In water soluble paints, water is used as a dispersal agent for resins. These resins are usually synthesized from polycondensation or polymerization in an organic medium. Unlike conventional organic solvent-based paints, these paints are eco-friendly and easy to use. Water content in the paints accounts for 80% of the total paint volume. Other solvents, such as glycol ethers, are also used in these paints to increase viscosity of the paints. The water soluble paints market is mainly driven by increasing demand of these paints from building and construction and automotive sector.
On the basis of type, the water soluble paints market is categorized into polyacrylate-based, polyester-based, alkyd-based, epoxy-based, and epoxy ester-based. Polyacrylate-based dominates the market owing to their good corrosion protection and high gloss properties, over other types.
Based on application, the water soluble paints market is fragmented into industrial, residential, and others. The increasing urban and sub-urban residential infrastructure projects, surging urbanization, and upcoming government residential projects in urban and sub-urban are boosting the market growth for the application.
The water soluble paints market is majorly driven by its increasing use in building and construction and automotive sector owing to their good corrosion protection and high gloss properties, over other types. The growing population coupled with the increasing demand for residential and commercial buildings is expected to drive the growth of the market. The demand for automotive coupled with high disposable income and changing lifestyle is another factor driving the market growth. Furthermore, water soluble paints are used for painting wood furniture as they allow the wood to shrink and expand without cracking.
Pigments, resins, and solvents are some of the common raw materials used in the manufacturing of paints. The increasing prices of raw materials results in additional investment in the production process of paints and coatings. In the recent years, the prices of raw materials such as epoxy and titanium dioxide have risen significantly across the globe which has forced the leading paints and coatings producers to increase the prices of their products. Therefore, the upsurge in prices of raw materials is expected to hinder the growth of the water soluble paints market.
The water soluble paints are expensive and have low drying rate, they have several advantages such as low toxicity, low VOC emission, and low fire hazard. Recently, the Dow Chemical Company has introduced a product named AVANSE MV-100 and 200 which are primarily used to coat metallic surfaces. Moreover, the increasing awareness about health and environment-friendly paints amongst consumer and manufacturers is projected to further fuel the global water soluble paints market during the assessment period. All these factors are expected to serve as lucrative growth opportunities for the water soluble paints market growth.
Insights by geography
Globally, APAC is the leading region in the water soluble paints market, followed by Europe. The market is also expected to witness growth in the forecast period owing to the growing demand for renovation and repair of commercial buildings, houses, malls, and schools in the region. Additionally, increase in government and foreign investment is another factor that drives the water soluble paints market in the region. As per India Brand Equity Foundation (IBEF) data of 2017, India is experiencing a significant interest from foreign investors in the infrastructure space.
Some of the major players operating in the global water soluble paints market Akzo Nobel N.V., Asian Paints Ltd., Nippon Paint Holdings Co., Ltd., PPG Industries Inc., The Sherwin-Williams Company, Valspar Corporation, Axalta Coating Systems Ltd., Benjamin Moore & Co., Berger Paints India Limited, Brillux GmbH & Co.KG, DAW SE., and EcoProCote.