International. The global water-based coatings market is expected to grow at a moderate rate of CAGR 5.0% during the forecast period 2018 to 2026, reveals the latest report by Transparency Market Research (TMR).
The global water-based coatings market is expected to reach the estimated value of US$114.70 billion by the end of 2026. Rapid industrialization is leading to a sudden increase in construction which in turn can help the growth of this market.
On the basis of resins, the global water-based coatings market is segmented into acrylic, epoxy, polyurethane, formaldehyde, and alkyds. Among these, the acrylic segment is expected to record further growth as these are highly durable, high-performance driven and environmentally sustainable.
The automotive industry uses paints to attract and protect vehicles from external factors. This could drive the growth of the global water-based coatings market in the coming years.
In addition, the companies that manufacture these coatings implement the latest technologies during the manufacture of water-based coatings. This causes the automotive industry to opt for these coatings for new vehicles and could help the global water-based coatings market increase.
However, the high cost of water-based coatings compared to solvent-based coatings and the slow drying rate in very wet temperatures may restrict the global water-based coatings market. However, strict anti-VOC regulations and adoption of sustainable alternatives are expected to increase the water-based coatings market during the forecast period. These coatings contain fewer VOCs (volatile organic compounds).
Asia Pacific to Thrive in Water-Based Coatings Market
The global water-based coatings market is expected to be led by Asia Pacific. The growth is attributable to the rapid urbanization and industrialization that are increasing the number of residential and commercial constructions throughout the region. In addition, the high demand for personal and public transportation is driving the automotive industry. Rising per capita income in emerging economies is expected to contribute to market expansion in the coming years.
Major players operating in the market include Asian Paints, Altana AG, PPG Industries Inc., Nobel NV, Sherwin-Williams, and Axalta Coating Systems Ltd. These companies are adopting strategies such as product innovations to capture the large share of the global market. One such innovation is the introduction of eco-friendly or VOC-free paints called latex paints for interiors by Sherwin Williams. These are made from oils like soybeans and sunflower are what they claim.