Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
The protective coating is applied to the surface in order to provide protection from harsh environmental conditions that could cause damage. They are widely used across various applications such as electronics products, marine, automotive heavy machinery, power generation, and oil & gas industry, etc. On the basis of resin type, the market is classified into epoxy, polyurethane, acrylic, polyester, and alkyd.
The global protective coatings market is projected to reach around US$ 35,707.3 million by the end of 2027, in terms of revenue, growing at CAGR of 9.0% during the forecast period (2020-2027).
Increasing construction of new infrastructure and rising spending on the maintenance of the existing infrastructure is expected to drive the market growth of protective coatings. Economies such as India, China, South Africa, and GCC have witnessed a significant increase in infrastructure development due to increasing investment. According to the India Brand Equity Foundation, India plans to spend US$ 1.4 trillion on infrastructure by 2025.
Figure 1. Global Protective Coatings Market Share (%) in terms of Value, By Region, in 2019
Asia Pacific region dominated the global protective coatings market in 2019, accounting for 44.9% share in terms of value, followed by North America and Europe, respectively.
The increasing price of crude materials coupled with the highly fragmented market due to presence of various players is expected to restrict the market growth. This is due to the presence of back-end manufacturers that offer product at very low price result in intense competition.
Protective Coatings Market Report Coverage
||Market Size in 2019:
||US$ 17,850.8 Mn
|Historical Data for:
||2016 to 2019
||2020 to 2027
|Forecast Period 2020 to 2027 CAGR:
||2027 Value Projection:
||US$ 35,707.3 Mn
- North America: U.S., Canada
- Latin America: Brazil, Argentina, Mexico, Rest of Latin America
- Europe: Germany, U.K., Spain, France, Italy, Russia, Rest of Europe
- Asia Pacific: China, India, Japan, Australia, South Korea, ASEAN, and Rest of Asia Pacific
- Middle East: GCC, Israel, and Rest of Middle East
- Africa: South Africa, North Africa, and Africa
- By Technology: Solvent-borne Coatings, Water-borne Coatings, Powder Coatings, and Others
- By Application: Infrastructure, Commercial Real Estate, Industrial Plants and Facilities, Oil & Gas, Power, and Mining
- By Resin Type: Epoxy, Polyurethane, Acrylic, Alkyd, Polyester, and Others
Akzo Nobel N.V., The Valspar Corporation, PPG Industries Inc, Arkema Group, Kansai Paint Co. Ltd, The Sherwin-Williams Company, Sika AG, Wacker Chemie AG, Hempel A/S, and Jotun
- Increasing construction of new infrastructure and rising spending on the maintenance of the existing infrastructure
- Growth in the paints and coatings industry
|Restraints & Challenges:
- High energy consumption during the manufacturing of protective coatings
Increasing adoption of water-based coatings from conventional solvent-based coatings due to strict environmental regulations is expected to bring new market opportunities. For instance, Water-based coatings reduce the level of volatile organic compound emissions (VOC) by 80% as compared to solvent-based coatings. Such advantage associated with the water-based coatings is expected to raise the adoption across various end-use industries, thereby fueling the market growth.
Advancement in the technology by major players in order to meet the evolving market demand is expected to serve major growth opportunities over the forecast period. For instance, in October 2018, Axalta announced the launch of its new protective coatings brand, Corroless. The Corroless portfolio consists of Axalta's most durable products, engineered to provide exceptional, long-term chemical and corrosion resistance to a wide array of iron and steel substrates, while remaining cost-effective.
Figure 2. Global Protective Coatings Market– Opportunity Analysis
Epoxy resin coatings are gaining popularity across the construction industry as they improve durability and resilience. Floor toppings, grouts, crack injection, and adhesives are some of the applications of epoxy resin coatings. Moreover, this coating is also applied to home appliances such as washing machines and refrigerators in order to prevent them from the corrosive environment and enhance aesthetic appeal. Hence, growing demand for epoxy resins coatings is expected to foster the market growth of protective coatings.
Increasing use of protective coatings for maintaining old infrastructure is one of the major trends in the market. Moreover, protective coatings are also used in the water storage tanks as they are highly prone to corrosions and hence require coatings, thereby fueling the market growth. Furthermore, the development of the aerospace industry due to increasing spending on maintenance of aircraft is further anticipated to augment the market growth of protective coatings.
Figure 3. Global Protective Coatings Market Share (%) in terms of Value, By Resin Type, in 2019
On the basis of application in 2019, the epoxy segment has accounted the largest market share of 33.3% in terms of value, followed by polyurethane and alkyd segment respectively.
In Hong Kong, 'Chapter 311, Air Pollution Control Ordinance' – an air pollution control (volatile organic compounds) regulation sets VOC content limits for several types of paints & coatings, printing inks, consumer products, adhesives & sealants. It mandates proper labeling for regulated architectural paints not meeting their future prescribed VOC limits, requires displaying product information in Material Safety Data Sheets, trade catalogs, and packaging.
Global Protective Coatings Market - Impact of Coronavirus (Covid-19) Pandemic
Coronavirus is expected to have a significant impact on infrastructure sector. Infrastructure are expected to vulnerable to delays due to supply chain disruptions and unavailability or shortage of workers. Governments across the world are devoting resources to address immediate needs, which in turn has made infrastructure projects take a back seat. This is expected to decrease the demand for protective coating from infrastructure sector. The coronavirus is expected to have a short term impact on protective coatings market. According to Coherent Market Insights, protective coatings market is expected to grow at a lower CAGR between 2020 and 2021.
- Akzo Nobel N.V.
- The Valspar Corporation
- PPG Industries Inc
- Arkema Group
- Kansai Paint Co. Ltd
- The Sherwin-Williams Company
- Sika AG
- Wacker Chemie AG
- Hempel A/S
Few Recent Developments
In December 2019, DuPont announced the sale of its protective coatings product lines and related assets to the Sika group.