Corrosion Protection Coatings Market

Corrosion Protection Coatings: The Importance of Protecting Surfaces

Corrosion is a natural process that occurs when metal surfaces are exposed to the environment. The oxidation of metal surfaces results in a loss of material and can lead to structural failure. Corrosion can occur in a variety of environments, including wet, humid, and salty environments, which can be especially damaging to metal structures. One effective method for protecting metal surfaces from corrosion is the use of corrosion protection coatings.

Corrosion protection coatings are designed to provide a barrier between the metal surface and the environment, preventing the oxidation process from occurring. These coatings are available in a variety of formulations, including epoxy, polyurethane, and zinc-rich coatings. Each of these formulations offers unique benefits and can be applied in different ways to suit the needs of the specific application.

Epoxy coatings are often used in industrial applications because of their excellent chemical resistance and durability. These coatings can be applied to a variety of surfaces, including concrete, metal, and wood. Polyurethane coatings are also commonly used in industrial applications because of their excellent abrasion resistance and UV stability. These coatings are often used in outdoor applications where exposure to sunlight is a concern.

Zinc-rich coatings are a type of corrosion protection coating that provides sacrificial protection to metal surfaces. These coatings contain a high concentration of zinc particles that act as an anode, sacrificing themselves to protect the metal substrate. Zinc-rich coatings are often used in marine and offshore applications where exposure to saltwater can lead to rapid corrosion.

In addition to protecting metal surfaces from corrosion, corrosion protection coatings can also improve the aesthetic appearance of the surface. Coatings can be formulated to provide a smooth, glossy finish or a rough, textured finish depending on the application. This can be especially important in architectural applications where the appearance of the surface is a key consideration.

In conclusion, the use of corrosion protection coatings is essential in protecting metal surfaces from the damaging effects of corrosion. The right coating can be selected based on the specific application, providing long-lasting protection and improving the appearance of the surface. By investing in corrosion protection coatings, businesses can save money on maintenance and repair costs and extend the lifespan of their structures.

Corrosion Protection Coatings Market Dynamics

DRIVERS in Corrosion Protection Coatings Market

The Corrosion Protection Coatings Market is driven by the need for efficient processes and longer equipment life in the oil & gas and industrial sectors. These industries deal with hazardous and corrosive chemicals and processes, exposing equipment, pipelines, reactors, and storage tanks to various climatic conditions. The application of heavy-duty corrosion protection coatings can prevent or reduce the impact of the environment and other factors on reactor surfaces, leading to an extended working life of the equipment.

RESTRAINTs in Corrosion Protection Coatings Market

On the other hand, the market is restrained by the high prices of raw materials and energy. Corrosion protection coatings are relatively expensive compared to general coatings, and the manufacturing cost is also rising due to the increase in energy prices. The fluctuating crude oil prices and foreign currency fluctuations have led to higher raw material prices. Moreover, the economic slowdown in China, one of the largest markets for manufacturing coatings, has impacted the market. In addition to the raw material prices, manufacturers are also facing the additional cost of increased taxes on energy, which results in higher operating costs and lower profit margins.

OPPORTUNITIES in Corrosion Protection Coatings Market

The markets for corrosion protection coatings in emerging countries, including China, India, Thailand, and Brazil, present significant opportunities for growth. These countries currently have the lowest per-capita consumption of coatings globally, indicating a substantial potential for expansion. Additionally, the development of domestic industries in these nations has led to a significant increase in demand for corrosion protection coatings, further driving growth opportunities. Leading players in the industry, such as PPG Industries and AkzoNobel, have recognized the potential and restructured their strategies to penetrate and establish bases in these emerging markets.

CHALLENGES in Corrosion Protection Coatings Market

Despite the growth potential in emerging markets, the corrosion protection coatings market faces challenges from local players. A few major global players, including PPG Industries, AkzoNobel, and Jotun A/S, dominate the market in terms of revenue and product development. However, several small local players, including Diamond Vogel Paints and SK Formulations India Pvt. Ltd., have identified the needs and demands of the local market and focus on developing application-specific products. Although these local players may lack the financial or technological resources of the global majors, they are gradually gaining an edge through increased R&D initiatives and a focus on limited geographic regions. Emerging competitors such as AnCatt and Greenkote PLC are also challenging the current leading market players.

In 2021, the market for corrosion protection coatings was dominated by epoxy resin coatings, both in terms of volume and value. The market share of epoxy corrosion protection coatings is expected to continue to dominate during the forecast period due to their compatibility with other coating materials. This dominance can be attributed to the excellent properties of epoxy-based coatings, including water resistance, low cost, and exceptional corrosion protection. The increasing demand for these coatings from end-use industries such as oil & gas, marine, and infrastructure is expected to fuel the growth of the epoxy segment.

General Insights of Corrosion Protection Coatings Market

Among the different types of corrosion protection coatings, solvent-based coatings are the most commonly used and held the largest market share in 2021. However, due to their non-environment-friendly nature and volatility, this segment is expected to lose a significant share of the market. The rising demand for solvent-free and water-based coatings is expected to impact the market share of solvent-based coatings.

During the forecast period, the infrastructure sector is expected to exhibit the highest compound annual growth rate (CAGR) due to the increasing need for corrosion protection coatings in heavy civil structures such as bridges, dams, airports, ports, and electric power utilities. The selection of the appropriate type of coating for infrastructure projects depends on the climatic conditions of the specific region. Water-based corrosion protection coatings are preferred in the infrastructure sector due to their low VOC emissions. This technology is increasingly being utilized in North America and Europe for the construction of buildings.

According to the forecast period, Asia Pacific is anticipated to be the fastest-growing region in the global corrosion protection coatings market. The dominance of the Asia Pacific region is attributed to the presence of major end-use industries in the region. The demand for corrosion protection coatings is increasing, especially in Asia Pacific, and the market in the region is expected to witness a high growth rate compared to other regions. The demand is due to the development of new infrastructure and construction projects and the continuous maintenance of existing industrial systems.

Innovation in modern structures is also driving the market. Damage and losses in old structures have created awareness of the harmful effects of corrosion. Current projects in heavy infrastructure consider corrosion as a severe problem and potential threat to the quality and life of the structures being constructed. To avoid the costs of corrosion, measures are taken to prevent it, including selecting corrosive-resistant materials and applying corrosion protection coatings on structures.

The growth of the corrosion protection coatings market is driven by the increasing demand for the process from manufacturing industries worldwide. This is primarily due to the rise in adoption of coating applications in end-user industries such as oil and gas, manufacturing, infrastructure, and automotive. The durability and toughness of the coatings have accelerated market growth. The need for efficient processes and longer equipment life, as well as the demand for coatings with features such as chemicals and heat resistance, UV light, abrasion, improved toughness, and dimensional stability, have also contributed to market growth. Strict government rules and regulations, the expansion of end-user industries, innovation in modern structures, and concerns regarding losses and damage due to corrosion are additional factors that positively influence the corrosion protection coatings market. Additionally, the advent of eco-friendly coatings presents profitable opportunities for market players in the forecast period.

Moreover, the development of environmentally friendly coating products such as waterborne epoxy (WEP) coatings is expected to act as a growth opportunity in the future. The lower VOC emission of WEP coatings is receiving significant attention, and it improves the barrier property of WEP coatings, further increasing their anti-corrosion ability and supporting market growth.

The infrastructure industry, including roads, rails, bridges, and buildings, is witnessing rapid expansions and renovations, resulting in a significant boost in the market. Developing regions such as the Asia Pacific and Africa are experiencing fast industrial production and construction activities, contributing to the industry's growth. The demand for architectural metals like lead, tin, zinc, copper, aluminum, and iron, along with metal alloys such as brass, bronze, and nickel silver, is increasing globally, driven by various construction activities. However, as most of these metals are prone to corrosion, there is a significant need for anti-corrosion products to mitigate corrosion, which is driving the demand for the market.

The market growth is being hindered by regulations imposed for Volatile Organic Compounds (VOC). VOC emissions originate from various sources, including industrial coating operations, paints, gasoline-powered lawn and garden equipment, and others. Therefore, anti-corrosion coating products must comply with stringent regulations. The U.S. EPA (Environmental Protection Agency), for example, regulates VOCs at the federal level for product segments such as aerosol coatings, architectural coatings, automobile refinish coatings, and consumer products.

The solvent-based technology segment held the largest market share, accounting for over 46% of the global revenue in 2019. The high share is attributed to the increasing demand for corrosion protection coatings in industrial tanks, manufacturing machines, pipes, ballast tanks, chemical storage tanks, gas ducts, cooling towers, and smokestacks. Furthermore, solvent-based coatings have a shorter drying time and offer improved temperature, humidity, and abrasion resistance.

Water-based coatings are gaining popularity due to the growing stringency of environmental regulations. These coatings are commonly used in household appliances to reduce VOC emissions and provide excellent chemical resistance, cold-resistance, non-flammability, non-explosiveness, and non-toxicity. Water-based coatings are also used in metal components, machinery equipment, axles, transmission shafts, and gearboxes.

Zinc coatings, which are comprised of zinc metal pigment ranging from 85 to 92%, offer cathodic protection and have thickness ranging from 6 to 125 microns. Zinc-based corrosion protection coatings are widely used in building & construction and marine applications for pipelines, bridges, containers, and other metallic products.

The oil & gas application segment led the market, accounting for over 36% of the global revenue in 2019. This is due to the extensive use of corrosion protection coatings in this sector, as it minimizes the risk of microbes and improves abrasion resistance and surface finish. Anti-corrosion coatings are also used in hospitals, care homes, and drop-in centers for products including floors, handles, beds, walls, and ceiling paints.

Key Companies in Corrosion Protection Coatings Market

• AKZONOBEL N.V.
• PPG INDUSTRIES INC.
• JOTUN GROUP
• THE SHERWIN-WILLIAMS COMPANY
• KANSAI PAINT CO., LTD.
• HEMPEL GROUP
• CHUGOKU MARINE PAINTS LTD.
• AXALTA COATING SYSTEMS
• NIPPON PAINT HOLDINGS CO., LTD.
• TEKNOS
• NOROO PAINTS & COATINGS
• DIAMOND VOGEL
• GREENKOTE PLC
• RENNER HERRMANN S.A.
• NYCOTE LABORATORIES CORPORATION
• O3 GROUP
• THE MAGNI GROUP, INC.
• SECOA METAL FINISHING
• EONCOAT, LLC
• DAI NIPPON TORYO CO., LTD.
• ADVANCED NANOTECH LAB
• HUISINS NEW MATERIAL TECHNOLOGY CO.
• BLUCHEM
• SK FORMULATIONS INDIA PVT. LTD.
• ANCATT INC

Recent Developments in Corrosion Protection Coatings Market

The corrosion protection coatings market has seen recent developments in 2021. In June 2021, AkzoNobel acquired the paints and coatings company Grupo Orbis based in Colombia. Similarly, in April 2021, The Sherwin-Williams Company acquired the European industrial coatings business of Sika AG. These acquisitions are expected to help these companies expand their reach in the market and offer better products to their customers.

In February 2021, PPG Industries launched a new corrosion protection coating called PPG HI-TEMP 1027 HD in North America. The product is designed for use in various sectors, including oil & gas, chemical processing, power generation, and industries such as paper mills and steel mills that rely on insulated pipelines. This launch is expected to further strengthen PPG Industries' position in the market and help them cater to the specific needs of their customers.

Overall, these recent developments in the corrosion protection coatings market demonstrate the increasing competition among key players and their efforts to expand their product portfolios and reach in the market.

In recent years, the corrosion protection coatings market has witnessed significant developments in terms of product innovation, partnerships, and strategic collaborations.

One of the major developments is the growing demand for eco-friendly and sustainable coatings due to the increasing awareness about environmental concerns. This has led to the development of water-based and other low-VOC (volatile organic compound) coatings that are environmentally friendly and comply with regulatory standards.

Partnerships and collaborations between manufacturers and end-users have also been increasing in the market. This has led to the development of customized solutions that cater to the specific needs of the end-users. For instance, in 2021, a leading coatings manufacturer, AkzoNobel, partnered with a global wind turbine manufacturer, Vestas, to develop sustainable coatings for wind turbine blades.

The market has also witnessed a surge in research and development activities to develop innovative products that offer improved performance and longer durability. For instance, in 2020, PPG Industries launched a new range of corrosion-resistant coatings that are specifically designed to protect against aggressive chemical environments.

The use of nanotechnology in corrosion protection coatings has also been gaining traction in the market. Nanocoatings offer enhanced corrosion protection and improved durability. In 2021, researchers from the University of Arkansas developed a nanocoating that can provide long-term corrosion protection for metals exposed to extreme environments.

Overall, the corrosion protection coatings market is witnessing significant developments in terms of product innovation, partnerships, and strategic collaborations, driven by the increasing demand for eco-friendly and sustainable coatings and the growing need for customized solutions that cater to the specific needs of end-users.