Automotive Specialty Coatings Market Expected to Reach USD 4.43 Billion by 2028

The Automotive Specialty Coatings Market is expected to reach USD 4.43 Billion by 2028, growing at a CAGR of 3.50% in between 2022 to 2028. The major factors liable for the considerable growth of the Automotive Specialty Coatings Market is a rising demand of the customers for the improved version and durability of the automobiles and thus, growing automobile production. Also, the rising focus on the appearance of the vehicle by the millennial residents led to propel the demand.

Key Findings:

• The interior segment is projected to expand at a substantial market growth over the forecast period owing to the increasing adoption and production of vehicles worldwide.
• The polyurethane segment held a substantial market share in 2021. This share is due to the rising numerous properties presented by polyurethane-based resins like good elasticity at low temperatures, water and solvent resistance, abrasion resistance, and machine wash and dry clean capabilities.
• North America is expected to grow at a considerable CAGR from 2022 to 2028. This surge is attributed to the rising demand for automotive specialty coatings in developing economies such as U.S. and Mexico.

Some of the key players in the Automotive Specialty Coatings Market include - KCC (South Korea), Nippon Paint (Japan), PPG (US), Axalta (US), BASF (Germany), AkzoNobel (Netherlands), Kansai (Japan), Sherwin Williams (US), Covestro (Germany), DOW Chemical (US), and Solvay (Belgium)..

Automotive coatings are utilized on automobiles for preservation and decoration. It is utilized to protect the surface texture and its durability. The coatings have low VOC levels because of which it has low toxicity and flammability and these are also utilized to deliver high performance at high temperatures and to protect from corrosion. In total it is broadly used for the production of durable surfaces due to the environmental necessities and enhancing the efficiency of the product kind.

Asia Pacific is expected to record the highest market share, owing to the increasing demand in countries, such as the China, India and Japan. Different characteristics delivered by the specialty coating materials like heat resistance, water resistance, and others are the factors projected to fuel the adoption of the Automotive Specialty Coatings Market over the forecast period.

COVID Impact Analysis

The COVID-19 outbreak has affected various industries worldwide. Governments across the world implemented strict lockdown measures and social distancing norms in order to restrict the swift spread of the pandemic. Manufacturing facilities around the world were shut down during the initial stages of the pandemic. Moreover, the economic crisis after the pandemic might lead to a significant delay in the commercial roll-out of the Automotive Specialty Coatings Market. Small and medium-scale companies are the backbone of technology providers and are witnessing a steep drop in revenue since the emergence of the pandemic in 2020. Hence, market players faced numerous challenges as disruptions in the supply chain were observed. However, things will improve in the second half of 2022 as more supplies will come online.

Recent Developments:

August 2018: Ferrari presented their new low-temperature system, which makes the Prancing Horse the world’s first producer to adopt low Cure clear coats technology. This new paint technique lowers the energy cost and improves sustainability as it has developed a clear coat which makes it likely for the car to bake at 100 degrees rather than 150 degrees.