Electric Vehicle Trend, Indonesia's Lubricant Market Still Growing

Jakarta – The development of electric vehicles (EVs) in the future is predicted to reduce the demand for lubricants for vehicles. However, Indonesia’s lubricants market is considered to have a fairly good prospect in the coming years. Nugroho Setyo Utomo, Vice President Marketing of PT Pertamina Lubricants, said that globally Indonesia remains one of the lubricants markets that continues to grow. ‘Although there is development of EV products (electric vehicles), compared with other countries, especially around the world, our market is still growing at an average of 2.5 percent,’ he said. ‘Both for the industrial segment and for the automotive segment, in terms of annual demand. This means it is still a fairly attractive figure,’ he added. Nugroho said that the growth of lubricant demand in Indonesia is even higher than in developed countries. Although he did not detail it, the growth is linked to the high use of motor vehicles that still run on internal combustion engines and to ongoing industrial activity. Based on data from research firm Mordor Intelligence, Indonesia’s lubricant market was recorded at around 1.20 billion litres in 2025. Demand is expected to rise in the coming years. By 2026, the volume of the lubricant market is forecast to reach around 1.23 billion litres and continue to rise to around 1.41 billion litres by 2031. For the lubricant industry, these figures indicate that the domestic market remains fairly promising. Although the EV trend continues to develop, conventional engine-powered vehicles still dominate Indonesia’s roads. In addition, lubricant demand does not only come from the automotive sector, but also from various industrial sectors that are still expanding.