The automotive vehicle market is thriving in Bangladesh thanks to increasing sales of commercial and passenger vehicles fueled by expanding economic activities and well-off consumers.
Moving transport activities, as well as the recent economic growth, made Bangladesh a potential market and it has been growing very fast for the last 10 years.
The market growth is nearly 15% to 20% every year over the last decade.
The automotive vehicle market comprises with the passenger cars, light commercial vehicles, heavy trucks, buses, vans and motorcycles.
At least 35,000 units of commercial vehicles such as bus, truck, auto-rickshaw, cargo van, human-hauler, pickup and tanker have been sold last year.
In 2016, a total of 0.42 million automotive vehicles were registered in Bangladesh, according to the Bangladesh Road Transport Authority.
Apart from the passenger car and motorcycles, the number of registered petrol and diesel-powered commercial vehicles is 3,663,189 units in number.
Mostly because of the rise of the overall automotive sector, the engine oil market has grown up around 10% to 12% in the last three years.
In the road, automotive vehicles have increased by 2.5 times in the last eight years. So, the demand for engine oils will rise keeping pace with the increasing automotive vehicles.
That is why the overall engine oil consumption raised over 14% for the last four years. Now its current demand is around 160 million tonnes.
So, the engine oil market for automotive vehicles is on the cusp of significant change triggered by rising transportation.
Looking into Future Automotive Lubricants Market
Bangladesh is not proactively working out an automotive roadmap apart from the two-wheelers, which has been newly added to an integral part of the growth plan.
The future of automotive lubricants is more linked with the overall automobile market of Bangladesh. So the analysis and forecasts of automotive vehicle market may provide complete market research on the automotive engine oil market too.
Key trends driving the business in Bangladesh automotive sector along with potential challenges confronted by players across the industry have to be discovered.