The Road Marking Materials Market size is forecasted to reach US$8.3 billion by 2027, after growing at a CAGR of 4.2% during the forecast period 2022-2027. Road marking materials such as retroreflective material, reflective markers, water-based paints, thermoplastic and others are often deployed across various road construction applications. These road marking materials are highly reflective materials, which improve visibility even in inclement weather or other low-light conditions. Along with this, it aids in increasing driver awareness of nearby danger zones and advises them to maintain adequate speed management. The growth of the highway construction projects is primarily accelerating the road marking materials market growth. However, in 2020, the shortage of raw materials, restrictions on the labor movement and other restrictions due to the Covid-19 pandemic negatively impacted the growth of the road marking materials industry. In 2021, the surge in the production activities, due to economic stimulus packages, ease of Covid-related regulations and other factors aided the market growth. Moreover, bolstering pavement development projects will boost the demand for road marking materials. This, in turn, will accelerate the expansion of the road marking materials market size in the coming years.
Report Coverage
The "Road Marking Materials Market Report – Forecast (2022 - 2027)” by IndustryARC, covers an in-depth analysis of the following segments in the Road Marking Materials Market.
Key Takeaways
- Asia-Pacific dominated the Road Marking Materials Market, owing to the growth of the road development projects in the region. For instance, as of July 2022, the Zengcheng-Foshan Expressway project is under construction phase in China, to be completed by 2025.
- The better endurance of the asphalt road surface is being ensured by the growing use of thermoplastic marking paints, owing to this the adoption of thermoplastic marking paint is increasing. This, in turn, is fueling market expansion.
- Moreover, the development of sustainable road marking materials is driving the growth of the road marking materials industry.
- However, the fluctuations in the prices of the materials may restrict the road marking materials market growth during the forecast period of 2022-2027.
Figure: Asia-Pacific Road Marking Materials Market Revenue, 2021-2027 (US$ Billion)
Road Marking Materials Market Segment Analysis – by Material Type
The Thermoplastic marking paints segment held the largest Road Marking Materials Market share in 2021 and is forecasted to grow at a CAGR of 4.3% during the forecast period 2022-2027. The primary composition of thermoplastic marking paints is a synthetic resin, additives and pigments like titanium dioxide. These compositions assist the paints to maintain their color and reflectivity over time. This coating is resistant to wear due to its high strength and durability. Thus, thermoplastic marking paints are an ideal material for roads. These paints come in a variety of colors, each of which has a distinct function. Rumble strips are made using thick, built-up layers of thermoplastic marking paint. Also, thermoplastic marking paints quickly dry and stick to the surface firmly. Thus, these beneficial properties of thermoplastic marking paints are accelerating the segmental growth of the road marking materials market.
Road Marking Materials Market Segment Analysis – by Application
The Highway segment held the largest Road Marking Materials Market share in 2021 and is forecasted to grow at a CAGR of 4.6% during the forecast period 2022-2027. On highways, road marking materials are used to direct traffic and alert pedestrians. There are initiatives to standardize such markers across borders since uniformity of the markings is a crucial component in eliminating ambiguity and confusion about their meaning. As a result, retroreflective material, reflective markers, water-based paints, thermoplastic and other road marking materials are employed in highway development projects. The increase in infrastructure projects, federal government policy and other similar factors are driving the development of highway construction projects. For instance, the Argentinean infrastructure development projects such as Highway 18 in Entre Rios, Route 40 in San Juan and Provincial Route 8 in Buenos Aires are among the government's short-term investment plans, valued at US$310million. Moreover, in June 2022, the State Transportation Board of Phoenix approved the 2023-2027 Five-Year Transportation Facilities Construction Program. The approved five-year budget allots US$571 million for highway enlargement and interchange improvement projects. Hence, the growth of the new highway construction projects is fueling the demand for road marking materials. As a result, the market is expanding forward.
Road Marking Materials Market Segment Analysis – by Geography
Asia-Pacific is the dominating region as it held the largest Road Marking Materials Market share in 2021 up to 41%. The Asia-Pacific region has become a hub for various manufacturing industries such as food & beverage, chemicals & materials, electrical & electronics and more. As a result, the infrastructure development projects related to roads and highways have surged in recent years. This is due to the determinants such as increasing foreign investments in Asia, economic development and other similar factors are accelerating the development of new road and highway projects in Asia-Pacific. For instance, in September 2021, Vietnam’s prime minister, Pham Minh Chinh, approved the country’s road development plan for 2021-2030. The initiative aims at building more than 5,000 kilometers of expressways by the end of 2030. A draft version of the initiative listed around 25 road construction projects that will be prioritized for investment in 2021-2025. Moreover, as of May 2022, there are 465 road and highway development projects under construction phase in India. The completion year of these projects is 2023-2024. Therefore, the development of road and highway projects in Asia-Pacific is boosting the demand for road marking materials. This, in turn, is expanding the road marking materials market size forward.
Road Marking Materials Market Drivers
Surge in the Pavement Construction
Road pavement marking materials and raised pavement marker such as water-based paints, thermoplastic and others are utilized in pavements to ensure high retro-reflectivity, durability and more. The increasing government initiatives and new projects related to pavement development are fueling the development of new pavements. For instance, in June 2022, the 2023-2027 Five-Year Transportation Facilities Construction Program was approved by the State Transportation Board of Phoenix approved. In the five years, the proposal will spend more than US$2.5 billion on pavement preservation projects throughout Arizona, bringing 400 lane miles of pavement from fair to good condition. Furthermore, in December 2021, the development of new roadways and pavements in Ho Chi Minh City has been approved by the government of Vietnam. The overall cost of the development will be around US$211 million. Therefore, the surge in pavement construction is accelerating the demand for road marking materials, which, in turn, is accelerating the market growth.
The Development of Sustainable Road Marking Materials
The volatile organic compounds (VOCs) have been linked to ozone layer degradation and global warming and are present in conventional paints and varnishes. As the global trend toward sustainability picks up momentum, producers and researchers of road marking materials are concentrating their efforts on creating road markings comprised of environmentally beneficial materials. In 2020, for instance, SWARCO Road Marking Systems collaborated with students to assess the practicality of employing biopolymers in thermoplastic road markings. Additionally, the ToughLine line of road marking materials from the American company Aexcel Corporation is solvent-based, high performance and low VOC. Thus, the development of sustainable road marking materials is accelerating market growth.
Road Marking Materials Market Challenges
Fluctuations in the Materials Prices
Price fluctuations of materials such as acrylic, epoxy and others may limit the market growth. The materials industry in the UK, Europe and other regions of the world is suffering from shortages and a lack of access to essential raw materials, as well as sharp price hikes. For example, According to BCF's monthly raw material price survey, in the first quarter of 2021, the price of epoxy resin increased by 60 percent over the third quarter of 2020. Similarly, the prices of acrylic, thermoplastic and others have increased in recent times. As a result, fluctuating material prices may limit the road marking materials industry growth during the forecast period of 2022-2027.
Road Marking Materials Industry Outlook
Technology launches, acquisitions and increased R&D activities are key strategies adopted by players in the Road Marking Materials Market. The top 10 companies in the road marking materials market are:
- Sherwin Williams Company
- Geveko Marking
- Aximum SA
- Kelly Bros Erinline
- Swarco Limburger Lackfabric GmbH
- Ozark Materials LL
- Ennis Flint
- Roadmarking Industry Association of Australia
- Evonik Industries
- Automack Technologies
Recent Developments
- In October 2021, Swarco, based in Australia, acquired Hitex, a Cheshire road marking company. The key aim of this acquisition was to spur up the market share of Hitex in the United Kingdom's road marking materials industry.
- In November 2020, Geveko Markings, a significant competitor in the market for road marking materials, acquired French company Ore, a growing producer of safety and road marking paint. Geveko's efforts to grow the liquid markings market and provide its clients with a broad range of road marking solutions have advanced significantly as a result of the acquisition.
- In January 2020, Long-term pan-European private equity group THI Investments bought the
