China Refrigeration Lubricants Market Size
| Study Period: | 2018 - 2028 |
| CAGR: | < 3 % |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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China Refrigeration Lubricants Market Analysis
The refrigeration lubricants market in China is expected to register at a CAGR of 3% during the forecast period.
Due to the COVID-19 outbreak, nationwide lockdowns, disruption in manufacturing activities and supply chains, and production halts negatively impacted the market studied. However, the conditions started recovering in 2021, which is expected to restore the market's growth trajectory during the forecast period.
- Major factors driving the market studied are the new-generation lubricants emergence, optimized for energy efficiency and increasing momentum in the Chinese HVACR industry.
- Conversely, phasing out of existing refrigerants due to constant regulations amendments will likely hinder the market's growth.
- Augmenting prominence for lubricant technology and a rise in the cryogenic applications demand are expected to offer various opportunities for market growth.
- The air conditioning segment is expected to account for the most extensive application of the China refrigeration lubricants market. It is expected to grow at a considerable pace over the forecast period.
China Refrigeration Lubricants Industry Segmentation
The refrigeration oil is critical to the compressor's proper operation. Refrigeration compressor lubricants minimize friction, prevent wear, and act as a seal between the compressor's high- and low-pressure sides. The refrigeration lubricants market in China is segmented by base oil and application. By base oil, the market is segmented into mineral oil lubricant and synthetic lubricant. By application, the market is segmented into air conditioning and refrigeration. The market sizing and forecasts are based on each segment's value (USD million).
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China Refrigeration Lubricants Market Trends
This section covers the major market trends shaping the China Refrigeration Lubricants Market according to our research experts:
Increasing Momentum in the China HVACR Industry
- HVACR (Heating, Ventilation, Air Conditioning, and Refrigeration) is essential to residential and commercial buildings. The market is filled with different kinds of HVACR appliances. Heating appliances, like heaters, furnaces, and heat pumps, generate heat in buildings via central or local heating.
- Ventilation appliances change or replace the air in any building to regulate temperature. Air conditioning appliances are used to cool indoor air for thermal comfort.
- Refrigeration appliances, like refrigerators and freezers, are used to maintain a low temperature below the ambient temperature.
- Refrigeration lubricants for high-purity ammonia, such as R600a (isobutane), R290 (propane), R1270 (propene/propylene), R1150 (ethene/ethylene), and R170 (ethane), are used in a wide range of applications in domestic, industrial, and transport refrigeration. These are also used in small air conditioning systems, heat pumps, water heaters, and massive air conditioning and chiller systems.
- Increasing urbanization, unprecedented population growth, and frequently changing governmental regulations for making HVAC products more energy efficient are some of the key factors driving the market growth.
- Moreover, the growing demand for home appliances in China is one of the major factors accelerating the industry growth. In 2021, there was over 104 refrigerator per one hundred urban households and around 103 refrigerators per one hundred rural households in China. The refrigerator was one of the most prevalent durable goods among Chinese households.
- Furthermore, China's industrial output of household refrigerators reached nearly 90 million units in 2021. The country was one of the world's largest producers of consumer electronics. Additionally, the cold chain witnessed substantial progress for pharmaceutical products in China, which reached USD 85.3 billion in 2021, an increase of approximately 48% year-on-year.
- Therefore, these above trends are expected to stimulate the demand for the market studied over the forecast period.
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Air-Conditioning Application to Dominate the Market
- Air conditioning (AC) units are designed to modify humidity and air temperature in an enclosed area. The primary components of an air conditioner are a compressor, evaporator, expansion valve, and condenser. These components are also the areas where oil cocking will lead to the loss of efficiency. Lubricants are used to reduce side effects, such as pipeline corrosion, to provide better compatibility with common refrigeration gases.
- Refrigeration lubricants include multiple purposes, such as removing heat, lubricating moving parts, acting as a sealant, and cooling the critical parts of compressors.
- Some significant features of refrigeration lubricants include high resistance to oxidation, resistance to thermal degradation, non-foaming, water separation, anti-wear properties, and corrosion resistance.
- Energy demand for space cooling in commercial buildings in China is multiplying, owing to the rising population with higher purchase power, rapid urbanization, infrastructure development, and global warming.
- China is the largest producer and consumer of the air conditioner market, accounting for over 40% of the global market. China’s air conditioner market is expected to reach USD 42 billion by 2025.
- Presently, China produces around 70% of the world’s room air conditioners and covers almost 22% of installed cooling capacity worldwide. Additionally, as income levels continue to grow, AC ownership could reach as much as 85% by 2030.
- The GCAP gives the cooling industry in China specific goals. Compared to 2022 levels, the energy efficiency of large public buildings should increase by 30%, the market share of green and efficient cooling products by 40%, and the energy efficiency of major cooling products by over 25% by 2030, resulting in yearly electricity savings of 400 billion kWh.
- Moreover, in 2021, the production volume of air conditioners in China amounted to 218 million units, around eight million more than in the previous year.
- The above factors and government support contribute to the increasing demand for the refrigeration lubricants market during the forecast period.
China Refrigeration Lubricants Industry Overview
The China refrigeration lubricants market is consolidated, where the top players capture most of the market demand. A few companies include Idemitsu Kosan Co. Ltd, Petronas Lubricants Belgium NV, JXTG Nippon Oil & Energy Corporation, China National Petroleum Corporation, and China Petroleum & Chemical Corporation (not in any particular order).
China Refrigeration Lubricants Market Leaders
China National Petroleum Corporation
China Petroleum & Chemical Corporation (SINOPEC GROUP)
Idemitsu Kosan Co.,Ltd.
JXTG Nippon Oil & Energy Corporation
Petronas Lubricants Belgium NV (Suniso)
*Disclaimer: Major Players sorted in no particular order
China Refrigeration Lubricants Market News
- June 2022: Idemitsu Kosan Co., Ltd. announced that it would acquire a majority stake in Seibu Oil Co., Ltd. Seibu Oil will become a subsidiary of Idemitsu Kosan following the acquisition by March 2024.
- March 2022: BASF announced that it would almost double the production capacity for its synthetic ester base stocks at its site in Jinshan, China. The investment comes in response to the rising demand for high-performance lubricants in the Asia-Pacific. Further, it strengthens BASF’s position as a reliable supplier that strongly supports customers’ growth in the region.
China Refrigeration Lubricants Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Drivers
4.1.1 Emergence of New-generation Lubricants Optimized for Energy Efficiency
4.1.2 Increasing Momentum in the Chinese HVACR Industry
4.2 Restraints
4.2.1 Phasing Out of Existing Refrigerants due to Regulations Amendments
4.3 Industry Value Chain Analysis
4.4 Porter's Five Forces Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products
4.4.5 Degree of Competition
5. MARKET SEGMENTATION (Market Size in Value)
5.1 Base Oil
5.1.1 Mineral Oil Lubricant
5.1.1.1 Paraffinic Oil
5.1.1.2 Naphthenic Oil
5.1.1.3 Aromatic Oil
5.1.2 Synthetic Lubricant
5.1.2.1 Synthetic Hydrocarbon
5.1.2.1.1 Polyalphaolefin (PAO)
5.1.2.1.2 Alkylated Aromatics
5.1.2.1.3 Polybutene
5.1.2.2 Ester
5.1.2.2.1 Diester
5.1.2.2.2 Polyol Ester
5.1.2.2.3 Phosphate Ester
5.1.2.2.4 Polymer Ester
5.1.2.3 Polyalkylene Glycols (PAG)
5.1.2.4 Other Synthetic Lubricants
5.1.3 Other Base Oils
5.2 Application
5.2.1 Air Conditioning
5.2.1.1 Transportation
5.2.1.1.1 Automotive
5.2.1.1.2 Other Modes of Transportation
5.2.1.2 Other Air Conditioning Applications
5.2.2 Refrigeration
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Market Share (%)**/Ranking Analysis
6.3 Strategies Adopted by Leading Players
6.4 Company Profiles
6.4.1 BASF SE
6.4.2 BP PLC
6.4.3 Chevron Corporation
6.4.4 China National Petroleum Corporation
6.4.5 China Petroleum & Chemical Corporation (SINOPEC GROUP)
6.4.6 Exxon Mobil Corporation
6.4.7 FUCHS
6.4.8 Idemitsu Kosan Co. Ltd
6.4.9 JX Nippon Oil & Energy Corporation
6.4.10 Kluber Lubrication
6.4.11 Petronas Lubricants Belgium NV
6.4.12 Royal Dutch Shell PLC
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Augmenting Prominence for Lubricant Technology
7.2 Rise in the Demand from Cryogenic Applications
China Refrigeration Lubricants Market Research FAQs
What is the study period of this market?
The China Refrigeration Lubricants Market is studied from 2018 - 2028.
What is the growth rate of China Refrigeration Lubricants Market?
The China Refrigeration Lubricants Market is growing at a CAGR of <3% over the next 5 years.
Who are the key players in China Refrigeration Lubricants Market?
China National Petroleum Corporation , China Petroleum & Chemical Corporation (SINOPEC GROUP), Idemitsu Kosan Co.,Ltd., JXTG Nippon Oil & Energy Corporation , Petronas Lubricants Belgium NV (Suniso) are the major companies operating in China Refrigeration Lubricants Market.
China Refrigeration Lubricants Industry Report
Statistics for the 2023 China Refrigeration Lubricants market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. China Refrigeration Lubricants analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
