The global base oil market size is expected to reach USD 36.51 billion by 2034, according to a new study by Polaris Market Research. The report "Base Oil Market Size, Share, Trends, Industry Analysis Report: By Type (Mineral Oil, Synthetic Oil, and Bio-Based Oil), Grade, Application, and Region (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa) - Market Forecast, 2025-2034" gives a detailed insight into current market dynamics and provides analysis on future market growth.
Base oils are refined petroleum or synthetic liquids used as the primary component in lubricants, greases, and industrial oils, providing essential lubrication and stability. Mineral oils, synthetic oils, and bio-based oils are some commonly used base oils.
The focus on eco-friendly production processes is a major trend in the base oil market, driven by the rising emphasis on sustainability and stricter environmental regulations. Refiners are adopting advanced technologies such as hydrocracking and gas-to-liquid (GTL) processes to produce cleaner and more efficient base oils with reduced sulfur content and lower emissions. These processes align with global initiatives to minimize environmental impact and comply with emission standards such as Euro VI. Additionally, end-users across industries are increasingly prioritizing base oils that contribute to a smaller carbon footprint, accelerating the adoption of greener production methods. This shift not only addresses environmental concerns but also enhances the competitive positioning of companies in a sustainability-focused market landscape.
Advancements in Group II and Group III base oils are transforming the base oil market as demand for higher-performance lubricants continues to grow. These base oils offer superior oxidation stability, viscosity control, and lower volatility compared to Group I oils, making them ideal for meeting stringent engine performance and fuel efficiency standards. Innovations in refining technologies, such as advanced hydrocracking and catalytic dewaxing, have significantly improved the quality and availability of these base oils. The automotive and industrial sectors, in particular, are driving demand due to their requirements for low-emission and high-efficiency lubricants. Group II and Group III oils are emerging as the new industry benchmarks as regulatory frameworks and consumer preferences shift towards sustainable and performance-driven solutions.
Base Oil Market Report Highlights
In terms of grade, the Group II segment led the market in 2024, attributed to its optimal balance of cost-effectiveness and performance.
Based on type, the synthetic oil segment is projected to witness the fastest growth during the forecast period, driven by the increasing demand for superior lubrication in modern high-performance engines operating under extreme conditions.
Asia Pacific led the base oil market revenue in 2024, fueled by rapid industrial growth, increasing automotive production, and large-scale infrastructure development.
The Middle East & Africa is anticipated to record the fastest growth in the base oil market, supported by rising oil production capacities and significant investments in refining infrastructure.
A few global key market players include BP plc; Calumet, Inc.; Chevron Corporation; ExxonMobil; FUCHS; H&R Group; Lukoil; Motiva Enterprises LLC; Neste; Petro-Canada Lubricants Inc.; Phillips 66 Company; Shell; Sinopec; SK Enmove Co., Ltd.; and TotalEnergies.
Polaris Market Research has segmented the base oil market report on the basis of type, grade, application, and region:
By Type Outlook (Revenue - USD Billion, 2020-2034)
Mineral Oil
Synthetic Oil
Bio-Based Oil
By Grade Outlook (Revenue - USD Billion, 2020-2034)
Group I
Group II
Group III
Group IV
Others
By Application Outlook (Revenue - USD Billion, 2020-2034)
Automotive Oil
Industrial Oil
Metalworking Fluids
Hydraulic Oil
Greases
Others
By Regional Outlook (Revenue - USD Billion, 2020-2034)
North America
US
Canada
Europe
Germany
UK
France
Italy
Spain
Russia
Netherlands
Rest of Europe
Asia Pacific
China
India
Japan
South Korea
Indonesia
Malaysia
Vietnam
Australia
Rest of Asia Pacific
Latin America
Argentina
Brazil
Mexico
Rest of Latin America
Middle East & Africa
UAE
Saudi Arabia
Israel
South Africa
Rest of Middle East & Africa
Table of Contents
1. Introduction
1.1. Report Description
1.1.1. Objectives of the Study
1.1.2. Market Scope
1.1.3. Assumptions
1.2. Stakeholders
2. Executive Summary
2.1. Market Highlights
3. Research Methodology
3.1. Overview
3.1.1. Data Mining
3.2. Data Sources
3.2.1. Primary Sources
3.2.2. Secondary Sources
4. Global Base Oil Market Insights
4.1. Base Oil Market - Market Snapshot
4.2. Base Oil Market Dynamics
4.2.1. Drivers and Opportunities
4.2.1.1. Rising Industrial Growth and Energy Efficiency Needs
4.2.1.2. Shift Towards Synthetic and Bio-Based Oils
4.2.2. Restraints and Challenges
4.2.2.1. Fluctuating prices of crude oil
4.3. Porter's Five Forces Analysis
4.3.1. Bargaining Power of Suppliers (Moderate)
4.3.2. Threats of New Entrants: (Low)
4.3.3. Bargaining Power of Buyers (Moderate)
4.3.4. Threat of Substitute (Moderate)
4.3.5. Rivalry among existing firms (High)
4.4. PESTEL Analysis
4.5. Base Oil Market Trends
4.6. Value Chain Analysis
5. Global Base Oil Market, by Type
5.1. Key Findings
5.2. Introduction
5.2.1. Global Base Oil Market, by Type, 2020-2034 (USD Billion)
5.3. Mineral Oil
5.3.1. Global Base Oil Market, by Mineral Oil, by Region, 2020-2034 (USD Billion)
5.4. Synthetic Oil
5.4.1. Global Base Oil Market, by Synthetic Oil, by Region, 2020-2034 (USD Billion)
5.5. Bio-Based Oil
5.5.1. Global Base Oil Market, by Bio-Based Oil, by Region, 2020-2034 (USD Billion)
6. Global Base Oil Market, by Grade
6.1. Key Findings
6.2. Introduction
6.3. Group I
6.3.1. Global Base Oil Market, by Group I, by Region, 2020-2034 (USD Billion)
6.4. Group II
6.4.1. Global Base Oil Market, by Group II, by Region, 2020-2034 (USD Billion)
6.5. Group III
6.5.1. Global Base Oil Market, by Group III, by Region, 2020-2034 (USD Billion)
6.6. Group IV
6.6.1. Global Base Oil Market, by Group IV, by Region, 2020-2034 (USD Billion)
6.7. Others
6.7.1. Global Base Oil Market, by Others, by Region, 2020-2034 (USD Billion)
7. Global Base Oil Market, by Application
7.1. Key Findings
7.2. Introduction
7.2.1. Global Base Oil Market, by Application, 2020-2034 (USD Billion)
7.3. Automotive Oil
7.3.1. Global Base Oil Market, by Automotive Oil, by Region, 2020-2034 (USD Billion)
7.4. Industrial Oil
7.4.1. Global Base Oil Market, by Industrial Oil, by Region, 2020-2034 (USD Billion)
7.5. Metalworking Fluids
7.5.1. Global Base Oil Market, by Metalworking Fluids, by Region, 2020-2034 (USD Billion)
7.6. Hydraulic Oil
7.6.1. Global Base Oil Market, by Hydraulic Oil, by Region, 2020-2034 (USD Billion)
7.7. Greases
7.7.1. Global Base Oil Market, by Greases, by Region, 2020-2034 (USD Billion)
7.8. Others
7.8.1. Global Base Oil Market, by Others, by Region, 2020-2034 (USD Billion)
8. Global Base Oil Market, by Geography
8.1. Key Findings
8.2. Introduction
8.2.1. Base Oil Market Assessment, By Geography, 2020-2034 (USD Billion)
8.3. Base Oil Market - North America
8.3.1. North America: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.3.2. North America: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.3.3. North America: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.3.4. Base Oil Market - US
8.3.4.1. US: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.3.4.2. US: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.3.4.3. US: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.3.5. Base Oil Market - Canada
8.3.5.1. Canada: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.3.5.2. Canada: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.3.5.3. Canada: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.4. Base Oil Market - Europe
8.4.1. Europe: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.4.2. Europe: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.4.3. Europe: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.4.4. Base Oil Market - UK
8.4.4.1. UK: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.4.4.2. UK: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.4.4.3. UK: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.4.5. Base Oil Market - France
8.4.5.1. France: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.4.5.2. France: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.4.5.3. France: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.4.6. Base Oil Market - Germany
8.4.6.1. Germany: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.4.6.2. Germany: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.4.6.3. Germany: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.4.7. Base Oil Market - Italy
8.4.7.1. Italy: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.4.7.2. Italy: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.4.7.3. Italy: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.4.8. Base Oil Market - Spain
8.4.8.1. Spain: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.4.8.2. Spain: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.4.8.3. Spain: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.4.9. Base Oil Market - Netherlands
8.4.9.1. Netherlands: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.4.9.2. Netherlands: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.4.9.3. Netherlands: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.4.10. Base Oil Market - Russia
8.4.10.1. Russia: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.4.10.2. Russia: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.4.10.3. Russia: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.4.11. Base Oil Market - Rest of Europe
8.4.11.1. Rest of Europe: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.4.11.2. Rest of Europe: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.4.11.3. Rest of Europe: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.5. Base Oil Market - Asia Pacific
8.5.1. Asia Pacific: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.5.2. Asia Pacific: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.5.3. Asia Pacific: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.5.4. Base Oil Market - China
8.5.4.1. China: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.5.4.2. China: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.5.4.3. China: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.5.5. Base Oil Market - India
8.5.5.1. India: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.5.5.2. India: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.5.5.3. India: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.5.6. Base Oil Market - Malaysia
8.5.6.1. Malaysia: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.5.6.2. Malaysia: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.5.6.3. Malaysia: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.5.7. Base Oil Market - Japan
8.5.7.1. Japan: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.5.7.2. Japan: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.5.7.3. Japan: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.5.8. Base Oil Market - Indonesia
8.5.8.1. Indonesia: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.5.8.2. Indonesia: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.5.8.3. Indonesia: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.5.9. Base Oil Market - South Korea
8.5.9.1. South Korea: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.5.9.2. South Korea: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.5.9.3. South Korea: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.5.10. Base Oil Market - Australia
8.5.10.1. Australia: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.5.10.2. Australia: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.5.10.3. Australia: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.5.11. Base Oil Market - Rest of Asia Pacific
8.5.11.1. Rest of Asia Pacific: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.5.11.2. Rest of Asia Pacific: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.5.11.3. Rest of Asia Pacific: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.6. Base Oil Market - Middle East & Africa
8.6.1. Middle East & Africa: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.6.2. Middle East & Africa: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.6.3. Middle East & Africa: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.6.4. Base Oil Market - Saudi Arabia
8.6.4.1. Saudi Arabia: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.6.4.2. Saudi Arabia: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.6.4.3. Saudi Arabia: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.6.5. Base Oil Market - UAE
8.6.5.1. UAE: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.6.5.2. UAE: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.6.5.3. UAE: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.6.6. Base Oil Market - Israel
8.6.6.1. Israel: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.6.6.2. Israel: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.6.6.3. Israel: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.6.7. Base Oil Market - South Africa
8.6.7.1. South Africa: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.6.7.2. South Africa: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.6.7.3. South Africa: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.6.8. Base Oil Market - Rest of Middle East & Africa
8.6.8.1. Rest of Middle East & Africa: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.6.8.2. Rest of Middle East & Africa: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.6.8.3. Rest of Middle East & Africa: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.7. Base Oil Market - Latin America
8.7.1. Latin America: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.7.2. Latin America: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.7.3. Latin America: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.7.4. Base Oil Market - Mexico
8.7.4.1. Mexico: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.7.4.2. Mexico: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.7.4.3. Mexico: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.7.5. Base Oil Market - Brazil
8.7.5.1. Brazil: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.7.5.2. Brazil: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.7.5.3. Brazil: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.7.6. Base Oil Market - Argentina
8.7.6.1. Argentina: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.7.6.2. Argentina: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.7.6.3. Argentina: Base Oil Market, by Application, 2020-2034 (USD Billion)
8.7.7. Base Oil Market - Rest of Latin America
8.7.7.1. Rest of Latin America: Base Oil Market, by Type, 2020-2034 (USD Billion)
8.7.7.2. Rest of Latin America: Base Oil Market, by Grade, 2020-2034 (USD Billion)
8.7.7.3. Rest of Latin America: Base Oil Market, by Application, 2020-2034 (USD Billion)