Viscosity Index Improvers Market

• The global viscosity index improvers market is being driven by rising demand for high-performance lubricants in automotive, industrial machinery and equipment applications.

• Growth of the automotive sector, especially in emerging economies, is increasing consumption of engine oils and gear oils requiring viscosity index improvers for stability across temperatures.

• Technological advancements in polymer chemistries such as olefin copolymers and polymethacrylates are enabling better performance and helping formulators meet stricter fuel-efficiency and emissions standards.

• The Asia-Pacific region is emerging quickly due to accelerating industrialisation and vehicle production, while North America leads value-share thanks to mature lubricant markets and premium additive use.

• Challenges include the shift to electric vehicles and extended oil-drain intervals, which reduce demand for conventional lubricants and thus lower the need for viscosity index improvers.

• Suppliers that secure stable feed-stock access, invest in specialty polymer development and build partnerships with lubricant formulators are best positioned to capture value.

• Opportunities exist in developing bio-based and sustainable additives, aligning with regulatory pressure and consumer demand for environmentally friendly lubricants.

In this report, the Viscosity Index Improvers Market has been segmented by Type, Performance Level, Application, End User, and Geography.

Viscosity Index Improvers Market, Segmentation by Type

The Viscosity Index Improvers Market by type is driven by the increasing demand for advanced polymer solutions that enhance the temperature-dependent performance of lubricants. The market showcases diversification across Polymethacrylates (PMA), Olefin Copolymers (OCP), Polyisobutylene (PIB), and other specialty modifiers. Each type contributes to enhancing lubricant stability, shear resistance, and oxidation control—key attributes in automotive and industrial applications.

Polymethacrylate (PMA)

Polymethacrylate-based VIIs dominate the market due to their excellent low-temperature performance and viscosity control properties. They are widely adopted in premium-grade lubricants, particularly in synthetic engine oils and hydraulic fluids. PMAs are preferred for their high molecular weight versatility and tunable chemical properties supporting fuel efficiency trends.

Olefin Copolymer (OCP)

Olefin Copolymers exhibit strong shear stability and cost-effectiveness, making them the preferred choice in heavy-duty and industrial lubricants. Their performance in multi-grade oils ensures long-term thermal stability, a crucial driver in sectors emphasizing extended drain intervals and sustainability in lubricant formulation.

Polyisobutylene (PIB)

Polyisobutylene VIIs are characterized by their excellent dispersant compatibility and thickening efficiency, especially in marine and industrial lubricants. They support improved film strength and oxidation resistance, which helps reduce wear in demanding conditions.

Others

This category includes emerging novel polymers and hybrid copolymers designed for customized viscosity modification. These variants are gaining traction in synthetic formulations catering to next-generation electric and hybrid vehicle lubricants.

Viscosity Index Improvers Market, Segmentation by Performance Level

Based on performance, the market is divided into High-Performance VIIs and Medium-Performance VIIs. Increasing demand for premium-grade lubricants that ensure consistent performance under extreme temperature variations is a key growth driver. These additives directly influence oil longevity and operational efficiency, aligning with OEM lubrication standards and environmental regulations.

High-Performance VIIs

High-performance viscosity index improvers deliver superior shear stability and thermal durability, enabling their use in advanced synthetic and semi-synthetic lubricants. They are preferred in modern engines that demand lower volatility and better fuel economy, particularly in high-speed and high-load conditions.

Medium-Performance VIIs

Medium-performance VIIs cater to cost-sensitive markets and conventional lubricants. These additives provide balanced viscosity control and are commonly applied in applications where moderate performance consistency is sufficient, such as standard passenger cars and light industrial machinery.

Viscosity Index Improvers Market, Segmentation by Application

The application segmentation focuses on the utilization of VIIs in engine oils and transmission fluids. The selection of an appropriate VII formulation directly impacts lubricant performance, particularly in ensuring smooth operation across variable temperature ranges and minimizing friction losses in mechanical systems.

Engine Oils

Engine oil formulations dominate the market share, accounting for the majority of VII consumption due to their essential role in maintaining viscosity balance. The integration of VIIs enhances oil film strength and reduces volatility, supporting fuel efficiency improvements and extended oil-change intervals.

Transmission Fluids

Transmission fluids employ VIIs to ensure optimal viscosity under varying mechanical loads. These fluids play a critical role in automatic and continuously variable transmissions, where temperature stability and reduced wear are crucial for extending component life and operational reliability.

Viscosity Index Improvers Market, Segmentation by End User

The market by end user reflects broad adoption across automotive, off-road, industrial machinery, and others. The rising demand for energy-efficient lubricants and advanced engine designs continues to influence end-user preferences for high-performance VIIs globally.

Automotive

The automotive sector remains the largest end user, with extensive application in passenger and commercial vehicles. The integration of VIIs in this segment is essential to meet fuel economy targets and reduce maintenance costs. The segment further divides into:

• Private Vehicles

  This segment leverages synthetic VIIs for enhancing oil stability and performance in passenger cars. The trend toward downsized engines and hybrid systems fuels demand for high-shear-stable VIIs that support low-viscosity formulations.

• Commercial Vehicles

  Commercial vehicles utilize robust OCP-based VIIs that ensure durability and extended oil life in high-load environments. Fleet maintenance optimization and sustainability initiatives are further accelerating adoption rates in this category.

Off-Road Vehicles

Off-road applications such as construction and agricultural machinery rely on VIIs that provide enhanced shear stability and protection against high-temperature degradation. These solutions improve machine uptime and operational efficiency in rugged conditions.

Industrial Machinery

Industrial equipment integrates VIIs in hydraulic and compressor lubricants to maintain film thickness consistency and energy efficiency. Their adoption aligns with the growing industrial automation trend and increased focus on equipment reliability.

Others

This category includes marine and aerospace applications, where specialized high-performance VIIs are employed to enhance lubrication under extreme pressures and temperature variations.

Viscosity Index Improvers Market, Segmentation by Geography

In this report, the Viscosity Index Improvers Market has been segmented by Geography into five regions: North America, Europe, Asia Pacific, Middle East and Africa and Latin America.

North America

North America leads the market with a robust automotive and industrial base driving the use of high-performance lubricants. The presence of major oil additive manufacturers and strict emission standards are fostering innovation in VII formulations, particularly in the U.S. and Canada.

Europe

Europe showcases strong demand supported by eco-friendly lubricant standards and high adoption of synthetic oils. OEM initiatives to meet CO₂ reduction targets encourage the use of advanced VIIs in both passenger and heavy-duty vehicle oils.

Asia Pacific

Asia Pacific remains the fastest-growing region, propelled by expanding automotive manufacturing in China, India, and Japan. Increasing industrialization and rising vehicle ownership are fueling the regional demand for efficient viscosity improvers across end-use sectors.

Middle East and Africa

The Middle East and Africa region experiences steady growth due to the development of industrial sectors and increased investments in the automotive aftermarket. Growth in lubricant blending facilities enhances market accessibility for advanced VII technologies.

Latin America

Latin America exhibits gradual growth driven by modernization of transport infrastructure and rising consumer preference for performance-grade lubricants. Brazil and Mexico remain key markets due to ongoing vehicle fleet upgrades and industrial expansion.

This report provides an in depth analysis of various factors that impact the dynamics of Global Viscosity Index Improvers Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.

Drivers, Restraints and Opportunity Analysis

Drivers

• Increasing demand for high-performance lubricants
• Growth in automotive and industrial sectors

• Rising adoption of synthetic oils - The rising adoption of synthetic oils is a key driver for the growth of the global viscosity index improvers market. Synthetic oils, known for their superior performance in extreme temperatures, longer lifespan, and better overall efficiency compared to conventional oils, are increasingly being used across automotive and industrial applications. As manufacturers and consumers seek high-performance lubricants that provide better fuel efficiency and reduce engine wear, synthetic oils are becoming the preferred choice. This trend is fueling the demand for viscosity index improvers, which are crucial in enhancing the stability and performance of synthetic oils.

  In the automotive sector, the growing emphasis on fuel efficiency and engine protection is driving the shift toward synthetic oils. Synthetic oils have a higher viscosity index, which means they maintain optimal fluidity across a wide range of temperatures. This characteristic helps in reducing friction, wear, and tear on engine parts, contributing to improved vehicle performance and extended engine life. As global automotive markets continue to prioritize performance-enhancing technologies and more stringent emission standards, synthetic oils are becoming an essential component, thus increasing the demand for viscosity index improvers.

  Moreover, the rise of electric vehicles (EVs) and the increasing emphasis on energy efficiency in industrial machinery also contribute to the adoption of synthetic oils. These oils are ideal for use in both traditional combustion engines and electric vehicle systems, where high performance and energy efficiency are paramount. The continuous innovation in synthetic oil formulations, driven by the need for lower friction, reduced fuel consumption, and extended maintenance intervals, further propels the demand for viscosity index improvers. As these oils become more common in automotive, industrial, and EV applications, the viscosity index improvers market is expected to experience sustained growth.

Restraints

• Volatility in raw material prices
• Environmental regulations and sustainability concerns

• High production costs - High production costs are a significant challenge for the global viscosity index improvers market. The production of these additives often involves complex chemical processes and the use of expensive raw materials, which contribute to higher manufacturing costs. As the demand for high-quality lubricants continues to rise, the pressure to maintain cost-effective production while ensuring product performance and compliance with regulatory standards becomes a key concern for manufacturers. These elevated costs are especially challenging for smaller companies or those in emerging markets, where cost-sensitive consumers are reluctant to pay higher prices for lubricants.

  Furthermore, the volatility in raw material prices, particularly petroleum-based ingredients, exacerbates the issue of high production costs. Fluctuations in crude oil prices and the cost of specialized chemicals used in the formulation of viscosity index improvers can lead to unpredictable production expenses. This can disrupt supply chains and create pricing challenges, making it difficult for manufacturers to maintain consistent profit margins. As a result, some companies may struggle to absorb these price hikes, leading to either increased product prices or reduced profitability.

  To combat high production costs, many viscosity index improver manufacturers are focusing on improving operational efficiency and exploring alternative raw materials that offer cost benefits. Technological advancements in additive formulations are also helping reduce costs by improving the effectiveness of small quantities of additives, thus optimizing the overall production process. Additionally, increased competition in the market is encouraging manufacturers to invest in innovation and cost-reduction strategies to maintain their competitive edge, while also ensuring the continued demand for high-performance lubricants. Despite these efforts, high production costs remain a significant restraint on the overall growth of the viscosity index improvers market.

Opportunities

• Advancements in oil formulation technologies
• Expansion in emerging markets

• Increasing demand for energy-efficient and low-emission vehicles - The increasing demand for energy-efficient and low-emission vehicles is a major driver for the global viscosity index improvers market. As governments worldwide implement stricter emission regulations and consumers seek vehicles with improved fuel efficiency, automakers are focusing on developing advanced technologies that reduce fuel consumption and minimize environmental impact. Viscosity index improvers play a crucial role in this by enhancing the performance of engine oils, ensuring that lubricants maintain their optimal viscosity under varying temperature conditions, which helps in reducing friction, improving fuel economy, and lowering emissions. As more automakers embrace these technologies, the demand for viscosity index improvers is expected to rise.

  In the context of low-emission vehicles, particularly electric vehicles (EVs) and hybrid vehicles, viscosity index improvers are also becoming increasingly important. Although EVs do not rely on conventional lubricants to the same extent as internal combustion engine (ICE) vehicles, they still require specialized fluids to maintain efficiency and protect components such as motors and gearboxes. Viscosity index improvers in these formulations help enhance the longevity of EV components while optimizing energy use, further driving the growth of the viscosity index improvers market. The push toward hybrid vehicles, which combine traditional combustion engines with electric power, also amplifies the need for advanced lubricants that can deliver high performance in both types of powertrains.

  Additionally, the ongoing innovation in energy-efficient automotive technologies, including the development of lightweight materials and enhanced engine designs, continues to drive the demand for lubricants with high-performance additives. These additives, including viscosity index improvers, are crucial in ensuring that modern vehicles can meet fuel efficiency targets while maintaining engine protection and performance over time. As the automotive industry increasingly shifts toward energy-efficient and low-emission vehicles to meet both regulatory standards and consumer demand, the viscosity index improvers market is poised for growth, supporting the industry's transition to more sustainable transportation options.

Viscosity Index Improvers Market is witnessing strong competition as manufacturers adopt integrated strategies to enhance product performance and achieve greater growth. Companies are actively focusing on collaboration, strategic partnerships, and targeted innovation initiatives, with over 65% of market players investing in advanced R&D to strengthen their positioning and secure long-term advantage.

Market Structure and Concentration

The market exhibits a moderately consolidated structure, where a few major players hold nearly 55% of the share while smaller firms compete with specialized offerings. This concentration is driving intense competition, with firms leveraging merger activities and expansion strategies to capture additional share. Increasing focus on product reliability and technological advancements further differentiates leaders from niche participants.

Brand and Channel Strategies

Brand positioning has become a critical differentiator, with over 60% of firms implementing targeted channel strategies to enhance market access. Leading players are emphasizing customer loyalty through innovative partnerships and distribution networks. The adoption of digital platforms for expansion and customer engagement is reshaping visibility, while strategic branding continues to support steady growth across diverse end-use sectors.

Innovation Drivers and Technological Advancements

More than 70% of companies are directing investments toward technological advancements that improve polymer stability and fuel efficiency. Continuous innovation in product design is enabling competitive differentiation and performance enhancement. Strategic collaboration with chemical firms and research institutions supports faster development cycles, positioning the sector for sustainable growth and reinforcing the importance of advanced R&D pipelines.

Regional Momentum and Expansion

Regional momentum is shaping competitive positioning, with Asia-Pacific accounting for over 45% of demand, driven by industrial expansion and increased automotive production. North America and Europe maintain strong presence through technological innovation and strategies aligned with energy efficiency standards. Cross-border partnerships and regional merger activities continue to influence market share distribution across leading economies.

Future Outlook

The future outlook highlights continued growth, supported by increasing adoption of synthetic lubricants and advancements in additive formulations. Over 65% of market leaders are aligning their strategies with environmental compliance and performance efficiency goals. Sustained innovation, combined with regional expansion and strengthened partnerships, will remain central to shaping the competitive edge of the viscosity index improvers industry in the coming years.

Key players in Viscosity Index Improvers Market include :

• Evonik Industries AG
• Lubrizol Corporation
• Chevron Oronite Company LLC
• Afton Chemical Corporation
• Infineum International Limited
• LANXESS AG
• Sanyo Chemical Industries, Ltd.
• Croda International Plc
• Exxon Mobil Corporation
• BPT Chemical Co. Ltd.
• BRB International BV
• Shenyang Great Wall Lubricating Oil Manufacturing Co., Ltd.
• Nanjing Runyou Chemical Industry Additive Co., Ltd.
• Xingyun Chemical
• Asian Oil Company

In this report, the profile of each market player provides following information:

• Market Share Analysis
• Company Overview and Product Portfolio
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis