
Study Period | 2019 - 2030 |
Base Year For Estimation | 2024 |
Forecast Data Period | 2025 - 2030 |
Market Volume (2025) | 574.93 Million Liters |
Market Volume (2030) | 695.80 Million Liters |
CAGR | 3.89 % |
Market Concentration | High |
Nigeria Lubricants Market Analysis
The Nigeria Lubricants Market size is estimated at 574.93 million liters in 2025, and is expected to reach 695.80 million liters by 2030, at a CAGR of 3.89% during the forecast period (2025-2030).
Nigeria's industrial landscape is undergoing significant transformation, driven by governmental initiatives to diversify the economy beyond oil dependency. The manufacturing sector has shown resilience despite economic challenges, with the food and beverage industry emerging as a crucial sub-sector contributing approximately 22.5% to the manufacturing industry value. According to the National Bureau of Statistics, Nigeria imported food products worth NGN 1.9 trillion in 2022, highlighting the significant market potential for industrial lubricants in food processing and manufacturing operations. The government's focus on attracting private investments and promoting domestic production has led to strategic mergers, such as the Honeywell Group Limited's agreement with Flour Mills of Nigeria Plc, which is expected to boost industrial lubricant demand.
The power generation sector in Nigeria is experiencing substantial developments, particularly in grid infrastructure and capacity expansion. The country's average electricity generation witnessed an 8.6% year-on-year increase to 3,970.33 MW in July 2023, reflecting growing industrial activity and energy demand. The Central Bank of Nigeria's injection of USD 250 million for expanding electricity distribution and transmission infrastructure, coupled with the implementation of the Electricity Act 2023, demonstrates the government's commitment to revamping the power landscape. These developments are creating new opportunities for specialized lubricants used in power generation equipment and turbines.
The automotive lubricants market is being reshaped by the increasing influx of used vehicles and the evolution of the domestic automotive assembly sector. According to the National Bureau of Statistics, the import value of used vehicles with diesel or semi-diesel engines rose significantly by 375% to NGN 803.4 billion in the first half of 2023. The presence of 31 licensed producers of cars, trucks, and buses in the country, with a combined installed capacity of 205,000 vehicles annually, indicates a growing domestic market for automotive lubricants, though current capacity utilization remains below optimal levels.
The industrial manufacturing sector is witnessing technological advancement and modernization across various segments. The metallurgy and metalworking industry is undergoing revival through government initiatives, including the adoption of Public-Private Partnership (PPP) models for funding steel complexes. The food processing industry's expansion, coupled with the government's focus on promoting domestic manufacturing through initiatives like 'Strengthening of the legal and institutional infrastructures for sound management of chemicals in Nigeria,' is creating new demands for specialized industrial lubricants. These developments are driving the need for high-performance lubricants capable of meeting increasingly sophisticated industrial applications.
Nigeria Lubricants Market Trends
Growing Demand from Agriculture Industry
The agricultural sector represents a significant driver for lubricants demand in Nigeria, with the National Bureau of Statistics reporting that agriculture generated approximately 21% of Nigeria's GDP in the second quarter of 2023, with crop production being the largest contributor at 19%. The sector's robust growth is evidenced by various government initiatives and international investments, including the UK Foreign Minister's announcement in August 2023 of a GBP 55 million contract to help transform Nigeria's rural economy and a GBP 2.9 million grant to assist over 4 million people in adopting sustainable agricultural practices. This expansion in agricultural activities directly correlates to increased demand for engine oil and gear oil used in farming machinery and equipment.
In June 2023, the Nigerian government successfully raised more than USD 500 million to transform food production systems, with funds coming from multilateral development banks and international financial institutions. These investments are specifically targeted toward innovation finance for food system transformation, development of Nigeria's agro value chain, and unique agro-industrial processes. The agricultural sector's growth is further supported by the fact that, according to the Food and Agriculture Organization (FAO), at least 70% of Nigerians work in agriculture, creating substantial demand for industrial oil used in agricultural machinery such as tractors, harrows, combine harvesters, and other farming equipment that require regular maintenance and lubrication.
Rising Demand for Lubricants in Second-hand Passenger Cars
The second-hand vehicle market in Nigeria has emerged as a crucial driver for lubricants demand, with used car segments accounting for nearly 95% of the automotive market. This dominance is illustrated by major suppliers like Cars45, which sells approximately 750,000 vehicles annually in Nigeria alone, where it maintains a presence across 11 states. The market's significance is further emphasized by the National Bureau of Statistics data showing that the country's used vehicle market experienced a remarkable 708% growth in the second quarter of 2023, with import values reaching NGN 728 billion, demonstrating the substantial potential for motor oil consumption in the aftermarket segment.
The scale of Nigeria's used vehicle market is highlighted by the Vice President's statement that the country's annual vehicle demand stands at 720,000 units, while local production can only supply 14,000 units. This significant gap is primarily filled through imports, with the National Automotive Design and Development Council (NADDC) reporting that Nigeria spends approximately USD 8 billion annually on imported vehicles. The market dynamics have been further influenced by recent developments, such as strategic partnerships formed in July 2023 between Jiji and Cars45 with Suzuki, and in May 2023 with GAC Motor Nigeria, aimed at reshaping the automotive industry landscape and potentially increasing the demand for motor oil in the aftermarket sector.
Segment Analysis: By Product Type
Engine Oils Segment in Nigeria Lubricants Market
Engine oils dominate the Nigeria lubricants market, commanding approximately 50% of the total market share in 2024. This significant market position is driven by the segment's crucial role in automotive and industrial applications, where it serves as the primary lubricant for internal combustion engines. The segment's dominance is further strengthened by Nigeria's large fleet of used vehicles, which require more frequent oil changes and maintenance. Engine oils in the market are formulated with 75-90% base oils and 10-25% additives, providing essential functions including lubrication, cooling, cleaning, and protection against corrosion. The segment's robust performance is also supported by the growing agriculture sector in Nigeria, where engine oils are extensively used in farming machinery and equipment.

Transmission & Gear Oils Segment in Nigeria Lubricants Market
The transmission and gear oils segment is projected to experience the highest growth rate in the Nigeria lubricants market during 2024-2029, with an expected CAGR of approximately 4%. This growth is primarily driven by the increasing demand from the automotive sector, particularly in the maintenance of used vehicles, which constitute a major portion of Nigeria's automotive fleet. The segment's growth is supported by the rising need for high-performance lubricants that can withstand extreme pressure and provide superior protection to transmission systems and gearboxes. These transmission fluids are specifically engineered to offer excellent anti-wear properties, thermal stability, and protection against oxidation, making them essential for both manual and automatic transmission systems in various vehicles ranging from passenger cars to heavy-duty commercial vehicles.
Remaining Segments in Product Type Segmentation
The other segments in the Nigeria lubricants market include hydraulic fluids, metalworking fluids, greases, engine coolants, and other specialized products. Hydraulic fluids represent a significant portion of the market, being essential in power transmission and industrial applications. Metalworking fluids play a crucial role in the manufacturing and metal processing industries, while greases are vital for various automotive and industrial applications requiring semi-solid lubricants. Engine coolants serve the critical function of temperature regulation in engines, while other specialized products cater to specific industrial and automotive applications. Each of these segments contributes uniquely to the overall market dynamics, serving different end-user requirements and applications across various industries.
Segment Analysis: End-User Industry
Automotive Segment in Nigeria Lubricants Market
The automotive segment dominates the Nigeria lubricants market, commanding approximately 45% of the total market share in 2024. This significant market position is primarily driven by the country's large fleet of used vehicles, which require frequent maintenance and lubricant changes. The segment's dominance is further strengthened by Nigeria's growing automotive aftermarket sector, with the United States exporting more than USD 455 million in car parts and accessories to Nigeria in 2023. The market is particularly robust in the used vehicle sector, which accounts for nearly 95% of the automotive market, with only 5% covering new cars. The increasing availability of used cars has significantly boosted the demand for aftermarket products, including lubricants, with the country's used vehicle market growing by 708% in the second quarter of 2023.
Power Generation Segment in Nigeria Lubricants Market
The power generation segment is projected to exhibit the highest growth rate of approximately 6% during the forecast period 2024-2029. This remarkable growth is attributed to Nigeria's expanding power generation infrastructure and the government's initiatives to improve electricity access across the country. The sector's growth is supported by the implementation of the Electricity Act 2023, which aims to revamp Nigeria's electric power landscape. The segment's expansion is further driven by the diverse applications of lubricants in various power generation technologies, including thermal power plants, which dominate 80% of Nigeria's power generation mix, and hydropower facilities that constitute the remaining 20%. The increasing private sector involvement in power generation and distribution, coupled with government efforts to create an attractive investment environment, is expected to sustain this growth momentum.
Remaining Segments in End-User Industry
The heavy equipment, metallurgy and metalworking, and other end-user industries segments collectively play vital roles in shaping the Nigerian lubricants market. The heavy equipment segment serves crucial sectors such as construction, agriculture, and mining, with increasing infrastructure development projects driving demand. The metallurgy and metalworking segment, though smaller, is essential for the country's industrial development, particularly in iron and steel processing facilities. Other end-user industries, including food and beverage, aviation, marine, chemical manufacturing, and textiles, contribute significantly to the market's diversity and overall growth, with each sector having specific lubricant requirements tailored to their operational needs.
Segment Analysis: Base Stock
Mineral Lubricants Segment in Nigeria Lubricants Market
Mineral lubricants continue to dominate the Nigeria lubricants market, holding approximately 77% market share in 2024. These conventional lubricants, derived from refined petroleum-based hydrocarbons, are widely preferred due to their cost-effectiveness and suitability for various applications. The segment's dominance is primarily attributed to the high proportion of used vehicles in Nigeria's automotive fleet, which typically rely on mineral lubricants for maintenance. The segment benefits from well-established manufacturing infrastructure, with major base oil manufacturing companies like Ammasco International Limited, Conoil Plc, and Mobil Oil Nigeria Plc maintaining strong production capabilities. Additionally, the lenient regulations governing lubricant quality in Nigeria have contributed to the continued preference for mineral-based products over more expensive alternatives.
Bio-Based Lubricants Segment in Nigeria Lubricants Market
The bio-based lubricants segment is emerging as the fastest-growing category in the Nigeria lubricants market, projected to grow at approximately 7% during 2024-2029. This growth is driven by increasing environmental awareness and the push for sustainable alternatives to conventional mineral-based lubricants. Bio-based lubricants, manufactured from renewable sources such as vegetable oils and animal fats, are gaining traction due to their superior biodegradability and lower environmental impact. Nigeria's abundant agricultural resources and variety of oil seeds present significant potential for domestic bio-lubricant production. The segment's growth is further supported by advancements in bio-based formulation technologies and increasing adoption in environmentally sensitive applications.
Remaining Segments in Base Stock
The synthetic lubricants and semi-synthetic lubricants segments play crucial roles in the Nigerian lubricants market, catering to specific high-performance applications. Synthetic lubricants, engineered at the molecular level, offer superior performance characteristics and are increasingly preferred in modern vehicles and industrial equipment. Semi-synthetic lubricants provide a balanced solution, combining the benefits of both mineral and synthetic bases, making them an attractive option for cost-conscious consumers seeking improved performance. These segments are particularly important in applications requiring enhanced thermal stability, improved viscosity indexes, and extended service intervals, though their market penetration remains limited by higher costs compared to conventional mineral-based products.
Nigeria Lubricants Industry Overview
Top Companies in Nigeria Lubricants Market
The Nigerian lubricants market is characterized by a mix of international oil majors and domestic players competing through continuous product innovations and strategic expansions. Companies are focusing on strengthening their distribution networks and implementing robust supply chain management systems to maintain market position. There has been a notable trend toward developing premium product portfolios and investing in advanced blending facilities to meet evolving customer demands. Market leaders are emphasizing research and development to create specialized products for specific industries while simultaneously expanding their geographical presence across Nigeria. The competitive landscape is witnessing increased investments in automated production facilities and quality control measures, alongside efforts to establish strong partnerships with automotive manufacturers and industrial clients. Players are also adopting digital transformation initiatives to enhance operational efficiency and customer service capabilities.
Fragmented Market with Strong Local Presence
The Nigerian lubricants market exhibits a fragmented structure with the top seven players commanding significant market presence while numerous smaller players serve niche segments. International oil majors like TotalEnergies SE and ExxonMobil (through 11PLC) leverage their global expertise and established brand reputation to maintain leadership positions, while domestic players like Ardova PLC and Oando PLC compete through their deep understanding of local market dynamics and extensive distribution networks. The market is witnessing a gradual shift toward consolidation as larger players seek to strengthen their position through strategic acquisitions and partnerships with local distributors.
The competitive dynamics are shaped by a combination of multinational corporations' technological capabilities and local players' market knowledge. Companies are increasingly focusing on vertical integration strategies, with several players investing in their blending facilities and distribution infrastructure. The market has seen several strategic collaborations between international brands and local companies to enhance market penetration and service delivery. The presence of state-owned enterprises and independent local manufacturers adds another layer of complexity to the competitive landscape, creating a diverse market environment that caters to various customer segments.
Innovation and Distribution Drive Market Success
Success in the Nigerian lubricants market increasingly depends on companies' ability to develop innovative products while maintaining cost competitiveness. Market leaders are investing in research and development to create specialized lubricants that meet the specific requirements of different industries, particularly in the automotive lubricants and industrial sectors. Companies are also focusing on building strong relationships with original equipment manufacturers and expanding their presence in high-growth segments. The development of efficient distribution networks and the ability to maintain consistent product quality while managing supply chain challenges have become critical success factors.
Future market success will require companies to address the growing demand for environmentally friendly products while maintaining competitive pricing strategies. Players must navigate the challenges of raw material cost fluctuations and regulatory compliance while expanding their market presence. The ability to develop strong brand recognition through effective marketing strategies and customer service excellence will be crucial for maintaining market share. Companies need to invest in digital capabilities and automation technologies to improve operational efficiency and customer service delivery. Additionally, the development of value-added services and technical support capabilities will become increasingly important for differentiation in a competitive market environment.
Nigeria Lubricants Market Leaders
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11PLC
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Ardova PLC
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BP PLC (Castrol)
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Oando PLC
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TotalEnergies
- *Disclaimer: Major Players sorted in no particular order

Nigeria Lubricants Market News
- May 2022: TotalEnergies, NEXUS Automotive Extend Strategic Partnership for a period of five years. As part of this partnership, TotalEnergies Lubricants will be expanding its presence in the burgeoning N! community, which has seen rapid growth in sales from EUR 7.2 billion in 2015 to nearly EUR 35 billion by the end of 2021.
- January 2022: Effective January 21, 2022, Royal Dutch Shell plc changes its name to Shell plc.
- November 2021: Ardova PLC acquired Enyo Retail & Supply Limited in 2021. This acquisition adds Enyo's 95 retail stations to Ardova's existing 450 stations, growing its portfolio to 545 stations nationwide.
Nigeria Lubricants Market Report - Table of Contents
1. Executive Summary & Key Findings
2. Introduction
- 2.1 Study Assumptions & Market Definition
- 2.2 Scope of the Study
- 2.3 Research Methodology
3. Key Industry Trends
- 3.1 Automotive Industry Trends
- 3.2 Manufacturing Industry Trends
- 3.3 Power Generation Industry Trends
- 3.4 Regulatory Framework
- 3.5 Value Chain & Distribution Channel Analysis
4. Market Segmentation
-
4.1 By End User
- 4.1.1 Automotive
- 4.1.2 Heavy Equipment
- 4.1.3 Metallurgy & Metalworking
- 4.1.4 Power Generation
- 4.1.5 Other End-user Industries
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4.2 By Product Type
- 4.2.1 Engine Oils
- 4.2.2 Greases
- 4.2.3 Hydraulic Fluids
- 4.2.4 Metalworking Fluids
- 4.2.5 Transmission & Gear Oils
- 4.2.6 Other Product Types
5. Competitive Landscape
- 5.1 Key Strategic Moves
- 5.2 Market Share Analysis
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5.3 Company Profiles
- 5.3.1 11PLC
- 5.3.2 Ammasco International Limited
- 5.3.3 Ardova PLC
- 5.3.4 BP PLC (Castrol)
- 5.3.5 Conoil PLC
- 5.3.6 Eterna PLC
- 5.3.7 MRS Oil Nigeria PLC
- 5.3.8 Oando PLC
- 5.3.9 Royal Dutch Shell PLC
- 5.3.10 TotalEnergies
- *List Not Exhaustive
6. Appendix
- 6.1 Appendix-1 References
- 6.2 Appendix-2 List of Tables & Figures
7. Key Strategic Questions for Lubricants CEOs
Nigeria Lubricants Industry Segmentation
By End User | Automotive |
Heavy Equipment | |
Metallurgy & Metalworking | |
Power Generation | |
Other End-user Industries | |
By Product Type | Engine Oils |
Greases | |
Hydraulic Fluids | |
Metalworking Fluids | |
Transmission & Gear Oils | |
Other Product Types |
Nigeria Lubricants Market Research FAQs
How big is the Nigeria Lubricants Market?
The Nigeria Lubricants Market size is expected to reach 574.93 million Liters in 2025 and grow at a CAGR of 3.89% to reach 695.80 million Liters by 2030.
What is the current Nigeria Lubricants Market size?
In 2025, the Nigeria Lubricants Market size is expected to reach 574.93 million Liters.
Who are the key players in Nigeria Lubricants Market?
11PLC, Ardova PLC, BP PLC (Castrol), Oando PLC and TotalEnergies are the major companies operating in the Nigeria Lubricants Market.
What years does this Nigeria Lubricants Market cover, and what was the market size in 2024?
In 2024, the Nigeria Lubricants Market size was estimated at 552.57 million Liters. The report covers the Nigeria Lubricants Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Nigeria Lubricants Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Our Best Selling Reports
Nigeria Lubricants Market Research
Mordor Intelligence provides a comprehensive analysis of the lubricants industry. We offer detailed insights into the industrial lubricants, automotive lubricants, and marine lubricants sectors. Our extensive research covers a wide range of products, including engine oil, motor oil, transmission fluid, and gear oil segments. The report, available as an easy-to-download PDF, delivers an in-depth analysis of synthetic lubricants, mineral lubricants, and specialty lubricants. It also includes crucial data on hydraulic fluid applications and market dynamics.
The analysis encompasses vital industrial applications, such as transformer oil, compressor oil, turbine oil, and cutting fluid segments. We also examine specific sectors like aviation lubricants, mining lubricants, and construction lubricants. Stakeholders gain valuable insights into metalworking fluid applications, process oil developments, and refrigeration oil trends. Our research methodology ensures comprehensive coverage of industrial oil applications. This enables businesses to make informed decisions based on reliable data and expert analysis of market trends and growth opportunities.