According to a new report published by Allied Market Research, titled, Wood Coating Market by Material and Application: Global Opportunity Analysis and Industry Forecast, 2017-2023, the global wood coating market was valued at $7,850 million in 2016, and is projected to reach $11,880 million by 2023, growing at a CAGR of 6.3% from 2017 to 2023. The furniture segment accounted for more than 59% share of the global wood coating market in 2016.
Wood coatings are used for protecting the wood as well as provide aesthetic looks. Wood coating produces hard surface topcoats and are considered to retain gloss, offer good color, deliver high performance, and resist abrasion from chemicals. Waterborne, solvent borne, and high solid materials are three major types of wood coating technologies used by the market players. Different technologies and various resin systems used in wood coating have their own set of advantages and disadvantages.
Based on resin type, the market is segmented into polyurethane, nitrocellulose, acrylic, unsaturated polyester, and others. The polyurethane segment is projected to be the most lucrative segment from 2017 to 2023 owing to the high-performance finish that preserves and improves natural wood. Furthermore, polyurethane wood coating strengthens the properties of wood products providing color and protection.
Based on technology, the market is divided into waterborne, conventional solvent borne, high solid solvent borne, powder coating, radiation cured, and others. The waterborne wood coating segment is projected to be the most lucrative segment from 2017 to 2023 owing to low toxicity due to low VOCs content. Stringent policies are imposed by the government on the use of VOCs in paints and coatings, which boosts the growth of the waterborne wood coating segment in the market. However, the low drying rate and high price of waterborne coatings as compared to solvent borne wood coating are expected to hinder the market growth.
Based on end user, the market is classified into furniture, cabinet, siding, flooring, paneling, and others. The cabinet segment is estimated to grow at the highest CAGR during the forecast period. There is a boost in the demand for cabinets owing to the growth of the housing market. This in turn is anticipated to increase the demand for wood coatings used in cabinets. Furthermore, at present, the restoration of old cabinet fuels the requirement for wood coating.
Key Findings of the Wood Coating Market:
- The waterborne wood coating segment is expected to grow at a significant CAGR of 7.9%, in terms of value, from 2017 to 2023.
- The polyurethane segment is projected to grow at a CAGR of 6.8%, in terms of value.
- The wood coating market in North America is expected to grow at the highest CAGR of 7.9%, in terms of value.
- The Asia-Pacific wood coatings market accounted for more than 54% share in 2016.
- U.S. accounted for more than 56% of the North America market in 2016.
In 2016, Asia-Pacific and Europe collectively accounted for more than 83% of the global wood coating industry, in terms of value. Population in Asia-Pacific and Europe use wood for the construction of the houses. This in turn boosts the consumption of wood coatings. Furthermore, European Union economy experiences significant growth since the euro crisis due to the increase in tourism, growth in employment, promotion of fair trade policies with minimal tariff, increase in industrialization & urbanization, and others.
The major companies profiled in this report are Akzo Nobel N.V, BASF SE, Nippon Paint Holding Co., PPG Industries, Inc., RPM International Inc., The Sherwin Williams Company, The Dow Chemical Company, Valspar Corp., Benjamin Moore & Co., and Hempel A/S.