Rubber Process Oil Global Market Report 2024

The rubber process oil market size has grown strongly in recent years. It will grow from $2.03 billion in 2023 to $2.13 billion in 2024 at a compound annual growth rate (CAGR) of 5.0%. The growth observed in the historic period can be attributed to factors such as infrastructure development, compliance with environmental regulations, natural rubber production, the replacement tire market, and shifts in consumer preferences towards high-performance tires.

The rubber process oil market size is expected to see steady growth in the next few years. It will grow to $2.59 billion in 2028 at a compound annual growth rate (CAGR) of 5.0%. The anticipated growth in the forecast period can be attributed to digital transformation, evolving automotive design, a growing emphasis on sustainability, an increase in the adoption of electric vehicles, and the demand for specialty rubber products. Major trends expected in the forecast period include the utilization of bio-based rubber process oils, the development of customized formulations, the incorporation of enhanced performance additives, the implementation of energy-efficient manufacturing practices, and the enhancement of product traceability.

The rubber process oil market is witnessing growth due to the increased consumption of rubber process oils in tire manufacturing. The growth in the number of automobiles globally, as highlighted by the Society of Indian Automobile Manufacturers (SIAM) report, contributes to heightened tire demand, driving the rubber process oil market.

The rubber process oils market is experiencing growth, driven by the expanding automotive industry. Rubber process oils are essential for providing lubrication and performance-enhancing properties in the production of high-quality tires and rubber components. According to the Society of Indian Automobile Manufacturers (SIAM), the automotive industry produced approximately 23 million vehicles from April 2021 to March 2022, reflecting a growth trend. The rising automotive industry is expected to propel the growth of the rubber process oils market.

The rubber process oil market experiences growth driven significantly by rising disposable income. Disposable income, reflecting the funds available after taxes and essential expenses, plays a pivotal role in supporting economic activities and industrial growth. In December 2023, the Bureau of Economic Analysis reported a 0.4 percent increase in disposable personal income, indicating a positive trend in available income. This rise in disposable income is expected to propel the growth of the rubber process oils market.

Strategic partnerships are a notable approach adopted by major companies in the rubber processing oil market to expand access to high viscosity and solvency solutions. In August 2022, Cross Oil Refining & Marketing, Inc., a US-based oil refinery, partnered with Process Oils, Inc., a US-based company supplying process oils and base oils. This collaboration aims to enhance the rubber processing oil market by expanding access to high viscosity and solvency solutions, ensuring a stable supply, providing technical expertise, and benefiting from an efficient logistics network.

In August 2022, Saudi Aramco, a Saudi Arabia-based petroleum and natural gas company, acquired Valvoline Inc.’s global products business for $2.5 billion. This acquisition provided Saudi Aramco with Valvoline’s manufacturing and distribution network, research and development capabilities, and partnerships with original equipment manufacturers (OEMs). It complemented Saudi Aramco’s premium line of branded lubricant products. Valvoline, based in the US, manufactures and distributes automotive oils, additives, and lubricants.

Major companies operating in the rubber process oil market report are Exxon Mobil Corporation, Royal Dutch Shell plc., Total S.A., Chevron Corporation, Eni S.p.A, Reliance Industries Limited, Petronas Lubricants Belgium NV, Repsol S.A., Indian Oil Corporation Limited, Iranol Oil Co., Hindustan Petroleum Corporation Limited, Gazprom Neft, CPC Corporation, Southwestern Petroleum Corporation, Eagle Compression LLC, ORGKHIM Biochemical Holding, Apar Industries Ltd., Nynas AB, Lodha Petro, Gandhar Oil Refinery Limited, Panama Petrochem Ltd., Cross Oil Refining & Marketing Inc., Hollyfrontier Refining & Marketing LLC, Kite International Investiments Ltd., Petro Gulf Fzc, WBF Pte Ltd., Behran Oil Company, Vintrol Lubes Pvt. Ltd., Witmans Industries Pvt. Ltd.

Asia-Pacific was the largest region in the rubber process oil market in 2023 and is expected to be the fastest-growing region in the forecast period. The regions covered in the rubber process oil market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the rubber process oil market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The primary types of rubber process oil encompass aromatic, paraffinic, naphthenic, mild extracted solvent (MES), residual aromatic extracted solvent (RAE), and treated distillate aromatic extracted solvent (TDAE). Aromatic rubber process oils, with a double-bonded mixed ring carbon structure, exhibit color stability, solubility, and thermal stability, making them suitable for molded articles, slippers, LPG tubes, floor tiles, and more.

The rubber process oil market research report is one of a series of new reports that provides rubber process oil market statistics, including rubber process oil industry global market size, regional shares, competitors with a rubber process oil market share, detailed rubber process oil market segments, market trends and opportunities, and any further data you may need to thrive in the rubber process oil industry. This rubber process oil market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The rubber processing oil market consists of sales of distillate aromatic extract and paraffin oil. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.