Global Coatings Market To Reach 8.7 Billion Gallons And US$107B By The Year 2017, According To New Report By Global Industry Analysts, Inc.
GIA announces the release of a comprehensive global report on the Coatings market. The global market for Coatings is forecast to reach 8.7 billion gallons in volume and US$107 billion in value by the year 2017. Major factors driving growth in the market include the recovery of global economies from the recent economic turmoil, rapid industrialization, and increasing demand from end-use sectors, such as automotive and construction. Additionally, growth in the global market would be spurred by the increasing stringency in regulations, rising competition, growth in unique formulations, and technological and product developments.
San Jose, California (PRWEB) - Follow us on LinkedIn – The global paints and coatings production is witnessing a major shift away from the developed regions, such as Europe and the US, to the developing economies, such as Asia, comprising Korea, India, and China. Sustained demand from the developed countries, in addition to the burgeoning demand from the developing countries, is contributing to the overall expansion of the coatings market worldwide. However, industrial growth in developing economies is a major growth driver for the coatings industry. The coatings industry can be termed as mature in most regions of the world, and its growth is dependant on a number of factors, such as the level of economic activity, and the state of construction industry, which represents a major consumer of paints and coatings.
The recent downturn in the global economic markets has mauled the coatings market, as was the case with several other industries. The global coatings market, as a whole, along with all major segments witnessed substantial declines in volume and value sales during the downturn. However, the impact of the recession varied among the segments. Architectural Coatings or decorative coatings emerged as the least affected of the three major market segments in the coatings industry, with OEM Product Coatings and Special Purpose Coatings witnessing relatively higher declines. Consequently, the share of Architectural Coatings in the overall coatings market increased significantly at the expense of decline in market shares of the other two segments, despite the 4% decline witnessed in the market in value terms in the year 2009. Differences also exist with respect to declines witnessed by various regional markets worldwide, with developed western markets bearing most of the brunt. Declines witnessed elsewhere in other parts of the world were substantially smaller when compared to revenue losses experienced in North America and Europe.
Prices of raw materials used in the formulation of paints and coatings have been rising over the recent years. While the prices of raw materials, such as acrylic acid and resins, have been oscillating in tandem with crude oil prices, prices of titanium dioxide rose by around 5%. In addition to these, prices of other raw materials that are short in supply have been witnessing price rises in relation to increasing demand for these products. In response to the recent spike in demand for environmentally friendly paints and coatings, formulators have been increasingly investing in technological advancement in the area of non-hazardous chemical feedstocks. This led to a tremendous spurt in prices of raw materials, such as resins, additives, and pigments. Leading international giants, such as BASF and DuPont, have embarked on a vertical integration approach for cushioning some of the pressure being witnessed on their margins due to price growth.
UV-cure coating technology is increasingly being seen as the future technology in the area of industrial coatings. The technology represents one of the rapidly growing segments in the coatings industry, and is arguably emerging as the answer to the rising environmental concerns and stringent regulations. Several application related advantages come to serve the technology that include absence of pot life issues, lower energy costs, fast cure speed, and reduced environmental impact. As such, one-component UV-cure coating ranks among the fastest coating chemistries available in the present context. Curing through one-component UV-cure coating takes few seconds to minutes, which makes it more ideal for use in applications that require faster turnaround time. Both types of UV-cure coating – waterborne and solids formulation feature ultra-low VOC (volatile organic compound) levels.
Asia-Pacific represents the largest regional market for coatings worldwide, as stated by the new research report on Coatings. Major markets driving growth in the Asia-Pacific coatings market include China, India, and Indonesia. Europe represents the second largest regional market for coatings worldwide, followed by the US in the third position. The Asia-Pacific market also represents the fastest growing regional market worldwide, trailing at a compounded annual growth rate of 5.1% during the analysis period. Product wise, Architectural coatings dominate the global coatings market, accounting for the single largest share in value terms. However, growth in the market would be spearheaded by Special Purpose Coatings, which is projected to record a CAGR of 5.3% over the analysis period.
The mergers and acquisitions activity that has been witnessed in the past decade in the coatings industry has made the big players bigger and smaller players finding the going extremely tough. Mature markets tend to form an anti-inflationary environment and this compels companies to reduce costs, and at the same time, enhance productivity. As a result of this, larger companies are left with no alternative but to integrate respective operations into a single entity in order to maintain synergies, cut down on costs and to jointly initiate R&D and marketing efforts to increase sales. Key market participants profiled in the report include Akzo Nobel N.V., BASF SE, CFC International Inc., PPG Industries Inc., DuPont Coatings and Color Technologies, The Sherwin-Williams Company, Valspar Corporation, Nippon Paint Co. Ltd., Eastman Chemical Company, and Hempel A/S among others.
The research report titled "Coatings: A Global Strategic Business Report" announced by Global Industry Analysts Inc., provides a comprehensive review of the industry, market trends, technology, raw materials, recent industry activity, and profiles of market players worldwide. Analysis and overview is presented for major geographic markets, such as the US, Canada, Japan, Europe, Asia-Pacific, Latin America, and the Middle East. Market analytics are provided in terms of terms of dollar (value) and gallons (volume) for product groups/segments for the years 2009 through 2017, including Architectural Coatings (Exterior Solvent Based Architectural Coatings, Exterior Water Based Architectural Coatings, Interior Solvent Based Architectural Coatings, Interior Water Based Architectural Coatings, Architectural Lacquers and Other Architectural Coatings), OEM Product Coatings (Automotive and Other Transportation Equipment Finishes, Appliances Finishes, Wood Finishes, Metal Finishes, Container Finishes, Machinery and Equipment Finishes, Non-Wood Finishes, Paper and Paperboard Finishes, Electrical Insulation Coatings, Powder Coatings, Other Industrial Product Coatings and Other OEM Product Coatings) and Special Purpose Coatings (Industrial Maintenance Coatings, Automotive Finishes and Other Special Purpose Coatings).
The report also analyzes related markets including Coating Additives and Modifiers, Coil Coatings, UV Light Curable Powder Coatings, Coating Resins, Coating Solvents, Wood Coatings Solvents, Plastic Coatings and Automotive Coatings (by type) for the global and specific regional markets, such as the US, Europe, and China in both volume and value terms. The study presents historic data for an insight into market evolution over the period 2003 through 2008.
For more details about this comprehensive market research report, please visit – http://www.strategyr.com/Coatings_Market_Report.asp
About Global Industry Analysts, Inc. Global Industry Analysts, Inc., (GIA) is a leading publisher of off-the-shelf market research. Founded in 1987, the company currently employs over 800 people worldwide. Annually, GIA publishes more than 1300 full-scale research reports and analyzes 40,000+ market and technology trends while monitoring more than 126,000 Companies worldwide. Serving over 9500 clients in 27 countries, GIA is recognized today, as one of the world's largest and reputed market research firms.
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