Cool Roof Coatings Market Size, Share & Trends Analysis Report By End Use, By Product (Elastomeric, IR Reflective), By Application (Low-sloped, Steep-sloped), And Segment Forecasts, 2020 - 2027

Report Overview

The global cool roof coatings market size was estimated to be worth USD 3.59 billion in 2019 and is expected to register a revenue-based CAGR of 7.1% over the forecast period. The growth is attributed to the energy savings offered by this product. The rising adoption of green building codes by the emerging economies across the globe is anticipated to further fuel the demand for cool roof coatings. Rising concerns regarding rising carbon emission and energy consumption are encouraging governments to implement regulations for environmentally responsible buildings. This factor is expected to create growth opportunities for the cool roof coating market in near future.

Cool roof coating includes the reflective type of tiles, sheet covering, and protective coating that enable roofs to remain cooler and thus help reduce the temperature of the building. It helps save on the amount of money spent on air conditioning and other cooling systems. These coatings consist of white coatings or special reflective pigments that reflect sunlight and help protect the surface of roofs from ultra-violet radiations, water rusting, and chemical damages.

Cool roof coatings provide various advantages such as cost effective and high solar reflectivity which ultimately results in minimizing the heat buildup within commercial and residential spaces and reduces the dependence on air-conditioning, thus saving energy and diminishing air pollution. Rising inclination of consumers toward energy savings and favorable government policies concerning tax benefits encourages the usage of green building materials and is anticipated to propel the demand in the forthcoming years.

A prominent trend observed in the market is shifting consumer preference for cost-effective and long-lasting coatings as opposed to short-term, quick-fix solutions. Property managers and industrialists are studying the lifecycle assessment of cool roof coatings. Although cheaper variants help save expenses, the inevitable need to re-coat after three to five years turns out to be exponentially costlier in terms of material, labor, and time. This factor may challenge the growth in the near future.

Product Insights

Elastomeric coatings emerged as the largest product segment in the cool roof coatings market and accounted for over 64% of the revenue share in 2019. These coatings are extensively used in commercial and industrial constructions. The superior product performance and rising demand for energy-efficient roofing systems are the factors expected to drive the demand over the forecast period.

IR reflective coatings is anticipated to witness the fastest growth over the forecast period on account of the ability of the product to keep objects cooler as compared to that of conventional pigments. Pleasing aesthetic appeal offered by the dark colored IR reflective coatings gives this segment a competitive edge. Visual appeal plays an integral part for a building owner, thus triggering the product demand.

Application Insights

The low-sloped roof application segment dominates the cool roof coating market and is anticipated to register a significant CAGR over the forecast period owing to its advantages, such as less build-up material than the steep-sloped process and low initial installation cost. Low-sloped roofs are widely used for industrial and commercial buildings. Rising awareness regarding the importance of green building construction along with stern regulations concerning roofing materials for industrial and commercial constructions have resulted in greater penetration in low-sloped roofing systems.

Steep-sloped roofs application is anticipated to witness the fastest growth over the forecast period on account of their rising usage in the residential sector, particularly in regions with high snowfall and rainfall. Steep-sloped roof type needs lower maintenance due to the structural advantage which enables swiftly shed water and lower the risk of mold or mildew proliferation on the roof, resulting in lower penetration of coating products in such types of roofs. However, the demand for cool coatings is expected to grow in the steep-sloped roofs application segment in the forthcoming years, due to the increasing availability of quick-drying coatings and advanced techniques.

End-use Insights

Industrial emerged as the fastest growing end-use segment in 2019 and is expected to expand at a CAGR of 7.0%, in terms of revenue, over the forecasted period. The constant development of the industrial sector, predominantly in North American and Asian countries including the U.S., China, and Canada, as a result of high disposable income levels is likely to drive the growth of the segment over the forecast period.

The residential segment accounted for over 34% of the market share, by revenue, in 2019. The escalating popularity of colored enamels supported by the increasing adoption of green building codes in developing countries is expected to foster residential applications. The availability of colored IR reflective coatings has been responsible for the higher penetration in the residential segment. These enamels can be applied practically over any roofing material, and thus, have become a part of household renovations. Implementation of green building codes for individual homes and residential constructions, majorly in emerging countries is expected to propel demand in the coming years.

Regional Insights

North America held the largest market share of more than 34% in terms of revenue in 2019. Increasing awareness regarding building energy consumption, coupled with the implementation of the Leadership in Energy and Environmental Design (LEED) green building certification initiative, is likely to drive the regional demand for cool roof coatings.

The Asia Pacific is projected to be the fastest-growing region in near future on account of increasing acceptance of green building codes. The growing construction industry in the emerging economies of Asia Pacific and increased infrastructure spending by the governments of India and China are the key factors responsible for driving the product demand over the forecast period.

Recently, China launched the 13th Five-Year Plan, which includes the construction of more than 50 new civilian airports and the development of airports located in Harbin, Urumqi, Kunming, Chongqing, Shenzhen, Chengdu, and Xi'an. Similarly, the government of India launched its 100 smart cities by 2020 plan, which includes the construction of offices, residential buildings, hotels, retail, sanitation, urban transport, schools, and hospitals. These factors are expected to drive the regional product demand in the forthcoming years.

Cool Roof Coatings Market Share Insights

The global market is oligopolistic in nature dominated by a few major players. Manufacturers are investing heavily in R&D activities and are relying on technological developments to achieve competitive advantage through product differentiation and low cost offerings. Moreover, manufacturers are focusing on integrating their operations through supply and distribution channels to expand their reach to individual consumers.

Mergers and acquisitions are among the popular strategic initiatives adopted by the key market players. Sika AG; Nutech Paint; The Valspar Corporation; Dow Inc.; PPG Industries, Inc.; and Huntsman International LLC are some of the major companies operating in the market on a global scale.

Report Scope

Segments Covered in the Report

This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2027. For the purpose of this study, Grand View Research has segmented the global cool roof coatings market report on the basis of product, application, end use, and region:

• Product Outlook (Volume, Kilo Liters; Revenue, USD Million, 2016 - 2027)

  • Elastomeric/White

  • IR Reflective/Colored

• Application Outlook (Volume, Kilo Liters; Revenue, USD Million, 2016 - 2027)

  • Low-sloped

  • Steep-sloped

• End-use Outlook (Volume, Kilo Liters; Revenue, USD Million, 2016 - 2027)

  • Residential

  • Commercial

  • Industrial

• Regional Outlook (Volume, Kilo Liters; Revenue, USD Million, 2016 - 2027)

  • North America

    • U.S.

  • Europe

    • Germany

    • U.K.

    • France

  • Asia Pacific

    • China

    • India

    • Japan

  • Middle East & Africa

  • Central & South America

    • Brazil