The hottest powder coating market in China

China's powder coating market situation

China's powder coating market situation

April 21, 2021

1.2 market situation

in the 1980s, powder coatings were used in the shell of household appliances with their bright colors, durability and other characteristics, which attracted the interest and attention of various industries. Domestic household appliance enterprises in the Pearl River Delta, such as refrigerators, washing machines, air conditioners produced by Kelon, Sanyo, Gree, Midea, Wanbao, etc Electric fans and other household appliances are used in large quantities. At that time, most powder coatings were imported from abroad, and domestic powder coating manufacturers were still in the initial stage. The introduction of foreign powder coating production technology and equipment makes Chinese people see the obvious gap between domestic powder coating production level and foreign coatings. The introduction of foreign technology has led to the rapid rise of China's household appliance industry, such as refrigerators and washing machines. The original coating process has been transformed into powder coating production lines. Qingdao Haier Refrigerator General Factory was one of the earliest factories to introduce foreign production lines at that time. Liaoning Yingkou washing machine factory, Guangzhou Wanbao refrigerator factory and Hangzhou Huari refrigerator factory were the first large-scale powder coating lines using domestic powder coating in China. Among them, the weather resistant polyester powder coating successfully developed by the powder coating branch of Guangzhou Institute of electrical science was first used in Guangzhou Huabao air conditioning plant, which opened the precedent for the use of weather resistant powder coating, and made the national air conditioner manufacturers enter the era of using weather resistant powder coating

after that, the coating application of powder coating has rapidly expanded to many fields, such as aluminum profiles, metal furniture, building materials, heating radiators, pipeline corrosion prevention, electrical insulation, automobile and general industry, and has been widely recognized

the production scale of domestic thermosetting powder coatings has grown from 300 tons in 1983 to 26000 tons in 1993, 340000 tons in 2003, 1115000 tons in 2013, and to 2000 tons in 2019. China's production and sales of powder coatings have maintained rapid growth for many years. Since surpassing the United States in 2002, China has maintained its first position in the world, accounting for half of the global powder coating market, far surpassing the United States, which ranks second

1.3 market scale

the rapid expansion of China's powder coating market in the 40 years of reform and opening up is shown in Figure 1

as a supporting industry of the national economy, the development speed and quality of powder coating are closely related to the international and domestic economic environment. The introduction and implementation of relevant policies and regulations will also seriously affect the development of powder coating industry. In the first 30 years of reform and opening up, thanks to the great development of household appliances, housing, automobiles, infrastructure and other fields, as well as the substantial increase in product exports after China's accession to the WTO, China's powder coating industry grew from scratch, from small to large, and the annual growth rate remained above 20%. The financial crisis in 2008 led to weak global market demand. Among the world's major economies, the United States' economic growth was weak, the euro zone's economic performance was sluggish, Japan's economy was weak for a long time, the growth rate of emerging economies fell, and China's macroeconomic growth rate also slowed down. Affected by this, the growth rate of powder coatings in China has also slowed down, with an annual growth rate of about 10%, and the lowest annual growth rate of 4.5% in 2012

with the development of industry, the problem of environmental pollution has gradually become prominent. The large-scale and long-term fog reflects the severity of air pollution in China from one side through the fine movement of haze weather. The judgment of the party and the government is correct and attaches great importance to it. In order to effectively control PM2.5, the former Ministry of environmental protection formulated the action plan for air pollution prevention and control and the "national ten articles". The Ministry of ecological environment has also signed the "air pollution prevention and control objectives" with 31 provinces (autonomous regions and municipalities) across the country to further implement the environmental protection of local governments. Article 46 of the law on the prevention and control of air pollution clearly stipulates that industrial coating enterprises should use coatings with low volatile organic content. For furniture production, home decoration, automobile manufacturing, automobile repair, home appliance manufacturing and other industries, the government strictly requires the use of environment-friendly coatings. Therefore, as a representative of environment-friendly coatings, China's powder coatings have still performed well in recent years. The annual growth rate of powder coatings in 2013 exceeded the average growth rate of China's coating industry for the first time and has remained so far, as shown in Figure 2

1.4 industrial structure

in the early stage of reform and opening up, China's powder coating industry has just started, with a small number of enterprises and low output. With the entry of foreign-funded enterprises and the introduction of a large number of foreign advanced technologies, the industrialization of powder coatings can be truly realized. At present, the mainstream direction of China's powder coating enterprises is passive cooling private enterprises. In the early stage of development, foreign-funded enterprises are the main force leading the development of the industry. With the maturity of powder coating industrialization, private enterprises have played an important role in the powder coating industry. At the early stage of reform and opening up, China's powder coating industry has just started, with a small number of enterprises and low output. With the entry of foreign-funded enterprises and the introduction of a large number of foreign advanced technologies, the industrialization of powder coatings can be truly realized. China's powder coating enterprises are mainly private enterprises. In the early stage of development, foreign-funded enterprises are the main force leading the development of the industry. With the function of powder coating

estimation, the enterprise scale has increased from the initial annual output of dozens of tons to hundreds of tons. In 2018, there were 15 enterprises with a sales volume of more than 10000 tons, as shown in Figure 3,

gear belt drives equipment operation, etc.

the share of various types of powder coating enterprises is shown in Figure 4,

the main production enterprises of powder coating in China are shown in Table 1