Low Temperature Powder Coating Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The market for low temperature powder coating is expected to grow at a CAGR of about 5% globally during the forecast period. Major factor driving the market studied is the rise in energy savings because of lower cure temperatures and wide scope of applications in industrial and automotive industries. On the flip side, complex shape of the substrates and the fact that high humidity affects the performance and unfavorable conditions arising due to the COVID-19 outbreak are the factors that are hindering the growth of the market.

Key Highlights

• Increasing inclination for energy savings by minimization of cure temperature, technological advancements and growing end-user industries are expected to create further growth opportunities for the market.
• The furniture industry is expected to dominate the end-user industry segment of global low temperature powder coating market over the period. These coatings are extensively employed on heat sensitive substrates such as wood, medium density fiberboard, and composites.
• Asia-Pacific region represents the largest market and is also expected to be the fastest-growing market over the forecast period owing to the consumption from countries such as China, India, and Japan.

Key Market Trends

Increased Demand from Furniture Industry

• Low temperature powder coating exhibits environmental and performance benefits over other coating and laminating systems. Finishing of wood needs to ensure that the finished piece looks attractive and meets safety & environmental benchmarks.
• The low temperature powder coating market is driven mainly by growth in furniture industry globally. This growth is attributable to rising residential and commercial construction. Increasing construction of housing, offices and commercial complexes is significantly influencing the growth of the product.
• Increasing demand for these coatings from furniture, industrial and automotive industries along with improved economic conditions are gaining traction of manufacturers to cater to surging demand from both developed and emerging economies.
• These finishing materials are employed mainly on the heat sensitive substrates such as wood, plastics, glass and medium density fiberboard.
• Another key factor is the fact that the number of vendors that are present locally and globally are boosting the demand for these coatings. In addition, the renovation and modification projects globally are surging the demand for furniture’s thereby boosting demand for these coatings. They are also employed for the surface finishing of steel and aluminum, like garden furniture and site furnishings.

Asia Pacific Region to Dominate the Market

• The Asia Pacific low temperature powder coating market is estimated to witness fastest growth during the period. The ease of availability of low-cost labor and economical & easy access of raw materials are driving foreign investments, thereby increasing the production of these coatings in the region.
• The region is expected to witness significant growth from various end-user industries such as industrial, chemical, automotive and furniture industries. Factors such as urbanization and rising disposable income in emerging economies are influencing the growth of the furniture market in the region.
• The increasing number of economic corridors and SEZ’s, growing demand for premium quality furniture, and the growth in tourism will also surge the demand for these coatings in this region.
• China is anticipated to lead the demand in the region on account of rapidly expanding heavy-duty equipment industry and rapid economic growth in the country. Additionally, increasing population levels in the country offers large customer base for the manufacturers, thereby further fueling growth of the market.

Competitive Landscape

The Global Low Temperature Powder Coating Market is partially consolidated in nature with a few major players dominating a significant portion of the market. Some of the major companies are Akzo Nobel N.V., Axalta Coating Systems, LLC, Jotun A/S, PPG Industries, Inc., and The Sherwin-Williams Company among others.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support