The global automotive coatings, adhesives, and sealants market is predicted to grow at a compound annual growth rate (CAGR) of 5.59% from 2013 to 2018, according to “The Global Automotive Coatings, Adhesives, and Sealants Market 2014-2018,” a recent report from TechNavio. A key factor contributing to this market growth is the growing demand for various types of coatings. The global automotive coatings, adhesives and sealants market has also been witnessing increasing demand from emerging economies. However, rising raw material costs could pose a challenge to the growth of this market.
The report covers the Americas, as well as the Asia-Pacific and Europe, Middle East and Africa (EMEA) regions. In addition, it addresses the global automotive coatings, adhesives, and sealants market landscape and growth prospects in the coming years.
“Faced with a continual surge in fuel prices, consumers are progressively demanding automobiles with improved fuel efficiency,” said an analyst. While alternative sources of fuel are available, automobile manufacturers across the world are increasingly exploring solutions that can reduce the weight of automobiles and enhance fuel efficiency.
“This drive for production of lightweight automobiles has led to the increased demand for adhesives and sealants, which when used in place of welded joints, mechanical fasteners, and gaskets help reduce the weight of the automobile,” the analyst said. “Also, the increasing use of plastics (which cannot be welded) in automobiles has led to the increased demand for adhesives. Moreover, the use of structural adhesives, which are lightweight and crashworthy, in vehicle assembly, has contributed to the market’s growth. The use of sealants as substitutes to mechanical gaskets in automobiles, owing to their resistance to corrosion and chemicals, is also expected to contribute to the market's growth during the forecast period.”
Many drivers are contributing to the market’s growth, according to the report. The most important of which is the growing demand for specialized types of coatings such as water-based, powder-based, and radiation-curable. The increase in demand for such products can be attributed to stringent regulations pertaining to the safety of the environment, particularly in North America and Europe.
In addition, according to the report, one of the market’s major challenges is the stringent laws and regulations governing the market, which require vendors to follow elaborate procedures before the commercialization of a new product.
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