Automobile Industry To Hold Considerable Share In The Smart Coatings Market

The automobile sector is one of the fastest-growing industries in the world. The emergence of electric cars and bikes is providing an impetus to the market growth. The industry is one of the largest employers around the globe. As per the European Commission, the automobile sector gives jobs to more than 14 million Europeans alone and has a turnover that accounts for around 7 percent of the region's GDP.

The changing economic conditions, such as an increase in the purchasing power parity (PPP), translate into improved disposal incomes, coupled with lost cost EMIs. With the technologies changing with the hour, the demand for new and improved automobiles is finding many takers. As per the International Organization of Motor Vehicle Manufacturers, the total number of vehicles sold in 2018 was 95 million.

The demand for electric vehicles is projected to create upswings for market growth. According to the International Energy Association, the global electric car sales exceeded 5 million in the year 2018, from its previous years 2 million.
In the automobile industry, smart coatings are used extensively as an anti-corrosion coating in the body panels, doors, exhaust, suspensions, and engines. It improves their physical and mechanical characteristics.

COVID-19 Impact Analysis

The coronavirus pandemic has created a blip in the global economy, coupled with disruptions in the supply chain that has impacted the end-user industries of various sectors. With the majority of the countries relying on China for raw material and other components, the pandemic transportation restriction led to losses for many market players. This has compelled the manufacturers to focus on domestic raw material procurements and find an alternative so as to reduce dependence on China. With the plummeting of the global demand, governments are providing various economic recovery packages and various tax exemptions to the SMEs so as to revive the market growth.