Plastic Coatings Market Size, Share Global Analysis Report, 2024 – 2032

Industry Insights

[217+ Pages Report] According to Facts & Factors, the global plastic coatings market size was valued at USD 6.86 billion in 2023 and is predicted to surpass USD 10.83 billion by the end of 2032. The plastic coatings industry is expected to grow by a CAGR of 5.20% between 2024 and 2032.

Market Overview

Plastic coating is a decorative and protective layer applied to the surfaces to enhance their properties like resistance, appearance, durability, and finish. However, plastic coating also improves the functionality of coated equipment or components. These coatings have applications in various end-user industries like consumer goods, electronics, and automotive.

However, there are different kinds of plastic coating available in the market, such as hydrophobic, oleophobic, nano, epoxy, polyurethane, and acrylic coatings. These coatings help protect surfaces from wear and tear, thereby offering long life to the product. These coatings improve the visual aesthetic of the surfaces by giving a glossy matt finish.

Key Insights

• As per the analysis shared by our research analyst, the global plastic coatings market size is estimated to grow annually at a CAGR of around 5.20% over the forecast period (2024-2032).
• In terms of revenue, the global plastic coatings market size was valued at around USD 6.86 billion in 2023 and is projected to reach USD 10.83 billion by 2032.
• Rising demand from end-user industries is driving the growth of the global plastic coatings market.
• Based on the material, the polyurethane segment is growing at a high rate and is projected to dominate the global market.
• Based on the process, the dip coating segment is projected to swipe the largest market share.
• Based on end-users, the aerospace and defense sectors segment is expected to dominate the global market.
• Based on region, North America is expected to dominate the global market during the forecast period.

Growth Drivers

• Rising demand from end-user industries is driving the growth of the global market.

The automotive sector is the largest consumer of plastic coating. The major factor leading to the high demand in the sector is the requirement for aesthetically pleasing, lightweight, and durable coatings. Additionally, the growth in manufacturing and demand for electronics & consumer goods and equipment like home appliances, tabs, and smartphones further boost the demand for advanced plastic coatings. Growing urbanization and industrialization, particularly in emerging economies, are playing an important role in boosting the demand for plastic coatings in the market.

However, the environmental and regulatory factors are also likely to positively impact the growth trajectory of the global plastic coatings market. Rising environmental concerns and regulations regarding VOC emissions further boost the demand for eco-friendly plastic coating in the market. Government policies also encourage the use of sustainable practices in industrial operations.

Therefore, low VOCs and water-based coatings are more in demand. For instance, Peerless Plastics & Coatings Ltd. successfully took over RS Coatings Ltd. in 2022. This acquisition will help the company gain expertise in RS coatings and excel in the coatings industry.

Restraints

• Fluctuations in raw material prices are likely to hamper the growth of the global market.

Volatility in the cost of raw materials like pigment, solvents, and raisins used in plastic coatings affects the growth of the plastic coatings industry. Also, it affects the profitability of manufacturers, creating pricing pressure in the market. Additionally, the disruptions in the supply chain because of the pandemic, natural disasters, and political issues are also leading to shortages or delays in the supply of raw materials.

Opportunities

• Technological advancements are likely to foster growth opportunities in the global market.

The development of nanocoating has revolutionized the market. Nanocoating offers superior properties like thermal stability, chemical resistance, and enhanced strength, which is likely to accentuate their demand in the market. UV-curable coatings help lower the environmental impact and, therefore, are replacing traditional coatings across different industries.

Also, the innovation of hydrophobic and oleophobic coatings that are water and oil repellants helps improve the lifespan and performance of the products, which is further expected to foster growth opportunities in the global plastic coatings market. For instance, PPG successfully took over Worwag in 2021. The former is a supplier of paint coatings, and the latter is a manufacturer of coatings for automotive and industrial applications.

Challenges

• Health and safety concerns are a big challenge in the global market.

Plastic coatings include certain toxic substances that can pose health risks to workers and consumers. Therefore, complying with the safety and regulatory standards is a big challenge in the plastic coatings industry. There is a proper infrastructure for the disposal and recycling of coated material. However, the process is complex because of the presence of many different chemicals and materials with different properties.

Segmentation Analysis

The global plastic coatings market can be segmented into material, process, end-users, and region.

On the basis of material, the market can be segmented into epoxy, acrylic, silicone, polyesters, polyurethane, and others. The polyurethane segment is likely to take the largest share of the global plastic coating market. Polyurethane coatings are known for their long-lasting performance and excellent durability, thereby making them ideal for all applications that need high wear resistance.

Additionally, these have strong flexibility, which helps in protecting coated plastic substrates under extreme conditions. Polyurethane coating offers strong resistance to solvents in oils and chemicals, thereby making it ideal for use in harsh environments. These offer gloss retention and aesthetic qualities, which improve the appearance of the products.

However, polyurethane coatings are ideal for numerous applications in the healthcare, electronics, and automotive sectors. These coatings are used for both the exterior and interior components in the automotive industry because of their protective properties. In electronic gadgets, these coatings help protect sensitive articles from corrosion and moisture.

However, improvements in the formulations have significantly widened the scope of the segment. Innovation of high-performance coatings can easily meet industry standards. Moreover, these are water-based polyurethane coatings, which are eco-friendly compared to traditional solvent-based options. Therefore, all these factors are likely to contribute to the growth of the segment in the coming years.

On the basis of the process, the market can be segmented into electrophoretic painting, powder coating, dip coating, spray coating, and others. Dip coating is the fastest-growing segment in the global plastic coating industry. Dip coating is quite a cost-effective method compared to other options available on the market, like electrostatic or spray coating.

Also, this kind of coating significantly lowers the amount of wastage because there is a process of recovering the excess coating that is applied on the surface, which can further be reused, thereby making the product more economical. Dip coating offers ease of application where the object is immersed in the coating solution and then taken out, thereby offering more uniform applications with no technical expertise required. Dip coating is more scalable in nature, particularly for large-scale manufacturing. Dip coatings are also versatile and can be used in different kinds of coatings like epoxy, acrylic polythene, and others.

Additionally, it is suitable for multiple substrates like ceramics, metals, and plastics, thereby boosting demand in the market. Moreover, dip coating helps ensure uniform thickness, which is very important in delivering an aesthetic finish to the products. It is known to offer a defect-free and smooth finish, thereby improving the quality of products.

On the basis of end users, the market can be segmented into medical, aerospace & defense, automotive, building & construction, and others. The aerospace and defense sectors segment accounts for the largest part of the plastic coatings industry. Aerospace and defense applications foster a huge requirement for coatings that can withstand external weather conditions like harsh environments, pressure, and temperature.

Also, the coating used in this sector needs to be highly protective against corrosion and chemical resistance to ensure the safety and longevity of the components. However, plastic coating has emerged as an ideal solution that can fulfill all these strict performance requirements of the aerospace and defense sectors.

Moreover, automotive manufacturers are nowadays coming up with lightweight materials to increase the performance level and fuel efficiency. Therefore, these coatings work best as they are the most lightweight and protective coatings available on the market. These coats are also used in advanced composite materials to improve the mechanical properties of defense and aircraft equipment. Plastic coatings are ideal for thermal management, thereby offering high resistance to heat and installation. All these factors are likely to accentuate the growth of the segment in the coming years.

Report Scope

Regional Analysis

• North America to dominate the global market.

North America will account for the largest share of the global plastic coatings market during the forecast period. The US is the largest market for plastic coating in the region because of the high demand from the automotive industries. The U.S. is a hub of technological innovations and advancements, which is likely to further strengthen its position in the global market.

Additionally, consumers in the region are fast adopters of advanced technologies, which is expected to support the growth of the industry. Canada is another growing market strongly driven by the fast-growing industrial and automotive sectors. However, government regulations regarding environmental protection are the primary factor boosting the use of sustainable coatings.

Asia Pacific is another major region in the plastic coating industry that is likely to see growth in the coming years. China is the largest market in the region, driven by fast-moving industries like construction, electronics, and automotive. The Chinese government is taking the initiative to promote eco-friendly plastic coatings in industrial and commercial usage, which is expected to further positively impact the market. The Indian market is also likely to see rapid growth in the construction and automotive sectors.

The government is making efforts to improve the infrastructure with initiatives like Make in India, which in turn is also likely to accentuate the growth of the regional market. Japan and South Korea have well-established electronic and automotive industries, and there is a growing demand for sustainable and high-performing plastic coatings. South Asian countries like Vietnam, Indonesia, and Thailand are also witnessing strong growth because of the growing urbanization, industrialization, and foreign direct investments in the region. All these factors are likely to contribute to the growth of the APAC market.

Competitive Analysis

The key players in the global plastic coatings market include:

• Peerless Plastics & Coating
• Diamond Vogel
• Nippon Paint Holdings Co. Ltd.
• Kansai Paint Co. Ltd.
• Covestro AG
• BASF SE
• PPG Industries Inc.
• Axalta Coating Systems
• 3M
• AkzoNobel N.V.
• The Sherwin-Williams Company

For instance, Stora Enso came up with UltraThinPE Tech in 2021. This product is likely to minimize the quality of plastic coatings in applications like single-use paper cups. These coatings can be easily recycled alongside paper or board.

The global plastic coatings market is segmented as follows:

By Material Segment Analysis

• Epoxy
• Acrylic
• Silicone
• Polyesters
• Polyurethane
• Others

By Process Segment Analysis

• Electrophoretic Painting
• Powder Coating
• Dip Coating
• Spray Coating
• Others

By End-Users Segment Analysis

• Medical
• Aerospace & Defense
• Automotive
• Building & Construction
• Others

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America