Intumescent coatings are applied to steel structures to protect them from moisture, chemicals, fire, etc. The demand for Intumescent coatings is increasing in the oil&gas, construction, and automobile industry. They are further divided into water-based coatings and solvent-based coatings based on the technology.
The Global Intumescent Coatings market size was valued at US$ XX billion in 2020 and a growth in market size is expected resulting in a market size worth US$ XX billion by 2028, growing at a CAGR of XX% during the forecast period (2022-2029).
The major factors driving the Global Intumescent Coatings market are the rising demand from the oil&gas industry and increasing investments in the construction and automobile sectors are also driving the market growth for Intumescent Coatings.
The demand from the oil&gas industry and increase in exploration are driving the market growth of Intumescent Coatings.
There is an increasing demand for Intumescent Coatings from the oil&gas industry as Intumescent Coatings are used for the protection of steel from chemicals, moisture and also used to fire protect the steel structures at very high temperatures. Exploration of gas and oil fields in different parts of the world is creating the demand for coatings. Recently exploration of shale gas is increasing in the US and other countries as it is considered to be green gas by oil companies and it is expected that it will generate the same or higher electricity than coal. Even many reserves of shale gas are found in India like Godavari, Cauvery, Damodar Valley, Upper Assam, Pranahita – Godavari, Rajasthan, and Vindhya Basins. China also has the largest reserve of shale gas in the world. Due to the increasing energy demand countries are exploring various reserves and even many companies are collaborating for further exploration. Even recently Turkey has discovered new natural gas reserves in the Black Sea. The Middle-east is considered to be the hub of oil and gas reserves and Saudi Arabia is also the leading exporter of crude oil in the world. The demand for other oil&gas resources like tight gas and coal bed methane is also driving the market growth.
The demand in the construction, industrial, and automobile sectors are driving the market growth of Intumescent Coatings
The market is also growing due to the investments in the automobile sector in countries like India, China, Indonesia, Thailand, and Malaysia. According to the report by OICA, China, Japan, South Korea, India, Thailand were ranked 1, 3, 5,6, and 11 in the world respectively in terms of motor vehicle production. The demand from this sector declined during the covid-19 pandemic.
The demand from the construction sector in this region is also driving the market of Intumescent Coatings as the demand for residential houses in developing countries like India and China is increasing due to large population and rapid urbanization, many people are moving to urban areas which increases the demand for residential and commercial construction in urban areas. According to the report, the number of households in India, China, and Japan was 295 million, 499 million, 48 million in 2020. Migration in Europe and North America created the demand for residential and commercial construction.
According to the report in 2020, total migrants in Europe and North America were close to 87 million and 58 million respectively. Construction projects in the Middle-east also drive market growth. Many foreign companies are investing in India and China due to cheap labor and the easy availability of raw materials which is creating the demand for Intumescent Coatings. Due to less strict regulations regarding VOC content in the Asia-pacific region compared to the North-American region and Europe is driving the market for Intumescent Coatings in various industries like construction, marine, and automobile. The increasing awareness regarding the fireproofing of the buildings is also driving the market growth.
Volatility in raw material prices covid-19 are hampering the market growth of Intumescent Coatings
The COVID-19 pandemic has affected many industries due to the disruption in the supply chain, as there were full or partial lockdowns in many countries of the world, and restrictions across borders and closure of airports hampered world trade. The automobile sector was also severely affected due to covid-19 as there was disruption of the supply chain and people preferred health over their jobs. Companies and construction factories couldn’t operate with proper covid norms. It was also difficult for staff and workers to work with social distancing norms.
The demand from the construction sector declined as many projects were delayed due to the lockdown restrictions and also the demand for the construction of residential houses was less as people preferred health over other non-essential services and there was a shortage of workers and labourers as well and there was less migration due to travel restrictions and According to the report in 2020, total migrants in Europe and North America were close to 87 million and 58 million respectively. Even the oil&gas industry collapsed due to less demand and more supply in many oil-producing countries and due to the fight between Russia and Saudi Arabia which lead to OPEC from OPEC+. Manufacturing and industrial activities were also affected and so the demand for Intumescent coatings declined during covid-19.
The Global Intumescent Coatings Market is segmented based on the Resin, Application, Technology, End-User Industry, and Region.
Based on the Resin, the Global Intumescent Coatings market is segmented into Epoxy, Polyurethane, Acrylic, and Others
Based on the Technology, the Global Intumescent Coatings market is segmented into Water-borne Coatings, Solvent-borne Coatings, and others.
The Solvent-based Coatings segment was valued at US$ XX billion in 2020 and a growth in market size is predicted leading to a market size worth US$ XX billion by 2028, growing at a CAGR of XX% during the forecast period (2021-2028).
Solvent-based Coatings are used for offshore oil&gas operations and they can be easily applied to large surface areas having a high thickness in comparison to water-based Coatings. High cost and high volatile organic compounds (VOC) content involved with Solvent-based Coatings are hampering the growth of the market of Solvent-based coatings which is driving the market for water-based coatings. There are very strict rules regarding VOC emissions in various parts of North America and Europe. Water-Based coatings take a large amount of time due to a large number of coats and the building of dry film which are needed to fire protect the steel. Water-based coatings are also less water-resistant than solvent-based coatings.
Based on End-User Industry, The Global Intumescent Coatings Market is segmented into Construction, Oil & Gas, Automotive, and Others based on End-User Industry.
Based on the Application, the Global Intumescent Coatings Market is segmented into Cellulosic and Hydrocarbon.
Based on the Region, Global Intumescent Coatings Market is segmented as - North America, Europe, Asia-Pacific, The Middle East, Africa, and South America.
The Asia-pacific region had a market share of XX% in 2020 and is expected to hold XX% by 2028. The Asia Pacific has the highest market share among all the regions as there is an increasing demand for Intumescent Coatings in the construction industry and automobile industry.
The demand from the construction sector in this region is also driving the market of Intumescent Coatings as the demand for residential houses in developing countries like India and China is increasing due to large population and rapid urbanization, many people are moving to urban areas which increases the demand for residential and commercial construction in urban areas. Many construction projects are going on in Asia-pacific like many MNCs are establishing in China, India and other parts of the region like Samsung established their biggest manufacturing plant in India. Smart cities mission in India and many such projects are also driving the market of Intumescent Coatings. In the Smart Cities Mission, 100 cities were selected and the mission was allotted INR 6,450 crore in the 2021-2022 budget and INR 3,400 crore in 2020-21.
The market is also growing due to the increase in production and investments in the automobile sector in countries like India, China, Indonesia, Thailand, and Malaysia. According to the report by OICA, Countries like China, Japan, South Korea, India, and Thailand were ranked 1, 3, 5,6, and 11 in the world respectively in terms of motor vehicle production with a total motor vehicle produced 25.22 million, 8.06 million, 3.5 million, 3.39 million and 1.4 million respectively in 2020. During covid-19, the automobile industry declined as the total motor vehicle production in China, Japan was 25.7 million, 9.68 million in 2019 which decreased to 25.225 million, 8.067 million in 2020.
Due to less strict regulations regarding VOC content in the Asia-pacific region compared to the North-American region and Europe and easy availability of raw materials is driving the market for Intumescent Coatings in various industries like construction, marine, and automobile.
The Global Intumescent Coatings market is fragmented with key global players in the market and there are many large companies in the market. Some of the major companies contributing to the market's growth are- BASF, Akzo Nobel N.V., Albi Protective Coating, Carboline, 3M, Contego International Inc, Hempel A/S, Jotun, Isolatek International, No-Burn Inc., PPG Industries, and many others.
Mergers and Acquisitions, expansions, joint ventures, etc increases competition in the market like PPG Industries opened a new manufacturing facility in Kunshan China in January 2019.
New products, services launched also increase competition between companies and many companies are developing innovative technologies like BASF developed the water-based coatings having reduced application times in 2020, Sherwin-Williams launched a new cellulosic fireproofing coating named FIRETEX FX9502 in May 2021. Partnerships and Collaborations between companies are also making the market more competitive. Chemical recycling is promoted by BASF and Mitsui Chemicals in Japan which can deal with the strict regulations regarding the volatile organic compounds(VOC) in North America and Europe.
Divestments and investments by the company and split of companies are also making the market quite competitive.
BASF (Badische Anilin-und Sodafabrik)
BASF SE is a chemical company which is headquartered in Ludwigshafen, Germany. It is the largest chemical public company in the world. The full form of BASF is Badische Anilin-und SodaFabrik (Baden Aniline and Soda Factory). BASF acquired Cognis and Ciba in December 2010 and April 2009 respectively. The company has joint ventures in over 80 countries. The company is also listed on several stock exchanges like the Zurich stock exchange, frankfurt stock exchange, and London stock exchange. The company deals with many products like resins, amines, plastics, crude oil exploration, industrial starch, etc. It is ranked 143 according to fortune 500. The company has various segments of operations like Chemicals, Plastics, Performance Products, Functional Solutions, Agricultural Solutions, and Oil and Gas. The company introduced the Colors & Effects brand in 2016 in the market. The market value of the company as of 20 January 2021 is USD 75 billion.
Blackrock has more than 5% market shares, and Institutional Inventors has around 75% market shares. Germany, U.K, US has market shares of 36%, 11%, 17%. The company was ranked 143 rd among fortune 500 companies. The market value of the company as of 20 January 2021 is USD 75 billion. According to CNN business, some of the major stockholders/owners of the company are Todd Asset Management LLC, Parametric Portfolio Associates, Silvercrest Asset Management group with market shares 0.03%, 0.08%, 0.01% respectively. It is ranked 143 according to fortune 500.
Why Purchase the Report?
The Global Intumescent Coatings market report will provide access to approximately 70 market data tables, 64 figures, and 200 pages
Target Audience 2022
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