The global paints and coatings additives market size was USD 7,828.2 million in 2018 is projected to reach USD 12,835.9 million by 2026, exhibiting a CAGR of 6.4% during the forecast period.

The additives are used as raw materials that enhance the quality and application of paints & coatings. A small amount of additives added to paints and coatings greatly improve their efficacy and performance. The additives used in the market include deformers, wetting & dispersing agents, thickener & anti-setting agents, specialty additives, and others. They provide various properties such as enhanced appearance, durability, and anti-corrosiveness. The major application of additives in this industry is surface and environmental protection, decoration, and texture enhancement.

In the current global scenario, additives are majorly used during the production process as performance enhancers. Use of multifunctional additives is a growing trend, providing multiple  properties in a single additive. For instance, Troy Corporation has introduced ‘Troysol ZLAC’, a substrate wetting and flow additive that subsidizes volatile organic compounds (VOC) emissions from the substrate during and after application of paint or a coating. The paints as well as coatings are mainly used in automotive, architectural, wood, industrial, aerospace, and marine applications. Hence, the current market trend is rising demand from architectural, automotive and industrial applications.

MARKET DRIVERS

“Growing demand for Additives from Paints & Coatings Industry to Aid Market Growth”

Paints & coating additives are mainly used for enhancing the performance and provide surface protection. The rise in the consumption from the construction industry will effectively influence the market growth. In construction industry, these additives are used as thickeners, emulsifiers, dispersants, deformers, leveling agents, photo-stabilizers, and curing catalysts. They provide corrosion protection to substrates of buildings & infrastructures, increase substrate durability and shelf life of coatings. The production of paints & coatings is expected to be high due to its increasing application in construction, automotive, aerospace, equipment manufacturing, and consumer durables which, in turn, will lead to an increase in the demand for additives.

Moreover, growing residential construction segment in Asia Pacific is expected to drive the market for additives in paints and coatings production and increasing demand for multifunctional additives is expected to support the market growth.

SEGMENTATION

By Type Analysis

“Rheology Control Agent is Anticipated to Exhibit a Significant CAGR during the Forecast Period”

The global market has been segmented into dispersing agent, rheology control agent, leveling agent, anti-foam agent, adhesion promoting agent, and others, on the basis of types. Amongst these, rheology control agent accounts for the largest paints and coatings additives market share owing to its use in adjusting thickness during paints & coatings application on the substrate, prevention of sagging, facilitating painting, and prevention of sedimentation.

Similarly, anti-foaming agent reduces the formation of foam and dispersing agent prevent settling or clumping and enhances separation of particles. Leveling and adhesion promoting agents provide uniformity and superior adhesion during application. Moreover, other types of additives including scratch-resistant, UV protector, corrosion inhibitor, curing accelerator, texturizer, preservatives, and flame retardant offer surface protection in various applications. Hence, increasing demand for these additives from various industries will also drive the demand for these additives, substantially.

By Application Analysis

“The Architectural Segment is Expected to Generate the Highest Revenue during the Forecast Period”

The paints & coatings additives market is segmented into automotive, architectural, wood, industrial, and others, on the basis of application. Amongst these, architectural segment is expected to remain dominant during the forecast period. In architectural segment, these products are used for surface protection, corrosion inhibition, and decoration of buildings and infrastructure. The growing construction industry has led to a rise in the consumption which, in turn, is expected to lead to an increased consumption of paints & coatings additives.

Paints & coatings have industrial applications in metal equipment and machinery coating, plastic coating, and paper coating. Rising demand for surface protective agents from industrial applications has led to the demand for additives. In automotive industry, additives are used for covering the parts of automobiles with the intent to provide surface protection, scratch resistance, texture enhancement, and prevention of corrosion.

Additionally, in the rising furniture industry will lead to an increase in the demand paints and coatings to enhance the durability and shelf life of the wood used for making the furniture. Additives are also added to the paints & coatings that are used in marine and aerospace industries.

REGIONAL ANALYSIS

Asia-Pacific accounted for the highest paints additives market share in 2018 and is expected to remain largest throughout the forecast period owing to the increased demand from construction, automotive, furniture, and industrial applications. Growth in the construction industry is a key market driver in this region. China, Japan, and India are thee major countries contributing to the market growth in this region owing to the rising demand for paints & coatings from construction industry in these countries.

Europe is projected to witness substantial growth in the paints & coatings additives industry. The increasing demand from the industrial and automotive applications would contribute to the growth of the additives market in this region. Moreover, the use of the paints & coatings for the purpose of decoration of building and infrastructure is another factor driving the market in Europe.

The paints & coatings additives market in North America is anticipated to grow at a significant CAGR. The U.S. is one of the major consumers especially the inductries such as automotive and construction, which will aid market growth.

In Rest of World, high demand from architectural and industrial applications is one of the major factors influencing growth of the coatings additives market. These additives are widely used for surface protection from varying temperatures and environmental conditions in this region.

KEY INDUSTRY PLAYERS

“Key Market Players Are Expected to Strengthen the Market Position by Providing Paints & Coatings Additives Solutions to the Construction Industry”

The major producers of paints & coatings additives are spread out over the globe leading to a diversified market. The producers located in North America and Europe region are aiming to increase their presence in China and other countries in Asia Pacific in order to strengthen the market position and drive the business growth of the organization. The key players in the market have developed strong regional presence, distribution channels, and product offerings.

LIST OF KEY COMPANIES PROFILED:

• The Dow Chemical Company


• Evonik Industries AG


• BYK


• Clariant


• Kyoeisha Chemical Co., LTD.


• Arkema


• BASF SE


• Lubrizol Corporation


• ELEMENTIS


• Kusumoto Chemicals, Ltd.


• ALLNEX NETHERLANDS B.V.


• Shin-Etsu Chemical Co., Ltd.


• Shamrock Technologies


• King Industries


• Troy Corporation     


• Solvay S.A.


• San Nopoco Limited


• keim additec surface GmbH


• Other Key Players

REPORT COVERAGE

A growing trend has been observed in the penetration of the paints & coatings additives market across industries such as construction, automotive, and furniture owing to factors such as technological advancements, regulations demanding VOC-free coatings and others.

Along with this, the report provides an elaborative analysis of the paints coatings additives market dynamics and competitive landscape. Various key insights presented in the report are the price trend analysis, recent industry developments in the global additives market, the regulatory scenario in crucial countries, macro, and microeconomic factors, SWOT analysis, and key industry trends, competitive landscape and company profiles.

Report Scope & Segmentation

Key Industry Developments

• In January 2017, Evonik acquired Air Products’ performance materials division. Following this acquisition, the company merged the coatings business of its silica business line, the coating additives business line, and the specialty additives branch of Air Products with a focus on substrate wetting additives. This acquisition & merger will help the company in the development of innovative solutions for various formulation challenges in the paints & coatings industry.


• In March 2018, Solvay expanded its portfolio with new performance additives and specialty monomers for paints, coatings, adhesives and inks. The products will deliver benefits which include, emulsion stability, particle-size control, better adhesion to substrates, and improved wetting & dispersion


• In December 2018, Elementis PLC acquired a production facility at Mumbai, India for US$ 4 Mn which will serve the personal care, coatings, and energy markets in India and globally.