Recycled Base Oil Market Size, Share & Trends Analysis Report By Type (Low Viscosity Recycled Base Oil, Medium Viscosity Recycled Base Oil), By Application (Automotive Oil, Industrial Oil), By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global再生基础油市场规模乐鱼体育手机网站入口was estimated atUSD 855.6 million in 2022and is anticipated to grow at a compound annual growth rate (CAGR) of 5.0% from 2023 to 2030. The growth is attributed to the increasing demand for sustainable and environment-friendly products, as well as the need to reduce waste and conserve natural resources. It offers several benefits over virgin oil, such as lower cost, reduced environmental impact, and comparable quality. During the recycling process, a series of steps are involved collection, transportation, and processing. Initially, the used product is gathered and moved to a recycling facility, where it undergoes treatment to eliminate any impurities and contaminants. After this, it is combined with other additives to form a final product that can cater to the unique requirements of each user.

Using landfills to dispose of used oil can pose risks to public health as well as harm the environment. Therefore, recycling used oil to create base oil offers a better alternative. By recycling used products, the amount of improperly disposed waste is reduced, mitigating the risk of water and soil contamination. The recycled product meets the same performance standards as virgin base oil, making it an equally dependable and highly efficient alternative. It can be effectively applied to an extensive range of industrial purposes, including greases and spray lubricants, and is compatible with all types oflubricants.

The U.S. is the largest consumer in North America with a revenue share of over 68% in 2022. This is attributed to the growing demand for environment-friendly automotive and industrial oils in the country. Moreover, in recent years, there has been a push to reduce the usage of crude oil sources and to reducecarbon dioxide排放,回收提供opportunities to achieve these aims. In addition, the increase in prices of crude oil is encouraging manufacturers to seek new methods to re-refine and utilize waste oil. Thus, all these factors are contributing to the growth in demand for the product over the forecast period.

Type Insights

Based on type, the low-viscosity recycled base oil segment dominated the market in 2022 with a revenue share of over 40%. This is attributed to the fact that it is a top-performing solution that offers excellent lubrication, minimizing the damaging effects on machinery. Its unique properties minimize friction, resulting in a significantly extended lifespan of the machinery. This solution is commonly applied in the production of high-quality lubricants for engines that require lower-viscosity lubricators.

Medium viscosity recycled base oil is another segment anticipated to witness the fastest CAGR of 5.3% over the forecast period. The medium viscosity of this product makes it versatile for use in both light and heavy-duty industrial applications. One of the key advantages of the product is that its production process is eco-friendly. The production process requires less energy and generates less waste compared to the production of conventional base oil. This makes it a sustainable solution to industrial lubrication requirements and aligns with the global goal of greater sustainability.

The high-viscosity recycled base oil segment is also anticipated to witness notable growth over the forecast period. This growth is attributed to the fact that it is a cost-effective alternative to traditional counterparts and has several advantages. Its inherent properties make it particularly useful in heavy-duty applications requiring higher-viscosity lubricants and better load-bearing capabilities, such as in the manufacturing of hydraulic fluids and industrial lubricants.

Application Insights

In terms of application, the automotive oil segment dominated the market in 2022 with a revenue share of over 47%. This growth is attributed to the significant cost savings it offers while performing similarly to that of virgin base oil providing environmental and economic benefits. In addition, it is a more energy-efficient and relatively less wasteful process than refining crude oil, thus, making it an environment-friendly alternative for automobiles.

The industrial oil segment is anticipated to witness the fastest CAGR of 5.4% over the forecast period. This is attributed to the fact that it has a good chemical composition and offers excellent lubrication properties. The product has a solid molecular structure that enables it to withstand high temperatures and pressure. This makes it an ideal component of industrial lubricants that have to perform in harsh environments, such as heavy-duty machinery. Moreover, non-renewable base oils are becoming increasingly expensive, and their production costs will continue to rise in the coming years. However, using recycled alternatives is a cost-effective solution that generates significant cost savings for manufacturers.

Metalworking fluidsare also anticipated to witness growth over the forecast period. This is attributed to the numerous benefits it offers, including environmental, economic, and performance benefits. In addition, utilizing recycled alternatives in metalworking fluids also helps businesses to reduce their carbon footprint and achieve a more sustainable approach to their operations, thus, driving the demand in the market.

Regional Insights

North America dominated the market in 2022 with a revenue share of over 40%. The primary reasons for the regional growth include environmental concerns, cost savings, and the development of new technologies for waste oil treatment and disposal. As a result, more companies are turning to recycled options as an alternative to conventional ones. Recent examples of this growing trend include the implementation of stringent environmental regulations aimed at reducing waste, carbon emissions, and the depletion ofpetrochemicalsources. For example, the Canadian government has introduced a plan to reduce emissions, including the adoption of cleaner technologies and the use of recycled base oil in some industries.

Asia Pacific is predicted to witness the fastest CAGR of 5.3% over the forecast period. This growth is attributed to several factors, including the region's growing economies and dependence on industrial activities, rising awareness of environmental concerns, and the adoption of new waste treatment technologies. Moreover, the initiatives taken by the government also help in driving the demand for the product in the region. For instance, The Philippine government has launched the NIMO program to promote the proper management of used products and the adoption of recycling technologies to generate recycled base oil.

Key Companies & Market Share Insights

The competition in the market is fierce due to the presence of manufacturers and suppliers, ranging from both large to small scale. To satisfy the growing market demand, product manufacturers adopt various strategies. Corporations, therefore, resort to mergers and acquisitions, joint ventures, and expansion initiatives to take advantage of opportunities in the wider global market.

For instance, in June 2021, Clean Harbors, the parent company of Safety-Kleen, announced entering into an agreement with Vertex Energy, Inc. This agreement concerns the purchase of specific assets pertaining to the collection and re-refining of used motor oil. The primary objective behind this acquisition is twofold. Firstly, it reflects the company's unwavering commitment to maintaining sustainable practices. Secondly, it is expected that this new business venture will allow the company to expand its reach and operations in the renewable lubricants and fuels sector. Some prominent players in the global recycled base oil market include:

• Valvoline LLC

• NexLube

• VISION OILS

• Gulf Basin Petroleum Recycling Co.

• Terrapure BR Ltd.

• Hering VPT

• SHARAFCO OIL REFINERY & IND CO L.L.C

• Rahaoil, Inc.

• BENZOIL

Recycled Base Oil Market Report Scope

Report Attribute	Details
Market size value in 2023	USD 898.2 million
Revenue Forecast in 2030	USD 1.27 billion
Growth rate	CAGR of 5.0% from 2023 to 2030
Base year for estimation	2022
Historical data	2018 - 2021
Forecast period	2023 - 2030
Quantitative units	Revenue in USD million, volume in kilotons, CAGR from 2023 to 2030
Report Coverage	Revenue & volume forecast, company ranking, competitive landscape, growth factors, and trends
Segments Covered	Type, application, region
Country scope	U.S.; Canada; Mexico; Germany; U.K.; France; Italy; Spain; China; India; Japan; South Korea; Brazil; Argentina; Saudi Arabia; South Africa
Regional scope	North America; Europe; Asia Pacific; Central & South America; Middle East & Africa
Key companies profiled	Valvoline LLC; NexLube; VISION OILS; Gulf Basin Petroleum Recycling Co.; Terrapure BR Ltd.; Hering VPT; SHARAFCO OIL REFINERY & IND CO L.L.C; Rahaoil, Inc.; BENZOIL
Customization scope	Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope.
革命制度党cing and purchase options	Avail customized purchase options to meet your exact research needs.Explore purchase options

Global Recycled Base Oil Market ReportSegmentation

This report forecasts revenue & volume growth and volume share at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global recycled base oil market report based on type, application, and region:

• Type Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • High Viscosity Recycled Base Oil

  • Medium Viscosity Recycled Base Oil

  • Low Viscosity Recycled Base Oil

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Automotive Oil

  • Industrial Oil

  • Metalworking Fluids

  • Other Applications

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • France

    • Italy

    • Spain

  • Asia Pacific

    • China

    • India

    • Japan

    • South Korea

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • Saudi Arabia

    • South Africa