Automotive Transmission Fluid Industry Growth Driving Factors, Current Trends, and Global Demand, 2025

Global automotive transmission fluid market is expected to witness rapid growth in the years to come owing to the developing automotive sector in emerging regions; which has resulted in high use of lubricants. Transmission fluid is essentially used to lubricate a car’s components to offer optimum performance. It cleans & guard wear and tear of metal surfaces, improves the cooling, and decreases operation of high temperatures and enhances temperature range and rotational speed. Owing to these benefits and attractions of newer technologies in the automotive segment, automotive transmission fluid market is expected to grow at a CAGR of 4.30%.

The factors that drive this market include rising attraction and adoption of transmission at the global scale; which has resulted in better consumer experience, growing use of automotive transmission fluid, environment-friendly ATF, and rise in number of zero-carbon emission vehicles. However, low awareness among the emerging economies is expected to hamper the market growth.

Rising attraction toward the advantages offered by technologically improved products is expected to bring opportunities to the automotive transmission fluid market. Moreover, rise in demand for heavy-duty vehicles that are used for building and agriculture activities are the trends observed in automotive transmission fluid market.

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The market is categorized on the basis of product types, classification, application, and geography. On the basis of product types, market is divided into manual transmission fluid, continuously variable transmission fluid, automatic transmission fluid, dual clutch transmission fluid, and others. The market is expected to grow at a faster rate since they offer better comfort and are increasingly adopted by manufacturers.

Based on classification, market is divided into mineral oil, synthetic oil and others. Synthetic oil segment is gaining attraction by manufacturers and are being highly adopted. Based on application, market is bifurcated into automotive (commercial and passenger vehicle) and off-road vehicles (construction, mining, agriculture). Automotive segment leads automotive transmission fluid market due to increase in demand for passenger vehicles from emerging as well as developed economies.

Geographically, market is segmented as North America, Latin America, Europe, Asia Pacific and Middle East & Africa. Asia Pacific is anticipated to dominate the market owing to increase in demand for the automotive and developing automotive sector. The major players in automotive transmission fluid market comprise BP, Shell, Chevron, Exxon Mobil and Valvoline.

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