The global white oil market was valued at USD 2.0 billion in 2021 and is expected to grow to USD 3.0 billion by 2030, reflecting a 4.2% CAGR over the 2022–2030 period. This expansion is largely fueled by rising requirements in the personal care and pharmaceutical sectors, where highly purified white oils are prized for their safety and performance.

White oils are essentially mineral oils subjected to extensive purification to yield a pure, stable, colorless, odorless, and non‑toxic product. Typically derived from paraffinic crude feedstock, these oils exhibit excellent hydrophobicity, minimal odor and taste, and strong bio‑stability, making them a versatile ingredient across numerous applications. Their inherently low aromatic and sulfur content also facilitates seamless blending with other oil fractions, improving the finish and functional properties of end‑use formulations. On the market today, white oil is offered in three principal grades:

• Technical grade, for general industrial uses
• Food grade, compliant with food‑contact regulations
• Medical grade, meeting stringent pharmacopeial standards

Production routes include traditional refining of paraffinic and naphthenic crude oils as well as gas‑to‑liquids (GTL) conversion. For example, Royal Dutch Shell N.V. employs the Fischer–Tropsch process to transform natural gas into ultra‑pure white oils (e.g., the Ondina series) characterized by exceptionally low aromatic content. Looking ahead, volatile raw material prices—exacerbated by geopolitical tensions in key oil‑producing regions—are likely to influence the overall supply–demand balance, potentially impacting global production and consumption patterns over the coming years.

Key Market Trends & Insights

• Asia Pacific Leadership (2021): The region captured over 50.0% of global market revenues in 2021. This dominance stems from robust demand in the pharmaceutical industry, driven by rising consumer purchasing power, increased affordability, and heightened health awareness. Local manufacturers are investing heavily in R&D to develop novel white‑oil–based formulations, pricing them to meet the needs of diverse consumer segments.
• Personal Care Applications (2021): Accounting for more than 25.0% of revenue, personal care was the leading end‑use segment in 2021. As health-conscious consumers seek gentle yet effective formulations, white oil’s role as both a base ingredient and a skin‑softening emollient has become indispensable. It is widely incorporated into cosmetics, moisturizers, baby products, body lotions, hair oils, shampoos, fragrances, and water‑resistant creams.
• Performance Attributes: White oil’s chemical inertness, color stability, and lack of odor make it ideal as a softening agent in creams and lotions. Its superior hydrophobicity also enables the production of long‑wearing, water‑resistant skincare products. For instance, Shell’s Ondina X medical‑grade white oil is specifically formulated for personal care applications, prized for its exceptional binding and texture-enhancing properties.
• Adhesives Segment Outlook: The adhesives sector is projected to achieve the highest revenue‑based CAGR of 6% through 2030. Growth here is underpinned by increasing use of white oil as a diluent in the manufacture of hot‑melt and pressure‑sensitive adhesives, where its properties help optimize viscosity and adhesive performance.

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Market Size & Forecast

• 2021 Market Size: USD 0 Billion
• 2030 Projected Market Size: USD 0 Billion
• CAGR (2022-2030): 2%
• Asia Pacific: Largest market in 2021

Key Companies & Market Share Insights

The market for white oil is highly competitive with the big international brands focusing on the development of a long-term relationship with the end-users. With the further growth in the personal care and pharmaceuticals sectors, the competition is anticipated to increase in the coming years.

Key Players

• British Petroleum
• Renkert Oil, Inc.
• ExxonMobil Corporation
• JX Nippon Oil & Energy Corporation
• Nynas AB
• Petro-Canada
• Royal-Dutch Shell N.V.
• Sinopec Corporation

Browse Horizon Databook on Global White Oil Size & Outlook

Conclusion

The white oil market is set for steady growth, underpinned by strong demand from the personal care, pharmaceutical, and adhesives sectors. Its outstanding purity, stability, and performance—alongside diverse production technologies and robust regional development in Asia Pacific—reinforce its importance as a versatile ingredient for both industrial and consumer applications.