A report by Research and Markets shows that renovation activity along with building & construction projects in commercial, industrial and residential sectors are creating strong demand for architectural coatings. Architectural coatings demand will especially be on the rise in countries such as China and India, owing to fast-paced urbanization and the expanding construction sector. In recent years, there has been a migration to solvent-free coatings from high and low volatility organic solvents, due to the former`s lower emissions. The strict regulations related to VOC emissions are anticipated to foster demand for eco-friendly coatings such as water-based coatings. In recent years, the demand for powder coatings is increasing due to their benefit of not having any liquid carrier and producing thicker coatings with no sagging. Powder coatings are free of solvents and release minimal amounts of VOC in the air. These coatings are generally applied on complex components of industrial machineries and automobile engines. The growing adoption of powder coatings is expected to considerably expand their market share in the architectural coatings market.
Amid the COVID-19 crisis, the global market for architectural coatings estimated at $64.2 billion in the year 2022, is projected to reach a revised size of $79.5 billion by 2026, growing at a CAGR of 4.9% over the analysis period. Acrylic, one of the segments analyzed in the report, is projected to grow at a 5.5% CAGR to reach $50.2 billion by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the Alkyd segment is readjusted to a revised 4.8% CAGR for the next 7-year period. This segment currently accounts for a 12.5% share of the global Architectural Coatings market. The rising use of acrylic resins for manufacturing architectural coatings of panels, windows, and exterior and interior walls is significantly driving the demand for these resins. Alkyd based coatings also enjoy strong demand and are expected to register fast-paced growth, due to their use in metal packaging and industrial wood applications. These coatings are employed in sealers, fillers, and caulks, owing to their flexibility with regards to formulation.
The architectural coatings market in the U.S. is estimated at $12.8 billion in the year 2022. The country currently accounts for a 20.14% share in the global market. China, the world's second largest economy, is forecast to reach an estimated market size of $17.3 billion in the year 2026 trailing a CAGR of 6% through the analysis period. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 3.7% and 4.9% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 3.7% CAGR while rest of european market (as defined in the study) will reach $18.4 billion by the end of the analysis period. Asia-Pacific region is the dominant market, led by China and India, on account of the existence of several leading companies in the region. With most manufacturers moving their production to Asia on account of relatively lesser labor costs, market growth is expected to be strong. North America is another key architectural coatings market, driven by rising renovations and building reconstructions.Find out more:Architectural Coatings - Global Market Trajectory & Analytics