Latin America Electric Vehicle Fluid Market Outlook, 2027

Current environmental challenges and the regulations are directing the global automotive industry to innovate constantly while considering user expectations for quality and performance of vehicle. Growing awareness over tailpipe emissions implies stricter standards for carbon dioxide and other pollutants across the globe. In Latin America, electric mobility policy is one of the reasons which is responsible for higher adoption of electric vehicle. Numerous countries have incentives for electric vehicles, such as discounts on sale, environmental and import taxes, revenue-neutral ‘feebates’ that tax polluting cars and reward clean once. Traditionally, fluids have not been a key concern in electric vehicles but today manufacturers are aiming to introduce new range of products that can keep up with changing requirements. Electric vehicle fluids are important component to meet the requirements of customers and to improve performance of vehicle. Many industries in Latin America have initiated production of highly innovative fluid ranges that can help to design effective and efficient electric and hybrid vehicles. These high-performance fluid ranges can keep vehicles running smoothly with ensuring safety.

According to the research report “Latin America Electric Vehicle Fluids Market Outlook, 2027" published by Bonafide Research, electric vehicle fluids market is anticipated to have significant market growth with 24.75% CAGR by the forecast period. Sustainable development activities along with customer demand for eco-friendlier transport alternatives drive the Latin America electric vehicle fluids market. Based on the countries, Latin America electric vehicle fluids market is segmented into three major countries which are Brazil, Argentina and Columbia. Brazil is projected to acquire maximum market share during the forecast period. Manufactures present in Brazil investing to focus on the development of electric vehicle and electric vehicle fluids with huge opportunities for technologies. Based on this factor, Brazil electric vehicle fluids market is anticipated to have significant growth in Latin America region. Latin America government policies like tax exemptions and movement restrictions on conventional vehicles are expected to fuel the electric vehicle fluids market in entire region. Latin America has one of the cleanest electricity matrices in the world which enhances the adoption of electric vehicles in the region. Latin America electric vehicle fluids market is segmented into four major parts of fluids including grease, brake fluid, heat transfer fluid and drive system fluid. Among these types, heat transfer fluid is anticipated to lead the market with more than 80% market share during the forecast period. Increasing adoption of electric vehicle and electric vehicle battery in Latin America directs towards the significant market growth for heat transfer fluid. It is an essential component for thermal management of battery and other power electronics.

According to the report, electric vehicle fluids market in Latin America is bifurcated into two parts based on the vehicle type which are passenger vehicle and commercial vehicle. Passenger vehicle type is forecasted to have market share more than 70% by 2027. Due to convenience provided by the vehicle and government policies for passenger electric vehicle, this segment is widely adopted in Latin America region. Latin America government is also aiming to reduce the carbon emissions and rising greener technology. Due to that commercial type of electric vehicle is expected to have increasing market growth during the forecast period. As for the propulsion type of electric vehicle, plug-in hybrid electric vehicle is projected to have maximum market share. Population of Latin America prefers to have compact technology rather than traditional battery electric type of vehicle. Plug-in hybrid electric vehicle consists of battery as well as combustion engine. Comparatively, plug-in hybrid electric vehicle consumes more amount of fluid than battery electric vehicle. Higher adoption of plug-in hybrid electric vehicle in Latin America directs towards the significant growth of electric vehicle fluids market in region.

Impact of Covid-19 on Latin America Electric Vehicle Fluids market:
During the Covid-19 pandemic, most governments moved quickly to provide swift and significant responses to control the outbreak in region. Despite the government’s efforts, Latin America was declared as the epicenter of the Covid-19 pandemic by WHO (World Health Organization). Due to strict regulations of lockdowns and social distancing norms, industries and manufactures had their development at halt. However, Covid-19 situation also directed awareness about carbon emissions across the region. Increasing adoption of electric vehicle and vehicle fluids to reduce the environmental impacts is anticipated to drive the overall growth for Latin America electric vehicle fluids market by the forecast period.

Major Companies present in the market:
Shell Plc, Valvoline Inc., Totalenergies Se, Exxonmobil Corporation, Fuchs Petrolub Se, And Petroliam Nasional Berhad (Petronas), Repsol S.A, Castrol Limited, Afton Chemicals, Motul, Dober, Infineum International Limited, Eneos Corporation, The Lubrizol Corporation, Engineered Fluids Inc.

Considered in this report
• Geography: Latin America
• Base year: 2021
• Estimated year: 2022
• Forecast year: 2027

Aspects covered in this report
• Latin America Electric Vehicle Fluid market with its value and forecast along with its segments
• Country-wise electric vehicle fluid market analysis
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

Regions covered in the report
• Brazil
• Argentina
• Columbia

Types of Product in the report:
• Grease
• Braking Fluid
• Heat Transfer Fluid
• Drive System Fluid

Type of Propulsion in the report:
• Battery Electric Vehicle (BEV)
• Plug-In Hybrid Electric Vehicle (PHEV)
• Hybrid Electric Vehicle (HEV)

By Vehicle Type:
• Passenger Vehicle
• Commercial Vehicle

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to electric vehicle fluid industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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Manmayi Raval

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