Commercial and industrial lubricant demand in U.S. to rise
Commercial and industrial lubricant demand in the US is projected to grow 1.0% annually thanks to an increase in active oil and gas rigs in the U.S., which use engine oil and fluids for lubrication.
Commercial and industrial lubricant demand in the US is projected to grow 1.0% annually to 497 million gallons in 2022. Growth will be driven by an increase in the number of active oil and gas rigs in the US, which use engine oil and transmission and hydraulic fluid for lubrication. This and other trends are presented in Lubricants in the US, 15th Edition, a study from The Freedonia Group.
Oil and natural gas production will see the fastest gains of any commercial and industrial market, growing 4.1% per year through 2022. In addition to an increase in active rigs, demand will be supported by the rapid adoption of new oil and gas exploration equipment technology and its associated engine oil standards. Since well drilling often occurs in environmentally sensitive areas, any lubricants that offer a reduced environmental impact in these areas will also benefit.
Engine oils will represent the largest share of lubricant demand for the commercial and industrial market. Engine oil demand remains high, as long-lasting synthetic lubricants have been slower to penetrate the commercial and industrial market.
– Edited from a Freedonia Group press release by CFE Media.