Waterborne automobile coatings are environment-friendly coatings applied on vehicles to protect them from corrosion and harsh weather conditions. These coatings provide metallic shine, corrosion protection, scratch resistance and durability to vehicles. Growing automotive industry requires finishes that are more sustainable and eco-friendly.
The global Waterborne Automobile Coatings Market is estimated to be valued at US$ 86.39 Bn in 2023 and is expected to exhibit a CAGR of 5.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Growth in the automotive industry is one of the major factors driving the waterborne automobile coatings market. According to various sources, the global automotive production is projected to grow continuously in the coming years. Emerging economies with large population bases such as China and India are witnessing increased disposable income and changing lifestyles, which is fuelling the demand for vehicles. This rising automotive production directly correlates to the increasing demand for paints and coatings used on vehicles. Waterborne coatings reduce the volatile organic compound (VOC) emission making them a more sustainable option driving their increased preference over solvent-borne coatings.
SWOT Analysis
- Strength: Waterborne automobile coatings provide good mechanical strength and corrosion resistance properties. They also help in reducing VOC emissions.
- Weakness: Waterborne coatings require more drying time as compared to solvent-based coatings. They also have relatively higher production costs.
- Opportunity: Strong government regulations regarding VOC emissions from automobile coatings are driving the demand for waterborne coatings. Growing automotive industry in Asia Pacific also presents an opportunity.
- Threats: Volatile raw material prices can increase the overall costs. Slow economic conditions may reduce new vehicle production.
Key Takeaways
The global waterborne automobile coatings market is expected to witness high growth. The market size is projected to reach US$ 86.39 Billion by 2024, growing at a CAGR of 5.5% during the forecast period.
Regional analysis comprises Asia Pacific dominates the global market and is expected to maintain its lead position during the forecast period. Growing automotive demand from major country markets such as India and China is driving the demand for waterborne automobile coatings in the region.
Key players operating in the waterborne automobile coatings market are Akzo Nobel N.V., BASF SE, Axalta Coating Systems, Berger Paints India Limited, Nippon Paint Company Limited, Kansai Paint Company Limited, PPG Industries Inc., Williams-Hayward Protective Coatings Inc., Tikkurila Oyj, The Valspar Corporation, RPM International Inc., and The Sherwin Williams Company. Stringent government regulations regarding emission of volatile organic compounds from automobile coatings are prompting key manufacturers to develop sustainable and eco-friendly waterborne coating solutions.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
