Global demand for paint and coatings is forecast to rise 5.2 percent per year to 51.6 million metric tons in 2017, valued at $186 billion. Advances will be driven by a strong rebound in global building construction, particularly in North America, Europe, and Japan, which will fuel increased demand for architectural paint. Manufacturing and specialty coatings demand will also grow at a more rapid pace, benefiting from an improved outlook for motor vehicle production and overall industrial output. However, gains will be limited by the increased use of higher quality coatings in both the developed and developing world, reducing the volumes necessary to complete a given paint job. Water-based coatings and other high solids formulations will gain share over solventborne products in virtually all world markets, as paintmakers continue to reduce emissions of volatile organic compounds (VOCs) in coatings to comply with government regulations and consumer preferences.
Architectural markets will continue to account for the majority of paint and coatings demand in 2017. Demand for architectural paint will be fueled by an improved outlook for residential building activity in high income countries, as well as rising urbanization and housing construction spending in the developing world. Coatings demand in manufacturing applications will benefit from an uptick in world motor vehicle production, while an improvement in building construction activity will boost demand for furniture coatings. Maintenance and specialty markets will be driven by rising demand for protective coatings in industrial and oil and gas applications, as well as for auto refinish paints and road and bridge coatings.
The Asia/Pacific region will continue to be the largest and fastest growing coatings market through 2017, rising to account for half of global demand. Gains will be led by robust growth in China, the world’s largest national coatings market, although advances will slow somewhat from the double-digit annual pace of the 2002-2012 period. Even faster growth is forecast for the large Indian market, while other countries in Asia such as Indonesia, Thailand, and Vietnam will see strong gains as well. In North America, a marked turnaround in building construction activity will fuel healthy growth in coatings demand, while Western Europe and Japan will see similar (though slower) rebounds in the coatings market. Among the other areas of the world, best opportunities are expected in the Africa/Mideast region, albeit from a low base.
This study analyzes the 40 million metric ton world paint and coatings industry. It presents historical demand data for 2002, 2007 and 2012, with forecasts for 2017 and 2022 by formulation (e.g., water-based, solvent-based, powder coatings), market (architectural, manufacturing, maintenance and specialty), world region, and for 23 countries.
The study also considers market environment factors, details industry structure, evaluates company market share and profiles 35 industry players, including PPG Industries, Akzo Nobel and Sherwin-Williams.