Asia Pacific Rail Greases Market Overview and Growth by 2027

The rail greases market in APAC is expected to reach US$ 176.9 million by 2027 from US$ 139.7 million in 2018 and is expected to grow at a CAGR of 2.8% from 2019 to 2027.

Grease is a solid or semi-solid lubricating oil. It is usually comprised of mineral oil and thickeners such as calcium-based soap and lithium-based soaps. Grease possesses characteristic feature such as high initial viscosity, which make it frictional. Grease is being used for maintenance of various rail elements such as railway axles & wheels, bearings & chains, brake elements, interior components, pantographs and railway track components, as it prevents entry of contaminants or loss of lubricant. Soft grease used in gearboxes, for noise reduction, as leakage resistant, and for suspension of solid additives. Greased components consumes a small amount of power and is an even less vulnerable impact to any wear tear damage. Besides, it is popularly used across various industries such as automobile, railway, construction, pharmaceutical, food & beverage, mining and numerous others. For rails, greases can be used in mechanisms where lubrication is required frequently and where a lubricating oil does not stay for long. The demand of greases in railway industry is growing due to the development of new railway infrastructure across major countries such as the China, India and Rest of APAC coupled with the maintenance activities of different parts used in railway transportation.

Australia, China, India, Japan, South Korea and Rest of APAC are major economies in APAC. China has dominated the APAC rail greases market with highest market share and India is estimated to be the fastest growing country during the forecast period. The growth of the rail greases market in China and India is primarily due to booming economy, rapid urbanization and growing investment by the government of emerging countries in the development of railway infrastructure. The countries are experimenting with state-of-the-art transport technologies to make urban rail systems more efficient, reliable and passenger friendly.

Digitalization is changing the APAC region economy at a growing rate and is transforming traditional setups and established processes to a profitable model on a long-term basis. For railways, the main impact of digitalization is on the model of operation. Technologies like artificial intelligence, big data and cloud computing, connectivity and autonomous driving will affect the industry. The rail industry use these technologies effectively to identify the maintenance activities, to monitor operation of each component in the rail network and preventive measures for particular mishap in terms of operation. Based on such results the rail industry can estimate the demand of lubricants and greases, replacement of components or maintenance of particular units in advance. This will help the rail industry to save cost and avoid disruptions in services. In addition, the adoption of new technologies will help in optimizing infrastructure and operating costs and increasing network capacity without building new infrastructure. Thus, digitization in the conventional railway networks supports the growth of rail greases and lubricants market indirectly. With the new features and technologies, vendors can attract new customers and expand their footprints in emerging markets. This factor is likely to drive the rail greases market. The APAC rail greases market is expected to grow at a good CAGR during the forecast period.

Moreover,COVID-19 has affected economies and industries in various countries due to lockdowns, travel bans, and business shutdowns. The chemical and material industry are one of the major industries suffering serious disruptions such as supply chain breaks, disruptions in manufacturing due to lockdown and office shutdowns as a result of this outbreak. For instance, China is the global hub of manufacturing and the largest raw material supplier for various industries. The lockdown of various plants and factories in leading regions such as Asia Pacific and North America is affecting the supply chains and negatively impacting the manufacturing, delivery schedules, and sales of various goods. All these factors have greatly affected the rail grease market. The COVID-19 is anticipated to cause a loss of more than 3 Billion in the Asia Pacific region. The consequence and impact can be even worse and totally depends on the spread of the virus. The government of Asia Pacific is taking possible steps to reduce its effects by announcing lockdown, and thus, impact the revenue generated by the market. The Airports Council International (ACI) APAC warned that the prolonged duration of the coronavirus (COVID-19) outbreak would drastically impact the region’s airports’ connectivity and economic sustainability, significantly restricting them from achieving previously forecasted growth prospects. Such closures are anticipated to negatively impact market growth in the coming period. Till now, China has the highest number of COVID -19 confirmed cases.

APAC Rail Greases Market Revenue and Forecast to 2027 (US$ Million)

APAC Rail Greases Market Segmentation

APAC Rail Greases Market – ByProduct Type

• Lithium Grease
• Calcium Grease
• Other Grease

APAC Rail Greases Market – By Application

• Railway Vehicle Elements
• Railway Track Elements
• Switches and Fish Plates
• Curve Rails
• Screw and Bolts

APAC Rail Greases Market – By Distribution Channel

• Offline
• Online

APAC Rail Greases Market – By Country

• Australia
• China
• India
• Japan
• South Korea
• Rest of APAC

APAC Rail Greases Market -Companies Mentioned

• Royal Dutch Shell Plc
• Exxon Mobil Corporation
• BP Australia Pty Limited
• Total SA
• Petroliam Nasional Berhad (Petronas)
• FUCHS
• SKF Group
• Chevron Corporation
• Klüber Lubrication
• Sinopec Corp.

Asia Pacific Rail Greases Report Scope