Dublin, April 06, 2023 (GLOBE NEWSWIRE) -- The "Automotive Refinish Coatings Market By Technology, By Substrate, By Application, and By Region Forecast to 2030" report has been added to ResearchAndMarkets.com's offering.
The automotive refinish coatings market is anticipated to witness a revenue CAGR of 4.3% during the forecast period, with a market size of USD 9.94 Billion in 2021.
The market growth is primarily attributed to the increasing demand for UV-curable coating and nano coating, as well as the expansion of the automotive industry, and the emergence of environment-friendly coating technologies .
Automotive refinish coatings are applied to automobiles to improve their overall quality and longevity, as well as their appearance. These coatings offer protection from various environmental factors such as rain, UV radiation, foreign objects, and extreme temperatures.
The market's revenue growth is primarily driven by an increase in vehicle manufacturing across various countries including Mexico, China, India, Germany, South Korea, the U.S., Japan, and Indonesia, as well as the high maintenance of aging vehicles.
Furthermore, the market is witnessing growth due to the increasing demand for eco-friendly coatings, such as UV-cured and waterborne coatings, in countries like Brazil and China. Additionally, factors such as the need for passenger vehicles, changing consumer habits and lifestyles, and rising disposable income are also driving market growth.
Automotive refinishing coatings are used by end-users to fulfill the growing need for modern maintenance and service of vehicles to enhance their appearance and longevity while protecting them from environmental harm. Another driving factor for market growth is the introduction of advancements and innovations in coating materials such as high-tech eco-friendly coatings with lower solvent content.
Market Dynamics
Drivers
- Rising demand of UV-curable coating and nanocoating
- Growth of the automotive industry
- Rise of environment-friendly coating technologies
- Increasing trend of vehicle customization
Restraints
- Stringent regulations regarding various VOC-containing technologies
- Volatile costs of raw materials
Companies Mentioned
- PPG Industries Inc.
- The Sherwin Williams Company
- Axalta Coating Systems Ltd.
- AzkoNobel N.V BASF SE
- Convestro AG
- Kansai Paints Co. Ltd.
- Esdee Paint Ltd.
- KCC Corporation
- KAPCI Coating Co. Ltd.
- NOROO Paint & Coatings Co. Ltd.
COVID-19 Analysis:
Before the pandemic, signs of some sector de-growth were observed, and the onset of the Covid-19 pandemic and ongoing lockdowns around the world only made matters worse. Due to weak economic development and an unfavorable consumer mood, the market faced difficult times in 2020 and 2021. However, there is optimism for a U-shaped economic rebound as daily living and manufacturing activities return to levels close to normal in all nations.
Key Takeaways
Technology Outlook:
The global market is divided into three technology segments: solvent-borne coatings, water-borne coatings, and UV-cured coatings. The normal solvent-borne coatings segment is projected to grow steadily during the forecast period. Solvent-based coatings are a popular choice for automobile coatings due to their durability and resistance to moisture, making them less sensitive to the base than water-borne paint.
They also spread out thicker, which makes it easier to cover up flaws. Solvent-borne coatings are less affected by humidity compared to water-borne coatings and are preferred for use in humid settings where the latter cannot fully cure. In contrast, water-borne coatings dry more quickly in humid conditions, which affects their final outcome.
The water-borne coatings segment is also projected to grow steadily during the forecast period. Water-based coatings are the most commonly used type of automotive coating. Majority of vehicles currently use this acrylic polyurethane enamel base for their color coats and clear coats, making it an environment-friendly option.
Waterborne paint still creates bright and pure colors but with fewer odors. Water-borne coatings require less clear coat to smooth out the surface of car over several applications. Compared to solvent-borne coatings, water-borne coatings are considered more eco-friendly due to the presence of fewer Volatile Organic Compounds (VOCs).
Substrate Outlook:
The global market is divided into four substrate segments: glass, plastic, metal, and others. The metal segment is expected to grow steadily during the forecast period. Coatings applied on metal substrates serve as a protective layer that reduces corrosion and rusting caused by environmental exposure.
Polymer coatings such as epoxy, polyurethane, and moisture-cure urethane are commonly used to create metal coatings for both commercial and passenger cars. These vehicles are exposed to potentially harmful chemicals such as fuel, oil, lubricants, and dirt, and metal coatings provide an additional layer of protection against rust and oxidation.
Application Outlook:
The global market is divided into three application segments: commercial vehicles, passenger vehicles, and two-wheelers. The passenger vehicle segment is expected to grow steadily during the forecast period. This is due to increasing demand for recreational activities and auto repair and maintenance, as well as a rise in deadly traffic accidents.
Rising sales of luxury vehicles due to rapid urbanization and increasing income levels are also stimulating demand for automotive refinish coatings to maintain the aesthetic appearance of vehicles. Major companies are also producing eco-friendly refinish coatings made with organic chemicals and offering customizable options for colors and printing to enhance the customer experience.
Regional Outlook:
Regional analysis indicates that the Asia Pacific market has the largest revenue share in 2021 due to the widespread use of lightweight plastics in the production of automotive components, rapid industrialization, and a rise in disposable income among the middle class in emerging economies.
The need for regular maintenance and repair of motor vehicles to preserve them from environmental factors such as temperature and UV radiation has also contributed to the increasing demand for automotive refinish coatings. The North America market is expected to show a steady growth rate over the forecast period, driven by the growing use of coatings to protect cars from external causes and provide a pleasing appearance to the vehicle.
The increasing consumer emphasis on using chemical-free paints and coatings is projected to drive demand for water-based automobile coatings that do not contain volatile organic compounds (VOCs), resulting in further growth of the overall regional market. The Europe market is expected to register a moderate growth rate, with the need for automotive refinish coatings being driven by growing R&D emphasis and creative ways to shorten cycle time.
Germany dominates the European automotive market and produces one-third of the continent's total automobile output, with over three million new cars sold in the country. Rising consumer confidence due to a growing economy is expected to contribute to steady market expansion.
For more information about this report visit https://www.researchandmarkets.com/r/l887e4
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