Green Coatings Shaping the Future of Automotive Refinish Coatings Market
Emergence of new technologies, growing popularity of autonomous vehicles, and adoption of consumer-focused business models are causing a radical upheaval in automotive industry. The impact of these trends is also noticeable in smaller sectors of the industry such as automotive refinish coatings market. The drive to reduce overall CO2 emissions through vehicle weight reduction and incorporation of sensor technologies has been pushing demand for novel automotive refinish coatings such as green coatings. As manufacturers are continually changing lanes to stay ahead of the curve, Future Market Insights, in its new offering, turns the spotlight on growth prospects of the automotive refinish coatings market.
Key Growth Influencers - Automotive Refinish Coatings Market
Passenger Cars Expected to Boost Demand for Refinish Coatings
Globally increasing disposable incomes of people expected to fuel the growth of passenger cars, which in turn, is estimated to drive the growth of the automotive refinish OEM and aftermarket. Low cost and high performance refinish coatings and changing mindsets of people towards maintaining their vehicles in good conditions, in terms of appearance and performance, are leading to the growth of the refinish coatings industry. Establishment of manufacturing facilities in economically-growing regions, increasing road accidents, and customization of vehicles are some factors that are expected to drive the refinish coatings market growth.
Moreover, lower fuel prices and increasing vehicle registrations and miles driven are estimated to drive the automotive refinish coatings market growth. Increasing disposable incomes have made it possible for many to afford luxury cars and maintain their appearance and performance on road, which is a major driving factor for automotive refinish coatings demand.
Sustained Demand from the OEM Sector to Augment Market Growth
The aftermarket segment has a higher market share in comparison to the OEM segment and increasing new vehicle registrations create a positive impact on the consumption of automotive refinish coatings & paints as new vehicle owners are more likely to invest in repairing vehicles. Increasing number of aftermarket modifications and road collisions are anticipated to be other drivers for the automotive refinish coatings market growth.
Presence of vehicle manufacturing companies such as Bombardier, Suzuki, Bugatti, Ducati, Toyota, Lamborghini, Tesla, and Volvo, among others is driving the growth of the OEM segment of automotive refinish coatings. Development of new products, advancements in technology, and increase in the production and sales of luxury, compact, and mid-size vehicles are estimated to propel the growth of the global automotive refinish coatings industry.
Automotive Refinish Coatings Market Structure Analysis
- The global automotive refinish coatings market is a fragmented market owing to the presence of large number players in the global market.
- Manufacturers operating in the automotive refinish coatings market are focusing on business expansion through mergers, acquisitions, and joint ventures. Key market players focus on strategies such as adoption of new technologies to develop innovative products, and further enlargement of distribution channels, which will help increase sales of automotive refinish coatings.
- For instance, in 2016, The Sherwin-Williams Company launched Dynamic Clear coat (CC200), creating an entirely new category in the market. Other new products include Martin Senour RustProof M/D coatings, with advanced technology that provides direct-to-metal adhesion.
- In 2016, PPG Industries, Inc. acquired automotive refinish coatings company Futian Xinshi (China) from the Emerging Europe Accession Fund (EEAF) of DEUTEK S.A.
- Major players in the automotive refinish coatings market are Akzo Nobel N.V., 3M, Axalta Coating Systems, The Sherwin-Williams Company, PPG Industries, The Dow Chemical Company, WEG Group, TOA Performance Coating Corporation Co., Ltd, Guangzhou Zhenroumei Chemical Coating Limited, Cresta Paint Industries Ltd., and KAPCI Coatings, among others.
Base Coat Remains Leading Revenue Generator in Market
Accounting for 36% of total sales, base coat refinish coatings continue to witness higher demand and innovation as compared primer and top coat. As using solvents for coatings or paint delivery disperses higher levels of volatile organic compounds (VOCs), manufacturers are turning to waterborne refinish coatings. Significant progress has been made in the sector with waterborne basecoat to reduce the impact of VOCs, thereby contributing to market growth. By 2020, sales of waterborne refinish coatings will match-up to their solvent counterparts that currently account for a leading market share.
Market Witnessing Quantum Leap in Asia Pacific
Despite North America’s continued primacy in global market, research reveals lucrative growth prospects of the market in Asia Pacific (APAC). Emergence of China and India as the global automotive hubs has led to realignment of stakeholders’ strategies. Accounting for over 40% revenue share, APAC continues to be a promising market for automotive refinish coatings. While the recently recorded dip in auto sales within developing countries has affected every segment of the industry, growing demand for pre-owned cars will possibly open a new window of opportunity in automotive refinish coatings market.
Manufacturers Inclining Towards Eco-friendly Products
With a surge in number of eco-conscious consumers, key players in global automotive refinish coatings market are moving ahead with new ideas and technology associated with ecologically responsible products. Waterborne UV-curable coatings are thus developed to replace conventional VOC-based coatings. Manufacturers are however hard pressed to innovate and add environmental aspects to final product for commercial vehicles. Product premiumization is further reflecting profits through high performance and reduced environmental impact.
Acrylics remain highly preferred
Surging demand for polyurethanes
Sales of base coat remain bullish
Demand for top coat increases rapidly
Solvent borne takes the lead
Waterborne gains increasing momentum
High application in passenger cars
Increasing use in commercial vehicles
How Growth will Unfold
The automotive refinish coatings market continues to benefit from increasing vehicle parc and surge in sales of used/pre-owned vehicles. Adoption of automotive refinish coatings for midsize passenger cars continues to account for higher sales. Application of refinish coatings is rapidly increasing in executive and luxury cars. In 2018, automotive refurnish coatings of around US$ 1.4 Bn were used in executive cars, and the number is set to grow by 7.5% in 2019. In commercial vehicles, application of refinish coatings remains concentrated in light commercial vehicles.
* This data is only a representation. Actual data may vary and will be available in report.Click Here To Know How The Growth Will Unfold
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Automotive Refinish Coatings Market Industry 2019 - 2029
A new report on the automotive refinish coatings market by FMI provides detailed insights on key factors affecting the growth of the automotive refinish coatings market, along with historical trends, future growth prospects, market dynamics, competition analysis, and region-wise market breakdown. The research report contains exhaustive market analysis, achieved through meticulous research with maximum precision.
Automotive Refinish Coatings Market Taxonomy
The global automotive refinish coatings market is segmented into material, product, technology, vehicle, end use, and region.
- Base Coat
- Top Coat
- Clear Coat
- UV Cure
- Passenger Cars
- Commercial Vehicles
- North America
- Western Europe
- Eastern Europe
- Latin America
The executive summary of the automotive refinish coatings market includes a summary of the market trends, key findings, trends, analysis, and recommendations for market growth.
Market definition, key inclusions, and market taxonomy of the automotive refinish coatings market report are covered in this chapter.
Key market trends currently transforming the automotive refinish coatings market landscape are presented in this section.
This chapter provides a list of key success factors for the manufacturers operating in the automotive refinish coatings market.
Value analysis and forecast for the automotive refinish coatings market for the period of 2014-2029 are provided in this chapter.
Pricing analysis of automotive refinish coatings on the basis of material type is mentioned in this chapter. Weighted average price based on region can also be found in this chapter.
This chapter provides historical market value for the period 2014-2018 along with market forecast for the projected period of 2019-2029. Absolute $ opportunity and market trends for the automotive refinish coatings market are also mentioned in this chapter.
The market background section of the automotive refinish coatings market report covers macroeconomic factors, drivers, restraints, opportunity analysis, and forecast factors, which are anticipated to influence the growth of the market over the projected period.
Based on product type, the automotive refinish coatings market is segmented into primer, base coat, top coat, and clear coat. In this chapter, readers can find information about key trends and developments in the automotive refinish coatings market and market attractiveness analysis.
This chapter is segmented into solvent-borne, water-borne, and UV cure. In this chapter, readers can understand the market attractiveness analysis based on technology.
Based on material type, the automotive refinish coatings market is segmented into polyurethanes, acrylics, and alkyd.
Based on vehicle type, the automotive refinish coatings market is segmented into passenger cars with sub-segments such as compact, midsize, executive, and luxury. The commercial vehicles segment is sub-segmented into LCVs and HCVs.
This chapter provides automotive refinish coatings market growth prospects across several geographic regions such as North America, Western Europe, Eastern Europe, Latin America, APEJ, Japan, and the MEA (Middle East & Africa).
This chapter includes a detailed analysis of growth trends of the North America automotive refinish coatings market, pricing analysis, regional trends, along with a country-wise assessment that includes the U.S. and Canada.
Important growth prospects of the automotive refinish coatings market based on its end users in several countries such as Germany, Italy, France, the U.K., Spain, BENELUX, and the Rest of Western Europe are included in this chapter.
Important growth prospects of the automotive refinish coatings market based on its end users in several countries such as Russia, Poland, and the Rest of Eastern Europe are included in this chapter.
Growth scenario of the automotive refinish coatings market in Latin American countries like Brazil, Mexico, and the Rest of Latin America, along with assessment of the market across target segments has been provided in this chapter.
This chapter includes growth trends, pricing analysis, regional trends, along with a country-wise assessment of China, India, ASEAN, Australia, and New Zealand, and the Rest of APEJ.
Important growth prospects of the Japan automotive refinish coatings market are included in this chapter.
This chapter highlights the growth of the automotive refinish coatings market in MEA by focusing on GCC Countries, Turkey, South Africa, and Rest of Middle East & Africa.
In this chapter, detailed information about the competition tier structure analysis and market concentration of key players in the automotive refinish coatings market, along with their market presence analysis by region and product portfolio, is provided.
Detailed analysis of key players in the automotive refinish coatings market with company overview, financial performance, strategic overview, and SWOT analysis can be found in this chapter. Some of the market players featured in the report are Akzo Nobel N.V., 3M, Axalta Coating Systems, The Sherwin Williams Company, PPG Industries, The Dow Chemical Company, and Covestro AG, among others.
It includes a list of acronyms and assumptions used in the automotive refinish coatings report.
The research methodology used to obtain the market size of the automotive refinish coatings market is detailed in the section.
How the research was conducted?
- C - Level Executives
- Marketing Directors
- Product Managers
- Business Development Officers
- Production Managers
- Procurement Heads
- Sales Executives
- Raw Material Suppliers
- Industry Experts
- End Users
- Current market dynamics and challenges
- Yesteryear trends
- Market characteristics
- Market performance and growth quadrants
- Competition structure and market structure
- Strategic growth initiatives
- Near-term and long-term market growth prospects
- Market segment splits and authenticity
- Opinions on market projections and validity of assumptions
- Industry Publications
- Industry Associations
- Company Press Releases
- Annual Reports and Investor Presentations
- Research Papers
- Government Websites and Publications
- Trade Websites
Primary Interview Splits