Automotive coatings are employed to coat automobile surfaces and demonstrate the innovative technologies which are proficient in manufacturing sturdy surfaces, maximizing overall vehicle efficiency while meeting environmental regulations. Automotive OEM coatings improve the overall appearance and durability of a vehicle and helps in protecting it from extreme temperatures, UV radiation and foreign particles.
Innovation is fuelling the growth of global automotive OEM coatings industry since new variants such as waterborne and e-based products are penetrating both consumer automotive as well as automotive OEMs. Ultraviolet based coatings are projected to witness high demand. Although, currently the applications of UV coatings is in its infancy stage, a steady shift toward UV cure coatings is estimated to happen over the forecast period. Moreover, several benefits such as lower energy costs and ease-of-application are some major aspects fostering the adoption of automotive OEM coatings across the value chain. Additionally, increase in per capita disposable incomes of consumers especially in developing economies such as China, India, Thailand, etc. has propelled the overall demand for passenger cars. Thus, automotive manufacturers are setting up their manufacturing facilities in the aforementioned countries to cater to this burgeoning demand. These manufacturers are progressively shifting towards high-performance and low-cost OEM coatings manufactured by regional vendors. Amplified by the launch of newer products with relatively more sophisticated and unique functionalities, local players are focusing on collaborating with major automotive OEMs to come up with tailored solutions for the consumers.
The automotive OEM coatings market is segmented by type into water borne, solvent borne, powdered and others. The solvent borne segment accounted for the largest share in 2017 and is chiefly driven by increasing preference towards low priced coatings especially for basecoat applications. On the basis of layer, the global automotive OEM coatings market is segmented into primer, basecoat, electrocoat and clearcoat. Based on type of vehicle, the market is categorized into light commercial vehicles, passenger cars, heavy commercial vehicles and others (bicycles, motorbikes, etc.) Passenger cars segment accounted for the largest share owing to increasing automobile production especially in China, India and Brazil. Moreover, increasing disposable incomes and changing lifestyles of consumers is further expected to supplement the demand for passenger cars over the coming years.
Passenger cars segment proposes the maximum potential in the global automotive OEM coatings market due to rise in demand for general utility vehicles and passenger cars globally along with increase in expenditure towards public transportation. Moreover, rising inclination of consumers towards easy and efficient transportation facilities further augments the overall demand for such coatings in passenger cars. Owing to persistent growth in the disposable incomes of consumers coupled with increase in demand for commercial vehicles on account of rapid growth in logistics and transportation, the use of automotive OEM coatings in commercial vehicles has foreseen key developments. The passenger cars segment is estimated to witness a significant growth during the forecast period. However, increase in apprehensions related to several environmental perils associated with the use of solvent borne coatings might hamper the overall growth, although increasing investments in research & development activities in the production of newer and relatively safer alternatives are projected to pose lucrative growth opportunities.
In 2017, in terms of demand/consumption, globally, Europe was the major market for automotive OEM coatings closely followed by the Asia Pacific and North American regions. As of 2017, China was the largest exporter of automotive OEM coatings globally. The other Asia Pacific countries leading in exports of automotive OEM coatings are India, Japan and Indonesia. Latin America is expected to foresee a rapid growth due to presence of untapped and emerging markets such as Mexico, Peru, Argentina, Ecuador and Columbia among others.
Global Automotive OEM Coatings Market is segmented as below:
Key players across the Automotive OEM Coatings Market value chain are:
Axalta Coating Systems, PPG Industries, BASF SE, Kansai Paint, Nippon Paint, Sherwin-Williams Company, AkzoNobel, Bayer AG, KCC Paint and Arkema SA among other notable players.
This report ofers: