Revenue within the US automotive coatings manufacturing market has been forecast to grow at a compound annual growth rate (CAGR) of 2.7percent over the next five years, to reach a total market value of $1.5 billion in 2017, according to new research published by Companiesandmarkets.com.
Over the five years to 2012 the industry didn't have the best of times, with revenue falling at a CAGR of 0.7 percent, however this is expected to turn around in 2012 with a predicted CAGR of 3.5 percent to help bump the market up to $1.3 billion.
The recession has had a big impact on the US automotive coatings manufacturing industry, with consumers tending to stay clear of nonessential vehicle alterations and new vehicle purchases, hurting demand for automotive coatings.
Things took a turn for the worse in 2009 though, as US vehicle sales fell to historic lows and motor vehicle manufacturing revenue plummeted at an alarming rate of 36.5 percent.
However, the industry looks to have turned their fortunes around with demand being encouraged by several new styles of automobile coatings, including coatings with ultraviolet light-cured finishes and coatings that incorporate nanotechnology.
Water-based coatings are the future of the US automotive coatings manufacturing market and are expected to boost demand for coating customization, given their ease of use and lower potential cost once the technology is widely adopted.