U.S. demand for automotive
coatings, adhesives and sealants is expected to reach $5.3 billion in 2012.
Photo: Scapa Automotive
demand for automotive coatings, adhesives and sealants is expected to increase
2.6% annually to $5.3 billion in 2012, with volume reaching 1.6 billion pounds.
Coatings will continue to dominate the market, accounting for nearly 80% of
market value. Slow gains in this segment will offset the more rapid advances
seen in the smaller-volume adhesive and sealant markets. An improving outlook for motor-vehicle
production will support volume gains, as will the increasing importance of
structural adhesives in vehicle assembly. These and other trends are presented
in Automotive Coatings, Adhesives & Sealants
, a new
study from Cleveland-based industry research firm The Freedonia Group Inc.
The original equipment manufacturer (OEM) market for coatings, adhesives and
sealants is heavily dependent on motor-vehicle production patterns. Through
2012, motor-vehicle production is expected to rebound from the poor performance
seen in the 2002-2007 period, spurring demand in the OEM market.
Aftermarket demand will benefit from continued growth in the existing number of
motor vehicles, as well as the popularity of light trucks, vans and
sport-utility vehicles over the past decade. Despite below-average gains in the
production of these larger light vehicles due to high fuel prices and market
saturation, these vehicles - which consume higher volumes of coatings, adhesives,
and sealants in their repair than smaller light vehicles - will maintain a
significant share of total existing motor vehicles. Providing further
aftermarket support will be above-average increases in the number of medium-
and heavy vehicles in use.
Demand for coatings will be somewhat limited, as competing alternatives such as
paint film and in-molded color (which are used with plastic substrates) can
offer cost advantages, reduce production time, and improve wear resistance. Adhesives, on the other hand, will benefit
from the shift toward plastics, as they are lower in cost and better suited for
use with plastics than mechanical fasteners.
For more information, contact Corinne Gangloff, The Freedonia Group
Inc., 767 Beta Drive, Cleveland, OH 44143-2326; phone (440) 684-9600; fax (440)
646-0484; e-mail email@example.com; or visit