Green Coatings Market Expected to Reach $104.0 Billion by 2030

According to a new report published by Allied Market Research, titled, "Green Coatings Market by Type and Application: Global Opportunity Analysis and Industry Forecast, 2021-2030," the global green coatings size market was valued at $67.3 billion in 2020, and is projected to reach $104.0 billion by 2030, growing at a CAGR of 4.3% from 2021 to 2030.

Green coatings are typically non-toxic materials with low or no volatile organic compound (VOC) emissions, making it easier for manufacturers to deal with government and other regulatory requirements. Traditional solvent coatings contain harmful components, particularly volatile organic compounds (VOCs) such as benzene, formaldehyde, and others, which harm the environment and create human health concerns. Ozone depletion, air pollution, headaches, kidney problems, respiratory problems, disorientation, allergic responses, and other side effects are among them. According to the World Health Organization (WHO) and Danish experts, many non-green coatings are carcinogenic, with the extra risk of neurological impairment. As a result, green coating is an environmentally friendly method of combating pollutants and health risks associated with traditional solvent-based coatings.

Strict environmental regulations imposed by government and rise in awareness & health concerns among people regarding the drawbacks of traditional solvent-based coatings drive the market growth. Moreover, new technological advancement and high economic growth rate in different regions are other factors that support the growth of the market. However, volatility in cost and availability of raw materials mark the rise in the price of green coatings, which in turn, limits the market growth. Moreover, new product development and increase in use of radiation cure coatings make way for growth opportunities for the market.

Impact of COVID-19 on Global Green Coatings Market

• The outbreak of COVID-19 led to partial or complete shutdown of production facilities that do not come under essential goods, owing to prolonged lockdown in major countries, such as the U.S., China, Japan, India, and Germany. It led to either closure or suspension of their production activities in most of the industrial units globally. 
• Construction & infrastructure was one of the most affected sectors, owing to lockdown announced in several countries. Lockdown has affected several construction and infrastructure projects due to supply chain disruptions and unavailability of workers.
• Since the advent of the COVID-19 pandemic, the architectural coatings, industrial coatings, automotive coatings, wood coatings, and packaging coatings sectors witnessed a severe decline. As a result, demand for green coatings in the construction sector decreased, thereby affecting the market growth.

The green coatings market is segmented into type, application, and region. By type, the market is segregated into waterborne coatings, powder coatings, high-solids coatings, and radiation cure coatings. On the basis of application, it is fragmented into architectural coatings, industrial coatings, automotive coatings, wood coatings, packaging coatings, and other. Region wise, the market is analysed across North America, Europe, Asia-Pacific, and LAMEA.

By type, the waterborne coatings segment is projected to hold a significant share in the market. Waterborne coatings provide the market with ample growth opportunities. These types of coatings are advantageous to the environment. It meets the European and U.S. regulations regarding volatile organic compound emission. Waterborne coatings release VOC content of fewer than 3.5 pounds per gallon.

By application, the architectural coatings segment is projected to contribute a significant share in the market, increasing infrastructure spending coupled with rising economic development in Asia-Pacific and the Middle East are expected to drive green coatings market growth.

Region wise, Asia-Pacific is projected to hold a significant share in the global green coatings market, owing to high application of green coatings in the defense industry, coupled with presence of high defense expenditure in the region.

The major companies profiled in this report include, Akzo Nobel N.V., Arkema Group, Asian Paints Limited, Axalta Coatings System, BASF SE, Berger Paints India Limited, Jotun A/S, Lifetime Green Coatings, PPG Industries, and The Sherwin-Williams Company. These players have adopted strategies such as product launch and business expansion to sustain the competition and to strengthen their foothold in the market.

Key Findings of Study

• Region-wise, Asia-Pacific is projected to grow at the highest CAGR of nearly 5.2%, in terms of revenue, during the forecast period.
• On the basis of application, the architectural coatings segment accounted for the largest market share in 2020.
• Depending on type, the waterborne coatings segment garnered the highest share in 2020.