The automotive industry is undergoing a significant transformation. Coatings have an important role to play in making new technologies possible. Beyond their traditional jobs of protecting automobile components from corrosion, abrasion, and ultraviolet (UV) degradation and providing a unique and striking appearance, automotive coatings are already providing additional functionality. There are different types of resins in use such as polyurethane, polyacrylic, acrylic, epoxy, alkyd, and others This includes soft-touch and sound-dampening interior surfaces and self-healing and easy-to-clean exterior surfaces. Acrylic enamels, which come in lacquers, enamel, and urethane variants are mostly used in exterior car coatings. Automotive OEM coatings possess advantages such as higher reliability, longer equipment life cycle, maintenance cost reduction, and low on toxic emissions. Moreover, the rise in the public transportation expenditure and adaption of the automotive coating by end-users is some factor imposing market growth. The automotive industry with a growing production of 77.5 million productions in 2020 according to Organisation Internationale des Constructeurs d'Automobiles (OICA) portraying a very positive impact on the Automotive OEM Coatings.
COVID-19 Impact
The coronavirus pandemic is triggering disruption and economic poverty around the globe. From Asia to Europe to North America, no country has been secured the virus’s effects and its economic fallout. Similarly, nearly all sectors have been shaken by the pandemic, and the globally unified automotive industry is no different and which has put a negative impact on Automotive OEM Coatings Market. Though the impact of the pandemic has had on people’s work, travel and day-to-day lives have had a radical effect, drastically altering consumer outlines and actions. And, of course, this has in turn distressed manufacturers, dealers, financiers, and many other related sectors. Automotive industry players can influence the crisis to create long-overdue changes and create new opportunities going forward.
Request for Sample Report @ https://www.industryarc.com/pdfdownload.php?id=11697
Report Price: $4500 (Single User License)
Automotive OEM Coatings Market Segment Analysis - By Technology
Water Borne held the largest share of 37% in the Automotive OEM Coatings Market in 2020. It contains small clusters of insoluble resin particles that are suspended in water using mechanical agitation. Small quantities of organic solvents are used as coalescing agents, which evaporate on drying. The resins used in these types of dispersion paints include vinyl propionate copolymers, vinyl acetate copolymers, acrylate-methacrylate copolymers, and styrene-butadiene copolymers and polymers. Colloidal dispersions are used mainly to coat porous materials. When solvent-borne is used for varnishing a can, it produces around 55% to 60% solvent content, with waterborne it brings it down to 14%, a major reduction. It is Low toxicity and flammability due to low VOC levels and HAP emissions and helps reducing air emissions. The industries for instance, Pittsburgh Plate Glass Company (PPG) has Launched Low-VOC Waterborne Coating System for China Refinish Market. On the other hand, Axalta expands plant for water-borne coatings in Jiading, Shanghai, China. Such initiatives all over is highly enhancing the Automotive OEM Coatings.
Automotive OEM Coatings Market Segment Analysis - By Coatings Layer
Electrodeposition Coating (ED) held the largest share of 34% in the Automotive OEM Coatings Market in 2020. It provides analytical adhesion and corrosion protection to the vehicle. The application process consists of several steps that include cleaning, the ED dip, rinsing, and baking. The ED coating consists of film-forming resins, pigments, and additives. Industry advancements such as thinner film thickness, lower bake temperatures, and heavy-metal-free formulations have placed even greater demands on the coating system and process. For performance and economic reasons, it is critical to avoid any defects, which include craters and surface roughness. For instance, The U.S. Department of Energy's Vehicle Technologies Office collaborated with Argonne National Lab, Oak Ridge National Lab, Navitas Systems, and Pittsburgh Plate Glass Company, together has completed a project of $40.9million in 2020 where they have utilized advanced electrodeposition coating materials and application processes to produce battery electrodes. With Improve battery performance and as well as reduce cell costs by at least 20%. The developments and initiatives are enhancing the growth of the Automotive OEM Coatings Market.
Automotive OEM Coatings Market Segment Analysis - By Resins
Acrylic dominates the Automotive OEM Coatings Market growing at a CAGR of 38%. Acrylic resins are coating additives for automotive interiors and exteriors which provide outstanding solvent and weather resistance, fast drying properties, and pigment dispersibility. It exhibits exceptional light and U.V stability, transparency, high colorability, good resistance to chemicals, fumes, and weathering. Acrylic-based coatings can be applied on plastics, wood, metal, glass, and more. Acrylics reduce the Volatile Organic Compounds (VOC) levels when used in waterborne systems. Acrylic-based coatings find applications in the automotive industry where color retention under outdoor exposures is vital and beneficial too. The demand for acrylic resins can escalate the growth rate Automotive OEM Coatings Market.
Automotive OEM Coatings Market Segment Analysis - By Types of Vehicles
Passenger Vehicles dominates the Automotive OEM Coatings Market growing at a CAGR of 9.1%. The demands for automotive OEM coatings are mostly from the passenger car segment. The coatings are applied around and inside the doors, hood, trunk, and front dash, and onto the exterior and interior of metal joints and outer area of the back wheel. Also, the noise and vibration transferred from the engine, drive train, suspension system, the underbody coatings reduce noise transfer into the passenger compartment of the automobile. The underbody coating also provides anti-corrosion and chipping protection. According to Organisation Internationale des Constructeurs d'Automobiles (OICA), total sales of passenger vehicles in 2020 was 53.5 million approx. The government initiatives and development, for instance, in 2018, the Ivoirian government passed a law limiting the importation of private-use vehicles over five years old and mini-buses over seven years old. As a result, statistics from the Automotive Trade Professionals Association show new car sales increased 16% from May 2018 to May 2019 and on the other hand, India has seen a sharp rise of 14.19% in Passenger vehicles in 2020. Such edges and growth have escalated the demand growth of the Automotive OEM Coatings Market.
Automotive OEM Coatings Market Segment Analysis - By Application
Exterior held the largest share in the Automotive OEM Coatings Market in 2020 up to 52%. The exterior of the automotive includes Bumper, Hood, Roof Racks, wheels, and others. The coating is to give the vehicle a protective layer that protects the original paint, while giving a glossy and shiny finish along with excellent stone chip resistance, even at higher layer thickness, High flexibility, low pin holing sensitivity, good wet adhesion, and many others. Coatings can protect vehicles from harmful UV rays, which makes the car paint appear new and shiny for much longer.
Automotive OEM Coatings Market Segment Analysis - Geography
Asia Pacific region held the largest share in the Automotive OEM Coatings in 2020 up to 42% followed by North America and Europe. The demands in the Asia-Pacific are growing as for the rapid increase in population which leads to increased demand for effective mobility. The region has a reputation as being inland to certain of the world's most esteemed vehicle manufacturers like Toyota, Honda, Hyundai, Kia, Tata, and others with a production of 44.2 million in 2020, according to Organisation Internationale des Constructeurs d'Automobiles (OICA). China is the largest automotive producer with 25.2 million production in 2020. As with the growing scale of the automotive industry in the APAC region, the automotive OEM coatings demands increased day by day. And to meet the growing demands numerous initiatives have been taken, for instance, in Thailand, the new plant of automotive coatings manufacturing facility has been inaugurated and will produce solvent-borne and waterborne automotive coatings to meet growing market demand in the region. On the other hand, In India International, Advanced Research Centre for Powder Metallurgy and New Materials (ARCI) scientists develop friction-reducing nanocomposite coatings to reduce friction, wear, and tear to enhance the life of automotive components life. Besides, the Government of India expects the automotive industry to reach around US$ 10 million in local and foreign investment by 2023. With the rapid developments and the growing demands in the automotive sector, the Automotive OEM Coatings Market is expected to escalate in the forecast time period.
Automotive OEM Coatings Market Drivers
UV-Cured coatings in the automotive industry
It is a process to cure coatings by a chemical process initiated and sustained by UV energy. In less than a minute the coating is converted from a liquid to a solid. There are fundamental differences in some of the raw materials and the functionality of the resins in the coating, but these are transparent to the coating user. The UV-Cured coatings in the automotive industry is poised for rapid growth owing to its properties like environment friendly, reduces set-up labor cost, and highly improved physical properties. LED curing allows the use of 100% solids formulations and provides fast curing with no thermal heating/ovens, increased production speeds, and a reduced footprint. They consume 50–75% lower energy and provide for significantly reduced heat transfer to the substrate, allowing UV curing on heat-sensitive materials. For instance, Electrolube launched next-generation UV Cure Coatings to meet the various requirements of the automotive industry which is solvent-free, Volatile Organic Compound (VOC)-free and provides unsurpassed performance in harsh environments, including resistance to cracking during thermal shock cycling. On the other hand, Sun Chemical launched UV coating manufactured with 25% bio-renewable carbon content and with 12% post-consumer recycled materials. The rapid growing demands of UV_Cured coatings is likely to project a positive impact on the Automotive OEM Coatings.
Government initiatives on Automotive industries after the Covid-19 pandemic
Global trade relations, stronger emission regulations, and the coronavirus outbreak could all have a serious impact on the automotive OEM coatings market. Although the automotive industry continues to find ways to restart around the world, government intervention is playing a driving role in how manufacturers and brands recover. Some of the measures taken by the government in different regions to overcome the pandemic loss, for instance, France committed to making clean vehicles, i.e., to increase the output of electric and hybrid cars to more than one million per year over the next five years and for the US$ 9.7 Billion rescue plan has been announced to car industry. The German government has not implemented any tax support measures dedicated to the auto industry. Whereas, In India, the automotive industry is currently engaged in dialogue with the government on a policy to temporarily reduce standard goods and service tax rate by 10% across all vehicle categories and auto components. Despite slowdowns in 2020, such initiatives for the automotive industry will enhance the demands of the Automotive OEM Coatings market.
Inquiry Before Buying @ https://www.industryarc.com/reports/request-quote?id=11697
Automotive OEM Coatings Market Challenges
Limitations of Powder coatings with glass
Powder coatings are mostly used for metal materials, such as steel, stainless steel, aluminum, and brass, however they are also capable to be applied to a variety of non-metals, including glass or fiberboard. The range of materials that are suitable for powder coating is limited by the fact that powder coatings must be heat cured. Therefore, any materials, especially non-metals, undergoing the powder coating process need to be able to withstand the curing temperatures of the oven without melting, burning, or deforming. Which leads to damages to the product sometimes. And the limitation has the competence to hinder the market of Automotive OEM Coatings.
Coatings can cause volatile-related issues on the vehicle surface
Volatile-related problems like gassing, defects that resemble solvent popping but are caused by volatiles that originate from the substrate and air entrapment, air bubbles trapped in the paint during manufacture or application can result in bubbles, pinholes, and crater-like defects in the cured film. These defects hurt appearance and may compromise the protective ability of the coating. When they appear, they must be sanded and repaired, which can lead to additional defects. Such setbacks may hinder the growth rate of the Automotive OEM Coatings Market..
Automotive OEM Coatings Market Landscape
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the UV-Curable Adhesives. Major players in the Automotive OEM Coatings Market are BASF SE (Germany), PPG Industries Inc. (US), Nippon Paints Holdings Co. Ltd (Japan), Akzo Nobel N.V. (The Netherlands), Axalta Coating Systems Ltd (US), Berger Paints India Ltd (India), Kansai Paint Co. Ltd (Japan), The Sherwin-Williams Company (US), KCC Corporation (South Korea), Covestro AG (Germany), Esdee Paints Ltd (India), Lubrizol Corporation (US).
Acquisitions/Technology Launches/ Product Launches
In September 2020 Badische Anilin- und SodaFabrik BASF has launched a new waterborne coating solution line, most advanced refinish product line. It is Eco-friendly automotive refinish coatings with low volatile organic compounds (VOCs).
In September 2020 Nippon Paint India, part of the NIPSEA Group, has launched a new international automotive refinishes product system under the n-MAXbrand. The n-MAX range includes N Max SB – equipped with a vast range of OEM color formulations and supported by its advanced Nippon Paint Partner digital color retrieval system with 5 angle spectrophotometers.
Key Takeaways
Asia Pacific dominates the Automotive OEM Coatings Market owing to rapid increase in Automotive, Building and construction sectors.
The market drivers and restraints have been assessed to understand their impact on the forecast period.
The report further identifies the key opportunities for growth while also detailing the key challenges and possible threats.
The other key areas of focus include the various applications and end-use industry in Automotive OEM Coatings Market and their specific segmented revenue.
Due to the COVID-19 pandemic, most of the countries have gone under temporary shutdown, due to which operations of Automotive OEM Coatings related industries has been negatively affected, thus hampering the growth of the market.
Related Reports:
A. Powder Coatings Market
industryarc.com/Report/11730/powder-coatings-market.html
B. Automotive Refinish Coatings Market
https://www.industryarc.com/Report/11698/automotive-refinish-coatings-market.html
For more Chemicals and Materials related reports, please click here
