Global waterborne automobile coatings demand is anticipated to be valued at USD 79 Billion in 2022, forecast to grow at a CAGR of 6% to be valued at USD 141.5 Billion from 2022 to 2032. The growth of waterborne automobile coating market is attributed to its ability to protect automobiles against UV radiation, acid rain, and bad weather.
| Report Attribute | Details |
|---|---|
| Estimated Base Year Value (2021) | USD 77 Billion |
| Expected Market Value (2022) | USD 79 Billion |
| Anticipated Forecast Value (2032) | USD 141.5 Billion |
| Projected Growth Rate (2022 to 2032) | 6% CAGR |
Traditionally, waterborne automobile coatings use water as a solvent to disperse a resin, thus making these coatings eco-friendly and easy to apply. In most cases, waterborne coatings contain up to 80% water with small quantities of other solvents, such as glycol ethers.
These coatings are also known to be environment-friendly as USA and European regulations require waterborne coatings to have a VOC content of less than 3.5 pounds per gallon of water.
Asia-Pacific region is expected to be the dominant market for Waterborne Automobile Coatings and its derived products, driven primarily by its increasing utilization across the automobile industry. The configuration of waterborne coatings fluctuates and can involve large amounts of water with small amounts of other solvents.
The major factor that is expected to fuel the Waterborne Automobile Coatings Market during the forecast period include rising consumption of waterborne automobile coatings on account of their excellent physical as well as chemical properties such as high chemical resistance, low temperature processing, and solvent free preparations.
Simultaneously, the drying and curing time required for waterborne coatings is higher than that for solvent-borne coatings. This is a factor that is expected to hamper the growth of the Waterborne Automobile Coatings Market to a significant extent during the forecast period.
One of the most important trends observed in the coatings industry for the past few years include the increasing demand for environment-friendly characteristics, majorly influenced by stringent EU regulations the reduction of volatile organic compound (VOC) emissions from coatings.
Moreover, government regulations in the US and Western Europe, especially concerning air pollution, are expected to continue to drive the adoption of new, low-polluting coating technologies.
In addition, due to the increasing awareness, concerning the harmful effects of VOC emissions, there has been a gradual shift in demand from solvent-borne coatings to environment-friendly products such as waterborne coatings as these products contain fewer solvents which evaporate during the curing phase.
Other major factors that are expected to accelerate the growth of the waterborne automobile coatings market include the rise in the environmental guidelines thriving the need for VOC-free coatings. Moreover, the rise in the development in the end-use industries is further anticipated to propel the growth of the waterborne automobile coatings market during the forecast period.
In addition, the development prospects in the highly structured countries and rise in the expansion prospective in the advancing nations will further provide potential opportunities for the growth of the waterborne automobile coatings market in the coming years.
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The drying and curing time required for waterborne automobile coatings is higher than that for solvent-borne coatings, which is a factor that hampers the growth of the Waterborne Automobile Coatings Market.
Waterborne coatings have excellent flow properties that change with humidity, affecting the coating application. Under high humidity conditions, water does not easily evaporate, resulting in poor cure and decrease in performance. Waterborne coatings are also sensitive to freezing conditions and many are not usable after freezing.
Moreover, the mismatched enforcement, accessibility of alternatives and the sensitivity to the humidity is further projected to impede the growth of the waterborne coatings market during the forecast period. In addition, the trade war might further challenge the growth of the waterborne coatings market in the forthcoming years.
The Asia Pacific is projected to be the largest as well as the fastest-growing market for waterborne automobile coatings. This can be attributed to the rapidly growing automobile and construction industries in the region. Regulations which are less stringent in the region are also leading to the growth of the market.
The growing Automobile production in Asia-Pacific coupled with rising middleclass income is anticipated to augment the growth of the waterborne automobile coatings market during the forecast period. In addition, the market is expected to surge in the region, especially in India and China, owing to increasing vehicle production in these countries.
Principal Consultant
According to Future Market Insights, North America is expected to provide immense growth opportunities for Waterborne Automobile Coatings market, with the US expected to steer the bulk of all regional growth. Electrocoat is anticipated to hold a major share of the North America automobile coatings market by 2032.
It is an immersion painting process and is commonly used by vehicle makers as it is capable of painting a variety of complex parts with great uniformity. Electrocoat is known to spread the paint evenly on a component, thereby offering a clean look.
The demand for fast coating methods across factories in the US will play a key role in amplifying the deployment of electro coating technologies. Immersion painting techniques are being increasingly adopted in passenger and commercial vehicles, which will further boost the use of the electrocoat process in the region.
Some of the key participants present in the global Waterborne Automobile Coatings market include BASF SE, AkzoNobel N.V., PPG Industries Inc., RPM International Inc., The Sherwin-Williams Company, Asian Paints Limited, Axalta Coating Systems LLC, Nippon Paint Holdings Co. Ltd., Kansai Paint Co. Ltd., and Jotun Group, among others.
Attributed to the presence of such high number of participants, the market is highly competitive. While global players such as BASF SE and AkzoNobel N.V. account for a considerable market size, several regional level players are also operating across key growth regions, particularly in the Asia Pacific.
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| Report Attribute | Details |
|---|---|
| Growth Rate | CAGR of 6% from 2022 to 2032 |
| Base Year for Estimation | 2021 |
| Historical Data | 2015 to 2020 |
| Forecast Period | 2022 to 2032 |
| Quantitative Units | Revenue in USD Billion, Volume in Kilotons and CAGR from 2022 to 2032 |
| Report Coverage | Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends and Pricing Analysis |
| Segments Covered | Type, Application, Region |
| Regions Covered | North America; Latin America; Western Europe; Eastern Europe; APEJ; Japan; Middle East and Africa |
| Key Countries Profiled | USA, Canada, Brazil, Argentina, Germany, UK, France, Spain, Italy, Nordics, BENELUX, Australia & New Zealand, China, India, ASEAN, GCC, South Africa |
| Key Companies Profiled | BASF SE; AkzoNobel N.V.; PPG Industries Inc.; RPM International Inc.; The Sherwin-Williams Company; Asian Paints Limited; Axalta Coating Systems LLC; Nippon Paint Holdings Co. Ltd.; Kansai Paint Co. Ltd.; Jotun Group |
| Customization | Available Upon Request |
FMI projects the global Waterborne Automobile Coatings market to expand at a 6% value CAGR by 2032
Asia Pacific is expected to be the most opportunistic Waterborne Automobile Coatings market
BASF SE, AkzoNobel N.V., PPG Industries Inc., RPM International Inc., The Sherwin-Williams Company, Asian Paints Limited, and 1Axalta Coating Systems LLC are some prominent Waterborne Automobile Coatings manufacturers
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Waterborne Automobile Coating Market
