The Growth of the Global Powder Coating Market

For manufacturers, there is a wide range of choices when it comes to finishing products. Among these choices is powder coating, the application of dry powdered pigments and resins that are cured with heat to produce durable, attractive finishes. Powder coating operations have experienced significant global growth over the past decade, and this trend is expected to continue well into the future. In this overview, we’ll look at some of the factors influencing the growth of the global powder coating market, including specific applications across industries.

Industry Analysis: Powder Coating Market Growth

Manufacturing industry analysts have focused on a forecast period from 2016 to 2024. In that period, the global powder coating market is expected to enjoy a compound annual growth rate (CAGR) of over 7%. In North America, the powder coating sector is worth approximately $2 billion in annual revenue, with projections to hold steady or to grow slightly over the coming years. Higher production of certain domestic goods is driving the market in the U.S. and Canada, particularly in shelving, outdoor furniture, and metal cabinetry. Wood furniture applications have also experienced substantial growth, thanks to the use of medium density fiberboard (MDF), which provides a suitable substrate for specialized powder coating operations.

Other regional players are experiencing higher levels of revenue and production capacity, particularly in the Asia-Pacific manufacturing region. Automotive manufacturers in China, Malaysia, and India are increasingly turning toward powder coating as a finishing solution, and business is booming for these manufacturers. Automotive OEM components and aftermarket accessories from this manufacturing region can be found on a global scale.

In Europe, automotive manufacturers are also increasing their production, and that includes utilizing powder coating as a finishing option. Several well-known automobile companies like Daimler-Chrysler, Mercedes-Benz, and Chevrolet have a substantial footprint in the European region, including countries like Hungary, the United Kingdom, Romania, and Austria. By 2024, powder coating operations are expected to produce 890 kilotons of finished products.

Advances in Technology Spurring Growth

Powder coating resins are typically made from one or more of three major materials: epoxies, polyesters, and epoxy-polyester hybrids. Each of these resins provides specific benefits for unique applications. New resins are being developed by major industry players like PPG Industries, Akzo Nobel N.V., and Axalta Coating Systems. These new resins include acrylics, alkyds, and urethanes as well as the more common epoxy and polyester formulations.

An emerging technology that has found new applications is that of energy-efficient powder coating resins. These resins were developed to allow powder coaters to reduce energy costs associated with the curing process; lower curing temperatures save utility expenses and can be used on products that cannot withstand traditional curing temperatures. In Europe, the adoption of energy-efficient powder coating resins has driven the global industry; strict compliance with volatile organic compound (VOC) use and discharge has encouraged manufacturers to forgo wet painting methods and to use energy-efficient powder coating as an alternative. The Asia-Pacific region is also seeing substantial growth in energy-efficient powder resins, owing to the increased consumer demand for electronic products. Energy-efficient coatings can be applied to electronic components such as heat-sensitive dielectric insulators and conductors.

Powder coating provides great durability with a lower environmental impact than most other product finishing solutions. As more and more companies turn to powder coating, says PowderCoat Services, LLC, the market will only continue to experience worldwide growth in manufacturing sectors like the automotive industry, consumer goods, electronics, construction products, and agricultural equipment.

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