According to a new report published by Allied Market Research titled, “Plastic Coatings Market by Type, Process, and End-Use Industry: Opportunity Analysis and Industry Forecast, 2020–2027,”
The plastic coatings market was valued at $6.5 billion in 2019, and is projected to reach $8.8 billion by 2027, growing at a CAGR of 5.1% from 2020 to 2027.
Plastic coating is applied by using processes such as spraying polymer powder onto a product, dip coating in a fluidized bed of polymer powder, and others.
Some of the major factors that propel the growth of the plastic coatings market are increase in trend for electric vehicle and light vehicles in the automobile sector. However, environmental regulation of volatile organic content is expected to hinder the market growth. On the contrary, the rising aerospace industry in developing economies, such as India, the UAE, and others, is expected to offer lucrative opportunities during the forecast period.
The plastic coatings market is segmented on the basis of type, process, end-use industry, and region. Based on type, the market is categorized into polyurethane, acrylic, epoxy, and others. On the basis of process, it is classified into dip coating, spray coating, powder coating, electrophoretic painting, and others. Various end-use industries studied in the plastic coatings market are automotive, aerospace &defense, building &construction, medical, and others. On the basis of region, the plastic coatings market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. The plastic coatings market share is analyzed for all segments and regions.
On the basis of type, the polyurethane segment garnered 25.3% share in 2019 in terms of revenue. This trend is expected to continue during the forecast period. It is an ideal choice over other types as it provides protection against chemicals, abrasion, and others. Polyurethane has a superior degree of resistance to the harmful effects of ultraviolet (UV) rays.
Based on process, the dip coating segment garnered 16.6% share in 2019 in terms of revenue. The process offers durable and safe finishes to end products by providing protective shield against corrosion and ultraviolet. In addition, it is adaptable to high revenue orders that require fast delivery.
On the basis of end-use industry, the automotive industry garnered 34.1% share in 2019 in terms of revenue. This is attributed to the presence of established consumer bases in developed regions. Countries contributing to plastic coating in the automotive sector are South Korea, China, Indonesia, Thailand, and India. China dominates the plastic coatings market in Asia-Pacific. Furthermore, it is expected to remain dominant in the Asia-Pacific region, owing to its rise in demand from end-use industries, increase in purchasing power, and others.
Asia-Pacific is expected to grow at the fastest growth rate during the forecast period. This is attributed to growth in investment in R&D activities, presence of key players in the region, and rise in consumer base such as construction, automotive, medical. In addition, North America is the one of the largest markets for plastic coatings for the aerospace sector as it has an established aerospace industry.
The plastic coatings market analysis covers in-depth information of the major industry participants. The key players operating and profiled in the market include Axalta Coating Systems, Akzo Nobel N.V., BASF SE, Covestro AG, Keyland Polymer, Wacker Chemie AG, PPG Industries Inc., Kansai Paint Co., Ltd., the Sherwin-Williams Company, and Arsonsisi s.p.a..
Other players in the value chain of the plastic coatings market are Diamond Vogel, Berger Paints India Limited, Becker Industrial Coatings Ltd., Clariant, Cabot Corporation, Jotun, and Lord Corporation.
Key findings of the study
- The report outlines the current market trends and future scenario of the plastic coatings market from 2019 to 2027 to understand the prevailing opportunities and potential investment pockets.
- The plastic coatings market size is provided for end use industries of various countries.
- On the basis of region, the Europe plastic coatings market gained a share of 30.0% in terms of revenue in 2019.
- The building & construction segment garnered a share of 29.0% in terms of revenue in 2019.
- On the basis of process, the powder coating segment gained a share of 23.5% in terms of revenue in 2019.
- On the basis of type, the acrylic segment garnered 20.5% share in terms of revenue in 2019.
Impact of COVID-19 on the plastic coatings market
- The manufacturing as well as supply regions or countries witnessed economic slowdown, owing to the lockdown implemented across several countries. The downstream section of the value chain that is the end user industry has witnessed less demand, which has impacted the plastic coatings market growth.
- For instance, the automotive sector has been witnessing slowdown, owing to decreased automobile sales that resulted in decreased demand for raw materials. Therefore, this factor consequently impacted the demand for plastic coatings.