Marine Coatings Market

[142 Pages Report] Marine Coatings Market size was valued at USD 3.19 Billion in 2016 and is projected to reach USD 3.93 Billion by 2022, at a CAGR of 3.50% during the forecast period from 2017 to 2022. The base year that has been considered for the study of the marine coatings market is 2016 while the forecast period is from 2017 to 2022.

Market Dynamics

Upcoming shipbuilding projects and plans

The factors affecting the shipbuilding industry can be divided into macro factors such as world seaborne trade, oil prices, economic stability, and political stability; and market factors such as subsidies by the government, scrapping of old vessels, charter rates, and vessels on order. Over the past few years, a number of policy measures have been undertaken to control the issues. This has resulted in several upcoming shipbuilding projects that are expected to drive the marine coatings market. The marine coatings market in APAC is expected to rise due to the increase in new shipbuilding projects and programs in this region.

• In November 2017, MODEC, Inc. (Japan), a manufacturer of floating oil & gas production systems, signed an agreement with Petrobras, the Libra Consortium Operator (Brazil), for the construction and operation of floating production storage and offloading (FPSO) vessel. This FPSO vessel will have a capacity of 1,400,000 barrels of crude oil and will be launched in 2021 for its first oil production.
• In December 2017, Austal Limited (Australia) received an order from Aremiti (Tahiti) to build a passenger with a capacity of 620 passengers. The construction of this ship will start in 2018 and is expected to be delivered in 2019.
• Samsung Heavy Industries (SHI) (South Korea), signed a contract for the construction of a 180,000-cbm liquefied natural gas (LNG) carrier. This contract is worth USD 195 million and is expected to be culminated by the end of 2018. In addition, SHI has secured approximately, 28 orders worth USD 6.9 billion for the year 2018.
• Qingdao Beihai Shipbuilding Heavy Industry (China) is planning to deliver six very large ore carriers (VLOCs) to the mining company Vale (Brazil). The delivery of the vessels is expected to start from late-2019. Three more carriers, worth USD 75 million each, are also expected to be delivered by 2021.
• Quanzhou Ansheng Shipping (China) has placed an order to build 12 vessels worth USD 120 million. These vessels will be built in three shipyards in China, namely, Fujian Southeast Shipbuilding, Fujian Mawei Shipbuilding, and Nantong Xiangyu Marine Equipment. Each of the yards will construct four vessels and deliver them by 2019.
• China Shipbuilding Industry Corporation is constructing a new polar research vessel and icebreaker since December 2016. The ship will be operated by the Polar Research Institute of China (PRIC) and is scheduled to enter the service by the end of 2019.
• Daewoo Shipbuilding & Marine Engineering (DSME), a South Korean shipbuilding company, has a series of 15 icebreaking liquefied natural gas (LNG) carriers to serve the Yamal LNG project located at Sabetta on the Yamal Peninsula in Northern Russia. The construction of the vessels started in 2016 and is intended to be delivered by the first quarter of 2020.
• China Merchants Industry Holdings (CMHI), China will build two MT 6024, multi-purpose subsea diving support and construction vessel (DSCV) for Thailand-based Mermaid Offshore Services, a subsidiary of the Mermaid Maritime Public Company by the end of 2019.

Advancements in marine coating technologies

Marine coatings manufacturing companies are continuously putting efforts to improve their product portfolio and provide their customers with the most innovative products. This is due to the government regulations as well as the advancements in marine coating technologies. Automated solutions have been developed for the synthesis, preparation, and testing of coating applications. For instance, Azkonobel, Barrier Group, and DroneOps have collaborated to develop a drone, which is capable of inspecting enclosed spaces in a vessel. New technological advancements in the field of marine coatings will help in preparing pigmented coating systems and handling high viscosity coating ingredients. Extensive research has been conducted to study the interaction of key biological organisms with coating surfaces. The emergence of new coating technologies has further aided market development. Foul release and antifouling coatings, which prevent the build-up of organic matter on ship hulls, improve fuel efficiency, and decrease emissions, are being widely used.

Environmental regulations

Most regulations are targeted at curtailing VOC emissions from coatings. Regulations such as the REACH and LEED GreenSeal GC-03 2nd Ed., 1997 specify the VOC content in grams per liter (g/L) for coatings. Such regulations have put pressure on marine coatings manufacturers to reduce VOC content while simultaneously trying to better or maintain both the coating quality and performance. All these have also affected the product prices, due to the changes brought by them in the technology used for producing marine coatings. Before these regulations came into force, solvent-borne coatings with moderate-to-high solid content were in vogue. However, the new regulations have compelled manufacturers to either produce solvent-borne coatings with low solid content or water-borne coatings. This change in technology entails high investments, as the production process has to be changed, which affects the product performance. Therefore, regulations are a challenge for the market growth.

Solvents Emissions Directive (SED), regulates VOC emissions from facilities such as shipyards and docks. This indicates that the companies have to produce coatings, which have less solvent or are water-based. The companies are also regulated by Biocidal Products Directive (BPD), where all biocides used in antifouling paints need to be evaluated and approved before they can be legally sold. In EU, biocides that are not well documented are more or less phased out of the market, as regulated by BPD. All the leading suppliers are following this legislation. In the US, there are a series of regulations governing the substances that the companies can use in their products, together with the rules for VOC and biocides. Rules regarding VOCs are about to be introduced in Hong Kong, Singapore, and many other countries. For customers, there are two main areas of coatings legislation that have had a significant beneficial impact. Firstly, the Control of Harmful Antifouling Systems on Ships, where, from January 1, 2003, International Maritime Organization (IMO) convention established a ban on the application of tributyltin (TBT) antifoulings on ship hulls and from January 1, 2008, an end to the presence of TBT on ship hulls altogether. The convention entered into force on September 17, 2007. Secondly, the introduction of SOLAS Performance Standard for Protective Coatings for dedicated seawater ballast tanks in all types of ships and double-side skin spaces of bulk carriers was made mandatory in December 2006. The introduction of this standard will help increase the service life of coatings and ultimately provide crew and vessel safety.

The objectives of the report are as follows:

• To estimate and forecast the size of the marine coatings market, in terms of value and volume
• To define, describe, and forecast the size of the marine coatings market based on resin, product type, application, and region
• To forecast the size of the marine coatings market with respect to five main regions, namely, North America, Europe, Asia Pacific (APAC), South America, and the Middle East & Africa, along with their respective key countries
• To provide detailed information regarding the major factors such as drivers, opportunities, and challenges influencing the growth of the marine coatings market
• To strategically analyze micromarkets with respect to individual growth trends, prospects, and their contribution to the overall marine coatings market
• To analyze opportunities in the marine coatings market for stakeholders and provide a competitive landscape of the market leaders
• To track and analyze recent developments such as new product launches, expansions, partnerships, and acquisitions undertaken in the marine coatings market
• To strategically profile the key players in the marine coatings market and comprehensively analyze their core competencies

Both, top-down and bottom-up approaches have been utilized to estimate and project the size of the marine coatings market during the forecast period. The size of the marine coatings market has been calculated, and weightages have been assigned to various market segments. This has been performed based on the extensive primary interviews and secondary research of the information available on websites of various associations such as the American Coatings Association, the Society for Protective Coatings, and the Canadian Paints and Coatings Association. Primary research that has been carried out included extensive interviews with key personnel such as chief executive officers, vice presidents, directors, and executives of the leading players operating in the marine coatings market. After arriving at the overall market size, the total market has been split into several segments and subsegments. The data triangulation and market breakdown procedures have been employed to complete the overall market engineering process and arrive at the exact statistics for all segments and subsegments. The breakdown of profiles of primary respondents has been depicted in the figure below.

To know about the assumptions considered for the study, download the pdf brochure

The ecosystem of the marine coatings market comprises manufacturers of marine coatings such as PPG Industries (US), AkzoNobel (Netherlands), Hempel (Denmark), Sherwin-Williams (US), Jotun (Norway), Chugoku Marine Paints (Japan), Nippon Paint (Japan), Kansai Paint (Japan), Axalta (US), and BASF Coatings (Germany); and ship building industries such as Mitsubishi Heavy Industries (Japan), Hyundai Samho (South Korea), Samsung Heavy Industries (South Korea), Daewoo Shipbuilding (South Korea), and Hyundai Heavy Industries (South Korea).

Target Audience:

• Manufacturers of Marine Coatings
• Chemical Suppliers
• Raw Material Suppliers
• Manufacturers of Coatings
• Government and Research Organizations
• Traders, Distributors, and Suppliers of Marine Coatings
• Industry Associations
• Research and Consulting Firms

The study answers several questions for the stakeholders, primarily, which market segments they need to focus upon during the next two to five years to prioritize their efforts and investments.

Scope of the Report

The research report categorizes the marine coatings market into the following segments:

Marine Coatings Market, by Resin:

• Epoxy
• Alkyd
• Polyurethane
• Others (Acrylic, Polyester, and Fluoropolymer)

Marine Coatings Market, by Product Type

• Anti-Corrosion Coatings
• Antifouling Coatings
• Others (Foul Release and Moisture Cure)

Marine Coatings Market, by Application

• Cargo Ships
• Passenger Ships
• Boats
• Others (Offshore Vessels, Service Ships, and Tugs)

Marine Coatings Market, by Region:

• North America
• Europe
• Asia Pacific
• South America
• Middle East & Africa

Available Customizations

With the given market data, MarketsandMarkets offers customizations according to client-specific needs.

• Further breakdown of the Rest of Asia Pacific, Rest of Europe, Rest of South America, and Rest of the Middle East & Africa marine coatings markets
• Further breakdown of subsegments of the marine coatings market
• Detailed analysis and profiles of additional market players (up to five)

The marine coatings market is projected to grow from USD 3.31 Billion in 2017 to USD 3.93 Billion by 2022, at a CAGR of 3.50% during the forecast period from 2017 to 2022. The increase in the overall international trade has resulted in the increased use of sea routes for carrying out trade activities across the globe. This has led to rise in the number of bulk carriers, container ships, and general cargo ships being manufactured across the globe, thereby widening the scope of the marine coatings market. In addition, the increasing demand for marine coatings from emerging economies such as China and South Korea is expected to fuel the growth of the marine coatings market across the globe.

The marine coatings market has been segmented based on resin, product type, application, and region. Among resins, the epoxy segment is expected to lead the marine coatings market during the forecast period, in terms of value. The growth of this segment of the market can be attributed to the outstanding chemical and water resistance offered by epoxy marine coatings. Moreover, these coatings are also extremely durable and have excellent adhesion to a variety of substrates.

Based on product type, the marine coatings market has been segmented into anti-corrosion coatings, antifouling coatings, and others. The antifouling coatings segment of the market is projected to grow at the highest CAGR between 2017 and 2022, in terms of value. The growth of the antifouling coatings segment of the marine coatings market can be attributed to the capability of these coatings to reduce the growth of organisms on the underwater hull of the marine vessels. These antifouling coatings also help in reducing the fuel consumption by marine vessels, which subsequently results in reducing harmful emissions.

Based on application, the marine coatings market has been classified into cargo ships, passenger ships, boats, and others. The passenger ships segment of the marine coatings market is projected to grow at the highest CAGR between 2017 and 2022, in terms of value. The growing coastal and maritime tourism across the globe is contributing significantly to the growth of the shipping industry in the North American and European regions.

The marine coatings market has been studied in North America, Europe, Asia Pacific, South America, and the Middle East & Africa. The Asia Pacific region is the largest market for marine coatings and is expected to continue leading the market till 2022. The growth of the Asia Pacific marine coatings market can be attributed to the recognition of countries such as China, Japan, South Korea, India, Vietnam, and Indonesia as ship manufacturing hubs.

The requirement of making significant investments in R&D activities for developing new marine coatings due to the ongoing developments and modifications in technologies employed for manufacturing marine coatings make the entry of new players in the market difficult. Fluctuating prices of raw materials adversely impact the overall cost of production incurred by the manufacturers of marine coatings. Increasing environmental regulations also pose a challenge for the growth of the marine coatings market across the globe.

New product launches and expansions have been the major developmental strategies adopted by the key players operating in the marine coatings market between 2013 and 2017. Companies such as PPG Industries (US), AkzoNobel (Netherlands), Hempel (Denmark), Sherwin-Williams (US), Jotun (Norway), have adopted these strategies to enhance their product offerings and customer base as well as gain a competitive edge over their peers in the market. These companies are also focusing on investing in R&D activities to introduce new and cost-effective materials to keep up with the changing consumer needs.

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