openPR Logo
Press release

In-Depth Analysis Of The Covid-19 Impact On Brazil Lubricants Industry: Ken Research

07-16-2020 12:21 PM CET | Logistics & Transport

Press release from: Ken Research

In-Depth Analysis Of The Covid-19 Impact On Brazil Lubricants

The global outbreak of the Covid-19 virus has led to massive disruptions in all industries, especially with sectors including travel, hospitality, and automotive. The looming public health crisis has claimed over 530 thousand lives globally as of 6th July 2020 and apart from that, it continues to pose a threat to the lives, livelihoods, and businesses across the world.

Brazil is the second-worst Covid-19 hit country in the world, only after the United States with the number of cases reaching ~1.6 million. Brazil’s GDP contracted by 1.5% in the first quarter of 2020 as against in the last quarter of 2019. The closure of establishments, manufacturing units, industries, etc due to the imposed lockdown, has adversely impacted the Brazilian economy. The oil & gas industry as well as the lubricant industry is badly hit due to plummeting demand. The state-owned oil company ‘Petrobras’ has reduced the operation levels in its 13 domestic refineries due to reduced demand for oil. The demand for base stocks including API Group I, II & III oils has also significantly gone down due to a reduction in demand for finished lubricants.

Effect on Automotive Lubricants Demand in the First Half of 2020: The imposed lockdown in the country and the social distancing norms have severely impacted the lubricant demand in the country. The total sales of both automotive & industrial lubricants combined, declined by more than 40.0% in April 2020 as compared to April 2019. Companies such as ‘Cosan’ reported an approximately 50.0% decline in lubricant sales in the weeks of May-June, 2020. Stay-at-home orders amidst the pandemic slashed the sales of passenger car & motorcycle engine oils by ~69.0% while the consumption of heavy-duty diesel engine oils declined by ~51.0% in April 2020 as opposed to the same period in 2019. Air travel has come down to a fraction of normal levels which is negatively impacting the demand for aviation lubricants in the country. The sales of automotive lubricants were salvaged by fuel stations and supermarkets that continued to be operational during the lockdown.

Effect on Industrial Lubricants Demand in the First Half of 2020: Temporary closure and shutdown of industrial units and manufacturing facilities in the country lead to plummeting demand for industrial lubricants. The total industrial production in the country declined by ~27.0% in April this as compared to the same period in 2019. Automotive production including cars, light commercial vehicles, trucks & buses witnessed a record decline of 99.0% in April 2020 as compared to the previous month. All major industries in the country such as machinery & equipment, metallurgy, plastics, etc. bore the brunt of the pandemic with machinery & equipment industry taking the worst hit with a decline of more than 30.0%.

Temporary & Long-Term Shifts in the Business Practices: The demand for automotive lubricants including aviation is expected to remain low throughout 2020 due to low levels of personal travel and vehicle owners delaying oil changes. The demand for heavy-duty diesel engine oil is however expected to recover in the second half of the year with increased activity in the e-commerce and logistics sectors and to support commercial supply chains with relaxations in mobility restrictions. The longer distances traveled by these trucks in supply and delivery operations are likely to keep up the demand for heavy-duty diesel engine oils, which is anticipated to be a focus area for all major lubricant producers in the country. The ease in the lockdown and picking up of industrial production is expected to increase the demand for industrial lubricants and lead to the shifting the focus of lubricant producers towards the segment.

The industry is expected to witness steady recovery from 2021 onwards and the sales volume reaching pre-COVID levels in the next few years. In the longer run, lubricant manufacturers are expected to shift towards online sales channels including e-commerce platforms, online marketplaces, and investing in an official online store, particularly for automotive lubricants, which accounts for the majority of the lubricants sales volume in the country. As a result of the Covid-19 pandemic, online buying is expected to dominate the buying preferences of consumers in the future. Strategic partnerships with independent & franchisee workshop owners, spare part stores as well other stakeholders in the industry is expected to lead the industry to recover and boost lubricant sales volume in the future. This would be coupled with a focus on higher-quality lubricants, the introduction of lubricants for hybrid & electric vehicles, and continued investment in research & development for introducing innovative product solutions in the market. Basis all these factors, the Brazil lubricant market is expected to grow at a CAGR of 3.2% on the basis of sales revenue during the forecast period 2020-2025.

For More Information on the research report, refer to below link: -
https://www.kenresearch.com/automotive-transportation-and-warehousing/automotive-and-automotive-components/brazil-lubricants-market-outlook-to-2025/345911-100.html

Key Segments Covered: -
By Origin of Lubricants (Volume in Kilo Tons & Value in BRL Billion)
Mineral
Synthetic
Semi-Synthetic

By Type of Lubricant (Volume in Kilo Tons)
Automotive
Industrial
Automotive Lubricants Market

By Type (Volume in Kilo Tons)
Passenger Vehicle Motor Oil
Heavy-Duty Diesel Engine Oil
Gear Oils
Transmission Fluids
Hydraulic Oil
Greases

By End-Users (Volume in Kilo Tons)
Commercial Vehicles
Passenger Cars
Motor Cycles
Marine
Aviation

By Distribution Channels (Volume in Kilo Tons)
OEM Workshops
Supermarkets & Spare Part Shops (including Dealers & Distributors)
Unorganized Workshops
Online
Industrial Lubricants Market

By Type (Volume in Kilo Tons)
Hydraulic Oils
Industrial Gear Oils
Transformer Oils
Turbine Oils
Greases
Compressor Oils

By End-Users (Volume in Kilo Tons)
Construction
Engineering Equipment
Manufacturing
Power Generation
Iron & Non-Iron Production
Cement
Others

By Distribution Channels (Volume in Kilo Tons)
Direct Sales
Distributor-Lead
Companies Covered: -
Petrobras Distribuidora SA
Iconic Lubrificantes SA
Cosan Lubrificantes E Especialidades SA
Shell Brasil Petroleo LTDA
Petronas Lubrificantes SA
YPF Brasil Comercio de Derivados De Petroleo LTDA
Castrol Brasil LTDA
Total Brasil Distribuidora LTDA

Key Target Audience
Lubricant Manufacturing Companies
Lubricant Importing Companies
Additive Manufacturing Companies
Original Equipment Manufacturers
Consultancy Companies
Industry Associations
Regulatory Bodies

Time Period Captured in the Report: -
Historical Period – 2014-2019
Forecast Period – 2020-2025

Key Topics Covered in the Report: -
Economic & Geographical Overview of Brazil
Target Addressable Market for Automotive & Industrial Lubricants
Trends and Growth Drivers in the Industry and Challenges Faced
Brazil Lubricants Market Size and Segmentations, 2014 - 2019
Ecosystem and Value Chain of Lubricants Industry in Brazil
Industry SWOT Analysis and Lubricant Production Scenario
Customer Decision Making Parameters
Cross Comparison between Major Players and Company Profiles & Product Portfolios
Future Market Size and Segmentations, 2019-2025F
Covid-19 Impact on the Industry & the Way Forward
Analysts’ Recommendations

Related Reports by Ken Research: -
https://www.kenresearch.com/automotive-transportation-and-warehousing/automotive-and-automotive-components/malaysia-automotive-lubricant-market-outlook-to-2025/342038-100.html

https://www.kenresearch.com/automotive-transportation-and-warehousing/automotive-and-automotive-components/malaysia-industrial-lubricants-market/264294-100.html

https://www.kenresearch.com/automotive-transportation-and-warehousing/automotive-and-automotive-components/indonesia-industrial-lubricants-market/251374-100.html

Contact Us: -
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249

Ken Research Pvt. Ltd.,
Unit 14, Tower B3, Spaze I Tech Business Park, Sohna Road, sector 49 Gurgaon, Haryana - 122001, India

Ken Research is a Global aggregator and publisher of Market intelligence, equity, and economy reports. We provide business intelligence and operational advisory in 300+ verticals underscoring disruptive technologies, emerging business models with precedent analysis, and success case studies.

This release was published on openPR.

Permanent link to this press release:

Copy
Please set a link in the press area of your homepage to this press release on openPR. openPR disclaims liability for any content contained in this release.

You can edit or delete your press release In-Depth Analysis Of The Covid-19 Impact On Brazil Lubricants Industry: Ken Research here

News-ID: 2091331 • Views: 383

More Releases from Ken Research

Digital Enablement, Technological Advancements and Growing Demand from Smaller C …
• The Saudi Traffic Department introduced the facility for online transfer of ownership for sale of vehicles amidst the Covid-19 lockdown to enable transfer without requiring a periodic technical inspection. This move is expected to facilitate used car sales in the future due to increase ease for buyers & sellers. • The adoption of online channels for purchasing cars is rapidly increasing as a spill-over of the Covid-19 pandemic. SyarahOnline, the recently launched
In-Depth Analysis Of The Covid-19 Impact On The Used Car Industry In Saudi Arabi …
The global outbreak of Covid-19 virus has led to massive disruptions in all industries, especially with sectors such as automotive, travel, hospitality & more. The looming public health crisis has claimed over 760 thousand lives globally as of 14th August 2020 and apart from that, it continues to pose a threat to the lives, livelihoods, and businesses across the world. Saudi Arabia is among the top 15 worst Covid-19 hit countries
Philippines Pharmacy Retail Market is expected to grow at a CAGR of 3.0% basis R …
• The increase in the demand for generic medicines is expected to give a boost to the growth in revenues of the Philippines Pharmacy Retail Market. The major growth will happen in the branded generics category with overall generic medicines to grow at a CAGR of 4.7% during the forecasted period of 2019-2025. • The pharmacy chains are anticipated to increase their penetration in the semi-urban and rural regions of the country by
In-Depth Analysis Of The Covid-19 Impact On The Philippines Pharmacy Retail Mark …
The global outbreak of Covid-19 virus has led to massive disruptions in all industries, especially the healthcare sector, testing the healthcare facilities of all the countries and caused major changes in the perception of health and fitness. The looming public health crisis has claimed over 660 thousand lives globally as of 28th July 2020 and apart from that, it continues to pose a threat to the lives, livelihoods, and businesses

All 5 Releases


More Releases for Lubricant

Polyolesters Biobased Lubricants Lubricant Additives Market 2023
Global Polyolesters for Bio-based Lubricants and Lubricant Additives Market: Overview Polyolester lubricants (POE) are lubricant oils that used in a wide range of application as they can work under varying temperatures, which range anywhere between -75 F to 600 F. The remarkable adaptability of these lubricants, high solvency and dispersibility, good oxidative stability, and low volatility are expected to make a significant contribution to the soaring revenue of the global polyolesters
Vietnam automobile lubricant market beckons
With automotive lubricant demand rising from 2.6 million liters (in 2015) to 4.1 million liters (in 2021), global and regional manufacturers are taking notice of the Vietnam market. How can brands win in this market? Leon Perera, Chief Executive Officer of Spire Research and Consulting, shared his insights on key trends in the Lube Report Asia magazine. With many players competing in the Southeast Asia market for motorcycle lubricants, leaders will
Global Lubricant Additives Market Report, 2017-2025
IndexBox has just published a new report "World: Prepared Additives For Mineral Oils - Market Report. Analysis and Forecast to 2025" ( http://www.indexbox.co.uk/store/world-prepared-additives-for-mineral-oils-market-report-analysis-and-forecast-to-2020/?utm_source=opr ). This report is best suitable for you if you: • Are planning to enter a new geographical market and wish to know which one is best for your product • Are planning to enter a new product market and want to have a detailed overview of the market before
Lubricant Additives Market | Analysis & Trends 2020
The leading players in the global lubricant additives market are focusing on product innovation to develop and design improved products, reports Transparency Market Research (TMR) in a new study. The intensely competitive market has a few leading players such as Chevron Oronite Company LLC, Afton Chemical Corporation, The Lubrizol Corporation, and Infineum International Limited. In the short term, companies are focusing on developing products that not only meet consumer needs
Europe Lubricant Industry 2017 Market Research Report
The Europe Lubricant Industry 2017 Market Research Report is a professional and in-depth study on the current state of the Lubricant industry. Firstly, the report provides a basic overview of the industry including definitions, classifications, applications and industry chain structure. The Lubricant market analysis is provided for the international market including development history, competitive landscape analysis, and major regions’ development status. Secondly, development policies and plans are discussed as well as manufacturing processes and cost structures.
Firearm Lubricant Market Forecast by 2017-2022
ReportsWeb.com has announced the addition of the “Global Firearm Lubricant Market Forecast to 2022” The report focuses on global major leading industry players with information such as company profiles, product picture and specification. Firearm Lubricant is designed for semi-auto rifles, shotguns and pistols as well as full auto firearms and suppressors. It offers superior burn-off resistance. Its polymeric film protects metal from rust, moisture and dramatically reduces wear during all shooting