Coil Coatings for Building Construction Market

• ADVANCEMENT OF CONSTRUCTION ACTIVITIES

The construction industry's expansion, particularly in emerging economies, is a significant driver of the coil coatings market. Coil coatings are extensively used in metal roofing and wall cladding systems. The coatings provide protection against weathering, UV radiation, and corrosion, ensuring the durability and longevity of the metal panels. The uniform application of coil coatings ensures consistent quality and appearance across the entire surface of the panels. Additionally, coil coatings are applied to metal components used in architectural elements such as facades, window frames, doors, and curtain walls.

These coatings enhance the aesthetic appeal of the building while providing protection against environmental factors and maintaining the structural integrity of the metal components. Thus, the advancing construction activities including residential and non-residential construction is anticipated to drive the demand for coil coatings for building & construction over the forecast period.

According to the data published by Oxford Economics, the construction industry is anticipated to reach at USD 13.9 trillion by 2037 with US, China, and India being the top construction markets. Additionally, according to the Invest India, by 2030, it is estimated that approximately 600 million people will be living in urban centres, creating a demand for an additional 25 million mid-end and affordable housing units. This surge in urbanization and population growth is driving the need for construction activities to meet the housing demands of the growing population.

Additionally, the outlay for the Pradhan Mantri Awas Yojana (PMAY) is being increased by 66% to over INR 79,000 crore. The enhanced outlay for PMAY reflects the government's commitment to providing affordable housing to the weaker sections of society, lower-income groups, urban poor, and rural poor. Coil coatings play a crucial role in these construction activities. They are used in various applications to enhance the durability, aesthetics, and performance of metal components used in these building and construction thus, driving their demand over the forecast period.

GROWING PREFERENCE FOR METAL BUILDING MATERIALS

The growing preference for metal building materials such as steel and aluminium has significant implications for the demand for coil coating in the building and construction market. Coil coating is the industrial process of applying coatings to metal, providing tightly bonded finishes and ensuring uniform paint coverage on the entire surface of the metal. Metal materials, such as steel and aluminium, are gaining popularity in the construction industry due to their durability, strength, and aesthetic appeal.  Metal panels, roofs, and sheets are being used extensively in commercial and residential buildings, providing artistic appeal and withstanding harsh weather conditions.

The use of metal in construction requires coil coating to enhance its weather resistance and protect it from corrosion, thus, driving the demand for coil coatings with growing preference for metal building materials.

One of the main drivers behind the popularity of metal building designs is their cost-effectiveness. In recent years, supply chain disruptions and capacity restrictions have led to significant price increases for many standard construction materials. However, metal has remained relatively affordable, making it a more attractive option for builders and developers. For instance, lumber prices experienced a staggering increase of over 300% between April 2020 and May 2021, reaching USD 1,600 per thousand board feet.

On the other hand, steel prices also saw a substantial increase of 215%, but the median prices ranged from USD 500 to USD 800, making it a comparatively more cost-effective choice. Thus, the affordability of metal building materials, such as steel and aluminium, has made them a preferred choice for construction projects. Builders and developers are turning to metal as a cost-effective alternative to mitigate the impact of rising material prices. This trend has contributed to the growing popularity of metal building designs in the construction industry.

Steel remains the preferred building material for a wide range of construction and infrastructure projects, and its future is being influenced and enhanced by emerging technologies. Building Information Modeling (BIM), advancements in manufacturing processes, and the adoption of sustainable practices are driving innovation in steel production, resulting in the creation of stronger steel and improved project outcomes. According to Service Steel Warehouse, the global market for structural steel is expected to experience significant growth, with a projected market valuation of USD166 billion by 2033 and a CAGR of 4.8%.

This growth is driven by the requirement for various steel components in the construction of prefabricated buildings, both residential and non-residential. Additionally, the World Steel Association predicts that the global demand for steel will experience a rebound of and witness a growth by 1.7% in 2024, reaching 1,854.0 Mt. This growth is driven by a combination of factors, including infrastructure development, urbanization, and increased investments in construction projects worldwide.

Thus, the growing demand for metals such as steel in the construction industry is further anticipated to drive the demand for coil coating used in these metals for providing strength, durability, and corrosion protection over the forecast period.

The increasing emphasis on sustainable building practices drives the Global Coil Coatings for Building & Construction Market Industry. As governments and organizations worldwide advocate for eco-friendly construction methods, coil coatings that offer durability and energy efficiency become essential. These coatings often contain low volatile organic compounds, aligning with environmental regulations. For instance, the adoption of sustainable materials is projected to enhance the market's growth, with the industry expected to reach 4.91 USD Billion in 2024. This shift towards sustainability not only meets regulatory requirements but also appeals to environmentally conscious consumers.

The growing demand for aesthetic appeal in construction materials significantly impacts the Global Coil Coatings for Building & Construction Market Industry. Architects and builders increasingly prioritize the visual aspects of buildings, leading to a rise in the use of coil coatings that offer a variety of colors and finishes. This trend is particularly evident in commercial and residential projects where design plays a crucial role in attracting occupants. The ability of coil coatings to enhance the aesthetic value of structures contributes to their growing popularity, thereby driving market growth and innovation in coating technologies.

Regulatory standards and compliance requirements are pivotal in shaping the Global Coil Coatings for Building & Construction Market Industry. Governments worldwide are implementing stringent regulations regarding building materials, particularly concerning environmental impact and safety. Coil coatings that meet these standards are increasingly favored in construction projects. Compliance with regulations not only ensures safety but also enhances the marketability of buildings. As the industry adapts to these evolving standards, the demand for compliant coil coatings is expected to rise, further driving market growth.

Rapid urbanization and infrastructure development significantly influence the Global Coil Coatings for Building & Construction Market Industry. As populations migrate to urban areas, the demand for residential and commercial buildings increases, necessitating the use of coil coatings for their protective and aesthetic properties. Governments are investing heavily in infrastructure projects, which further propels the market. The anticipated growth in urban areas is likely to contribute to the industry's expansion, with projections indicating a market value of 8.14 USD Billion by 2035. This trend underscores the need for durable and visually appealing building materials.

Technological advancements in coating applications are reshaping the Global Coil Coatings for Building & Construction Market Industry. Innovations such as advanced application techniques and improved formulation technologies enhance the performance and longevity of coil coatings. These advancements allow for better adhesion, corrosion resistance, and UV protection, which are critical for building materials exposed to harsh environmental conditions. As manufacturers adopt these technologies, the market is expected to grow at a CAGR of 4.7% from 2025 to 2035, reflecting the increasing demand for high-performance coatings in construction.

The global coil coatings market for building and construction is a moderately competitive landscape with several key players vying for market share. The market is driven by the growing demand for energy-efficient and sustainable construction materials, as well as the increasing focus on advanced coating technologies that offer superior protection and aesthetics for metal surfaces. The major players in the global coil coatings market for building and construction include AkzoNobel NV, PPG Industries, Henkel, Wacker Chemie AG, Beckers Group, Sherwin-Williams Company, Groupe Mäder, Axalta Coating Systems, Nipponpaint Industrial Coatings Co., Ltd., Arkema, and Northern Coatings and Chemical Co.

These companies have established a strong presence in the market through their extensive product portfolios, innovative technologies, and strategic partnerships. They continue to invest in research and development to introduce new and improved products that cater to the evolving needs of their customers. The global coil coatings market for building and construction is expected to grow significantly in the coming years, and these companies are well-positioned to capitalize on this growth.

PPG Industries: PPG Industries places a strong emphasis on creating sustainable and innovative products that align with global macro trends. By investing in research and development, the company continuously introduces new products and technologies that cater to evolving customer needs while prioritizing environmental sustainability. This focus on eco-friendly solutions not only differentiates PPG in the market but also presents significant growth opportunities as the world increasingly values sustainability.  With operations in over 70 countries and a robust global footprint, PPG Industries strategically expands into emerging regions to capitalize on the rising demand for coatings and specialty materials in developing economies.

By leveraging its international presence and acquisitions in new markets, PPG positions itself to tap into new growth opportunities and strengthen its market position.

Henkel: Henkel is focused on a long-term framework that aims to drive purposeful growth and win in the 20s. This strategic approach involves creating superior value for customers and consumers, reinforcing sustainability leadership, and empowering employees to grow both professionally and personally. Key elements of Henkel's strategic framework include maintaining a winning portfolio, excelling in innovation, sustainability, and digitalization, and ensuring future-ready operating models supported by a collaborative culture and empowered workforce.

Henkel's commitment to sustainability is evident in its efforts to increase the proportion of renewable energy sources, strengthen the sustainability of its product portfolio, and engage in partnerships to promote sustainability goals. Additionally, the company has made significant strides in digitalization, optimizing its digital sales channels and creating new business opportunities through digital platforms like RAQN.