Coating done on the automotive surface for the purpose of protection and decoration is known as automotive coating. Automotive coating is done to enhance the look and robustness of a vehicle and protect it from extreme weather conditions such as acid rain, and UV radiation. The thickness of coatings on the automotive surface is at least 0.1 mm. Robotic arms are used for applying coatings on the automotive surface.
The global automotive coating market is growing at a significant pace owing to the growing automotive industry. Also, the government policies supporting the development of automotive infrastructure drive the market for automotive coatings. The increase in research & development activities by manufacturers for the development of products drives the market for automotive coatings. However, the volatile raw material prices hamper the growth of automotive coating market. Also, the ill-effects of the application of harmful solvent based coatings restrain the growth of automotive coatings market. The volatile organic compound content emitted by the use of solvent borne coatings causes global warming by the emission of green house gases in the environment. The growing automotive industry in the economies such as India, China, Malaysia, Indonesia, Brazil, UAE, Saudi Arabia and parts of Africa offer huge growth opportunity for the manufacturers of automotive coatings. The major challenge faced by manufactures of automotive coatings is the stringent regulations regarding the emission of harmful green house gases causing global warming by the use of solvent based coatings.
The global automotive coating market can be segmented based on product, technology, application, end-use industry, and region. Primer, electro coat, base coat and clear coat are the different products in the global automotive coating market. Clear coat was largest segment in automotive coatings market in 2014 and forms the last layer used on the vehicle surface. Clear coat is applied for the protection of basecoat from UV rays and extreme weather conditions. Water-based coating, solvent based coating, powder coating and UV coating are the different coating technologies in automotive coatings. Water-based coating is projected to be the fastest growing segment for the global automotive coating market owing to the fact that this technology has less harmful effect on the environment compared to the solvent based coating. Water based coating also offers excellent adhesion and protects the vehicle from heat. Metal and plastic are the two application segments in the automotive coatings market. Light weight vehicle OEMs, commercial vehicle OEMs and automotive refinish are the end-user for the automotive coatings.
The market for automotive coating is segmented into regions as North America, Europe, Asia-Pacific, Middle East, Africa, and Latin America. Asia-Pacific was the largest market for automotive coatings in 2014 owing to the increased demand for automotive coatings from automotive industry. The major revenue contributors were countries such as India, China, and South Korea. The market for automotive coating in the European region is likely to remain stagnant owing to the Euro crisis affecting the automotive industry.
The companies in this market are collaborating with local players to increase their reach across all geographies and earn huge profits. Partnership with multinational companies to strengthen their market reach and goodwill is also anticipated to be a major market strategy followed by small players. Some of the major players involved in the manufacture and supply of automotive coatings include BASF SE, The Valspar Corporation, Nippon Paint Holdings Co., Ltd., KCC Corporation, Kansai Paint Co., Ltd, Sherwin-Williams, Axalta Coating Systems, and AkzoNobel among others.