Market Size and Overview:

The estimated expansion of the Global Polyisobutylene Lubricants Market is projected to reach USD 3.69 Billion by 2030, exhibiting growth from its assessed value of USD 2.63 Billion in 2023. A robust Compound Annual Growth Rate (CAGR) of 5% is anticipated from 2024 to 2030 in the market. The industry's upward trajectory is primarily attributed to the heightened utilization of polyisobutylene lubricants across diverse sectors.

Industry Overview:

Polyisobutylene, a natural polymer synthesized through the polymerization of isobutylene, exists in the form of gummy solids. Its utility is contingent upon the molecular weight, where low molecular weight polymers, a blend of oligomers with 500 Ms, function as plasticizers, while larger Ms exceeding 20000 are integral components of adhesives. Commonly referred to as polyisobutylene, this synthetic rubber or elastomer is characterized by its complete aliphatic saturation, providing exceptional oxidative stability and gas barrier properties. Widely employed in lubricants, polyisobutylene serves to modify and enhance the viscosity of the lubricant to achieve the desired final viscosity. In industrial applications, particularly in the manufacturing of aluminum foils and cans, this material finds increased usage in scenarios where there is a likelihood of incidental contact between the lubricant and food. The heightened incorporation of polyisobutylene in the lubricants industry is anticipated to propel market growth during the forecast period spanning from 2023 to 2030.

COVID-19 Impact on the Polyisobutylene Lubricants Market:

The Polyisobutylene Lubricant market has experienced substantial setbacks due to the ongoing Covid-19 pandemic that commenced in December 2019 and persists in various regions. The highly contagious disease, caused by the severe acute respiratory syndrome coronavirus two (SARS-CoV-2), has spread to nearly 213 countries, prompting the World Health Organization to declare it a public health emergency on March 11, 2020. The pandemic has posed unprecedented challenges to various industries, including automotive, cosmetics, aerospace, and others. Notably, the automotive sector has witnessed significant disruptions in large-scale manufacturing across Europe and the closure of assembly plants in the US, adversely affecting the demand for polyisobutylene globally. However, with economies gradually resuming operations and the removal of government regulations, the demand for polyisobutylene is expected to rebound in the coming months. The lubricants market is also poised to recover from the pandemic's impact as the situation improves and regulatory restrictions are lifted.

MARKET DRIVERS:

The market is driven by the increased usage of polyisobutylene lubricants across various industries.

The growth of the market is propelled by the increased utilization of polyisobutylene lubricants in diverse industries. Its exceptional properties make it a valuable additive for enhancing the viscosity of various liquids used in different sectors. The use of low molecular weight PIB in the production of artificial lubricants, owing to its precise high-temperature performance, smooth burn-off, and food-safe characteristics, further contributes to the market's expansion.

MARKET RESTRAINTS:

The market faces constraints due to quality issues associated with lubricants.

Quality issues concerning lubricants act as a restraint on market growth during the forecast period. The inadequacy of lubricants manufactured by industries, leading to suboptimal performance under harsh conditions in various automotive sectors that demand high protection and resistance to heat and adverse temperature conditions, hampers the market's growth.

Global Polyisobutylene Lubricants Market - By Molecular Weight:

• Low
• Medium
• High

In terms of Molecular Weight, the High phase dominated the market share in 2022. Polyisobutylene with elevated molecular weight typically ranges from 500,000 to 1,200,000 g/mol. High-molecular-weight polyisobutylene exhibits robustness and elasticity, playing a crucial role in controlling properties such as flexibility, elongation, cohesive strength, and fuel barrier performance. These attributes are contributing significantly to the growth of this market segment.

Global Polyisobutylene Lubricants Market - By Product:

• Conventional PIB
• Highly Reactive PIB

Within the Product category, the Highly Reactive PIB segment is anticipated to experience optimal growth throughout the forecast period. Highly reactive polyisobutylene serves as a vital intermediate for manufacturing high-performance fuel and lubricant additives, including fuel detergents or dispersants for engine oils and components for sludge prevention. The rising adoption of highly reactive polyisobutylene is attributed to its increased reactivity in various downstream functionalization reactions. Moreover, highly reactive polyisobutylene finds diverse applications across industries such as automotive, packaging, and industrial, further propelling its market expansion.

Global Polyisobutylene Lubricants Market - By Region:

• North America
• Europe
• Asia-Pacific
• Latin America
• The Middle East
• Africa

Geographically, the demand for polyisobutylene lubricants in the North American market is expected to grow, fueled by the presence of established leading car manufacturers like Tesla Inc. and Ford Motors, who are actively engaged in research and development activities. Additionally, the region exhibits a heightened demand and production of large-engine-capacity vehicles, such as extended cabs. The North American automotive market leans towards light trucks and SUVs due to their superior traction in varied weather conditions and off-road capabilities. Furthermore, the automotive industry in North America stands out globally, with substantial investments in infrastructure, R&D initiatives, and new manufacturing facilities.

Moreover, the Asia-Pacific region is witnessing an increasing demand for polyisobutylene lubricants, particularly in economies like India and China. This surge is driven by key sectors such as automotive, construction, and aerospace. The growing industrial manufacturing sector in the Asia-Pacific region is expected to boost the demand for industrial oil products over the projection period. Notably, the chemical and mining sectors emerge as major consumers of industrial lubricants, including hydraulics, centrifuges, compressors, industrial engines, and bearings. Consequently, the escalating demand from various end-use industries in both developed and emerging economies is anticipated to create lucrative growth opportunities for polyisobutylene producers in the forecast period.

Global Polyisobutylene Lubricants Market Share by Company

• Braskem SA
• RB Products, Inc.
• TPC Group
• Lanxess
• Infineum International Ltd.
• Kothari Petrochemicals
• Janex
• ExxonMobil Corporation
• Berkshire Hathaway Inc.
• The Lubrizol Corporation
• Chevron Oronite Company LLC
• Mayo

Notably, Daelim Industrial recently announced an investment in its polyisobutylene plant in Saudi Arabia.

The market exhibits high fragmentation with numerous players and industries striving for dominance, particularly in the automotive sector. Leading market players employ various strategies, including strategic joint ventures, partnership agreements, product innovations, research and development initiatives, geographical expansions, and mergers & acquisitions, to strengthen their position in the industry. Suppliers are also keen on expanding their product portfolios to enrich the consumer experience. Increasing investments in research and development activities and the expanding use of polyisobutylene lubricants across multiple end-user sectors such as automotive, construction, electronics, among others, are driving market growth in this region.

Notable Happenings in the Global Polyisobutylene Market in the Recent Past:

Acquisition- In February 2021, BASF SE introduced its polyisobutylene product, branded as OPPANOL C, into the North American market.