Powder coating refers to a dry finishing technique that is well known for its highly durable, long lasting and decorative properties. The powder coatings market provides solutions for a variety of applications in many industries and numerous product types. It is rust free, environment friendly, and resistant to corrosion, fading, general wear, chemicals, moisture, abrasion, scratches and extreme weather conditions.
Rising applications for powder coating in the automotive, architecture, home appliances, furniture and general industries are expected to boost growth of the powder coatings market in future years. Additionally, the use of powder coatings in industrial manufacturing of general metals and machinery could also benefit this industry significantly.
The primary factors that drive the growth of the powder coatings industry include the rising demand for consumer goods such as household appliances, and automotives, especially from emerging economies such as China, India and Brazil. Popularity of powder coating techniques is further benefitted by support from regulatory bodies such as E.P.A. and R.E.A.C.H due to the environment friendly nature of this technique.
Though enormous benefits are garnered from the use of powder coating in various industries and rate of its adoption is quite high as compared to other finishing and painting techniques, this industry has its own set of issues. These factors have led to the expansion of the powder coatings market. Some issues regarding the application and design of powders, such as very thin coats, uneven thickness of coating at edges, uneven layers of coating on the inside corners make this technique somewhat less desirous for some applications. Additionally, the issue with pigmented powders that they cannot be used for blending and forming different colors is a major problem, which is something that players in the powder coatings market will have to address.
Further research and development of powders that consume low energy and that can be coated to equipments that usually operate at high temperatures, such as steam engines, charcoal grills and boilers could offer better growth opportunities to the industry. Development of different varieties of powder, such as ones that could be effectively used for in-mold coatings could open future opportunities for the powder coatings market.
Segmentation of the powder coatings market:
Amongst the enormous industrial applications of powder coating technology, the segment of household and kitchen appliances is the one that garners the most revenues for the global market of this technology. In 2011, the overall appliances industry drew nearly 20% revenues for the powder coatings market. Demands are also high from the automobiles section, which are estimated to observe substantial growth in the future years both for original equipment as well as spare parts.
Active regions in the global powder coatings market:
Asia Pacific, the most populous as well as most opportunistic region for most industries, is estimated to be the largest consumer of powders in current times. In 2011, demands for powder from this region was nearly 700 kilo tons. Demands of this scale from this region can be credited to its improving economical conditions, leading to rising demand for luxury products such as automotives, and household appliances. End-user industries are also on a rise in Brazil and South Africa, leveraging the growth opportunities of the powder coatings market substantially in these countries.
The powder coatings market has seen a steady growth over all the past centuries since its inception some 40 years ago. In 2011, the value of the powder coatings market was USD 6.5 billion. Volume-wise, the global demand was nearly 1,680.0 kilo tons in the same year. Due to the ever-rising population, rise in demands for consumer goods and luxury products, especially from developing nation and the many benefits of this technology, its market is expected to achieve steady growth in the future years as well.
The powder coatings market is expected to grow at a compound annual growth rate of 7.2% over the next 4-5 years and have a value worth USD 10.5 billion and demands worth 2,667.6 kilo tons powder by 2018.