The industry of paint products of automobiles is evolving at a slow yet steady rate. Automotive paints technology has evolved in line with the changing demands of the market. The type, quality and utility of the automotive paints is evolving on a constant basis. This is a great sign for the existing business in the market. It is also a positive sign for the investors and businesses from different parts of the world who are interested in making larger investments and expansions in the industry. Global automotive paints market is largely driven by the changing demand pattern from different parts of the world. Increasing production of automobiles, modifications and growth in emerging markets are forcing the businesses in this industry towards technological advancements.
Segments in Automotive Paints Industry
Categorization in the global automotive paints market is based on the types of vehicles, technologies, paint coats, paint textures and demands in various geographic regions. Following are the details of the segmentation in the industry:
- Texture: Solid and metallic
- Technologies: Waterborne, solvent-borne and powder coating
- Coats: Primer, basecoat, electrocoat and clearcoat
- Vehicles: Passenger cars, heavy commercial vehicles and light commercial vehicles
- Geography: North America, Asia Oceania, Europe and rest of the world (RoW)
Industry for automotive paints started at modest size, which delivered pigments, varnishes and natural colors at first. These colors were ideal to be used on wooden parts. However, along with the developing automotive market, the industry also started taking shape to deliver as per the industry demands. One of the major drivers for the change in technology for the industry was the effort to provide safety, better designs and occupancy. As the wooden parts were replaced by lightweight materials, the type of automotive paints changed as well. Today’s industry for automotive paints is broadened with high-tech polymer based coatings and technological advancements. All these aspects have significantly influenced growth in terms of revenue, business opportunities and expansions.
Based on the market research reports, global automotive paints market is expected to grow at a steady CAGR of over 6% from 2013 to 2018. At this rate, the industry will reach $11.7 Billion by the end of 2018. By this time, the market is anticipated to sell 998.7 million gallons of automotive paints. Based on the same reports, developing countries in the emerging markets are expected to perform better during the forecasting period. Growth in the automotive sector will directly influence the demand and production ratio of paints for automobiles.