Coating Additives Market Expected to Reach $15.0 Billion by 2030

According to a new published report by Allied Market Research titled, “Coating Additives Market by Function, Formulation and End-Use Industry: Global Opportunity Analysis and Industry Forecast, 2021–2030,” the global coating additives market size was valued at $9.0 billion in 2020, and is projected to reach $15.0 billion by 2030, growing at a CAGR of 5.5% from 2021 to 2030.

Coating additives are added to paints to improve their quality and performance to improve dispersion of solids, wetting, foam-reduction, anti-catering, gloss control, anti-chipping, and UV protection, coating additives also help surfaces to deal with higher temperature, abrasion, moisture, biocides, and chemical resistance. Such coating additives properties drive the market across the globe. Increase in automotive and building & construction industries is expected to fuel the market during the forecast period. Environment regulations implemented for coating additives to reduce the VOC content to minimize environmental issues is also expected to have high impact on the coating additives market during the forecast period.

Rise in commercial and residential construction in Asia-Pacific drives the demand for coating additives for better protection of buildings. Technological advancements in formulation and processing techniques is expected to drive the market during the forecast period. Increase in demand for coating additives from several end user industries also fuels the market across the globe. For instance, solventless coatings are used as premium coating in many end user industries such as automotive, architectural, and industrial. These are some of the market trends observed in the global coating additives industry.

On the basis of function, the rheology modification segment dominated the global coating additives market in 2020, and is expected to maintain its dominance during the forecast period, owing to increase in usage of rheology additives as it provides film thickness, increases viscosity of finished products, and improves elastic properties of coatings.

On the basis of type, the acrylic segment dominated the global coating additives market, in terms of revenue, in 2020, owing to increase in demand for acrylic material for coating additive which drive growth of the market.

On the basis of formulation, the water-borne coating segment dominated the global coating additives market in 2020, and is expected to maintain its dominance during the forecast period, owing to increase in usage of water-borne as water borne technology possess excellent durability, fewer odors, quick drying, less frequent repainting requirement, flexible finish, stable color, and low VOCs availability.

On the basis of end-use industry, the architectural segment dominated the global coating additives market in terms of revenue, in 2020, owing to economic development in emerging countries of Asia-Pacific and LAMEA has led to infrastructural growth, which results in augmented demand for coating additives in the architectural industry.

Major players operating in the global coating additives market include Arkema, BASF, BYK Additives & Instruments, Clariant, Dow Chemical Co., Eastman Chemical Co., Evonik, Lanxess, Momentive Performance Materials Inc., and Solvay.

Key Findings Of The Study

• On the basis of function, the rheology modification segment emerged as the global leader by acquiring more than 23% of the market share in 2020.
• On the basis of type, the Acrylic segment emerged as the global leader by acquiring more than 27% of the market share in 2020.
• On the basis of formulation, the water-borne Coating segment emerged as the global leader by acquiring more than 47% of the market share in 2020.
• On the basis of end-use industry, the architectural segment emerged as the global leader by acquiring more than 32% of the market share in 2020.
• On the basis of region, Asia-Pacific is the major consumer of coating additives among other regions. It accounted for around 50% of the global market share in 2020.

Impact Of Covid-19 On The Global Coating Additives Market

• COVID-19 has spread to almost 213 countries around the globe with the World Health Organization declaring it a public health emergency on March 11, 2020.
• Some of the major economies suffering from the COVID-19 crises include Germany, France, Italy, Spain, the UK, and Norway.
• Coating additives is primarily used in automotive, industrial, and architectural. Online grocery sales are expected to account for 12.4% of all e-commerce sales in the U.S. by 2021.
• In many countries, the economy has dropped due to the halt of several industries, especially transport and supply chain. Demand for the product has been hindered as there is no development due to the lockdown.
• The COVID-19 pandemic has impacted negatively on the manufacturing and industrial industries due to a scarcity of resources in various parts of the world. The top players in the industry are concerned about the market prospects and are rethinking their strategies to meet the challenge.
• The companies are incorporating various techniques to increase production volume, and are attempting to develop innovative solutions at an affordable price that can meet customer requirements at a lower cost and support the overall breakthrough required for increased product penetration sustainability.