This year we have published nearly 50 lubricants country market reports! With the purchase of three and more markets we now offer a free VIDEO summary presentation for the region of your choice. The video includes the impact of Covid-19 on markets, products, and end-use industries.Continue reading
Join our industry expert, David Tsui, to gain deeper insights into Chinese PCMO markets and post-COVID-19 recovery.
The Chinese PCMO market remains a major, dynamic market projected to recover and grow over the next five years. While traditional lubricants marketing channels will still be the mainstay in China, new alternative channels are offering opportunities for greater growth as people adapt to a post-COVID-19 world.Continue reading
Globally, China’s passenger car motor oil (PCMO) market ranks second in terms of volume, accounting for approximately 17% of demand. COVID-19 has slowed growth, with new vehicle sales declining by nearly 20% in the first half of 2020. This drop, along with reduced annual mileage due to lockdowns, has brought PCMO demand to under 1,000 kilotonnes in 2020, a slip of more than 15% from 2019. Contributing to this slowdown is the growing penetration of battery electric vehicles (BEVs), which are expected to expand to nearly 20% of annual sales by 2025.
The lubricants industry, while facing many challenges, is at the same time dramatically changing by embracing new technologies and digital innovation, as well as joining the fight against climate change. Without addressing current issues and environmental concerns, the industry risks the ability to attract talent.
At the same time, younger generations often view the lubricants industry as declining, rather than being an innovative and technologically advanced sector in which to build a future. For that reason, ABN Resource, the industry’s recruitment specialist, has launched an initiative to educate young people about the numerous career opportunities within the industry.
In the latest episode of the ABN Resource Podcast, “How to Build a Passion for the Lubricants Industry,” James Moorhouse, Director of ABN Resource, assembled a panel of four Kline executives to dispel some of the common misconceptions regarding the potential offered by this hundred-billion-dollar industry.Continue reading
Dealerships faced shutdowns and dramatically decreased vehicle sales due to the pandemic; they were already suffering from diminishing margins on new and used vehicle sales, which have continued to erode profits on their variable operations. Their fixed operations division, which services customers’ vehicles, has had to carry the dealerships through lean times. Growth in fixed operations will be key to helping dealers survive until vehicle sales start to recover after COVID-19.
Despite a major setback due to the pandemic, the lubricants market in ASEAN region is very dynamic and presents strong growth prospects over the forecast period. Overall, growth is expected to be driven by the consumer segment, followed by the commercial and industrial segments. Government regulations and policies, COVID-19’s impact in the short term, consumer purchasing power, government spending on key industries, and international trade and commodity prices are some of the factors that can critically impact industrial and commercial automotive lubricants segments over the forecast period. Learn about this dynamic market from the upcoming webinar.
Two-wheelers are a popular means of transportation in developing countries because of their low ownership cost and fuel-efficiency. In the long term, two-wheeler market will continue to grow despite a temporary disruption in 2020 amid COVID-19 driven by access to credit and financing. E-commerce and bike taxis will also give a forward push to this market. However, some factors, such as the increasing electric two-wheeler population, restrictions on two-wheeler usage in China, a move toward cars in developing countries as a result of economic growth change the way the market develops.Continue reading
The Middle East region produces almost one-third of global crude oil, with more than 30 million barrels coming from the region per day. Crude oil prices, which plunged from 2014-16 and recently hit lows not seen since the 1998 oil crisis over 20 years ago, have had a significant impact on the region’s economies. Local governments have already implemented diversification plans following the 2014-16 oil crisis and have started to open up their economies to more foreign direct investment (FDI), set up free trade zones and districts, and encourage their manufacturing sectors to grow. However, the COVID-19 pandemic caused shutdowns across the region with businesses, schools, and travel being suspended. This unexpected slowdown also halted major events such as the World Cup and new offshore drilling with global partners. While recent events and ongoing socio-political troubles have slowed the region’s growth, it continues to play an important part in global trade, as well as in the finished lubricants market.