Global Metalworking Fluids Market by Product (Synthetic, Bio-based), by Application (Water Cutting, Near Cutting) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

Global market for metalworking fluids was valued at USD 11.23 Billion in 2019. It is expected to grow at a 4.4% revenue-based CAGR over the forecast period. The demand is expected to rise due to increasing exploration and production of oil and natural gas, particularly in Asia Pacific. Metalworking Fluids (MWF), a variety of oils and lubricants that are used to ensure smooth operation of metal parts in machinery during different industrial operations, include oils and lubricants. These fluids can also prolong the tool's life and improve its performance. The primary raw materials used in the production of MWFs are crude oil and base oils. For the production of different fluids, such as petrol, lubricants and motor oils, the raw materials are heated and extracted.

The 2008 economic downturn and subsequent recovery caused severe fluctuations in the U.S. metalworking fluids market demand. Due to consolidation in the metal fabrication sector and competition from international markets, the market is expected see moderate growth during the forecast period. The MWF industry will be affected by modest growth in the automotive and construction sectors over the forecast period.

The rising demand for neat cutting oil in the U.S., which is mainly used to make aluminum products, is expected to drive the U.S. market. Due to its lightweight and easy moldability, the U.S. manufacturing sector is seeing a shift away from steel machinery. It is expected that the rising use of aluminum will create lucrative opportunities for neat cutting oil consumption. This market is expected to grow at 2.7% between 2020 and 2027.

Market for metalworking fluids will be driven by the growth of heavy machinery in developing countries such as Asia Pacific, Central and South America. This includes cement, cement, textile, metalurgical, mining machinery, oil field equipment and material handling equipment. These machines are in high demand for synthetic and semisynthetic-based fluids that offer improved machining performance, corrosion resistance and longer tool life. Over the forecast period, the heavy machinery industry will see a rise in demand for semi-synthetic and synthetic-based MWF.

China, India and Brazil will see huge investments in transportation, infrastructure and power. These sectors result in a demand for equipment such as compressors, engines and generators. This further drives the need for Lubricants to improve operational efficiency. Because they are efficient, the increasing competition between manufacturers drives the demand to use metalworking fluids.

Plastic components have been gaining in popularity in the automotive industry over the last few years due to their light weight, durability, efficiency, corrosion resistance, high strength, and cost effectiveness. The market growth has been slowed by the fact that plastic components have replaced many metal parts in different sectors. Plastics are also more durable, better navigation, fuel economy and can extend the flight range. Plastics are being used in military and defense aircraft, carriers, and other applications. This is expected to negatively impact the global demand for MWF.

Product Insights

There are many types of metalworking fluids that can be purchased commercially. They have been classified based on the raw materials they contain. There are three types of MWF available: bio-based fluids, synthetic-based and mineral-based. Mineral-based fluid accounted for 48.14% global metalworking fluids market value in 2019. It was the largest product segment. These metalworking fluids are generally made on a large scale, and have high market penetration due to their cost-effectiveness.

Due to the price sensitive customers, small and medium-scale producers often use mineral oil-based metalworking liquids. Due to the environmental hazards of mineral oil-based products however, large-scale companies like ExxonMobil and Indian Oil Co-operation Limited have taken captive consumption. Market growth is expected to be affected by this.

The superior performance of synthetic metalworking fluids in increasing tool life and providing excellent surface finishes has led to a strong demand for them in recent years. The segment is expected to grow at 4.7% between 2020 and 2027.

End-use Insights

Metal fabrication, transport equipment, machinery and other end uses are some of the many applications for MWF. The largest segment by revenue in 2019 was machinery, accounting for 41.34%. Due to increased use of metalworking fluids for agricultural equipment, earthmoving equipment, and automotive parts, the market will experience significant growth.

Metalworking fluids are used in large quantities by the metal fabrication industry. They have the ability to improve the strength of tools, increase efficiency and give high-quality fabrication. These are the main reasons for the high use of metalworking fluids in the industry over recent years. Construction, power and agriculture will drive the demand. Metalworking fluids are required to manufacture various components. This results in a substantial CAGR of 4.1% between 2020 and 2027.

Industrial End-use Insights

Construction, electrical and energy, power, agriculture and healthcare are all industrial end-uses. In 2019, construction accounted for 28.63% revenue share and was the dominant industrial end-use. The segment is expected to grow due to increased manufacturing of machinery used in construction and parts for commercial, industrial and residential construction.

Because of their ability to improve the strength of tools and provide a great surface finish to workpieces and increase efficiency, metalworking fluids are used in large quantities during the manufacture of components and related components. These are the main reasons for their increased penetration in the industry over the last few years.

The CAGR for the electric and power generation industry is expected to be strong at 4.7% over the forecast period. This is because the sector uses high-value components that need lubrication or cooling. A major driver of the increase in demand for power equipment and electrical cables is the growing demand for reliable electricity.

Application Insights

MWF can be used for cutting, water cutting, corrosion prevention, and other purposes. Water cutting fluids are the second most popular application of MWF, after neat cutting oils. Water cutting fluids are used in operations where heat is an important factor in machining processes. This results in high-grade products.

Water cutting fluids can also be used for drilling, milling and grinding. This market segment held a 36.01% share in 2019. There are many uses for water cutting oils. They include synthetic, soluble and semi-synthetic. Semi-synthetic oils can be used for various CNC machining operations such as centering, facing, gear tooth grinding and centering. Taping, drilling and grinding however, are done using soluble oils.

Rolling oils, grinding oils and similar cutting oils are other examples of metalworking fluids with a lower market penetration. These oils can be used in a variety of operations, including cold and hot rolling. The rising demand for cost-reduction processes will increase the need for rolling oils. This in turn is expected to encourage the growth of different types cutting oils in manufacturing, leading to a 3.3% CAGR from 2020-2027.

Regional Insights

Asia Pacific held 40.64% of the global market in revenue, which was the largest share at 40.64%. Consumption will be dominated by the positive outlook for the manufacturing sector in India and China. Market growth will be driven by the increasing investments of multinational companies in these countries to establish manufacturing plants. This is due to the low labor and land costs.

The regional market will be driven by the growth in production volumes across several industries, including aerospace, marine, defense and automotive. OICA reports that the region's automotive production grew from 47.98M units in 2015 to 52.45M units in 2018.

However, Europe's stringent regulations from the European Commission (EC) are expected to hinder the demand for MWF. These regulations have largely affected regional manufacturing. These factors have led to a shift towards bio-based MWF. This is expected to grow at 3.2% between 2020 and 2027. These products are expected to have low market penetration due to their high price.

Metalworking Fluids Market Share Insights

Global players such as FUCHS and Blaser Swisslube AG; CIMCOOL Fluid Tech LLC; Kuwait Petroleum Corporation and MORESCO Corporation are all present in the market. As they try to gain market share, market players are fiercely competitive. They also offer end-users application-specific products.

Manufacturers of MWF products are adapting to the rapidly changing technological trends in machining operations to create customized and competitive products. This gives manufacturers of application-specific products an advantage over their competition and helps them expand their market share.

Metalworking Fluids Market Report Scope

The Report Covers Certain Segments

This report predicts revenue growth at the global, regional, or country-level. It also provides analysis of industry trends for each sub-segment from 2016 to 2027. Grand View Research segmented the global market for metalworking fluids on the basis product, application, end use, industrial end-use and region.

• Product Outlook (Volume of Kilotons; Revenues, USD Millions, 2016-2027)

  • Mineral

  • Synthetic

  • Bio-based

• Application Outlook (Volume of Kilotons; Revenue USD Millions, 2016-2027)

  • Neat Cutting Oils

  • Water cutting oils

  • Corrosion Preventive Oils

  • Other

• End-use Outlook (Volume of Kilotons; Revenues, USD Millions, 2016-2027)

  • Metal Fabrication

  • Transport Equipment

  • Machinery

  • Other

• Industrial End-use Outlook (Volume of Kilotons; Revenues, USD Million, 2016-2027)

  • Construction

  • Electricity & Power

  • Agriculture

  • Automobile

  • Aerospace

  • Rail

  • Marine

  • Telecommunication

  • Healthcare

• Regional Outlook (Volume of Kilotons; Revenue USD Millions, 2016-2027)

  • North America

    • U.S

    • Canada

    • Mexico

  • Europe

    • Germany

    • Russia

    • France

    • Spain

    • The U.K.

    • Italy

    • Switzerland

    • Denmark

    • Norway

    • Belgium

    • Poland

    • Czech Republic

    • Turkey

    • Sweden

    • Finland

  • Asia Pacific

    • China

    • India

    • Japan

    • South Korea

    • Singapore

    • Malaysia

    • Thailand

    • Australia

    • New Zealand

  • Central & South America

    • Brazil

  • Middle East & Africa

These are the most frequently asked questions about this report

b. Global market for metalworking fluids was valued at USD 11.23 billion in 2019, and is forecast to grow to USD 12.15 billion by 2020.

b. Global metalworking fluids market will grow at a compound annual rate of 4.4% between 2020 and 2027, to reach USD 15.85 million by 2027.

b. With a market share of 40.6%, the Asia Pacific was the dominant region in metalworking fluids. This can be attributed to the rising demand from India's manufacturing sector and China's other emerging economies.

b. FUCHS, Blaser Swisslube AG and CIMCOOL Fluid Tech LLC are some of the key players in the metalworking fluids industry.

b. The growth of heavy machinery in developing countries such as South America and Asia Pacific is key to the growth of metalworking fluids markets.

Up Market Research published a new report titled “Metalworking Fluids Market research report which is segmented by Product (Synthetic, Bio-based), by Application (Water Cutting, Near Cutting), By Players/Companies FUCHS, Blaser Swisslube AG, MORESCO Corporation, CIMCOOL Fluid Technology LLC, Kuwait Petroleum Corporation”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Metalworking Fluids Market Report Segments:

The market is segmented by Product (Synthetic, Bio-based), by Application (Water Cutting, Near Cutting).

Metalworking Fluids Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Metalworking Fluids Market

Overview of the regional outlook of the Metalworking Fluids Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Metalworking Fluids Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Metalworking Fluids Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Synthetic

                2. Bio-based

                1. Water Cutting

                2. Near Cutting

8. Market scenario by region, sub-region, and country.
9. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
10. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
11. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Metalworking Fluids Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

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• Correctly Positioning New Products
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Reasons to Purchase the Metalworking Fluids Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.