Alkyd Resin Market

• Increased demand from paint and coatings sector is driving the market growth

The demand for alkyd resin in the paint and coatings sector is rising significantly. This increased focus might be attributed to the outstanding qualities, adaptability, and abundance of alkyd resin, a favored option for many industrial applications. A film-forming ingredient in some paints and transparent coatings is alkyd resin, an oil-modified polyester.  These resins are compatible with various other resins used in the paint industry, such as amino resin, phenolic resin, rosin resin, and polyurethanes, making it simple to modify them to obtain desired qualities.

Additionally, modified alkyd resin-based varnishes and enamels are useful for painting automobiles, airplanes, railroads, and agricultural machinery. These products are made of alkyd resins mixed with urea- and melamine-formaldehyde. Enamels made from resins can be used to paint numerous pieces of equipment, including bicycles, cars, and other vehicles. High application is anticipated to boost market CAGR in response to ongoing research and development by manufacturers.

Another main factor propelling the growth of the alkyd resin market is the excellent features of alkyd resins. Polyhydric alcohols are heated with polybasic acids or their anhydrides to create alkyd resins, which are thermoplastic polyester resins. Due to their excellent weathering characteristics, alkydresins produce protective coatings. Due to their adaptability and affordability, these resins are the most vital components in producing synthetic paints. Alkyd resins' compatibility with numerous different coating polymers is a key quality.

For instance, alkyd resins can improve vinyl resins' application qualities, such as adhesion, which are copolymers of vinyl chloride and vinyl acetate and include hydroxyl groups. The production of marine top-coat paints frequently uses vinyl resins. However, the demand for alkyd resins is anticipated to rise during the projected period because of their excellent qualities. According to major paint and coating producers, Alkyd resins are a crucial component of paint and coating applications. The demand for alkyd resins and paint and coating applications will increase during the projection period.

Furthermore, the economy has grown due to increasing urbanization and industrialization. Urbanization frequently causes a rise in construction activity, including the creation of homes, businesses, and other structures and infrastructural initiatives. Alkyd resin-based paints and varnishes are necessary for these applications. Specialty resins are used in applications including adhesives, sealants, and coatings (architectural, ornamental, and protective) in the building and construction industry to meet strict quality standards. These resins have outstanding qualities, such as good chemical resistance and resilience to high temperatures.

Therefore, it is anticipated that a sizable amount of these resins will be used in the construction of residential and non-residential structures and in impending infrastructure projects. Thus, driving the alkyd resin market revenue.

On February, 2024, JAT Holdings PLC, Sri Lanka's market leader in wood coatings and brushes, and emerging regional paint manufacturer, reached a crucial milestone with the official start of operations at its new Alkyd Resin Plant in Bangladesh. JAT Holdings PLC designed and built the factory through its wholly-owned subsidiary in Bangladesh, Asia Coating (Private) Limited. This achievement is a great development for JAT Holdings PLC, as its new Alkyd Resin Plant will help to increase the Group's profits through improved backward vertical integration.

The Global Alkyd Resin Market Industry is significantly influenced by the expansion of construction activities worldwide. As urbanization accelerates, the demand for residential and commercial buildings increases, subsequently driving the need for high-quality coatings and finishes. Alkyd resins, known for their versatility and performance, are extensively utilized in these applications. The projected growth in the construction sector is expected to bolster the market, with estimates indicating a compound annual growth rate of 2.9% from 2025 to 2035. This growth trajectory suggests a robust future for alkyd resins as essential components in construction materials.

The Global Alkyd Resin Market Industry experiences a notable surge in demand primarily driven by the coatings and paints sector. Alkyd resins are favored for their excellent adhesion, durability, and gloss properties, making them ideal for various applications, including architectural and industrial coatings. In 2024, the market is projected to reach 2.99 USD Billion, reflecting the increasing preference for high-performance coatings. This trend is further supported by regulatory initiatives promoting eco-friendly products, which encourage manufacturers to adopt alkyd resins due to their lower volatile organic compound emissions compared to traditional solvents.

The automotive industry plays a pivotal role in the Global Alkyd Resin Market Industry, as alkyd resins are increasingly utilized in vehicle coatings and finishes. Their superior properties, such as resistance to weathering and chemical exposure, make them suitable for automotive applications. As the automotive sector continues to evolve, with a focus on enhancing vehicle aesthetics and durability, the demand for high-performance coatings is expected to rise. This trend is likely to contribute to the market's growth, with projections indicating an increase to 4.09 USD Billion by 2035, reflecting the growing reliance on alkyd resins in automotive manufacturing.

Regulatory frameworks promoting eco-friendly products significantly impact the Global Alkyd Resin Market Industry. Governments worldwide are implementing stringent regulations to reduce the environmental impact of coatings and paints, encouraging manufacturers to adopt sustainable practices. Alkyd resins, which typically have lower volatile organic compound emissions, align well with these regulatory requirements. This support not only fosters innovation in the development of greener products but also enhances the market's appeal to environmentally conscious consumers. As a result, the demand for alkyd resins is likely to increase, driven by both regulatory compliance and consumer preferences for sustainable solutions.

Technological innovations in the production of alkyd resins are shaping the Global Alkyd Resin Market Industry. Advances in manufacturing processes enhance the efficiency and sustainability of resin production, leading to improved product quality and reduced environmental impact. For instance, the development of bio-based alkyd resins is gaining traction, appealing to environmentally conscious consumers and industries. These innovations not only cater to the growing demand for sustainable products but also position alkyd resins as competitive alternatives to synthetic options. As a result, the market is likely to witness increased adoption of these advanced materials in various applications.

By region, the study provides market insights into North America, Europe, Asia-Pacific and Rest of the World. The Asia Pacific alkyd resin market area will dominate this market due to the expanding chemical industries of China and India, two of the biggest contributors to the regional market. Some of the most powerful producers of alkyd resin are companies based in China. The  alkyd resin market is anticipated to grow as passenger car sales increase in China, South Korea, Japan, and India.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2:  ALKYD RESIN MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Europe alkyd resin market accounts for the second-largest market share. The increased use of cobalt-based dryers and growing environmental worries about VOC emissions have caused a change in the market towards water-based alkyd resins. Additionally, it is anticipated that the substantial auto manufacturing base and rising consumer spending power will strengthen the local economy. Further, the German alkyd resin market held the largest market share, and the UK alkyd resin market was the fastest growing market in the European region

North America Alkyd resin Market is expected to grow at the fastest CAGR from 2023 to 2032 due to the expansion of the building sector. Additionally, during the course of the projected period, the region's urbanization and population growth would be accompanied by an increase in the market. Alkyd resin use is anticipated to contribute significantly to market growth in a number of end-use industries, including automotive, building and construction, marine, and aerospace. Moreover, US alkyd resin market held the largest market share, and the Canada alkyd resin market was the fastest growing market in the region.

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the alkyd resin market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their  footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, alkyd resin industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the  alkyd resin industry to benefit clients and increase the market sector. In recent years, the alkyd resin industry has offered some of the most significant advantages to market. Major players in the alkyd resin market attempting to increase market demand by investing in research and development operations include Nord Composites, V Chemicals Pvt Ltd., Cytech Solvay Group, DSM, DowDuPont Inc., Polynt Spa, and Mancuso Chemicals Limited.

Technology-based materials and solutions are offered by DuPont de Nemours Inc, formerly known as DowDuPont Inc. It provides materials and printing systems to the advanced printing industry as well as materials and solutions for the manufacture of semiconductors and integrated circuits that address both the front-end and the back-end of the production process. Adhesives, advanced printing solutions, biomaterials, electronic solutions, textiles, fibers & nonwovens, animal nutrition, construction materials, food & beverage ingredients, medical devices, industrial films, resins, and other products are among the company's product offerings.

DSM-Firmenich AG is a science-based company that focuses on identifying environmental, social, and economic challenges and opportunities. After seizing these chances to have a long-lasting positive impact on people and the environment, it then concentrates on fostering growth through sustained, profitable growth. The business makes speciality plastics, fibre and resin solutions, nutritional lipids, carotenoids, vitamins, and other components. From agriculture byproducts and biochemicals, the company creates materials for renewable energy and medicinal devices.