Product Code: 46248
The global pigments market was valued at over USD 22 billion in 2020, and the market is projected to register a CAGR of over 6% during the forecast period (2021-2026).
The market was negatively impacted by COVID-19 in 2020. The disruption in the global supply chain coupled with reduced demand from various end-user industries such as paints and coatings, plastics, textiles, and others has negatively impacted the demand for pigments. The paints and coatings industry was severely impacted, as the global automotive industry witnessed a decline in production in 2020, with approximately 77.6 million units, down by 16% compared to 2019. Additionally, reduced demand from the construction industry owing to work stoppages and labor shortages impacted the demand for paints and coatings, thereby impacting the pigments market.
- In the medium term, the major factors driving the market studied are rising demand from the paints and coatings industry in Asia-Pacific and consistent industrial developments in the Middle East and Asia-Pacific regions.
- On the flip side, factors such as stringent government regulations and the negative impact of the COVID-19 pandemic are expected to hinder the growth of the market studied.
- Rising demand for reliable commercial products, like 3d printing material, is likely to act as an opportunity in the future.
- Asia-Pacific dominated the market worldwide, with the largest consumption from countries such as China, India, and Japan.
Key Market Trends
Increasing Demand from the Paints and Coatings Industry
- Pigments are majorly used in paints and coatings production. These are engineered, enabling them to withstand the tough demands without compromising the coating performance.
- In the construction industry, architectural and decorative coatings account for the largest consumption of pigments in their production. Thus, rising construction and infrastructure activities in Asia-Pacific are major drivers for the pigment market.
- Furthermore, in the automotive sector, paints and coatings are used in the interior and exterior parts of the vehicle, as they impart protection and appeal to vehicles. They are used in metallic parts, as well as plastic vehicle components of automobiles.
- The primary reason for using automotive coatings is to protect the vehicle parts against various aggressive environmental agents, such as sunlight, corrosive materials, and environmental effects, such as acid rain, hot-cold shocks, stone chips, UV radiation can washing, and blowing sand. These coatings are used in automotive body shops and repair centers for vehicle refinishing.
- According to the OICA data, global automotive production declined by around 16% and reached 77.6 million units in 2020. The car sales declined by around 13.8% in 2020 compared to 2019, reaching 77.97 million units.
- However, with growing concerns related to environmental pollution from petrol and diesel-based vehicles, the production of electric vehicles is expected to pick up pace over the next five years, which is likely to drive the demand for the market studied over the forecast period.
- All the above-mentioned factors are expected to have a significant impact on the market growth in the coming years.
Asia-Pacific to Dominate the Market
- Asia-Pacific dominated the market, primarily due to the increasing demand for construction activities in China and India.
- In China, government spending has been increasing in constructing affordable housing facilities to cater to the housing demand. In India, the infrastructure sector has become one of the major focus areas for the government.
- China is investing USD 1.43 trillion in the next five years till 2025 in major construction projects. According to National Development and Reform Commission (NDRC), the Shanghai plan includes an investment of USD 38.7 billion in the next three years. In contrast, Guangzhou signed 16 new infrastructure projects with an investment of USD 8.09 billion.
- In China, demographics in the country are expected to continue to spur the growth in residential construction. Rising household income levels combined with population migrating from rural to urban areas are expected to continue to drive demand for the residential construction sector in the country.
- India is still a developing economy; the construction sector is one of the booming industries in the country. The infrastructure sector is an important pillar for the growth of the Indian economy. The government is taking various initiatives to ensure the time-bound creation of excellent infrastructure in the country.
- In India, the government is pushing huge projects in the next few years in the residential segment. The government's 'Housing for All' initiative aims to build more than 20 million affordable homes for the urban poor by 2022, which will significantly boost residential construction. Smart cities mission is another major project undertaken by the government, which will construct more than 100 smart cities all over the country to achieve rapid urbanization in the country. In the 2021-22 budget, the smart cities mission has been given INR 6,450 crore against INR 3,400 crore in the 2020-21 revised estimates.
- Thus, all such construction activities and favorable government measures are expected to boost the construction activities in the region, which is further projected to boost the demand for paint and coating, thereby increasing the demand for pigments.
The market for pigments is consolidated with the top five players accounting for major market share. The major companies include DIC Corporation, The Chemours Company, Venator Materials PLC, KRONOS Worldwide Inc., and Clariant.
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
TABLE OF CONTENTS
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
- 4.1 Drivers
- 4.1.1 Growing Demand from the Paints and Coatings Industry in Asia-Pacific
- 4.1.2 Consistent Industrial Developments in Middle-East and Asia-Pacific Regions
- 4.1.3 Consistent Demand from the Textile Industry
- 4.2 Restraints
- 4.2.1 Stringent Government Regulations
- 4.2.2 Negative Impact of COVID-19
- 4.2.3 Other Restraints
- 4.3 Industry Value Chain Analysis
- 4.4 Porter's Five Forces Analysis
- 4.4.1 Bargaining Power of Suppliers
- 4.4.2 Bargaining Power of Buyers
- 4.4.3 Threat of New Entrants
- 4.4.4 Threat of Substitute Products and Services
- 4.4.5 Degree of Competition
- 4.5 Patent Analysis
5 MARKET SEGMENTATION
- 5.1 Product Type
- 5.1.1 Inorganic
- 220.127.116.11 Titanium Dioxide
- 18.104.22.168 Zinc Oxide
- 22.214.171.124 Other Product Types
- 5.1.2 Organic
- 5.1.3 Specialty Pigments and Other Product Types
- 5.2 Application
- 5.2.1 Paints and Coatings
- 5.2.2 Textiles
- 5.2.3 Printing Inks
- 5.2.4 Plastics
- 5.2.5 Leather
- 5.2.6 Other Applications
- 5.3 Geography
- 5.3.1 Asia-Pacific
- 126.96.36.199 China
- 188.8.131.52 India
- 184.108.40.206 Japan
- 220.127.116.11 South Korea
- 18.104.22.168 Rest of Asia-Pacific
- 5.3.2 North America
- 22.214.171.124 United States
- 126.96.36.199 Canada
- 188.8.131.52 Mexico
- 5.3.3 Europe
- 184.108.40.206 Germany
- 220.127.116.11 United Kingdom
- 18.104.22.168 Italy
- 22.214.171.124 France
- 126.96.36.199 Spain
- 188.8.131.52 Rest of Europe
- 5.3.4 South America
- 184.108.40.206 Brazil
- 220.127.116.11 Argentina
- 18.104.22.168 Rest of South America
- 5.3.5 Middle-East and Africa
- 22.214.171.124 Saudi Arabia
- 126.96.36.199 South Africa
- 188.8.131.52 United Arab Emirates
- 184.108.40.206 Rest of Middle-East and Africa
6 COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Market Ranking Analysis
- 6.3 Strategies Adopted by Leading Players
- 6.4 Company Profiles
- 6.4.1 ALTANA AG
- 6.4.2 DIC Corporation
- 6.4.3 Clariant
- 6.4.4 The Chemours Company
- 6.4.5 KRONOS Worldwide Inc.
- 6.4.6 LANXESS
- 6.4.7 Sudarshan Chemical Industries Limited
- 6.4.8 Venator Materials PLC
- 6.4.9 Tronox Holdings plc
- 6.4.10 Merck KGaA
- 6.4.11 Pidilite Industries Ltd
- 6.4.12 Lomon Billions
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
- 7.1 Shifting Focus toward Eco-friendly Products
- 7.2 Rising Demand for Reliable Commercial Products, like 3D Printing Material