Decorative Coatings Market

Market Definition

The Decorative Coatings Market size was valued at $74.32 billion in 2021 and is predicted to reach $113.68 billion by 2030 with a CAGR of 4.23% from 2022-2030. Decorative coatings paint or a layer is used on the surface of interiors or exteriors to strengthen the performance and to increase its artistic beauty.

It protects the surface under uncertain conditions such as extreme wild climate, fluctuating temperature, pollution, corrosion, and UV rays. These coatings are mostly applied on metals, wood, and walls. Decorative coatings are available in various attractive colours & designs and it can be further customized accordingly. It covers almost every sector such as real estate, healthcare, corporate, hypermarket, supermarket, malls, and so on.

Market Dynamics and Trends

The demand for decorative coatings is significantly enhanced owing to rapid modernization & urbanization along with various government initiatives such as development of smart cities, industrial corridors, infrastructure projects, and reconstruction of existing cities in developing economies like China, India, Brazil, and others. Also, changing lifestyles towards luxury led to customization in decor & design, and renovation of living space is driving the market growth.

Moreover, the growth of eco-friendly decorative coatings with more durability that comes with esthetical designs with better performance is further expected to drive the growth of the decorative coatings market. For instance, in September 2020, Allnex launched a new eco-friendly phenolic resin ‘PHENODUR’. This new coating is applicable for interior and exterior uses with a very low free formaldehyde value. PHENODUR provides an excellent balance of hardness and flexibility and offers very smooth cured coating surface.

However, the unstable rates of the raw material in the international market such as pigments, solvents, binders, and fillers are expected to restrain the market growth during the forecast period. On the contrary, rising technological advancements in decorative coatings such as nanostructured titanium dioxide that provide superior resistance against abrasive and erosive wear are expected to create ample growth opportunities for the market in the coming years.

Market Segmentations and Scope of the Study:

The decorative coatings market is segmented on the basis of product type, resin type, technology, user type, coating type, substrate, application, and geography. On the basis of product type, the market is divided into emulsions, wood coating, enamels, distempers, and others. On the basis of resin type, the market is classified into acrylic, alkyd, polyurethane, epoxy, polyester, and others. On the basis of technology, the market is segmented into water borne, solvent borne, and powder. On the basis of user type, the market is bifurcated into DIY and professional. On the basis of coating type, the market is divided into interior and exterior. On the basis of substrate, the market is classified into metal, plastic, glass, and others. On the basis of application, the market is categorized into architectural, automotive, domestic appliances, medical, sporting goods, jewellery, cosmetics, aerospace, and others. Geographic breakdown and analysis of each of the aforesaid segments includes regions comprising of North America, Europe, Asia-Pacific, and RoW.

Geographical Analysis

Asia-Pacific holds the lion share of decorative coatings market size at present and is expected to dominate the market during the forecast period. This is attributed to factors such as growing demand for eco-friendly waterborne coatings that enhance the construction of sophisticated homes and workplaces.

For instance, in May 2021, Axalta Coating Systems announced the expansion of its waterborne coatings plant in Jiading, Shanghai, and China. This plant is designed to meet the growing demand for sustainable coating solutions for automotive and industrial markets in China and the Asia-Pacific region. This expansion includes new added waterborne basecoat, primer, and small batch capacity that features the most advanced product and production technology available.

Also, the presence of major players in the region such as Nippon Paint Holdings Co., Ltd., Asian Paints Ltd, Dulux Group Ltd., and others boosts the decorative coatings market growth in this region. For instance, in January 2022, Dulux Group Ltd. acquired Cromology to enhance its brand portfolio. This acquisition will allow Dulux Group to strengthen its business in the European market for the sale of decorative coatings in various industry verticals.

On the other hand, North America is expected to show a steady rise in the decorative coatings market due to tremendous growth of coatings in the architectural and automotive sector along with the presence of massive coatings industries in this region. For instance, United States holds the highest number of industries in North America. Also, the presence of prominent market players including Axalta, PPG, and Red Spot Paint in this region boosts the market growth.

For instance, in June 2021, PPG acquired Tikkurila, a chemical manufacturing company that deals in paints and lacquers. PPG controls 97.1% of Tikkurila’s issued and outstanding shares. This acquisition will offer customers access a wide variety of portfolio in coatings through new technologies and resources.

Competitive Landscape

The decorative coatings market includes various major market players such as BASF SE, PPG Industries Inc., The Sherwin-Williams Company, Akzo Nobel N.V., Asian Paints Limited, Kansai Paint Co., Ltd., The Valspar Corporation, Arkema S.A., Nippon Paints Co. Ltd, Tikkurila Oyj. These market players are adopting various strategies such as acquisition, business expansion, and product launches across various regions to maintain their dominance in the market.

For instance, in July 2022, AkzoNobel announced acquisition of Lankwitzer Lackfabrik for coatings business. This acquisition will enhance the powder coatings portfolio of AkzoNobel and expand the range of innovative products. It will deliver an inclusive liquid and powder aluminium wheel coating offering to reinforce its position in the automotive market. Moreover, in March 2022, BASF SE opened a new laboratory building for innovation and development of automotive refinish coatings. This facility will focus on the development and formulation of sustainable product solutions such as waterborne refinish paint portfolio Glasurit 100 Line and R-M AGILIS with the lowest value of volatile organic compounds (VOCs).

Key Benefits

• The decorative coatings market report provides the quantitative analysis of the current market and estimations through 2022-2030 that assists in identifying the prevailing market opportunities to capitalize on.

• The study comprises a deep dive analysis of the decorative coatings market trend including the current and future trends for depicting the prevalent investment pockets in the market.

• The information related to key drivers, restraints and opportunities and their impact on the decorative coatings market is provided in the report.

• The competitive analysis of the market players along with their market share in the decorative coatings market.

• The SWOT analysis and Porters Five Forces model is elaborated in the study.

• Value chain analysis in the market study provides a clear picture of the stakeholders’ roles.

Key Market Segments

By Product Type

• Emulsions

• Wood Coating

• Enamels

• Distempers

• Others

By Resin Type

• Acrylic, Alkyd

• Polyurethane

• Epoxy

• Polyester

• Others

By Technology

• Water borne

• Solvent borne

• Powder

By User Type

• DIY

• Professional

By Coating Type

• Interior

• Exterior

By Substrate

• Metal

• Plastic

• Glass

• Others

By Application

• Architectural

• Automotive

• Domestic Appliances

• Medical

• Sporting Goods

• Jewellery

• Cosmetics

• Aerospace 

By Geography

• North America

  • U.S

  • Canada

  • Mexico

• Europe

  • UK

  • Germany

  • France

  • Italy

  • Spain

  • Rest of Europe

• Asia-Pacific

  • China

  • India

  • Japan

  • South Korea

  • Australia

  • Rest of Asia-Pacific

• RoW

  • UAE

  • Saudi Arabia

  • South Africa

  • Brazil

  • Remaining Countries

KEY PLAYERS

• BASF SE

• PPG Industries Inc.

• The Sherwin-Williams Company

• Akzo Nobel N.V.

• Asian Paints Limited

• Kansai Paint Co. Ltd.

• The Valspar Corporation

• Arkema S.A.

• Nippon Paints Co. Ltd

• Tikkurila Oyj

REPORT SCOPE AND SEGMENTATION:

Parameters	Details
Analysis Period	2021–2030
Base Year Considered	2021
Forecast Period	2022–2030
Market Size Estimation	Billion (USD)
Market Segmentation	By Product Type (Emulsions, Wood Coating, Enamels, Distempers, and Others), by Resin Type (Acrylic, Alkyd, Polyurethane, Epoxy, Polyester, and Others), by Technology (Water Borne, Solvent Borne, and Powder), by User Type (DIY and Professional), by Coating Type (Interior and Exterior), by Substrate (Metal, Plastic, Glass, and Others), and by Application (Architectural, Automotive, Domestic Appliances, Medical, Sporting Goods, Jewellery, Cosmetics, Aerospace, and Others)
Geographical Segmentation	North America (U.S., Canada, Mexico) Europe (UK, Germany, France, Italy, Spain, Rest of Europe), Asia-Pacific (China, India, Japan, South Korea, Australia, Rest of Asia-Pacific), Rest of the World (UAE, Saudi Arabia, South Africa, Brazil, Remaining countries)
Companies Profiled	BASF SE, PPG Industries Inc., The Sherwin-Williams Company, Akzo Nobel N.V., Asian Paints Limited, Kansai Paint Co., Ltd., The Valspar Corporation, Arkema S.A., Nippon Paints Co. Ltd, Tikkurila Oyj.