Intumescent Coating Market Size, Share & Trends Analysis Report By Technology (Water-based, Solvent-based, Epoxy-based), By Application (Hydrocarbon, Cellulosic), By End Use, By Region, And Segment Forecasts, 2020 - 2027

Report Overview

The global intumescent coating market size was valued at USD 1.03 billion in 2019 and is expected to grow at a compound annual growth rate (CAGR) of 4.6% from 2020 to 2027. High product demand in the oil & gas sector owing to stringent regulations, coupled with a rise in exploration activities across the globe, is likely to propel the market growth. Moreover, demand from the construction sector is expected to fuel market growth over the forecast period. Intumescent coatings are used in the oil & gas industry to provide fire protection to onshore and offshore steel structures at high temperatures of 1,100°C and above. They are also used to protect structural steel from moisture and chemical exposures, which makes the steel brittle. These coatings provide protection against pool fires and jet fires. Increasing energy demand is expected to drive the oil & gas industry, which, in turn, is expected to drive the demand for intumescent coatings over the forecast period.

Ascending demand for energy, shale gas, tight gas, and coal bed methane (CBM) on account of the maturity of the conventional oil & gas resources market is expected to emerge as a major factor boosting the growth of the market. Increased global investments in the maintenance and repair of oil & gas drilling devices and platforms are also anticipated to drive the demand for intumescent coatings. In addition, increasing investments in shale gas exploration in the U.S. are likely to propel the product demand over the next seven years.

The introduction of advanced thin film, lightweight intumescent coatings is expected to drive the demand further. Increased awareness about the fireproofing of residential buildings is likely to impel the market growth over the forecast period. Furthermore, rising demand for cellulosic intumescent coatings to protect the structural integrity of reinforced steel in buildings is expected to augment the market growth over the forecast period.

However, volatility in the prices of raw materials is expected to restrain product demand to some extent. In addition, the recent outbreak of COVID-19 across the globe has led to weakened product demand in automotive, construction, oil & gas, and other end-use industries. Factors such as stoppage of construction projects, movement restriction, labor shortage, reduction in discretionary spending by consumers, weak consumer sentiment, halt or slowdown in production activities, and disruption across the supply chain are negatively impacting the growth of the end-use industries, especially automotive and construction. This, in turn, is further expected to hamper the demand for intumescent coatings.

Technology Insights

The epoxy-based technology segment led the market and accounted for more than 61.0% share of the global revenue in 2019. Epoxy-based intumescent coatings exhibit superior passive fire protection by providing an insulation barrier in the event of a fire. These coatings are inert at room temperature but when subjected to elevated temperature, they develop a thick layer of char, which improves the level of insulation in the event of a fire.

Solvent-based intumescent coatings are primarily employed in offshore oil & gas applications in low heat and high humidity areas. They can be applied to large surface areas with high thickness compared to water-based coatings. Furthermore, solvent-based intumescent coatings are used to achieve decorative finishes over complex shapes and exhibit improved adhesion, along with high water resistance. However, high cost, coupled with high VOC content, is expected to have a negative impact on the solvent-based intumescent coatings segment growth.

Application Insights

The cellulosic application segment led the market and accounted for more than 54.0% share of the global revenue in 2019. Cellulosic intumescent coatings are majorly used in the construction industry to protect the uncovered steel structures and facilitate escaping at the time of fire accidents by providing heat resistant layers. Growing demand for intumescent coatings in the construction industry, particularly in industrial and commercial buildings, is expected to propel the segment growth.

Furthermore, rising pressure from various health and safety organizations regarding human safety at workplace is expected to promote the segment growth over the forecast period. Growing industrialization, coupled with rising infrastructure development activities, particularly in Asia Pacific and the Middle East, is anticipated to augment the segment growth over the forecast period. In addition, stringent norms for fire protection in buildings laid down by the regulatory bodies are expected to boost the demand for cellulosic intumescent coatings over the forecast period.

End-use Insights

The oil & gas end-use segment led the market and accounted for more than 44.0% share of the global revenue in 2019. Rising investments in exploration activities, deep-water projects, marginal fields, and refining capacity expansion are expected to propel the product demand in this segment. In addition, growing government emphasis to conform to stringent fire safety regulations and rising exploration activities in the industry are expected to propel the segment growth over the forecast period.

Increasing utilization of gas in the energy mix and growing shale gas production are expected to fuel the growth of the oil & gas industry over the forecast period. This, in turn, is expected to propel the market growth. Epoxy-based coatings are majorly preferred in the oil & gas industry owing to their ability to withstand higher temperatures compared to their counterparts.

Regional Insights

Asia Pacific dominated the market and accounted for over 33.0% share of the global revenue in 2019. Factors such as the presence of numerous end-users, proximity to raw material suppliers, and rapid industrialization and urbanization, especially in India and China, are anticipated to boost the demand for intumescent coatings in the region. The availability of raw materials, coupled with low stringent laws regarding VOC emissions compared to North America and Europe, has offered great opportunities for the development of the end-use sectors such as construction, automotive, and marine in the region.

The emerging nations of Asia Pacific have low labor costs, which has attracted several foreign investors to set up their manufacturing facilities in the region. Thus, the growing number of manufacturing facilities is projected to boost construction activity in the region, which, in turn, is anticipated to propel the demand for intumescent coatings over the forecast period. However, increasing COVID-19 positive cases in countries, such as India, China, Indonesia, and Singapore, have led to stoppage or slowdown in construction activities, which in turn, is projected to impact the product demand in the construction industry in the region.

Key Companies & Market Share Insights

The global players face intense competition from each other as well as from the regional players who have well-established supply chain networks and are well aware of the regulations and suppliers in their market. Market players are focusing on strengthening their positions by adopting strategic initiatives, such as geographical expansion, mergers & acquisitions, and partnerships. For instance, in January 2019, PPG Industries, Inc. expanded its manufacturing facility in Kunshan, China by investing USD 1.7 million to meet the increasing demand for fire protective coatings in Asia Pacific. Some of the prominent players in the intumescent coating market include:

• Akzo Nobel N.V.

• Jotun

• Contego International Inc.

• Hempel A/S

• No-Burn Inc.

• Nullifire

• The Sherwin-Williams Company

• Carboline

• Albi Protective Coatings

• Isolatek International

• Rudolf Hensel GmbH

• PPG Industries, Inc.

• 3M

• Sika AG

• Tor Coatings

Intumescent Coating Market Report Scope

Segments Covered in the Report

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

• Technology Outlook (Volume, Tons; Revenue, USD Million, 2016 - 2027)

  • Water-based

  • Solvent-based

  • Epoxy-based

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

  • Hydrocarbon

  • Cellulosic

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

  • Construction

  • Oil & Gas

  • Automotive

  • Others

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

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • France

    • Spain

    • Denmark

    • Finland

    • Italy

    • Belgium

    • Netherlands

    • Russia

    • Sweden

    • Romania

    • Poland

  • Asia Pacific

    • China

    • India

    • Japan

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • Saudi Arabia

    • South Africa