With urbanization, the world is becoming a more sophisticated place with the growing need for greater comfort. The paints and coatings market has been benefitting due to these developments in personal and non-personal spaces. The increasing global population and the growing number of nuclear families escalate the demand for new houses every year, which in turn creates demand for paints and coatings. The increasing market for consumer goods and automobiles is also propelling the growth of the paints and coatings market.
Based on end-use, the paints and coatings market is segmented into three categories: architectural and decorative; industrial; and marine. Architectural and decorative paints and coatings can be further segmented into water-based and solvent-based. Similarly, industrial paints and coatings can be classified into water-based, solvent-based, powder, and UV-based.
Architectural and decorative paints and coatings are used mainly applied on interior and exterior walls of houses and corporate buildings. Based on their formulation, there are basically two types of architectural and decorative paints and coatings: water-based and solvent-based. Based on type, architectural and decorative paints and coatings paints are mainly classified into emulsions and distempers. Distempers are costlier than emulsions and account for lesser market share as compared to emulsions.
Industrial paints and coatings are used by several industries, including machinery manufacturing, automotive, and consumer goods. Based on their formulation, industrial paints and coatings can be segmented into four categories: water-based, solvent-based, powder, and UV-based.
According to the Bureau of Economic Analysis (U.S. Department of Commerce), the durable goods industry grew from USD 958.7 billion in 2010 to USD 1096.4 billion in 2013. The construction industry in the country grew from USD 539.1 billion in 2010 to USD 611.4 billion in 2013. Fabricated metal products industry accounted for USD 120.6 billion in 2010 which increased to reach USD 134.1 billion in 2012. The wood products industry reached USD 23.8 billion in 2012 from USD 22.1 billion in 2010. The growth of these industries is fuelling the growth of the paints and coatings market.
Several European economies recorded negative GDPs during the Euro-Zone crisis. Italy and Spain have been the biggest victims of this crisis. However, the European economies are improving and consumers are gaining confidence once more, which is a positive sign for consumer-related industries. The negative effect of the economic crisis also impacted the European paints and coatings market; however, the industry is recovering and is expected to gain momentum by 2020.