Germany and France Wood Coatings Market

Germany and France Wood Coatings Market Overview

The German and French Wood Coatings Market size is forecast to reach US$944.9 million by 2026, after growing at a CAGR of 3.9% during 2021-2026. Increasing urbanization for leading a better life is increasing the number of housing construction, resulting in the development of affordable housing and infrastructure by the construction industry. This is driving the demand for various wood, industrial and architectural coatings materials used in the construction of residential as well as commercial complexes. For instance, according to National Federation of Beverages (FNB), France aimed to put 15-20% share of wood for new building construction projects by 2030 which is currently 8%. Thus, significantly increasing the demand of wood coatings in building and construction sector. Besides, the demand for exterior wood coatings to protect a building from UV radiations, moisture, and microbes is rising. Along with the growing demand for an option in colors, with enhanced durability and consistency is also paving manufacturers to provide a wide range of eco-friendly, higher quality wood coatings.

COVID-19 Impact

The German and French Wood Coatings Market was adversely impacted by COVID-19 in 2020. COVID-19 wreaked havoc on the building and construction industries, putting the wood coating market in jeopardy. The pandemic has had economic impacts on the building and construction and furniture sector related to worker well-being and availability the impact of reduced incomes. However, the effect of increased working from home on household purchases of certain wood products, such as office furniture and wood for do-it-yourself projects and others also increased. The abrupt decrease in immigration due to the pandemic is projected to have long-term implications for the building houses. Thus, the market of wood coatings was partially affected during the Covid-19 pandemic in 2020.

Report Coverage

The report “Germany and France Wood Coatings Market”- Forecast (2021-2026)” covers an in-depth analysis of the following segments of the Germany and France Wood Coatings Market Industry.

• By Formulation: Water Based, Solvent Based, Radiation Curable Coatings, and Others .
• By Resin: Polyurethane, Acrylic, Epoxy, Nitrocellulose, Polyester, Alkyd, and Others.
• By Type: Penetrating Finish, Varnish, Shellac, Lacquer, and Others.
• By Coating Method: Spray Coating, Roller Coating, Curtain Coating, Flow Coating, Vacuum Coating, and Others.
• By Application: Building and Construction (Interior Wood Coatings and Exterior Wood Coatings), Furniture (Windows & Doors, Cabinets & Closets, Domestic & Commercial Furniture, and Others), and Others.
• By Country: Germany and France

Key Takeaways

• Germany dominates the Germany and France Wood Coatings Market owing to rapid increase in Building and Construction sector.
• The market drivers and restraints have been assessed to understand their impact over the forecast period.
• The report further identifies the key opportunities for growth while also detailing the key challenges and possible threats.
• The other key areas of focus include the various applications and end use industry in Germany and France Wood Coatings Market and their specific segmented revenue.

Germany and France Wood Coatings Market Segment Analysis - By Formulation

Water-based segment held the largest share in the Germany and France Wood Coatings Market and growing at CAGR of 4.9% in 2021-2026. Water-based formulations are employed in wood coatings because they have a high degree of flexibility and reduce moisture and solar radiation absorption, resulting in greater environmental resilience and fewer solvent emissions. As a result, demand for water-based wood coatings in Germany and France is expanding. The latest water-based wood coating product launches in the Germany and France region is further accelerating the demand for the wood coating market in the Germany and France region. For instance, in May 2021, Sikken Wood Coatings - a subsidiary of AkzoNobel launched water-based wood coating CETOL WF 98xx range. It is utilized for wooden applications such as windows, claddings, and doors. In March 2019, the Stahl company subsidiary of AkzoNobel launched Relca HY-288 water-based coating, solvent-free hydrophobic hybrid that provides good stain resistance in 1K coating systems in clear and colored systems.

Germany and France Wood Coatings Market Segment Analysis - By Resin

Acrylic segment held the largest share in the Germany and France Wood Coatings Market and growing at CAGR of 2.0% in 2021-2026. The acrylic coatings are used to coat light-colored woods, chemically bleached woods, open-pore woods, and Coatings cycles requiring transparency, yellowing resistance, and flexibility. Chemical resistance, high durability, low volatile organic compound (VOC) emissions, and faster coalescence release are just a few of the benefits of water-borne acrylic resins, which are also expected to drive market expansion in Germany and France. The new product launches related to the acrylic based wood coating is accelerating the growth of the market. For instance, in May 2019, Allnex GMBH Germany, launched water-based acrylic resin for the wooden application. Thus, the mentioned factors are forecasted to boost the segmental growth of the Germany and France wood coatings market.

Germany and France Wood Coatings Market Segment Analysis - By Type

Varnish segment held the largest share in the Germany and France Wood Coatings Market and growing at CAGR of 3.4% in 2021-2026. Varnish is primarily utilized as a wood finish for building and construction activities such as residential and commercial structures, where the various tones and grains of the wood, whether stained or not, are desired to be visible. Moreover, it is extremely durable due to its higher solids ratio, it results in increasing the longevity of the wooden coating. It not only shields and strengthens the appearance of hardwood floors, interior wood paneling and trim, and furniture, but it also protects the wood coating from UV radiation from the sun, thereby, decreasing the damage. The growing wooden based residential construction structures in the Germany such as Schumacher-Quartier will start from 2022, Prinz Eugen Park's wooded housing estate 2020, and will propel the growth of the market. As a result, it is anticipated that the growing demand for the varnish will boost the growth of the Germany and France wood coatings market.

Germany and France Wood Coatings Market Segment Analysis - By Coating Method

Roller coating segment is the fastest growing segment in the Germany and France Wood Coatings Market at CAGR of 5.3% in 2021-2026. Roller coatings are used to apply lye, stain, oil, and lacquer coatings on the flat products like wood floorboards. The capacity to coat various shapes, as well as the fact that the procedure does not require expensive equipment and the deposition is reasonably fast, are the key advantages of roller coating technique for wood, owing to which the demand is anticipated to drive the future growth of the market. Moreover, the use of the roller coating process ensures that on the working surface, there are no obvious smears, owing to this factor it is employed for furnishing, building and construction, and more applications. As a result, it is forecasted that demand for the roller coating will increase during the projected future period.

Germany and France Wood Coatings Market Segment Analysis - By Application

Building and construction segment held the largest share in the Germany and France Wood Coatings Market and growing at CAGR of 3.4% in 2021-2026. Wood coating is widely utilized in the building and construction activities in the Germany and France region for the interior and exterior application of wood coatings. The population of Germany and France is growing, as is people's purchasing power. As a result, new residential buildings, as well as commercial and infrastructure construction, are being built in cities and suburbs throughout these regions. An increase in building and construction activities are driving the growth of the wood coatings market in Germany and France. According to the German Federal Statistics Office, in 2019, the residential and non-residential building and construction activities in the Germany region was 222,678 and in 2020 it was 232,208, an increase of 4.3%, with this increase the interior and exterior application of wood coating also increased, thereby, fueling the growth of the market.

Germany and France Wood Coatings Market Segment Analysis - By Country

Germany held the largest share of 62% in the Germany and France Wood Coatings Market followed by France. The requirement for residences and furniture is growing with the rising urbanization in Germany. Thus, the demand for wood coating market anticipates to grow along. Since more individuals hold access to a higher disposable income, leading a improve lifestyle has become priority. According to Statistisches Bundesamt, the population of Germany is 83.1 million as of July 2021 in which 77% increased from 72.3% are reported urban population. Germany government has imposed to build more wooden houses to help stem climate change by absorbing carbon emissions. Thus, the increase in number of houses will certainly anticipate the growth of wood coatings to protect the houses from moisture and UV damages.

Germany and France Wood Coatings Market Drivers

Implementation of Sustainability Law for Wood Materials in Building & Construction Sector

The increased focus on wood-based products and wood as a raw material in building houses due to the imposed of sustainability law by European Government, which ensures that 50% of all the new buildings construction, should be wood from 2022 in most of the European countries including Germany and France. According to Statistisches Bundesamt, in 2021, the total permits for building construction in Germany is 151,657, which is 3.5% growth compared to the previous year. Since, wood would be highly used in the construction process of all the new buildings as per the law, it anticipates the growth of wood coatings market in the forecast period. Besides, the European government aim to invest US$1.15 trillion over the period of 2021-2030 for the European Green Deal sustainability law imposed in Germany and France and some other major European countries. The law ensures the use of wood in construction of new building or reconstruction of old buildings, accumulating the market growth of wood coatings in the forecast period.

Rapid Demand from the Growing Furniture Industry

The increasing housing construction, population, and income-levels across Germany and France, the demand for furniture, such as chairs, table, bed, sofa, shelves, and cupboard, has been increasing significantly. In the furniture industry, wood coatings are widely used. As a result, the escalating production volume of furniture is augmenting the growth of the wood coatings market in the forecast period. In Germany and France, customers have the accessibility to order furniture both online and offline. The preferred online furniture business is growing to improved digitalization and flexibility of home delivery. Online platforms are producing considerable revenue for corporations like Ikea and Poco. For instance, according to Verband der Deutschen Möbelindustrie (VDM), the turnover of the top 20 in the German furniture trade increased by 2.7% to US$26.1 billion in the 2019-2020. Observing at the past decade, the increase in turnover volumes to nearly 40%.

Germany and France Wood Coatings Market Challenges

Fluctuation in Raw Material Prices Might Hinder the Market Growth

The high cost of raw materials for wood coatings, which includes flaxseed oil, dammar gum and others is one of the factors restraining the market. The heavy demands flaxseed oils in the period of 2018-2020 have not only absorbed additional supplies from a larger domestic production, but have also resulted in a more rapid rate of disappearance than in the comparable months of the 2020 season. According to the Department of Commerce, prices of wood coating oils have risen from 2018 to 2021 from 2 to 4% higher than the average rates. Factors which will be watched critically in the months ahead are the domestic and export demand. Therefore, the volatility in the prices of raw materials might hinder the market growth of wood coatings in Germany and France in the forecast period.

Germany and France Wood Coatings Market Landscape

Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Germany and France Wood Coatings Market. Major players in the Germany and France Wood Coatings Market are PPG

• PPG
• Akzo Nobel N.V.
• DAW SE
• The Sherwin-Williams Company
• Axalta Coating Systems
• Jotun AS
• Hempel AS
• RPM International Inc.
• Meffert AG Farbwerke
• Teknos Deutschland GmbH
• Weilburger Coatings GmbH
• IVM Chemicals GmbH
• Hesse-Lignal

Acquisitions/Technology Launches Product Launches

• In September 2021, Hesse lignal has developed UV coating series with excellent chemical and UV resistance especially for furniture and doors. This series consists of colorless and colored UV varnishes.
• In April 2019, Jotun launched its new range of global wood coating products Ultra One, Ultra Lite and Primax Excel, which are environmentally friendly coats. These are in powder coating form and can also be applied to natural woods.