Increased demand for Linear-Alpha Olefins
A
Frost and Sullivan product story
Edited by the Engineeringtalk editorial team
Aug 31, 2001
A new study from international market analysts Frost and Sullivan reveals that the growth in the synthetic lubricants industry in Europe is driving an increased demand for Linear-Alpha Olefins
Around the globe, petrochemical companies are increasing their investment in the production of Linear-Alpha Olefins (LAOs) in a bid to keep pace with the growing demands of end-user industries.
The fact that six facilities are currently either planned or under construction (3 in N.America, 2 in the Middle East and a new 20,000 tonnes/yr plant in the Far East recently announced by Idemitsu) is testimony to this expansion.
Europe's largest existing facility is BP's Feluy plant in Belgium.
A new study from international market analysts Frost and Sullivan reveals that the growth in the synthetic lubricants industry in Europe is driving some of this increased demand for LAOs.
Whilst all the base oil types used in the formulation of synthetic lubricants will experience growth in the forecast period (2001-2007) it is the poly-alpha olefins (PAOs) that will exhibit the fastest growth with an estimated CAGR of 9.5%.
And, PAOs are liquid oligomers of LAOs.
The growth in the PAO market is primarily being driven by the demands from the 4-stroke crankcase oil market.
This demand is expected to remain strong until a genuine alternative to PAO is commercially viable.
The latest poly-internal olefins (PIOs) which are cheaper to manufacture are still in the developmental phase and so as yet present no threat to the PAO dominance.
Brian Balmer, Frost and Sullivan Industry Analyst adds: "LAOs, the sole raw material for PAO production have applications across a wide range of markets.
Fifty percent of global demand is for C4-C8 monomers whereas LAOs in the range C6-C20 are preferred for synthetic PAO lubricants.
So you can see that availability of the most suitable LAOs is a key issue in the manufacture of PAO synthetic lubricants." The current European market for PAOs used in synthetic lubricants is 180,000 tonnes and valued at $255 million, the report forecasts that revenues will rise to over $480 million by 2007.
If this growth rate is sustained then PAOs will overtake Group III oils as the largest volume-selling synthetic base oil in Europe by the end of the forecast period.
The report examines the market for synthetic lubricants from two angles: by base oil chemistry and by end use.
The chemistries covered are; group III oils, poly-alpha olefins (PAO), polyisobutene (PIB), organic esters, phosphate esters and polyalkylene glycols (PAG).
The end use markets covered by the report include 4-stroke crankcase oils, 2 stroke engine oils, gear oils and ATFs, compressor and pump oils, hydraulic fluids and metalworking fluids.
Not what you're looking for? Search the site.
Google Ads
Contact Frost and Sullivan
Related Stories
- Parker opens new store in Gillingham
- National Instruments - latest company news
- Our new lead generation service!
- Schaeffler - latest company news
- Leuze Electronic - latest company news
Articles by product category
- Consultancy and Services (903)
- Machine Building (4,517)
-
Engineering Design Software (6,179)
- Engineering Design Software (12)
- 2D CAD software (200)
- 3D CAD software (1,157)
- FEA and structural analysis software (369)
- Fluid, thermal, noise, vibration software (334)
- Simulation, modelling, validation software (914)
- Rendering, visualisation, styling software (196)
- Materials design and moulding design software (151)
- Process, instrumentation, automation software (258)
- Electrical design software (164)
- Publishing and documentation software (229)
- Maths, charting, statistics, QA software (317)
- Data, document management software (310)
- CAM, CNC, production management software (568)
- File conversion software, data capture (351)
- PLM and collaboration software (649)
-
Drives, Motors and Controls (3,361)
- Drives, Motors and Controls (1)
- Precision Motors and Gears (411)
- Industrial Drives/Controls (1,276)
- Linear Drives and Motors (114)
- Industrial Motors (497)
- Stepper and Servo Drives, Motors, Controls (1,060)
- Small Mechanical Components, Joining, Tools (1,975)
-
Control and Instrumentation (5,028)
- Plantwide control (1,324)
- Plant- and Machine-Wide Communications (1,174)
- Smaller-Sized PLCs (387)
- CNC and Motion Controllers (184)
- Mid-range and Large PLCs (201)
- Power Supplies, Uninterruptible Power (562)
- HMIs/Operator Interfaces (294)
- Logic Controllers, Timers and Relays (96)
- Cabling, Conduit, Signal Conditioning (806)
-
Monitoring, Measurement and Quality (5,459)
- Monitoring, Measurement and Quality (1)
- Data acquisition Software and Communications (494)
- Data Acquisition Hardware and PC I/O Boards (472)
- Electrical and Electronic Testing, PAT Equipment (630)
- Form/co-ordinate, optical, vision instruments (703)
- Gauges, Indicators and Instruments (440)
- Data loggers (422)
- Materials testing equipment (421)
- Telecomms/network test equipment, software etc (154)
- Testing and Calibration Services and Information (500)
- Testing, analysing and monitoring equipment (1,222)
-
Electrical and Electronic Equipment Design (4,160)
- Batteries, chargers and circuit protection (555)
- Connectors, Terminals, Busbars, Slip Rings (679)
- Enclosures and Equipment Cooling Fans (709)
- Knobs, Handles and Enclosure Hardware (420)
- PCs and Embedded Systems (798)
- Electrical and Electronic Subassemblies (369)
- Electrical and Electronic Components (630)
-
Materials and Processing (2,963)
- Materials and Processing (5)
- Materials and components (2,215)
- Rapid Prototyping (458)
- Materials processing and testing (285)
-
Engineering Industry News, Resources (6,093)
- Engineering Industry News, Resources (4)
- Engineering Business News, Views (388)
- Engineering Exhibitions, Events (562)
- Engineering Conferences (425)
- Engineering Seminars (400)
- Engineering Industry Developments, Awards (633)
- Engineering Guides, Newsletters (349)
- Engineering Recruitment, Employment (219)
- Engineering Training Courses (433)
- Engineering Education, Resources, Standards (838)
- Engineering Industry Reports, Surveys (597)
- Electronic Resources for Engineers (278)
- Health and Safety Legislation (402)
- Health and Safety Strategy, Risk Assessment (113)
- Health and Safety Consultancy, Software (175)
- Health and Safety Events, Training, News (277)
-
Powertrain Design (3,598)
- Powertrain Design (2)
- Bearings (939)
- Chains and belts (326)
- Gears, brakes, couplings and engines (1,441)
- Hydraulic Components (471)
- Lubricants (418)
-
Capital Equipment (3,387)
- Capital Equipment (1)
- Manufacturing Machinery and Plant Equipment (468)
- Production line blowers and fans (62)
- Compressors and Air Treatment (510)
- Electronics Manufacturing, Tools, Instruments (192)
- Electrical hardware (131)
- Machinery and Production Equipment (1,093)
- Robotics, Handling and Storage (930)
-
Sensors (7,080)
- Sensors (8)
- Accelerometers and Vibration Sensors (427)
- Loadcells, Force Sensors, Torque Sensors (699)
- Pressure sensors (621)
- Flowmeters and Flow Sensors (618)
- Level Sensors and Leak Detectors (527)
- Linear Position Sensors (399)
- Rotary Position, Tilt and Angular Sensors (546)
- Proximity Sensors (700)
- Gas, Chemical, Radiation, Magnetic Sensors (284)
- Humidity and Environmental Sensors (152)
- Temperature sensors (612)
- Vision and Colour Sensors (1,384)
- Barcode Sensors (103)
- Valves, Pumps, Process Hardware (3,623)
