe are implementing strong environmental regulations and developing eco-friendly lubricants with emphasis on the discovery of new, sustainable materials, and technologies. Hence, the push for sustainable solutions and the development of eco-friendly products lead to innovation, driving market growth. Asia Pacific witnessed a grease market growth from USD 2.72 billion in 2022 to USD 2.81 billion in 2023.

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Grease Market Growth Factors

Expansion of the Automotive Industry along with Rising Electric Vehicle Demand to Drive Market Growth

The automotive industry significantly drives the expansion of the global market due to several significant factors such as increasing vehicle production and sales that surge the product demand for lubricating various components such as engines, brakes, and wheel bearings. As vehicle ownership grows, particularly in emerging economies, the need for product to maintain these vehicles is expected to rise. Furthermore, growing technological advancements in the automotive industry surge the product adoption in modern vehicles for their complex designs and higher performance requirements. The product ensures smooth operation of components under extreme conditions including high temperatures and pressures.

Moreover, the growing shift toward Electric Vehicles (EVs) as part of global carbon emission reduction efforts is a significant factor that is driving the product demand in the industry. In electric vehicles, the requirement for high-quality lubricants can be observed in components, such as wheel bearings, electric motors, and gearboxes. As EV adoption accelerates, the demand for specialized greases is expected to grow, further expanding the market.

RESTRAINING FACTORS

Fluctuating Raw Material Prices Used in Product Manufacturing to Hinder Market Growth

The fluctuation in raw material prices severely impacts the overall product cost. Factors such as volatility in oil and gas prices, environmental regulations, and geopolitical tensions directly impact the cost of base oils or mineral oil, thereby creating price variations and disrupting market expansion. Furthermore, unpredictable pricing trends complicate procurement budgeting and planning, leading to production delays and necessitating adjustments in production processes. Hence, such factors are anticipated to restrain the global market growth.

Grease Market Segmentation Analysis

By Base Oil Analysis

Mineral Oil Segment Held the Largest Share Due to its Characteristics and Low Cost

On the basis of base oil, the market is segmented into mineral oil, synthetic oil, and bio-based. The mineral oil segment held the largest grease market share in 2023. Mineral oil serves as the primary fluid component in many grease formulations. It is available at low-cost and helps in creating the lubricating film that reduces friction and wear between moving parts. When combined with appropriate antioxidants, mineral oil-based products can resist oxidation and maintain their performance over extended periods. The growing automotive and construction industries coupled with rising product advancements will surge the mineral oil demand during the forecast period. This segment gained 92.3% of the market share in 2024.

The synthetic oil segment is anticipated to grow at the fastest rate during the forecast period. The growth of synthetic oil in the construction industry is driven by its superior performance characteristics, which are essential for the demanding conditions of construction equipment and machinery. Synthetic oils offer enhanced thermal stability, oxidation resistance, and superior lubrication properties compared to conventional mineral oils, making them ideal for heavy-duty applications and extreme operating environments typical in construction.

On the other hand, the bio-based oil segment is expected to grow sustainably during the forecast period. Nowadays, industries are increasingly adopting corporate sustainability goals, driving the shift toward greener alternatives. This fuels the demand for bio-based products in various applications including automotive, industrial machinery, and agriculture.

By Application Analysis

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Automotive Segment Dominates Due to Growing Product Usage in Several Components

Based on application, this market is segmented into automotive, food & beverage, power generation, construction, agriculture, mining, and others.

Amongst these, the automotive segment accounted for the dominant market share in 2023. The growth is attributed to the rising product demand for lubricating several components including chassis, wheel bearings, CV joints, suspension systems, and steering linkages. Furthermore, the product also offers critical protection against wear, friction, water, and corrosion, and ensures the smooth longevity of vehicle parts. This segment is set to dominate the market with a share of 45.2% in 2025.

In the power generation segment, the product plays a critical role by lubricating various components, such as turbines, generators, and auxiliary equipment, thereby reducing friction, wear, and maintenance downtime. Its application is crucial in ensuring the efficient and reliable operation of power plants, which include fossil fuel, nuclear, and renewable energy facilities. The increasing energy & power requirements will significantly drive the power generation segment growth.

The construction segment is foreseen to exhibit a significant CAGR of 4.80% during the forecast period (2024-2032).

In the agriculture industry, the product is essential for maintaining the performance and longevity of farming equipment such as tractors, harvesters, plows, and irrigation systems. It minimizes friction and wear in moving parts, ensuring smooth operation and reducing the risk of equipment breakdowns during critical farming seasons. Hence, the segment is anticipated to grow considerably during the forecast period.

The food & beverage segment is growing at a significant growth rate during the forecast period. In the food and beverage industry, product use is crucial for the maintenance and smooth operation of machinery involved in processing, packaging, and handling food products. Food-grade greasing solutions are specifically formulated to meet strict safety standards, ensuring that they are non-toxic, odorless, and resistant to degradation by food products and cleaning chemicals. The major driving factors include the industry's stringent hygiene and safety regulations, such as those set by the FDA and NSF, which mandate the use of lubricants that can safely come into incidental contact with food.

In the mining industry, the product ensures the smooth and efficient operation of heavy-duty equipment such as excavators, loaders, haul trucks, and conveyor systems. Hence, product use is expected to grow significantly in the mining application segment.

REGIONAL INSIGHTS

Based on region, the market is fragmented into Asia Pacific, Europe, North America, Latin America, and the Middle East & Africa.

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Asia Pacific

The market size of Asia Pacific stood at USD 2.81 billion in 2023 and gained USD 2.93 billion in 2024 with the largest share in the global market. In this region, China holds the highest market share due to the substantial expansion of the automotive and construction industries. The Chinese market is foreseen to be worth USD 1.50 billion in 2025. Further, the emphasis on high-speed rail systems and renewable energy projects, such as wind and solar, along with increasing demand for specialized lubricants that ensure reliability and efficiency, will surge the demand for grease in the region. India is projected to gain USD 0.56 billion in 2025, while Japan is set to hit USD 0.27 billion in the same year.

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Europe

Europe is the third largest market expected to gain USD 1.13 billion in 2025. The growing government policies and investments in infrastructure and renewable energy projects are bolstering product adoption in Europe. This is further supplemented by advancements in industrial automation and the need for superior lubrication solutions to enhance equipment lifespan and reduce downtime. The U.K. market is likely to reach USD 0.12 billion in 2025. Furthermore, the growing preference for eco-friendly and bio-based lubricant products in the country is also set to drive the market growth during the forecast period. Germany is foreseen to grow with a valuation of USD 0.23 billion in 2025, while France is set to be valued at USD 0.15 billion in the same year.

North America

North America is the second largest market poised to gain USD 1.51 billion in 2025, displaying a CAGR of 4.30% during the forecast period (2024-2032). The expansion of construction and mining industries in North America is fueling the market growth in the region. The mining products require high-performance lubricants to ensure the smooth operation of heavy-duty equipment operating in harsh conditions. Furthermore, the region’s stringent quality standards and regulations, coupled with the emphasis on environmental sustainability, encourage the adoption of advanced lubricating formulations that offer improved performance and environmental compatibility, further driving grease market growth. The U.S. market continues to grow, expected to reach a market value of USD 1.37 billion in 2025.

Latin America and the Middle East & Africa

The MEA is the fourth largest market poised to hold USD 0.69 billion in 2025. The market in Latin America and the Middle East & Africa is witnessing robust growth, primarily driven by the regions’ expanding industrial and construction activities, along with significant investments in infrastructure and development projects. In the Middle East, the booming oil and gas industry and the growth of mining and heavy industries demands high-performance lubricants capable of withstanding extreme conditions. The GCC market is predicted to stand at USD 0.24 billion in 2025.

KEY INDUSTRY PLAYERS

Key Players Adopted Several Strategic Initiatives to Increase their Market Presence

Major players operating in this industry are Exxon Mobil Corporation, Total Energies, Shell PLC, Chevron Corporation, and B.P. PLC, which are involved in product innovations, supply chains, capacity improvements, mergers, acquisitions, and collaborations in the global market. For example, Shell PLC, in 2022, supplied more than 12 billion tons of petrochemicals to more than 1,000 industrial customers worldwide. Furthermore, the company’s lubricants supply chain has a network of four base oil plants, 32 lubricants blending plants, six GTL base oil storage hubs, and 10 grease plants.

List of Top Grease Companies:

• Exxon Mobil Corporation (U.S.)
• Total Energies (France)
• Shell PLC (U.K.)
• Chevron Corporation (U.S.)
• B.P. PLC (U.K.)
• FUCHS (Germany)
• Sinopec (China)
• PETRONAS (Malaysia)
• CONDAT Group (France)
• Klüber Lubrication (Germany)

KEY INDUSTRY DEVELOPMENTS:

• November 2023: B.Grimm Technologies and PETRONAS Lubricants International teamed up to work together and utilize their business expertise to enhance the lubricants market in Thailand. This partnership signified the beginning of future collaborations between B.Grimm and the PETRONAS Group, which would explore new energy solutions in Thailand and the Southeast Asian market. 
• March 2023: ExxonMobil announced its plan to invest approximately USD 110 million in constructing a lubricant manufacturing facility in Maharashtra. The new plant would have the capability to produce 159,000 kiloliters of finished lubricants per year, serving the increasing demand of Indian industrial sectors such as steel, manufacturing, mining, power, and construction. The plant is projected to commence operations by the end of 2025. 
• November 2022: Chevron introduced a new eco-friendly lubricant and grease for marine vessels to improve performance and prevent corrosion. With this launch, the company would complete the requirements for the use of renewable components to meet certain registrations and labels.
• November 2021: Shell Gadus S3 V220C 2 grease has been certified against the NLGI High-Performance Multiuse (HPM) certification, in addition to its previously held NLGI GC–LB performance classification. This makes it the first and only dual-certified grease currently available in the world. 
• January 2021: TOTAL TEXTILE TEAM launched PFPE-based PTFE Grease STATERMIC X400. STATERMIC X400 is a white PFPE-based PTFE grease designed for textile applications where mineral or synthetic greases are not satisfactory. 

REPORT COVERAGE

An Infographic Representation of Grease Market

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The report offers a detailed study of the market and emphasizes crucial factors such as sources, applications, products, and leading companies. The report gives quantitative data in terms of volume and value, research methodology of qualitative data, insights into market trends, and highlights vital industry developments. In addition, the report covers various factors that contributed to the progress of the market over the past years.

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