The coating additives market will grow from US$8.855 billion in 2025 to US$15.894 billion in 2030 at a CAGR of 12.38%.
Coating additives improve the quality and application of the coating and can change its physical properties and functions. They are widely used for painting the exteriors of buildings, automobiles, wood, furniture, aviation, and other surfaces.
The major driving factors for the coating additives market growth are the rise of industrialization in the Asia-Pacific region, the increase in demand for eco-friendly products, and the growing demand for multifunctional additives. To prevent environmental pollution, the output of synthetic resin coatings has been reduced. The usage of waterborne coatings and solventless coatings has increased significantly, and this trend will continue in the future. Manufacturers and suppliers are focused on developing eco-friendly, bio-based, and water-based products for customers.
Coating additives are used in the automotive industry for various reasons, including improved pigment effect and coating performance, environmental friendliness, and cost savings. The increased demand for the vehicle market worldwide would expand the demand for coating additives as well by increasing the use of waterborne, solvent-free coatings and high solids over traditional solvent-borne technologies.
According to data from the International Organization of Motor Vehicle Manufacturers (OICA), vehicle production worldwide was 93,546,599 in 2023, out of which 26,413,029 were commercial vehicles and 67,133,570 were cars. This was an increase of 10% from the previous year. In addition, the growth of the electric vehicle demand further propelled the demand for new vehicles in the market.
The construction and building industry worldwide is showing a significant pace of growth and development. One of the primary reasons for this industry's expansion is the growing global urbanization. The rate of urbanization in the developing part of the world is rising significantly. This includes constructing large urban structures, such as parks, hospitals, hotels, restaurants, houses, buildings, etc., for living. The major part of the urbanization is taking place in the Asia Pacific, the Middle East, and Africa regions.
The use of coating additives increases substrate wetting, mar resistance, and gloss retention, as well as chemical, UV, and corrosion resistance. Their flow and leveling properties eliminate defects on the surfaces. Further, the use of coating additives improves wet adhesion, chemical and corrosion resistance, weatherability, pigment dispersion, and scrub resistance.
Waterborne formulations contain fewer toxins that do not pollute the air and are also less flammable and hazardous than other forms, making them ideal for manufacturing in several industries. The employees have ambient working conditions created by applying waterborne technology, which produces few toxins in the air. Thus, it reduces the health hazards within the industry.
Furthermore, with a high gloss finish at no additional cost, manufacturers prefer this type of formulation in the manufacturing process. Waterborne coatings withstand high temperatures and protect automotive body armor from corrosion. They are also highly abrasion-resistant and can keep their glossy finish for an extended period. Due to waterborne's cost and technical benefits over other formulations, the market is anticipated to witness exponential growth in the coming year.
The growth of the e-commerce business and developing supply chain caused the increase of different varieties of wood & furniture across the world, and coating additive applications in the sector. In the development of different architectural designs through computer modeling, the coating additives could create the likely color and surface for the design. The automotive industry is growing due to the booming economies of the Asia Pacific and favorable government policies for electric vehicles in the market.
The global coating additives market has been segmented by geography into North America, South America, Europe, the Middle East and Africa, and the Asia Pacific region. Major economies like China, Japan, India, and South Korea dominate the Asia-Pacific region. Some of the fastest-growing emerging economies are from this region, such as the ASEAN countries.
Asia-Pacific is aiming for the development of its paints and coatings sector. It is developing the sector to become the global supply chain hub. According to the leading paint manufacturer Akzo Nobel India, India's paints and coatings industry is expected to reach US$ 12.22 billion in the next five years. Additionally, the country's economic growth, driven by the increased income levels and infrastructure development, is closely connected to the paints and coatings industry.
Further, in the Interim Budget 2024-25, capital investment outlay for infrastructure has been increased by 11.1% to US$133.86 billion, which would be 3.4 % of GDP. This would significantly boost the development of infrastructure within the country.
| Report Metric | Details |
|---|---|
| Study Period | 2021 to 2031 |
| Historical Data | 2021 to 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 – 2031 |
| Report Metric | Details |
| Coating Additives Market Size in 2025 | US$8.855 billion |
| Coating Additives Market Size in 2030 | US$15.894 billion |
| Growth Rate | CAGR of 12.38% |
| Study Period | 2020 to 2030 |
| Historical Data | 2020 to 2023 |
| Base Year | 2024 |
| Forecast Period | 2025 – 2030 |
| Forecast Unit (Value) | USD Billion |
| Segmentation |
|
| Geographical Segmentation | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| List of Major Companies in Coating Additives Market |
|
| Customization Scope | Free report customization with purchase |