Paint Additives Market Size, Share & Trends Analysis Report By Product (Rheology Modifiers, Biocides, Anti-Foamers, Wetting & Dispersion Agents), By Application, By Region, And Segment Forecasts, 2018 - 2025

Industry Insights

The global paint additives market size was estimated at USD 6.5 billion in 2016. The market is majorly driven by growing demand from industrial and architectural end-use verticals. There has also been an increase in the usage of paints and coatings in the construction as well as the automotive sectors, due to favorable solvent properties. Increased spending on construction activities and surge in auto sales, especially in emerging countries of Asia Pacific, is expected to fuel demand for paints and coatings, which will have a positive impact on demand for paint additives over the forecast period. 

Raw materials form an integral part of this industry and the cost of end products is dependent on the cost of these materials.Regional regulatory activities have a significant impact on raw material prices and availability. Another crucial factor affecting raw materials is the crude oil market. Most raw materials used to manufacture paint additives are derivatives of crude oil, such as epoxies, polyesters, and polyurethanes. These products are used in a variety of applications, including wood and furniture, automotive, industrial, and architecture. 

Growing need for environment-friendly paints and coatings that comply with domestic and international norms has led players in the market to invest in extensive research and development. Development of low and no-VOC coatings is driving industry growth.Regulatory frameworks governing this market include the European Union (EU), National Institute for Occupational Safety and Health (NIOSH), and Occupational Safety and Health Administration (OSHA). Regulations laid down by these authorities specify the chemical and physical dangers of various types of raw materials and general requirements for their storage and usage.

The growth of the paints and coatings industry is also highly dependent on economic growth of a region. While U.S., Japan, and Europe are some of the more mature markets for paints and coatings, Asia Pacific offers numerous opportunities for growth. Mature markets owe their growth to higher demand in the architectural and industrial segments.

Product Insights

Aluminum stearate, epoxies, and polyesters are some of the key raw materials used to manufacture products such as rheology modifiers, biocides, anti-foamers, and wetting and dispersion agents, all of which are used as paint additives. These additives are used in a variety of applications in architectural, industrial, wood and furniture, and automotive sectors.

Rheology modifiers accounted for over 28.0% of the global industry revenue in 2016.Rheological additives are key ingredients used in inks, coatings, and paints to control and adjust the properties and characteristics of fluid products. These modifiers reduce splattering and dripping of liquid products during application and are hence immensely popular.

Application Insights

The architectural segment held the dominant share in the paint additives market. Architectural coatings are used in buildings and houses as deck finishers, roof coatings, and wall paints, and ongoing expansion of the building and construction sector across the globe is expected to propel demand for these coatings through 2025. In addition, rising demand for green coatings to be used in interiors is expected to positively impact product demand over the forecast period.

Increased new home construction and remodeling projects in U.S. and other countries is expected to propel demand for architectural coatings. In addition, increase in consumer disposable incomes has raised the demand for higher-quality, premium, and specialty coatings for both interior and exterior projects. This is expected to boost the market in the coming years.

Regional Insights

Asia Pacific led thismarket in terms of revenue in 2016 and this trend is expected to continue over the forecast period. Additives are widely used in water-based paints and coatings. Water-based coatings have greater elasticity than solvent-based ones. Growing demand for the former in various end-use industries such as automotive and construction has been observed in developing economies such as India, China, and Malaysia. This is expected to positively impact product demand over the forecast period.

Asia Pacific is also expected to be the fastest-growing market during the forecast period. Rapid growth of the commercial and residential construction sector is expected to propel demand for the product over the forecast period. The expansion of the automotive sector is also slated to impact product demand. Improving standards of living, coupled with growing disposable income, has led to increased purchase of vehicles among consumers, which in turn, is expected to fuel the automotive coatings segment over the forecast period.

Paint Additives Market Share Insights

Key players in the global market include AkzoNobel N.V.; Arkema S.A.; BASF SE; Evonik Industries; Ashland Global Holdings Inc.; ANGUS Chemical Company; and Buckman Laboratories International, Inc. The presence of these players has intensified industry competition. Paint additive manufacturers have increased their production capacities over the years to meet growing demand from various application industries. In addition, a few companies have acquired other entities or merged with each other to enhance their product offerings and expand their global reach.

Report Scope

Segments Covered in the Report

This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis on latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global paint additives market report on the basis of product, application, and region:

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Rheology modifiers

  • Biocides

  • Anti-foamers

  • Wetting & dispersion agents

  • Others

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Architectural

  • Industrial

  • Wood & furniture

  • Automotive

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • North America

    • U.S.

  • Europe

    • U.K.

    • Germany

  • Asia Pacific

    • China

    • India

  • Central & South America

    • Brazil

  • Middle East & Africa