Analysis by Resin (Acrylic, Epoxy, Polyester, Polyurethane, Fluoropolymers, and Others); by Technology (Water Based, Solvent Based, Powder, and Others); and by Application (General Industrial, Automotive & Transportation, Industrial Wood, Marine Protective, Packaging, and Others) – Global Supply & Demand Analysis & Opportunity Outlook 2023-2033
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The global industrial coatings market is forecasted to generate a revenue of ~USD 120 Billion by the end of 2033 by growing at a CAGR of ~3% over the forecast period, i.e., 2023 – 2033. Further, the market generated a revenue of ~USD 90 Billion in the year 2022. The primary factor that is attributed to the growth of the market is the recent boom in the construction industry. The high spending on the construction industry is expected to bring lucrative growth opportunities for market growth in the assessment period. For instance, the total spending in the U.S. construction sector was calculated to be approximately USD 2 trillion in 2020. Additionally, the escalation in the demand for industrial coatings from a wide range of industry verticals such as automotive, electronics, aerospace, oil & gas, mining, marine, and power generation is expected to propel the growth of the industrial coatings market over the projected forecast period.
Most industrial coatings are used to prevent the corrosion of metals and concrete. They have diverse applications and are available with various specifications for differing requirements and functions in the construction sector. Thus, the rising investments in building infrastructure and buildings are anticipated to bring in generate for industrial coatings in the forecast period. Moreover, radically increasing urbanization across the globe and traction toward sustainability are some further factors that are fueling the growth of the market during the forecast period. In addition, the growing demand for environmentally-friendly coatings as well as the need for efficient processes and durable coatings with better aesthetics is also considered to be a growth factor for significant revenue generation of global industrial coatings. Also, rapid urbanization, growth in the middle-class population, rising disposable incomes, and high spending capacity are projected to bring in lucrative growth opportunities for the utilization of industrial coatings in the forecast period.
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Base Year |
2022 |
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Forecast Year |
2023-2033 |
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CAGR |
~3% |
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Base Year Market Size (2022) |
~ USD 90 Billion |
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Forecast Year Market Size (2033) |
~ USD 120 Billion |
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Regional Scope |
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Growth Drivers
Rapid Maturing of Automotive Industry - Growing usage of industrial coatings for automotive maintenance, repair, and aftermarket painting on account of visual appearance, surface protection, and corrosion resistance is expected to propel the demand for industrial coatings. Thus, the expansion of the automotive industry is expected to increase the sales of industrial coatings in the forecast period. For instance, the automotive industry of India is anticipated to become the 3rd largest automotive industry in the world by the year 2030, with a revenue generation of 200 billion dollars.
Growth in the Production of Electronics – The production of electronics requires the application of industrial coatings to improve the aesthetic looks along with making it durable and a protection layer against heat and harsh extreme conditions such as rust and others. Therefore, the high production rate of electronics in order to meet consumer demand is anticipated to bring lucrative growth opportunities in the upcoming years. As per recent studies, it was figured that the production of domestic electronics production in India escalated from USD 30 billion in 2014-2015 to USD 70 billion in 2020-2021.
High Level of Steel Production - Global steel production rose from the year 2020 with 1,870 million tons to 1,950 million tons in 2021, equivalent to a 4% increase.
Soared Expenditure in Research and Development (R&D) – The government and major key players in the market are focused on developing advanced and eco-friendly industrial coatings for rising concerns regarding environmental pollution. Hence, the rising research and development activities are expected to increase awareness about industrial coatings among the population during the analysis period. As per statistics shared by World Bank, it has been calculated that the global expenditure on research and development stood up at 2.63% of the total GDP in 2021, a considerable rise from 1.99% in 2013.
Worldwide Progression in Chemical Industry – For instance, in 2019, the total global revenue of the chemical industry reached approximately USD 3.90 trillion.
Challenges
The global industrial coatings market is segmented by application into general industrial, automotive & transportation, industrial wood, marine protective, packaging, and others. Out of these, the automotive & transportation segment is attributed to garner the highest market share by 2033, owing to the high demand for vehicles by the burgeoning population. The International Organization of Motor Vehicle Manufacturers (OICA), released global sales of vehicle statistics which revealed that it rose from 56,398,471 units in 2021 to 53,917,153 units in 2020. Whereas, the global production of vehicles was calculated to be 57,054,295 units in 2021, an increase from 55,908,989 units in 2020. The need for industrial coatings in the manufacturing processes of automotive owing to their high degrees of corrosion resistance, chemical resistance, and protection from UV and weather is an essential part of making the vehicles durable.
The global industrial coatings market is also segmented and analyzed for demand and supply by technology into water-based, solvent-based, powder, and others. Out of these, the water-based segment is attributed to holding the most significant share of the market during the assessment period. The advantages of water-based industrial coatings such as low VOC emissions during the application, easy cleansing process, reduced risks of fire, and others are expected to increase its adoption rate for various kinds of applications in numerous industries. Furthermore, the cost-effective benefit of water-based industrial coatings is also anticipated to make it a preferable option for coating applications in the automotive and construction industry.
Our in-depth analysis of the global industrial coatings market includes the following segments:
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By Resin |
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By Technology |
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By Application |
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The Asia Pacific industrial coatings market, amongst the market in all the other regions, is projected to hold the largest market share by the end of 2033, owing to the rapid expansion of the construction industry and the increasing need for buildings, offices, commercial spaces, houses, and other infrastructures in the region. For instance, the building construction industry in the Asia Pacific is expected to reach USD 3 million by 2024, with a robust CAGR of 7%. Also, the increased utilization of industrial coatings in vehicles, along with the presence of major key players and leading exporters and importers of vehicles in the region is anticipated to bring lucrative growth opportunities for the market in the forecast period. International Organization of Motor Vehicle Manufacturers (OICA) statistics revealed that the total production of vehicles in the region was 46 million in 2021, a rise from 44 million in 2020.
On the other hand, the North America industrial coatings market is also projected to hold a significant market share during the forecast period. The rapid expansion in the industrial sector has resulted in high industrial goods production which in turn has generated the need for industrial protective coatings in the region. Also, the rise in sales and production of cars, rapid growth in building activity, and the continuous investment by major key players in research and development activities are anticipated to create a positive outlook for the growth of the market in the North America region. Moreover, the high consumer spending and rapid escalation in Gross Domestic Product (GDP) are other factors that are estimated to contribute positively to market growth.
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
Ans: The high demand for automotive by the burgeoning population along with the expansion of the construction industry is expected to bring lucrative opportunities in the market growth.
Ans: The market is anticipated to attain a CAGR of ~3% over the forecast period, i.e., 2023 – 2033.
Ans: The growing costs of raw materials along with the stringent government rules on the usage of volatile organic compounds (VOC) and rising concerns of adverse effects on the environment are some of the factors that are estimated for market growth.
Ans: The market in Asia Pacific is projected to hold the largest market share by the end of 2033 and provide more business opportunities in the future.
Ans: The major players in the market are PPG Industries, Inc., Akzo Nobel N.V., Jotun A/S, Sherwin-Williams, BASF, Axalta Coating Systems, Nippon Paint Holdings Group, Henkel AG & Co. KGaA, Hempel A/S, Beckers Group, and other key players.
Ans: The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.
Ans: The market is segmented by resin, technology, application, and by region.
Ans: The automotive & transportation segment is anticipated to garner the largest market size by the end of 2033 and display significant growth opportunities.
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