Marine Deck Coatings Market - Forecast(2023 - 2028)

Marine Deck Coatings Market Overview

The global Marine Deck Coatings market size is forecast to reach US$6.1 billion by 2027, after growing at a CAGR of 3.2% during the forecast period 2022-2027. Marine coatings are a type of protective coating that is commonly used for the purpose of protecting ships, tankers, vessels, and other materials in the marine environment from saline or freshwater. It also plays a vital role in providing corrosion resistance to materials and protects them from abrasion. An increase in the production of leisure boats and cruise ships, along with an increase in shipbuilding activities in Asia-Pacific, and the requirement of timely maintenance of marine decks due to frictional resistance can act as major drivers for the market. Marine deck coatings that were formulated with cuprous oxide have been implemented in almost 90% of the world’s vessels to control biofouling on marine decks. Biocides have been mainly used for antifouling on marine deck coatings. However, regulations regarding VOC (Volatile organic compounds) are likely to obstruct the market and hinder its growth.

COVID-19 Impact

There is no doubt that the pandemic has significantly reduced marine trades and transport, which in turn, has resulted in lower demand for the procurement of new vessels. The decreasing demand for container transport also led the orders for containerships to be put on hold during the first two quarters of 2020. Moreover, the lack of passengers and the decline of revenues of cruise operators during the pandemic led to the withdrawal of older cruise ships. In June 2020, Carnival Corporation announced to sell and remove 13 cruise ships from their service. Thus, COVID-19 has significantly decreased marine trade and transport which has caused a negative impact on the marine deck coatings market growth as well.

According to the United Nations, Economic and Social Commission for Asia and the Pacific (UNESCAP), the global container shipping volume fell by 5.1% in the first quarter of 2020 compared to the same period in 2019. The Vessels Value agency stated that new shipbuilding orders declined by 41% in 2020. All of these factors have highly affected the growth of the Marine Deck Coatings Market. However, a slow recovery in new shipbuilding contracts has been witnessed since 2021. A slow and steady increase in shipbuilding activities and marine activities will eventually lead to an increase in demand for Marine Deck Coatings as well. This indicates a slow and steady recovery of the market in the upcoming years.

Report Coverage

The report: “Marine Deck Coatings Market – Forecast (2022-2027)”, by IndustryARC covers an in-depth analysis of the following segments of the Marine Deck Coatings Industry.

By Formulation: Water-borne, Solvent-borne, Powder Coatings, Others.
By Resin: Epoxy, Alkyd, Polyurethane, Acrylic, Others.
By Application: Cargo Ships, Passenger Ships, Tankers, Others.
By Usage: New Build and Maintenance.
By Geography: North America (USA, Canada, and Mexico), Europe (the UK, Germany, France, Italy, and the Rest of Europe), Asia-Pacific (China, Japan, India, South Korea and the Rest of Asia-Pacific), South America (Brazil, Argentina, and the Rest of South America), the Rest of the World (the Middle East, and Africa)

Key Takeaways

• Water-borne paints and coatings market is expected to see the fastest growth, especially during the forecast period. The major reason for its preference over solvent-borne is the fact that it’s environment-friendly in nature, since it is generally lower in volatile organic compounds (VOCs) that are known to degrade the environment.
• On the other hand, powder coatings are also considered much safer, greener, and environment-friendly. However, it comes with some major limitations as compared to liquid coatings.
• Epoxy resins dominated the marine deck coatings market in 2020. Its wide range of characteristics, corrosion resistance, and heat resistance properties made it stand out in comparison to other resins in the market.
• Asia-Pacific dominated the marine deck coatings market in 2020, based on revenue, with China being the one to dominate the market. The major reason behind this is the government's friendly policies related to the market along with the availability of skilled labor at a cheaper rate.

Figure: Asia-Pacific Marine Deck Coatings Market Revenue, 2021-2027 (US$ Billion)

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Marine Deck Coatings Market Segment Analysis – By Formulation

The waterborne coatings held the largest share in the marine deck coatings market in 2021 and is expected to grow at a CAGR of 3.7% between 2022 and 2027. Waterborne coatings are surface coatings that contain 80% water and a small number of other solvents such as polyvinyl ether and glycol. These coatings are not only environmentally friendly but are also used across numerous applications such as automotive refinish, protective coatings, marine, coils, and industrial wood. Since there is a rise in demand for waterborne coatings in marine applications such as anti-corrosion, anti-fouling, and self-cleaning agents, this should most likely lead to an improvement in market growth. Due to strict environmental regulations present in the marine industry, water-borne marine deck coatings are more likely to witness an increase in demand and market growth.

Solvent-based coatings also held a significant share in the market in 2021. Solvent-based coatings consist of organic compounds such as solvents and constitute liquefying agents that vaporize through a chemical reaction with oxygen. Solvent-based coatings are beneficial and hold an advantage in humid environments compared to water-based coatings that are less effective in humid environments. The solvent-based coatings also require very little time to dry in comparison to the water-based coatings. Furthermore, powder coatings hold a variety of advantages over liquid coatings. It is considered to be a much safer, greener, and environment-friendly option. It also provides high durability and cost-efficiency. However, it holds certain constraints as compared to liquid coatings. Powder Coatings can leave a certain kind of texture on a metal surface and it also cannot be mixed with others to obtain certain colors. These constraints may limit the growth of powder coatings as compared to water-borne coatings.

Marine Deck Coatings Market Segment Analysis – By Resin

The Epoxy Resins held the largest share in the marine deck coatings market in the year 2021. Epoxy resin holds major advantages over other resins. For instance, it has a wide range of characteristics, easy processing, corrosion resistance and they are less affected by heat, water, and other factors as compared to other resins. This indicates that epoxy resins are most likely to dominate the market in the upcoming years as well. The Acrylic Resin comprises excellent chemical and special aesthetic properties that make it a very useful product for a wide range of applications. Acrylic resin in marine deck coatings also provides anti-fouling properties and effectively controls the rate of biocide release. The Polyurethane Resin holds excellent flow properties and can be easily mixed and processed. However, it can cause undesirable reactions such as foaming due to high sensitivity to moisture. The Alkyd Resin provides high gloss, good color retention, good resistance to heat and solvent. However, its poor resistance to water, acid, and alkali acts as a major disadvantage.

Marine Deck Coatings Market Segment Analysis – By Application

The Cargo Ships held the largest share in the marine deck coatings market in 2021. Cargo shipping generally refers to the mode of transportation in which goods or cargos are transported via sea using container ships or vessels. It is considered to provide optimum safety during transportation with lesser costs. It also provides a larger load-carrying capacity that acts as a key advantage for sea cargo transport compared to others. In addition, since there is an increasing demand for public transport, the passenger ship segment is expected to be the fastest-growing segment during the forecast period. The passenger ship segment is further divided into cruise ships and ferryboats. Increasing demand for cruise vacationing is expected to drive the demand for cruise ships as well.

The Tanker shipping application also held a significant share in the market in 2021. Tanker ships are commonly used in order to transmit fluids from one destination to another through sea routes. The fluids may include chemicals, oil, CNG, and LPG. The use of tanker ships is considered to be one of the most economic and efficient ways of transporting fluids in bulk across various parts of the globe. Hence, an increase in demand for such fluid, chemical, or gas across the globe can play a major role in the growth of the market in the upcoming years.

Marine Deck Coatings Market Segment Analysis – By Usage

The New Build segment held the largest share in the marine deck coatings market in 2021 and is expected to grow at a CAGR of 3.5% during the forecast period 2022-2027. The COVID-19 pandemic had affected ship-building activities in several countries across the globe. However, as the restrictions post-pandemic gradually eased, the demand for sea-borne trades has been gradually increasing. Since 2020, Europe has seen an increase in the transport of goods by 75% via sea routes. Likewise, Asia-Pacific also saw an increase in import and export trades via sea routes since September 2020. Recent studies show that there has been a rise in new ship demand from Asia-Pacific regions. For example, Japan is recently working on building two future Frigates at two shipyards in the country. The Japanese government has ordered 22 Frigates in total for the Marine Self-Defence Force by 2022. In China, Guangzhou Shipyard International (GSI) is working on building two methanol tankers which have to be delivered by 2022. Hence, global shipbuilding activities are expected to grow in the upcoming years which can lead to an increase in demand for marine deck coatings too.

It is quite important to maintain deck coatings on ships as it helps retain the structure’s appearance and provides corrosion resistance to the structure. Maintenance work can be performed by hiring a professional from some corporate brands or by opting for DIY (Do It Yourself). Either way, an increase in the requirement of timely maintenance work on marine ships also increases the demand for marine deck coatings to be done in a timely manner, thus, leading to market growth.

Marine Deck Coatings Market Segment Analysis – By Geography

The Asia Pacific held the largest share in the Marine Deck Coatings market in 2021 up to 32%. China is the leading country followed by South Korea. South Korea is considered to be the home of some of the major shipbuilding companies in the world, such as Hyundai Heavy, STX Group, Industries Group, DSME, and many others. In addition to this, the country also consists of a supportive government that requests investment from different foreign markets for the overall betterment of the shipping industry. Furthermore, recent studies show that there has been an increasing demand in the order of new ships in the Asia-Pacific regions. Since 2020, there has also been an increase in trade and transport via sea routes in these regions. The government of countries like China and Japan have taken up multiple orders on procurement of new ships and tankers which are due delivery by 2022. Since there has been an increase in demand for new shipbuilding activities in these regions, it can lead to significant growth of the Marine Deck Coatings Market in the upcoming years.

Marine Deck Coatings Market Drivers 

An increase in global sea trade is most likely to increase demand for the product

Marine transport is considered to be the pillar of international trade along with the global economy. According to Marine Publications, around 80% of the global trade by volume and over 70% of the global trade by value are carried out by sea and are controlled by ports worldwide. The rapid growth of marine transport increases the demand for ship-building activities, which in turn, can lead to the growth of the Marine Deck Coatings Market as well. 

Requirement of timely maintenance of marine decks due to frictional resistance

Since ships are highly prone to a large amount of frictional resistance, while traveling in water from one place to another, it often requires timely maintenance to preserve its appearance and structure. Deck coatings protect the ship against harmful UV light, provide corrosion resistance and it also has anti-slip properties that ensure the safety of the crew and passengers. This is one of the reasons why marine deck coatings are opted time and again to prevent ships from degrading at a larger scale. This in turn, can lead to significant growth in the Marine Deck Coatings Market.

Marine Deck Coatings Market Challenges

Strict environmental regulations can cause an obstruction to the market growth

Although ocean transportation is considered to be the least polluting mode of transport, governments, and international organizations have come up with several regulations related to environmental protection in order to moderate the negative effects of marine coatings on the environment. Employing such regulations in the old fleet are especially challenging and may also obstruct the growth of the market. There is an ongoing global transition to make a clean and green marine sector which in turn, is expected to affect the shipbuilding industry. An increase in the international marine environmental regulations for greenhouse gas emission, Sulphur emission, use of cuprous oxide, ship recycling, use of biocides, and other factors are predicted to confine the market growth.

Marine Deck Coatings Market Landscape

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the Marine Deck Coatings market. Marine Deck Coatings market top companies include:

1. Axalta
2. Jotun
3. RPM International
4. AkzoNobel
5. BASF Coatings
6. Beckers Group
7. Chugoku Marine Paints
8. Hempel A/S
9. Kansai Paint
10. KCC Corporation

Acquisitions/Technology Launches

• In June 2021, Hempel has come up with a unique technology that was developed by Das Lack Enertherm (DLE). The technology when combined with internal expertise, will allow Hempel to develop and launch coating products with insulating properties within the next year. The acquisition is part of Hempel’s new Double Impact strategy that is expected to help the company double its revenue to €3 billion by 2025 and also generate leadership positions in the Energy segment.
• In December 2020, AkzoNobel announced that it is set to increase its presence in the North American yacht coatings market with its acquisition of New Nautical Coatings. By acquiring New Nautical Coatings, they are now well-positioned to enlarge their operations in North America and further improve the service levels for their customers. 

Relevant Reports

Marine Coatings Market – Forecast (2021 - 2026)
Report Code: CMR 0111

Waterborne Coatings Market – Forecast (2021 - 2026)
Report Code: CMR 0603

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