Automotive Coatings Market

Global Automotive Coating Market Overview

The Automotive Coating Market Size was valued at USD 22.6 Billion in 2023. The Automotive Coating industry is projected to grow from USD 24.2 Billion in 2024 to USD 56.4 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 11.2% during the forecast period (2024 - 2032). Automotive coatings are water-resistant dry coatings that are used to protect vehicles from corrosion and improve their appearance and performance. Such coatings are made from raw materials such as acrylics, titanium dioxide, and pigments derived from petroleum-based chemicals, and they have important properties such as a good elastomeric finish and a higher surface hardness. They're used on metal surfaces like car bodies, wheels, and parts. With increased demand from OEMs, the automotive coatings market is expected to grow significantly over time.

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Automotive Coating Market Trends

• Growing Trends for Automotive Refinishing Coatings are Driving Automotive Coatings Market Growth.

The emergence of autonomous and electric vehicles makes waves in the automotive industry. As OEMs are increasingly adopting the use of ADAS (advanced driver assistance programs), physical stores are therefore seeing an increase in the complexity and repair costs, with the particular effort required to maintain and evaluate these systems following OEM specifications.

Also, increasing demand for automotive coatings to enhance durability and enhance the appearance of automobiles. These coatings are also protecting automobiles from several adverse effects of harsh environmental conditions such as UV radiation, foreign particles, acid rain, and, extreme temperatures. These benefits are likely to expand the rapid industry growth during the forecast period. 

Additionally, Growing trends in automotive refinishing, custom paint designs, and vinyl are likely to drive the use of automotive coatings solutions. These products help protect and enhance custom vehicle paint coating finishes, increasing the visibility and longevity of expensive paint customizations. In addition, these coatings also protect against general wear and tear and protect the coatings from long-term exposure to the sun, which is likely to expand this market.China saw the launch of BASF's ColorBrite® Airspace Blue ReSource basecoat in 2022. The product was certified by REDcert² utilizing a biomass balancing technique. Since their formal launch in Europe in May of this year, BASF's biomass balancing car OEM coatings have not before been offered in Asia.

Automotive Coating Market Segment Insights

Automotive Coating Resin Type Insights

The Automotive Coating Market segmentation, based on Resin Type, includes Acrylic, Epoxy, Polyurethane, and Others. Automobile coating made of polyurethane is the market’s largest segment. This is due to their increased use in topcoats (clearcoat and basecoat). Due to its flexibility, resistance to heat, corrosion, and impact, this resin is suitable for use in basecoat and clearcoat. 

Automotive Coating Coat Type Insights

Based on Coat Type, the Automotive Coating Market segmentation includes Basecoat, Clearcoat, E-coat, and Primer. The basecoat dominates the market owing to the use of new and innovative technologies that are being developed by motorized coating producers. In the innovative integrated system, the introduction layer is omitted and is substituted with two layers of basecoat which is an advanced basecoat. These generous technological developments are predicted to drive the basecoat sector in the automotive coating market.

Automotive Coating Technology Insights

Based on Technology, the Automotive Coating Market segmentation includes Solvent-Borne, Water-Borne, Powder Coating, and Others. Water-borne technology is the fastest-growing segment due to its low deadliness, low VOC stages, and low HAP discharges, which helps to reduce air radiation; the use of eco-friendly machinery in coating systems is driving the market growth.

Figure 2: Automotive Coating Market, by Resin Type, 2022 & 2030 (USD Billion)Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Automotive Coating Regional Insights

By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The Asia Pacific region held the largest market share and is anticipated to dominate the market during the forecast period. China, Japan, India, and South Korea are driving the growth of the market in the region due to increasing demand for affordable vehicles in the region.  Moreover, the growing demand and production of passenger and commercial vehicles have further increased the need for automotive coatings. In addition, the government's support for EV vehicles has also increased the demand for coatings and driven market growth.

Figure 3: AUTOMOTIVE COATING MARKET SHARE BY REGION 2022 (%)Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

North America is expected to witness a considerable growth rate by 2029. With strict government regulations and norms for carbon emission, most of the car manufacturers in North America are shifting their vehicle production towards vehicle electrification, which has increased the demand for commercial vehicles, and the logistics and e-commerce business is most benefitted from this shift, thus driving the regional market growth. According to the OICA (Organisation Internationale des Constructeurs d'Automobiles), the U.S. accounted for 1,926,795 car sales in 2020 and 6,895,604 sales of commercial vehicles in the same year. Additionally, increasing focus on reducing carbon emissions of vehicles has shifted the focus of various manufacturers towards electric vehicles, thus boosting the market growth in the region.

Europe is expected to witness steady growth during the forecast period due to increasing vehicle production in countries including Germany, Italy, Sweden, France, the U.K., and the Czech Republic. Furthermore, the growing population along with rising income levels are likely to stimulate demand over the forecast period. Additionally, innovation in vehicle coatings and Europe’s car industry is the biggest investor in R&D shall drive the regional market growth shortly.

Automotive Coating Key Market Players & Competitive Insights

Major market players are spending a lot of money on R&D to increase their product lines, which will help the Automotive Coating market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the Automotive Coating industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.

The major market players are investing a lot of money in R&D to expand their product lines, which will spur further market growth for Automotive Coating. With significant market development like new product releases, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations, market participants are also undertaking various strategic activities to expand their global presence. To grow and thrive in a market climate that is becoming more competitive and growing, competitors in the Automotive Coating industry must offer affordable products.

Manufacturing locally to cut operating costs is one of the main business tactics manufacturers use in the global Automotive Coating industry to benefit customers and expand the market sector. The Low-Profile Additives market has recently given medicine some of the most important advantages. Major Automotive Coating market players, including BASF SE (Germany), Axalta Coating Systems (U.S.), Kansai Paint Co., Ltd. (Japan), Akzo Nobel N.V. (Netherlands), and others, are attempting to increase market demand by funding R&D initiatives.

BASF is a company that provides petrochemicals, intermediates, performance materials, monomers, dispersions and pigments, performance chemicals, catalysts, coatings, and care chemicals. It conducts its operations through six business segments: Chemicals, Materials, Industrial Solutions, Surface Technologies, Nutrition and Care, and Agricultural Solutions.

Also, AkzoNobel is a company that manufactures paints and coatings. It offers products such as decorative paints, automotive, specialty, marine, protective, yacht, industrial, and powder coatings. The company operates several brands, such as AkzoNobel, Alabastine, Alba, Apla, Cetol, Coral, Dulux, Flexa, Glitsa, Herbol, and Lesonal.

In 2023, DuPont declared that the major building materials show in Taiwan, Taipei Building Show, will include a number of new products from Coryor Surface Treatment Company Ltd. and Nippon Paint Taiwan, including printed Tedlar® PVF solutions and PVF coating. DuPont and Coryor Surface Treatment Co. collaborated closely to introduce the printed PVF film solutions that were showcased during the exhibition.

In 2024, AkzoNobel declared that it has created a new dark gray, conductive 2K solvent-borne primer for OEM manufacture of plastic parts, which are becoming more and more difficult for automakers to adhere to. Low surface energy and poor adhesion are caused by low polarity plastics, including polypropylene, which makes coating plastic components like bumpers, rocker panels, and contrasting features difficult.

Key Companies in the Automotive Coating market include

• BASF SE (Germany)
• Axalta Coating Systems (U.S.)
• Kansai Paint Co., Ltd. (Japan)
• Akzo Nobel N.V. (Netherlands)
• Jotun (Norway)
• Nippon Paint Holdings Co., Ltd. (Japan)
• PPG Industries, Inc. (U.S.)
• The Valspar Corporation (U.S.)
• Arkema SA (France)
• Berger Paints India Limited (India)
• Clariant (Switzerland)
• Koninklijke DSM N.V. (Netherlands)
• Cabot Corporation (U.S.)
• The Sherwin-Williams Company (U.S.)
• Bayer AG (Germany).

Automotive Coating Industry Developments

Akzo Nobel N.V., a Dutch multinational company that manufactures paints and performance coatings for both industry and consumers worldwide, has acquired Colombia-based paints and coatings firm Grupo Orbis, bolstering its long-term position in Latin America. The Pintuco paints and coatings business, Andercol and Poliquim (resins, emulsions, adhesives, and specialty chemicals), Mundial (paints and related product distribution services), and Centro de Servicios Mundial are all included in this transaction.

PPG, global paint, coatings, and specialty materials supplier headquartered in Pittsburgh, has acquired Hemmelrath's Erlenbach site to expand its automotive coatings portfolio. This acquisition will help the company expand its automotive coatings offering by expanding its formulating and manufacturing capabilities. The clearcoat unit employs fully automated production technology, allowing for faster and shorter manufacturing periods, as well as the flexible production of several batch sizes ranging from 25 to 50 metric tonnes.

Automotive Coating Market Segmentation

Automotive Coating Resin type Outlook

• Acrylic
• Epoxy
• Polyurethane

Automotive Coating Technology Outlook

• Basecoat
• Clearcoat
• E-coat

Automotive Coating Coat type Outlook

• Solvent-Borne
• Water-Borne
• Powder Coating

Automotive Coating Regional Outlook

• North America

  • US
  • Canada

• Europe

  • Germany
  • France
  • UK
  • Italy
  • Spain
  • Rest of Europe

• Asia-Pacific

  • China
  • Japan
  • India
  • Australia
  • South Korea
  • Australia
  • Rest of Asia-Pacific

• Rest of the World

  • Middle East

  • Africa

  • Latin America

Automotive Coating Resin Type Outlook (USD Billion, 2018-2030)

• Acrylic

• Epoxy

• Polyurethane

Automotive Coating Coat Type Outlook (USD Billion, 2018-2030)

• BASECOAT

• Clearcoat

• E-coat

Automotive Coating Technology Outlook (USD Billion, 2018-2030)

• Solvent-Borne

• Water-Borne

• Powder Coating

Automotive Coating Regional Outlook (USD Billion, 2018-2030)

• North America Outlook (USD Billion, 2018-2030)

  • North America Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • North America Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • North America Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

  • US Outlook (USD Billion, 2018-2030)

  • US Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • US Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • US Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

  • CANADA Outlook (USD Billion, 2018-2030)

  • CANADA Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • CANADA Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • CANADA Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

• Europe Outlook (USD Billion, 2018-2030)

  • Europe Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • Europe Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • Europe Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

  • Germany Outlook (USD Billion, 2018-2030)

  • Germany Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • Germany Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • Germany Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

  • France Outlook (USD Billion, 2018-2030)

  • France Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • France Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • France Automotive Coating by Technology

• • • Solvent-Borne

    • Water-Borne

    • Powder Coating

• UK Outlook (USD Billion, 2018-2030)

• UK Automotive Coating by Resin Type

  • Acrylic

  • Epoxy

  • Polyurethane

• UK Automotive Coating by Coat Type

  • BASECOAT

  • Clearcoat

  • E-coat

• UK Automotive Coating by Technology

  • Solvent-Borne

  • Water-Borne

  • Powder Coating

• ITALY Outlook (USD Billion, 2018-2030)

• ITALY Automotive Coating by Resin Type

  • Acrylic

  • Epoxy

  • Polyurethane

• ITALY Automotive Coating by Coat Type

  • BASECOAT

  • Clearcoat

  • E-coat

• ITALY Automotive Coating by Technology

  • Solvent-Borne

  • Water-Borne

  • Powder Coating

• SPAIN Outlook (USD Billion, 2018-2030)

• Spain Automotive Coating by Resin Type

  • Acrylic

  • Epoxy

  • Polyurethane

• Spain Automotive Coating by Coat Type

  • BASECOAT

  • Clearcoat

  • E-coat

• Spain Automotive Coating by Technology

  • Solvent-Borne

  • Water-Borne

  • Powder Coating

• Rest Of Europe Outlook (USD Billion, 2018-2030)

• REST OF EUROPE Automotive Coating by Resin Type

  • Acrylic

  • Epoxy

  • Polyurethane

• REST OF EUROPE Automotive Coating by Coat Type

  • BASECOAT

  • Clearcoat

  • E-coat

• REST OF EUROPE Automotive Coating by Technology

  • Solvent-Borne

  • Water-Borne

  • Powder Coating

• Asia-Pacific Outlook (USD Billion, 2018-2030)

  • Asia-Pacific Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • Asia-Pacific Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • Asia-Pacific Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

  • China Outlook (USD Billion, 2018-2030)

  • China Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • China Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • China Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

  • Japan Outlook (USD Billion, 2018-2030)

  • Japan Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • Japan Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • Japan Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

  • India Outlook (USD Billion, 2018-2030)

  • India Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • India Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • India Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

  • Australia Outlook (USD Billion, 2018-2030)

  • Australia Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • Australia Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • Australia Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

  • Rest of Asia-Pacific Outlook (USD Billion, 2018-2030)

  • Rest of Asia-Pacific Low-Profile Additives by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • Rest of Asia-Pacific Low-Profile Additives by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • Rest of Asia-Pacific Low-Profile Additives by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

• Rest of the World Outlook (USD Billion, 2018-2030)

  • Rest of the World Automotive Coating by Resin Type

    • Acrylic

    • Epoxy

    • Polyurethane

  • Rest of the World Automotive Coating by Coat Type

    • BASECOAT

    • Clearcoat

    • E-coat

  • Rest of the World Automotive Coating by Technology

    • Solvent-Borne

    • Water-Borne

    • Powder Coating

• Middle East Outlook (USD Billion, 2018-2030)

• Middle East Automotive Coating by Resin Type

  • Acrylic

  • Epoxy

  • Polyurethane

• Middle East Automotive Coating by Coat Type

  • BASECOAT

  • Clearcoat

  • E-coat

• Middle East Automotive Coating by Technology

  • Solvent-Borne

  • Water-Borne

  • Powder Coating

• Africa Outlook (USD Billion, 2018-2030)

• Africa Automotive Coating by Resin Type

  • Acrylic

  • Epoxy

  • Polyurethane

• Africa Automotive Coating by Coat Type

  • BASECOAT

  • Clearcoat

  • E-coat

• Africa Automotive Coating by Technology

  • Solvent-Borne

  • Water-Borne

  • Powder Coating

• Latin America Outlook (USD Billion, 2018-2030)

• Latin America Automotive Coating by Resin Type

  • Acrylic

  • Epoxy

  • Polyurethane

• Latin America Automotive Coating by Coat Type

  • BASECOAT

  • Clearcoat

  • E-coat

• Latin America Automotive Coating by Technology

  • Solvent-Borne

  • Water-Borne

  • Powder Coating