MERCOSUR: Lubricant Additives Market 2024

Lubricant Additives Market Size in MERCOSUR

In 2021, the MERCOSUR lubricant additives market was finally on the rise to reach $X for the first time since 2012, thus ending a eight-year declining trend. Overall, consumption, however, recorded a perceptible downturn. The level of consumption peaked at $X in 2012; however, from 2013 to 2021, consumption remained at a lower figure.

Lubricant Additives Production in MERCOSUR

In value terms, lubricant additives production rose to $X in 2021 estimated in export price. In general, production showed a pronounced contraction. The most prominent rate of growth was recorded in 2015 with an increase of 14% against the previous year. Over the period under review, production attained the peak level at $X in 2013; however, from 2014 to 2021, production remained at a lower figure.

Lubricant Additives Exports

Exports in MERCOSUR

After three years of decline, overseas shipments of prepared additives for mineral oils increased by 30% to X tons in 2021. Total exports indicated a mild increase from 2012 to 2021: its volume increased at an average annual rate of +1.6% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth was the most pronounced in 2017 when exports increased by 49% against the previous year. As a result, the exports attained the peak of X tons. From 2018 to 2021, the growth of the exports remained at a lower figure.

In value terms, lubricant additives exports surged to $X in 2021. In general, exports, however, saw a relatively flat trend pattern. The pace of growth was the most pronounced in 2017 with an increase of 41%. As a result, the exports reached the peak of $X. From 2018 to 2021, the growth of the exports failed to regain momentum.

Exports by Country

Brazil prevails in exports structure, finishing at X tons, which was near 90% of total exports in 2021. It was distantly followed by Colombia (X tons), making up a 6% share of total exports. Peru (X tons) took a relatively small share of total exports.

Exports from Brazil increased at an average annual rate of +1.8% from 2012 to 2021. At the same time, Colombia (+9.7%) displayed positive paces of growth. Moreover, Colombia emerged as the fastest-growing exporter exported in MERCOSUR, with a CAGR of +9.7% from 2012-2021. By contrast, Peru (-2.7%) illustrated a downward trend over the same period. While the share of Colombia (+3 p.p.) and Brazil (+1.7 p.p.) increased significantly, the shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Brazil ($X) remains the largest lubricant additives supplier in MERCOSUR, comprising 90% of total exports. The second position in the ranking was held by Colombia ($X), with a 6.4% share of total exports.

From 2012 to 2021, the average annual growth rate of value in Brazil was relatively modest. The remaining exporting countries recorded the following average annual rates of exports growth: Colombia (+12.2% per year) and Peru (-8.2% per year).

Export Prices by Country

In 2021, the export price in MERCOSUR amounted to $X per ton, with an increase of 8.5% against the previous year. Over the period under review, the export price, however, saw a slight shrinkage. The most prominent rate of growth was recorded in 2019 an increase of 9.7% against the previous year. The level of export peaked at $X per ton in 2012; however, from 2013 to 2021, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2021, amid the top suppliers, the country with the highest price was Colombia ($X per ton), while Peru ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Colombia (+2.2%), while the other leaders experienced a decline in the export price figures.

Lubricant Additives Imports

Imports in MERCOSUR

After three years of decline, purchases abroad of prepared additives for mineral oils increased by 17% to X tons in 2021. Over the period under review, imports, however, saw a noticeable reduction. The volume of import peaked at X tons in 2014; however, from 2015 to 2021, imports remained at a lower figure.

In value terms, lubricant additives imports skyrocketed to $X in 2021. In general, imports, however, continue to indicate a pronounced slump. The level of import peaked at $X in 2014; however, from 2015 to 2021, imports failed to regain momentum.

Imports by Country

Brazil was the major importer of prepared additives for mineral oils in MERCOSUR, with the volume of imports recording X tons, which was near 50% of total imports in 2021. Argentina (X tons) took an 18% share (based on physical terms) of total imports, which put it in second place, followed by Colombia (9.6%), Chile (9%) and Peru (6.3%). The following importers - Ecuador (X tons) and Guyana (X tons) - together made up 6.5% of total imports.

From 2012 to 2021, average annual rates of growth with regard to lubricant additives imports into Brazil stood at +1.4%. At the same time, Guyana (+56.9%) and Chile (+2.1%) displayed positive paces of growth. Moreover, Guyana emerged as the fastest-growing importer imported in MERCOSUR, with a CAGR of +56.9% from 2012-2021. By contrast, Peru (-1.3%), Argentina (-1.4%), Ecuador (-1.4%) and Colombia (-6.8%) illustrated a downward trend over the same period. While the share of Brazil (+13 p.p.), Chile (+2.8 p.p.) and Guyana (+2.5 p.p.) increased significantly in terms of the total imports from 2012-2021, the share of Colombia (-5.3 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Brazil ($X) constitutes the largest market for imported prepared additives for mineral oils in MERCOSUR, comprising 45% of total imports. The second position in the ranking was held by Argentina ($X), with an 18% share of total imports. It was followed by Colombia, with a 10% share.

From 2012 to 2021, the average annual growth rate of value in Brazil was relatively modest. In the other countries, the average annual rates were as follows: Argentina (-2.9% per year) and Colombia (-6.4% per year).

Import Prices by Country

The import price in MERCOSUR stood at $X per ton in 2021, increasing by 3.9% against the previous year. In general, the import price, however, saw a mild descent. The growth pace was the most rapid in 2018 when the import price increased by 7.1% against the previous year. The level of import peaked at $X per ton in 2012; however, from 2013 to 2021, import prices remained at a lower figure.

Average prices varied somewhat amongst the major importing countries. In 2021, major importing countries recorded the following prices: in Ecuador ($X per ton) and Peru ($X per ton), while Brazil ($X per ton) and Argentina ($X per ton) were amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Colombia (+0.4%), while the other leaders experienced a decline in the import price figures.

Source: IndexBox Platform