The Race to $5 Billion: Functional Fluids in 2013

(Image Source: ExxonMobil.com)

One of our recent blog posts dealt with the likelihood of a breakdown in an assembly being related to insufficient or incorrect lubrication. The July 2010 issue of Gear Technology magazine had an article which reports that the demand for synthetic lubricant and functional fluid will reach around $4.8 billion by the year 2013. According to the article, this estimation would require a three percent raise in demand over the next three years to be correct. This means a lot for those in the market of lubricant distribution, but also serves as a prediction for those in the gear manufacturing industry. As the article reports regarding trends in industries related to function fluids:

"While engine oils and hydraulic and transmission fluids will achieve relatively strong growth going forward, other types of synthetic lubricants and fluids are expected to realize a slow decline in demand through 2013, largely as a result of falling average fluid prices. The largest market for synthetic lubricants and function fluids is light vehicles. This reflects not only consumer uptake of engine oils and transmission fluids, but also the universally synthetic nature of antifreeze, break and de-icing (windshield wiper) fluids."

It is clear from this article and other articles recently discussed in this blog that synthetic lubricants and functional fluids will play a large role in many industrial arenas over the next few years. As gear manufacturers, it is likely that our relationship to the fluid and lubrication market will change as a result of this. It is always a good idea to try to anticipate changes in your market before they effect your business, but this article stands as a shining example of how paying attention to related markets may hold some benefit in projecting the future of your market.

To read the article form Gear Technology Magazine:

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