Wood Preservative Coatings Market to Grow at a CAGR of 6.2% through 2027
The North America wood preservative coatings market is a more mature market
The North America wood preservative coatings market is estimated to be valued at more than US$ 2,000 Mn by 2017 end, and is expected to expand at a CAGR of 5.2% over the forecast period to be valued at more than US$ 3,300 Mn by 2027 end. The wood preservative coatings market in the region is projected to exhibit a CAGR of 4.9% in terms of volume over 2017–2027. North America is anticipated to reach 868,047 tonnes by 2027 end from 539,973 tonnes in 2017. Adoption of robust manufacturing technologies such as UV technologies is a major factor leading to the growth and maturity of the North America wood preservative coatings market.
The rise in single family homebuilding in the U.S likely to foster growth in the consumption of wood preservative coatings in North America
The single family housing model accounts for a major share in U.S housing constructions. The growth in single family housing is becoming prevalent in the U.S over multi-family housing, thereby increasing the demand for lumber, which in turn drives the wood preservative coatings market. Wood is considered to be a least energy intensive building material as compared to other building materials such as plastic, steel, concrete etc., that require more energy to convert the raw materials to the end product. Also, factors such as the availability of wood at cheaper costs compared to its substitutes, wide range of types and sizes and high material stiffness of wood further fuel the consumption of wood preservative coatings.
Canada has around 30% of the world’s boreal forest that consists of trees such as larch, poplar, pine etc. Production of soft wood constitutes a major share in Canada, wherein the conversion of wood to various products is significant. According to the Canadian Wood Council, the forests in Canada are more protected than any other country in the world with independent certifications. Soft wood from Canada is exported to the U.S, representing one-third consumption. A large production of lumber necessitates the requirement of wood preservative coatings in order to prevent the wood from decaying due to environmental factors such as climatic conditions. The presence of robust forestry coupled with sustainable forestry management fuels the wood preservative coatings market in North America.
The Energy and Environmental Design programme of the U.S. Green Building Council certifies wood preservative coating products that have low VOCs and are formaldehyde free. Also, the presence of toxins and carcinogenic ingredients in the products are verified and if present, restrictions are imposed. These stringent standards and regulations help in driving revenue growth of the wood preservative coatings market in North America.
High solid technology, low odour and high durability products for interior wood coatings is the new trend in North America
The trend of usage of water-borne coatings is significant in the North America wood preservative coatings market. An increasing awareness among consumers regarding the usage of eco-friendly coating products is prevailing. Also, UV wood coatings are being used for industrial applications owing to the fast curing and high production efficiency offered by such coatings. Besides, high solid technology involving less solvent and more solids use is currently a prominent trend in the North America wood preservative coatings market. Also, low odour and high durable coatings are increasingly preferred by consumers in the North America wood preservative coatings market.
Insect repellent segment is estimated to hold major share both in terms of value and volume
Preservative coatings for wood products are essential for increasing the product life span. Among various preservatives, insect repellent is estimated to hold major share both in terms of value and volume owing to its inherent advantages of protection from decay. The borates, azoles, pentachlorophenol etc. type of insect preservatives are more preferred by consumers. The market for stains and varnishes is quite fragmented with the presence of several domestic players. The demand for wood preservative coatings for protective as well as decorative purposes influences the stains and varnishes segments.