Growing Demand for Materials Across the Globe is Expected to Boost the Demand for Performance Coatings Market During the Forecast Period 2028
Market Forecast
Performance coatings market is expected to exhibit a CAGR of over 5.11% to reach a value of around USD 62.45 billion by the end of the forecast period.
Performance coatings provide durability, safety, and longevity to the surface and components that are to be coated with performance coating. It has a wide range of applications such as drywall, construction materials, and others in various end-use industries, including construction, automotive and transportation, industrial, aerospace and defense, marine, and others. Performance coatings are specially designed to protect a substance from corrosion, offer resistance to chemicals & abrasion, ensure durability & safety, and enhance the appearance of a substance. Whereas high-performance coating acts as a barrier between the substrate and water, insulates it from soil contact, and protects it from chemical interaction.
Regulatory Framework
Below is the list of ASTM (American Society for Testing and Materials) standards that are the framework for the coating industry.
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- ASTM B117: Standard test for operating salt spray (fog) apparatus.
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- ASTM D1654: Standard test for the evaluation of coated substance subjected to the corrosive environment.
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- ASTM D610: Standard test for determining the extent of rust on coated steel surfaces.
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- ASTM E2257: Standard test method for room fire test of wall &ceiling materials.
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- ASTM E84: ASTM E84: Standard test method for surface burning of building materials.
Impact of Coronavirus Outbreak
In 2020, a sharp decline in sales was expected in the coatings market, as the production volume of key segments such as automotive and industrial industries will have fallen drastically. China and Japan are also major consumers of performance coating, and due to the imposition of lockdown, the sales of performance coatings have decreased in the assessment period.
However, with the lift of lockdown measures and trade restrictions, the demand for performance coatings is expected to gain pace and drive market growth.
Segmentation
By Type
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- Based on type, the global performance coating market is divided into epoxy, silicone, polyester, acrylic, alkyd, polyurethane, fluoropolymer, and others.
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- The acrylic segment is expected to register a higher growth rate because of its various applications such as piping, structural steel, machinery & equipment in chemical industries, commercial buildings, and others.
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- The polyester segment is widely used in the building & construction industry due to its low cost. These are commonly used for windows, doors, and architectural projects. Therefore, the polyester segment is estimated to drive global market growth during the forecast period.
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- The market for polyurethane types is likely to witness stable growth during the assessment period. However, polyurethane coatings are ideal for surfaces subjected to wear and tear and need to be chemically and physically resistant.
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- The fluoropolymer coatings are a blend of high-performance resins and fluoropolymer lubricants.They are widely used inoriginal equipment manufacturers (OEMs) components and fasteners in the automotive industry to provide longer life.
By Coating Technology
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- On the basis of coating technology, the global performance coatings market is divided into three types- solvent-based, water-based, and powder-based coating technology.
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- The market for water-based coating technology is expected to register a higher CAGR as it contains low VOC (volatile organic compounds levels) and HAP (hazardous air pollution) emissions.
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- The powder-based segment is expected to fuel market demand over the foreseeable period due to the increasing demand for spray coating in the automotive industry.
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- The solvent-based technology is likely to show stagnant growth during the review period.
By End-Use
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- This segment is classified into construction, automotive & transportation, industrial, aerospace & defense, marine, and others.
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- Improvement in the commercial aviation network, development of the tourism industry, rapid economic development, and an increase in air passenger traffic are expected to drive the global performance coatings market in the aerospace & defense industry.
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- Performance coatings are majorly used in the automotive industry for automotive parts and OEM components, tooling, ballistic panels, etc.
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- Growing commercial and residential sectors is fueling the growth of the construction industry across the globe.
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- The industrial segment includes chemical, energy & power, textile, equipment manufacturers, and others and is anticipated to drive the global market growth during the forecast period.
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- The others segment includes marine, transportation, and construction.
By Region
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- North America: North America is expected to dominate the global market growth. The regional market growth is driven by the presence of a large number of key players in the region. Moreover, expanding end-use industries, especially aerospace & defense and automotive, are driving the regional market growth.
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- Europe: Europe is a well-established market. Increasing demand for performance coatings across major end-use industries is expected to propel market growth. The automotive industry in the region is the key factor driving the demand for performance coatings in the region.
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- Asia-Pacific: It is the fastest-growing regional market.Development in the economic condition in the region results in fast-paced industrialization, which is a key factor driving the global market growth.
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- Latin America:Brazil and Mexico are estimated to provide lucrative opportunities for market growth during the assessment period.
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- Middle East & Africa: The growing infrastructural activities in GCC countries are expected to fuel the product demand in the Middle East & Africa region over the forecast period.