Market Overview
| Study Period | 2019 - 2030 |
|---|---|
| Market Volume (2025) | 14.26 Billion liters |
| Market Volume (2030) | 14.88 Billion liters |
| Growth Rate (2025 - 2030) | 0.85% CAGR |
| Fastest Growing Market | Middle East and Africa |
| Largest Market | Asia Pacific |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order Image © Mordor Intelligence. Reuse requires attribution under CC BY 4.0. |
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Automotive Engine Oils Market Analysis by Mordor Intelligence
The Global Automotive Engine Oils Market size is estimated at 14.26 billion liters in 2025, and is expected to reach 14.88 billion liters by 2030, at a CAGR of 0.85% during the forecast period (2025-2030). Continued enforcement of more stringent emission limits, rapid OEM migration to low-viscosity synthetic grades, and the surging vehicle parc in emerging economies collectively underpin this guarded expansion. Digital retailing, e-maintenance platforms, and long-drain oil specifications have also begun to redefine the revenue mix, encouraging value-added formulations even as mineral-oil dominance persists in cost-sensitive pockets. Meanwhile, counterfeit risks, crude-price volatility, and tightening waste-oil regulations temper near-term margin prospects, prompting greater supply-chain traceability and circular-economy investments.
Key Report Takeaways
- By product type, passenger car motor oil commanded 62.47% of the automotive engine oils market share in 2024, while Motorcycle Engine Oil is forecast to advance at a 0.96% CAGR through 2030.
- By base stock, mineral oils retained a 53.36% share of the automotive engine oils market size during 2024, yet fully synthetic grades are projected to expand at a 1.12% CAGR to 2030.
- By geography, Asia-Pacific led with 43.76% revenue share in 2024; the Middle East and Africa are expected to post the fastest 2.25% CAGR over the forecast period.
Global Automotive Engine Oils Market Trends and Insights
Driver Impact Analysis
| Drivers | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Stricter emission and fuel-economy norms spurring low-viscosity synthetics | +0.3% | Global, with early gains in North America, Europe, China | Medium term (2-4 years) |
| Digital quick-lube and e-commerce channels expanding reach | +0.2% | Global, with accelerated adoption in Asia-Pacific, North America | Short term (≤ 2 years) |
| Emerging-market two-wheeler and passenger-car boom | +0.2% | APAC core, spill-over to MEA, Latin America | Long term (≥ 4 years) |
| OEM proprietary long-drain specifications raising oil value | +0.1% | Global, with premium segment concentration in developed markets | Medium term (2-4 years) |
| PAO and GTL supply expansion lowering synthetic cost | +0.1% | Global manufacturing hubs, particularly Asia-Pacific, Gulf states | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Stricter Emission and Fuel-Economy Norms Spurring Low-Viscosity Synthetics
API SQ and ILSAC GF-7 were introduced in March 2025, mandating proven fuel-economy gains that tilt demand toward 0W-20 and 5W-30 synthetic grades. European ACEA 2024 revisions echo these requirements, with OEMs factory-filling lower-viscosity oils to hit Euro 7 and CAFE thresholds[1]American Petroleum Institute, “API Announces New SN Plus Motor Oil Category,” Api.org. Consumer uptake follows OEM guidance, reinforcing a volume migration from mineral to synthetic products even where sticker prices remain higher.
Digital Quick-Lube and E-Commerce Channels Expanding Reach
By 2024, online platforms handled nearly one-fifth of consumer oil sales in mature markets, while mobile quick-lube apps optimized service cycles through remote diagnostics. FUCHS’s Southeast Asia roll-out combines IoT sensors with automated re-ordering for fleets, illustrating how digitalization lowers distributor friction and highlights synthetic oil value propositions.
Emerging-Market Two-Wheeler and Passenger-Car Boom
Motorcycle Engine Oil growth stems from India’s 21.2 million-unit two-wheeler output and continued additions in Indonesia and Vietnam. Rapid urbanization sustains high-temperature, stop-and-go operating conditions that demand robust MCO formulations. Parallel passenger-car gains in lower-tier Chinese cities offset EV adoption in megacities, forcing blended portfolios that span ICE oils and EV e-fluids.
OEM Proprietary Long-Drain Specifications Raising Oil Value
BMW Longlife-04, Mercedes-Benz 229.71, and Ford WSS-M2C171-F1 extend drains to as much as 25,000 miles and specify PAO-rich blends, raising product value by as much as 60% over conventional oils. Manufacturers with research and development muscle and additive-system breadth are best placed to address these bespoke requirements.
Restraint Impact Analysis
| Restraints | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Volatile crude and base-oil prices compressing margins | -0.2% | Global, with acute effects in import-dependent regions | Short term (≤ 2 years) |
| Counterfeit/low-quality lubricants in developing markets | -0.1% | Primarily Asia-Pacific, MEA, Latin America emerging economies | Medium term (2-4 years) |
| Stricter used-oil disposal and recycling regulations | -0.1% | Europe, North America, with expanding coverage to Asia-Pacific | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Counterfeit/Low-Quality Lubricants in Developing Markets
Fake products account for as much as 15% of volume in several emerging countries. Shell deployed blockchain tracking and QR codes to authenticate packs, yet these systems add cost and require retailer education. Premium synthetics face the greatest exposure given their higher ticket value.
Stricter Used-Oil Disposal and Recycling Regulations
Europe and North America extended producer-responsibility mandates in 2024, moving collection targets above 65% of post-consumer oil. Compliance costs steer capital toward re-refining partnerships and push marketers to incorporate circular-economy messaging in brand strategies.
Segment Analysis
By Product Type: Passenger Car Motor Oil Dominance Faces MCO Growth Challenge
Passenger Car Motor Oil delivered 62.47% of the automotive engine oils market share in 2024 as OEM factory fills and quick-lube networks anchored demand. Motorcycle Engine Oil posted the swiftest pace, advancing at a 0.96% CAGR through 2030 amid Asia-Pacific’s two-wheeler surge. MCO premiumization is underway, with Japanese and Indian OEMs specifying synthetic blends that tolerate high-RPM heat cycles and extend drains. Manufacturers that manage multi-category portfolios gain procurement scale and channel leverage.
Second-tier Heavy Duty Motor Oil supplies long-haul fleets and remains stable but faces electrification uncertainty. Still, telematics-enabled drain planning and emissions-after-treatment devices sustain lubricant value propositions, particularly in regions where charging infrastructure remains nascent.
Note: Segment shares of all individual segments available upon report purchase
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By Base Stock: Synthetic Transition Accelerates Despite Mineral Dominance
Mineral oils held a 53.36% share of the automotive engine oils market size in 2024, thanks to entrenched supply and low price perception. Fully synthetic products, however, will outpace at a 1.12% CAGR as API SQ and long-drain warranties necessitate higher oxidation resistance.
Semi-synthetics bridge performance and price, widening appeal in value-conscious fleets. Early-stage bio-based oils have yet to dent volumes but attract regulatory grants and OEM co-development. The competitive edge now gravitates toward blenders with secure PAO/GTL sourcing, additive synergies, and talent capable of meeting multiple certification regimes.
Note: Segment shares of all individual segments available upon report purchase
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Geography Analysis
Asia-Pacific captured 43.76% of 2024 volume, led by China’s 26.1-million-unit vehicle output and India’s expanding two-wheeler base. Southeast Asian nations add incremental gains, offsetting moderating Chinese ICE growth as urban EV adoption climbs beyond 35% in top cities[2]China Association of Automobile Manufacturers, “China Auto Industry Statistics 2024,” Caam.org.cn.
The Middle East and Africa will grow the fastest at a 2.25% CAGR to 2030. Saudi Vision 2030 infrastructure projects, UAE logistics expansion, and Nigeria’s nascent assembly output collectively stimulate lubricant demand across passenger and commercial fleets. Wider GCC specification harmonization eases cross-border product flows, but counterfeit policing and used-oil stewardship lag behind.
North America and Europe are buoyed by a premium mix, and the adoption of low-viscosity synthetics renders them disproportionately profitable. Extended drains, EV e-fluids, and digital service models preview shifts likely to percolate into emerging markets. Regulatory headwinds around waste-oil collection and PFAS content compel research and development redeployments toward more benign chemistries.
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Competitive Landscape
The global market is moderately fragmented. Digital disruption, proprietary OEM tie-ups, and widening counterfeit threats intensify rivalry. Incumbents respond by deepening base-oil integration, automating blending lines, and launching direct-to-consumer storefronts. Shell’s blockchain authentication, ExxonMobil’s Singapore PAO expansion, and TotalEnergies’ bio-lubricant capacity illustrate capital allocation aimed at both growth and risk mitigation. Independent blenders differentiate on localized formulations and flexible service, but rising regulatory complexity and API/ACEA testing costs erect entry barriers.
Automotive Engine Oils Industry Leaders
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TotalEnergies
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Shell plc
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Exxon Mobil Corporation
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Chevron Corporation
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BP p.l.c.
- *Disclaimer: Major Players sorted in no particular order
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Recent Industry Developments
- January 2025: Veedol Corporation launched SwiftPower and SynthGlide fully synthetic engine oils in India, leveraging EstoBioLides Technology for initial domestic rollout with export plans.
- December 2024: Idemitsu Kosan unveiled IFG Plantech Racing, the first plant-based API SP motor oil using more than 80% renewable feedstock and claiming an 82% smaller carbon footprint.
Global Automotive Engine Oils Market Report Scope
By Product Type
| Passenger Car Motor Oil (PCMO) | 0W-XX |
| 5W-XX | |
| 10W-XX | |
| 15W-XX | |
| Monogrades | |
| Other Grades | |
| Heavy Duty Motor Oil (HDMO) | 0W-XX |
| 5W-XX | |
| 10W-XX | |
| 15W-XX | |
| Monogrades | |
| Other Grades | |
| Motorcycle Engine Oil (MCO) | 0W-XX |
| 5W-XX | |
| 10W-XX | |
| 15W-XX | |
| Monogrades | |
| Other Grades |
By Base Stock
| Mineral |
| Synthetic |
| Semi-Synthetic |
| Bio-Based |
By Geography
| Asia-Pacific | China |
| India | |
| Pakistan | |
| Bangladesh | |
| Japan | |
| South Korea | |
| Taiwan | |
| Australia | |
| Malaysia | |
| Indonesia | |
| Thailand | |
| Vietnam | |
| Rest of Asia-Pacific | |
| North America | United States |
| Canada | |
| Mexico | |
| Europe | Germany |
| United Kingdom | |
| France | |
| Italy | |
| Spain | |
| Nordic Countries | |
| Russia | |
| Rest of Europe | |
| South America | Brazil |
| Argentina | |
| Colombia | |
| Rest of South America | |
| Middle-East and Africa | Saudi Arabia |
| United Arab Emirates | |
| Qatar | |
| Iran | |
| South Africa | |
| Egypt | |
| Nigeria | |
| Rest of Middle-East and Africa |
| By Product Type | Passenger Car Motor Oil (PCMO) | 0W-XX |
| 5W-XX | ||
| 10W-XX | ||
| 15W-XX | ||
| Monogrades | ||
| Other Grades | ||
| Heavy Duty Motor Oil (HDMO) | 0W-XX | |
| 5W-XX | ||
| 10W-XX | ||
| 15W-XX | ||
| Monogrades | ||
| Other Grades | ||
| Motorcycle Engine Oil (MCO) | 0W-XX | |
| 5W-XX | ||
| 10W-XX | ||
| 15W-XX | ||
| Monogrades | ||
| Other Grades | ||
| By Base Stock | Mineral | |
| Synthetic | ||
| Semi-Synthetic | ||
| Bio-Based | ||
| By Geography | Asia-Pacific | China |
| India | ||
| Pakistan | ||
| Bangladesh | ||
| Japan | ||
| South Korea | ||
| Taiwan | ||
| Australia | ||
| Malaysia | ||
| Indonesia | ||
| Thailand | ||
| Vietnam | ||
| Rest of Asia-Pacific | ||
| North America | United States | |
| Canada | ||
| Mexico | ||
| Europe | Germany | |
| United Kingdom | ||
| France | ||
| Italy | ||
| Spain | ||
| Nordic Countries | ||
| Russia | ||
| Rest of Europe | ||
| South America | Brazil | |
| Argentina | ||
| Colombia | ||
| Rest of South America | ||
| Middle-East and Africa | Saudi Arabia | |
| United Arab Emirates | ||
| Qatar | ||
| Iran | ||
| South Africa | ||
| Egypt | ||
| Nigeria | ||
| Rest of Middle-East and Africa | ||
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Key Questions Answered in the Report
How large is the global automotive engine oils space today and how fast is it expanding?
Global demand reached 14.26 billion liters in 2025 and is forecast to rise to 14.88 billion liters by 2030, implying a 0.85% CAGR.
Which product category is expected to post the quickest volume gains through 2030?
Motorcycle Engine Oil is projected to grow at a 0.96% CAGR, topping all other segments as two-wheeler ownership accelerates across Asia-Pacific.
What region buys the most automotive engine oils and which one will grow the fastest?
Asia-Pacific led with 43.76% of global volume in 2024, while the Middle East and Africa is set to record the highest 2.25% CAGR over 2025-2030.
Why are synthetic formulations winning share from mineral oils?
Stricter emission and fuel-economy rules, OEM long-drain warranties, and expanding PAO/GTL capacity that trims cost gaps are all pushing buyers toward fully synthetic grades.
What are the biggest challenges suppliers must navigate right now?
Margin pressure from crude and base-oil price swings, counterfeit products in developing economies, and tighter waste-oil regulations are the key headwinds.
How are digital channels reshaping customer engagement?
E-commerce already captures close to 20% of consumer oil sales in mature economies, and quick-lube apps that use real-time oil-condition data are boosting retention and upselling premium synthetics.
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