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Paints and Coatings Market Trends
25
11
2019

Paints and Coatings Market Trends

 

From  mordorintelligence

 

 

The market for paints and coatings is expected to register a CAGR of 4.2% during the forecast period of 2019 – 2024. The major factors driving the market studied are rapidly increasing housing construction activities in the Asia-Pacific region. The rise in prices of raw materials is expected to hinder the growth of the market studied.

 

Increasing Demand from the Building and Construction Sector

  • Paints and coatings are extensively used in the architectural sector for both exterior and interior applications.
  • Paints and coatings are applied on the exterior of houses, to not only to give them a new look, but also to protect them from blistering summers, freezing winters, soaking rain, and the daily bombardment of UV radiation without fading, peeling away, and cracking.
  • Modern advances in paint technology, specifically in the acrylic formulations, have offered a wide range of weatherproof coatings.
  • Elastomeric coatings that retain their flexibility and strand-etchability over a wide range of temperatures are becoming popular solutions for homes, worldwide.
  • They are also used in interiors of houses to add colors or decorative purposes, along with a wide range of other functions. Their functions vary depending upon the type of environment and room that they are used on.
  • In Asia-Pacific, China is expected to witness the highest growth in the construction activities, followed by India.
  • In China, government spending has been increasing, in order to construct affordable housing facilities to cater to the housing demand.
  • India is likely to witness an investment of around USD 1.3 trillion in housing over the next seven years, where the country is likely to witness the construction of 60 million new homes. The availability of affordable housing is expected to rise by around 70% by 2024 in India. The Indian government's ‘Housing for All by 2022’ is also a major game changer for the industry.

 

he United States Expected to Dominate the Market in North America

  • The United States is the largest and the most powerful economy in the world, and it had a per capita income of USD 55,900 in 2017. The economy’s growth rate was 2.3% in 2017, and in 2018, the GDP grew by 2.9%.
  • The construction industry in the United States witnessed rapid growth in 2017, as a result of the increased private sector spending on residential construction. The residential construction in 2016 and 2017 increased y-o-y by 10.52% and 10.58%, respectively. Residential construction in the country is projected to have a growth of almost 6% in the forecast period (2019-2024), due to an increase in the construction of single and multiple-family housing in the country.
  • The total number of new residential housing units started in the United States recorded a growth of 2.62% in 2017 (14,498 thousand houses), when compared to 2016 (14,128 thousand houses). In 2018, the total number of new residential housing units further increased to 14,989 thousand houses, representing 3.39% growth over 2017.
  • According to the Federal Aviation Administration (FAA), the total commercial aircraft fleet is expected to reach 8,270 in 2037, from 7,039 in 2016, owing to the growth in air cargo. The US mainliner carrier fleet is also expected to grow at a rate of 54 aircraft per year, as the existing fleet is getting older.
  • In 2018, the total value of aircraft and parts shipments in the United States reached a total of USD 217.30 billion. In 2018, the total exports from the aerospace industry reached a total of USD 150.61 billion, with China being the largest export destination.
  • Hence, with the rapid increase in demand from the various end users, the demand for paints and coatings in United States is expected to increase at a significant rate over the forecast period (2019-2024).