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The resins segment was the largest segment and was valued at USD 29.00 billion in 2018. Various resins of the epoxy family are extensively used in electrodeposition (ED) and industrial coatings, particularly in the transportation, industrial maintenance, and marine markets. They are also widely used in powder coatings. In recent years, high-solid and ultra-high solid-liquid epoxy resins have dominated the global market. Meanwhile, the liquid epoxy resin is used in concrete surfaces, tank linings, and other applications. Other resins that are used as coatings raw materials include amino, polyester (with low-bake versions as the growth area), cellulosic, silicone/ polysiloxane, silicate, and vinyl resins. These factors will drive the growth of the segment of the market during the forecast period.
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APAC is estimated to contribute 51% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. Rapid industrialization, the growing construction industry, and the burgeoning automotive industry in countries such as China, India, Malaysia, Indonesia, Vietnam, Japan, and South Korea will boost the demand for coatings raw materials in the region. In countries such as India and China, the growing construction industry will drive demand for coatings raw materials during the forecast period. In China, the Three George Dam, the South-to-North Water transfer project, and the Beijing Airport expansion are some of the construction projects expected to be completed during the forecast period.
Similarly, in India, the construction of Navi Mumbai International Airport in Mumbai, the Chenab River Railway Bridge in Jammu and Kashmir, and the Delhi-Mumbai Industrial Corridor will see strong demand for coatings raw materials. Therefore, increasing railway networks in India and China will also boost the consumption of coatings raw materials which in turn will drive the market growth in the region during the forecast period.
The market thrives within the Specialty Chemicals Industry, leveraging innovative product manufacturing processes to develop multi component coating systems. With applications ranging from exterior wall paints to wood finishes, the market caters to diverse needs in architectural and industrial sectors. Utilizing materials like fluorine resin-based coatings and polyurethane resins, manufacturers ensure durability and performance. Polyvinylidene difluoride (PVDF) and UV cured coatings are key components in producing eco-friendly coatings that meet stringent environmental standards. Technological advancements drive the market forward, enhancing the quality and efficiency of coating products. As demand grows for interior wall paints and enamels, the industry continues to innovate, offering solutions that balance aesthetic appeal with functional performance, ensuring a sustainable and vibrant future for the coatings market. Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
Increasing demand for alkyd resins in paints and coatings is notably driving the market growth. Alkyd resins are polyester-based materials that are usually modified with oil or fatty acids. These resins can be further modified using a variety of other chemicals or materials. Chemicals such as polybasic acids, polyhydric alcohols, oils, fatty acids, and modifying agents can be used in a combined form to produce alkyds with specifically designed properties. Alkyd resins are used to manufacture protective coatings as they can significantly enhance the weathering properties of protective coatings. Alkyd resins are among the key raw materials used to make various synthetic paints and coatings as they are exceptionally compatible with a wide range of coating polymers.
However, these resins are also used to manufacture industrial coatings, including marine coatings, concrete floors, and road paints. The sustained and high consumption of paints and coatings during the forecast period will fuel demand for alkyd resins. Therefore, increasing demand for alkyd resins in paints and coatings, including marine coatings used for ships, offshore structures, and marine vessels, will drive the growth of the global market during the forecast period. The versatility of alkyd resins in providing durability, weather resistance, and adhesion properties makes them essential in various coating applications, particularly in challenging marine environments where protection against corrosion and harsh conditions is paramount.
Growing demand for printing inks is an emerging trend shaping the market growth. The printing ink industry is poised to grow at a healthy rate during the forecast period. Advances in water-based ink technology are supporting the growth of the market and have remained a major driving factor. Coatings raw materials such as resins, solvents, pigment and fillers, and binders are used in the printing industry to make printing inks, especially black ink, which exhibits good dispersibility properties for plastic film and molding applications. Coatings raw materials are also used to manufacture water-resistant inks that are used for printing.
Moreover, the presence of these raw materials in printing inks improves smoothness, enhances gloss, and augments scratch resistance. The printing ink industry is expected to grow by USD 3 billion from 2020 to 2024. Growing production of printing inks will drive demand for coating additives, which play a crucial role in enhancing various properties such as flow, leveling, and durability in coatings. This demand for coating additives is expected to contribute significantly to the growth of the market during the forecast period.
Stringent VOC regulations are a significant challenge hindering market growth. Volatile Organic Compounds (VOC) are a major challenge to the environment. VOCs are chemicals that vaporize at room temperature to cause ground-level air pollution. In countries such as the US, stringent regulations are in place on the use of paints and coatings that harm the environment. Key market companies had to accommodate this new requirement and install new dispensers capable of handling fast-drying, low-, or no-VOC colorants for architectural paints. Although this regulation was restricted to Southern California, its effective implementation was possible only through concerted advertising and promotional efforts on the benefits of VOC-free paints.
Similarly, the US Environmental Protection Agency (EPA) has regulated VOCs at the federal level under the 40 CFR 59 standard, which applies to various products including solvents, resins, and pigment binders used in applications such as aerosol coatings, automobile refinish coatings, architectural coatings, consumer products, and coil coatings. These regulations aim to mitigate environmental hazards associated with VOC emissions. The stringent limits on VOCs, especially in coil coatings used for industrial applications like building materials and appliances, are expected to exert a negative impact on the market during the forecast period. Compliance with these regulations necessitates innovation and adaptation within the industry to develop low-VOC formulations while maintaining product performance and regulatory compliance standards.
The market research report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Market Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Akzo Nobel NV - The company offers coatings raw material for different types of color systems under the brand name FLEXGLAZE, PROGLAZE neutral dry glaze, C-MIX intermix system, and others.
The research report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market research report provides comprehensive data (region wise segment analysis), with forecasts and estimates in "USD Billion" for the period 2024 to 2028, as well as historical data from 2018 to 2022 for the following segments
The market thrives on innovation in product manufacturing process to create versatile multi-component coating systems. Utilizing materials derived from crude oil, such as fluorine resin-based coatings, the industry is increasingly focused on developing eco-friendly coatings and UV-cured coatings to meet environmental standards. Advancements in technology have led to the emergence of intelligent paints and decorative paints tailored for both commercial and residential sectors in urban areas experiencing rapid urbanization. With a growing middle class population driving construction activity and automotive production, demand extends to general industrial production, oil and gas, and aerospace sectors. The market also embraces Smart Coatings with features like anti bacterial coating and self healing coating properties, catering to evolving needs in functional coatings for various applications including autonomous vehicle sensors and corrosion resistant coating. Integration of nanomaterials and low-temperature cure coatings underscores the industry's commitment to sustainability and performance.
Furthermore, in the market, emphasis on sustainable practices drives demand for eco friendly coatings and UV-cured coatings, meeting the preferences of the middle-class population. Manufacturers focus on advanced technologies to develop innovative solutions catering to evolving needs. With a spotlight on durability and efficiency, low temperature cure coatings and radiation cure coatings gain traction, alongside traditional options like acrylic paints and corrosion resistant coatings. The market thrives on the versatility of materials, including Fluorine Resin based Coating, enabling the production of diverse products and multi component coating systems, underscoring the industry's commitment to quality and sustainability.
Market Scope |
|
Report Coverage |
Details |
Page number |
178 |
Base year |
2023 |
Historic period |
2018-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 5.42% |
Market Growth 2024-2028 |
USD 21.98 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
4.91 |
Regional analysis |
APAC, Europe, North America, South America, and Middle East and Africa |
Performing market contribution |
APAC at 51% |
Key countries |
US, China, Germany, France, and Italy |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Akzo Nobel NV, Altana AG, Arkema Group, BASF SE, CATHAY INDUSTRIES, Dow Chemical Co., Eastman Chemical Co., Evonik Industries AG, Heubach GmbH, Huntsman International LLC, MEGARA RESINS SA, Momentive Performance Materials Inc., OPC Polymers, Polynt Spa, PPG Industries Inc., PTT Public Co. Ltd., Synthomer Plc, Synthopol Chemie Dr. rer. pol. Koch GmbH and Co. KG, Vibrantz Technologies, and W. R. Grace and Co. |
Market dynamics |
Parent market analysis, Market Forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the market forecast period. |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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The coatings raw materials market size is estimated to grow by USD 21.98 billion at a CAGR of 5.42% between 2023 and 2028. Market expansion relies on various factors, including the escalating demand for alkyd resins in paints and coatings, heightened interest in coating raw materials within the construction sector, and growing demand for such materials in the Asia-Pacific (APAC) region. These elements collectively drive market growth, reflecting evolving industry dynamics and regional market trends. The increasing demand for alkyd resins underscores their importance as key components in formulating high-performance coatings. Simultaneously, the growing interest in coating raw materials in the construction industry highlights the significance of durable and protective coatings in building applications. Additionally, the rising demand for coating raw materials in APAC signifies the region's expanding construction and industrial sectors. Thus, the interplay of these factors delineates the landscape for the anticipated expansion of the market catering to coating raw materials and related industries. It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2018 - 2022.
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Type
7 Market Segmentation by Distribution Channel
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
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