Latin America Paints and Coatings Market - Segmented by Application, Technology, Product Type, and Geography - Growth, Trends and Forecasts (2018 - 2023)
The Latin America paints and coatings market has been estimated at USD 10,877.98 million in 2017. The market is expected to register a CAGR of 4.19% during the forecast period, 2018 to 2023. One of the major factors driving the growth of the market is the growing demand from the architecture and decorations, and general industrial applications
GROWING DEMAND FROM ARCHITECTURE AND DECORATION APPLICATIONS
Paints and coatings are used for different applications, such as protecting the surface from weathering impact, make the surface waterproof, protecting the surface from the termite attacks and increase the surface durability, in addition to aesthetic appeal of the building. The entire South American market for paints & coatings is expected to be USD 9.2 billion in 2017. Apart from the larger countries like Brazil, Argentina, Columbia, a number of small countries also constitute the South American landscape. Paint companies, both global and based in Latin America, are having plans for increasing the capacity of their production be it through green field route or through brown field route. Countries like Bolivia, Ecuador, Paraguay, Guyana, and Suriname complete the South American market.
Governments in the region have started plans for development along public private partnership model and a new plan such that public money can be used for financing private projects. In addition, the development of its vast offshore petroleum resource, it is expected to increase the paint & coatings market too. Furthermore, higher inflation initiated less private developments. During the forecast period, it is expected to recover the downfall but the overall growth will be lower.
Brazil Dominates the Market
Brazil has the highest share in the market, accounting for nearly 61% of the global market share in 2017. About 80% of the market for paints & coatings in Brazil is expected to be located in the construction sector. The rest is distributed among general industry, repaint, automotive sector and general manufacturing sectors like home appliances, furniture, aircrafts, maintenance coatings, and so on. The economy is expected to grow until there are reforms and corrections in the fundamental political system. In the market for paints & coatings, about 60% of the market in South America is held by Brazil. Brazil hosted the 2016 Olympics in Rio de Janeiro. After this, the next Paralympics is also expected to be hosted in the country. Hence, the demand for paints and coatings in the country is expected to grow at a great pace during the forecast period.
Key Developments in the market