South America Anti-corrosion Coatings Market Outlook, 2029

South America Anti-corrosion Coatings Market Outlook, 2029

The anti-corrosion coating market is at the very center of this drive to modernity and sustainability by introducing some of the most fundamental revolutionizing solutions, replete with state-of-the-art technology and eco-friendliness. Enterprises are increasingly involved in the development of low-VOC and water-based coatings with reduced impact on the environment. The South American anti-corrosion coating market is moving progressively toward a sustainable direction, driven by both regulatory pressures and market demand for environmentally friendly solutions, which mirrors a global inclination toward greener technologies. For example, IBAMA has established parameters for industries' gaseous emission levels, putting pressure on companies for the development of more environmentally friendly products. This forces not only the companies to adjust their businesses according to the rule but assures consumer and industrial consumption preference for an environmentally cleaner solution, hence calling for a big step toward the sustainable market landscape. Innovation plays an important role in the South American anti-corrosion coating market, whereby technological developments and changing trends have enhanced product performance for specific applications. Some of the recent developments include self-healing coatings and the use of nanotechnology to increase durability and resistance. These technologies extend protection and reduce maintenance needs, thus meeting the demands of key industries such as mining and oil and gas. New polymer technologies that can deal with corrosion in extreme conditions are being considered by research establishments in Chile, and smart coatings fitted with sensors which could monitor in real time are coming into favor. Recent developments in the South American anti-corrosion coating market have aligned with infrastructure spending and urbanization. Large-scale projects, such as São Paulo's subway system expansion and road upgrades in Argentina, are providing a platform for advance anti-corrosion products. Initiatives like the National Environment Policy of Brazil, popularly called PNMA, and Argentina's National Energy Policy dictate the guidelines toward sustainable development and impact the trends of the market accordingly.

According to the research report ""South America Anti-corrosion Coating Market Outlook, 2029,"" published by Bonafide Research, the South America Anti-corrosion Coating Market is projected to add more than USD 600 Million from 2024 to 2029. Growth in the South American anti-corrosion coating market is witnessed through infrastructure development and expansion in industries. Growing investments in construction, the automobile sector, and oil and gas are increasing demand for anti-corrosion products that offer better durability and protection. The modernization programs being carried out, coupled with requirements for effective corrosion solutions in very aggressive environments, raise the market growth. Spending on infrastructure and industrial capability by South American countries will continue and hence, regional development, as well as technological advancement, will definitely foster the growth of the anti-corrosion coating market. Durability and life span are the key issues in the South American anti-corrosion coating market great emphasis is put on the development of products that offer protection over longer periods and reduce maintenance requirements. With advanced coatings and treatments that have been developed to withstand even the harshest environmental conditions, specifically in the oil and gas and mining sectors, emphasis is laid on product life. This emphasis on product life can be seen to be realized with the development of self-healing and smart coatings, which can perform far better than passive solutions currently in the market. The emphasis on durability ensures that the anti-corrosion products cater to demanding industry requirements by providing long-term asset protection. Another key trend in the South American anti-corrosion coating market is modernization through advanced material and technology integration. Companies are integrating advanced technologies such as nanotechnology and smart coatings to enhance product performance and monitor performance in real time. Events such as Expo Corrosion 2023, which took place in São Paulo, and the Latin American Oil & Gas Summit 2024 in Buenos Aires have offered opportunities for innovation display and the review of market trends.

Market Drivers

• Expansion of Oil and Gas Industry: In South America, the anti-corrosion coating market is significantly driven by the expansion of the oil and gas industry, particularly in countries like Brazil and Venezuela. The harsh environments and demanding operational conditions in oil and gas exploration and production require robust corrosion protection solutions to ensure the longevity of equipment and infrastructure. The growing investments in offshore drilling and pipeline construction are boosting the demand for anti-corrosion coatings, which are essential for preventing costly damage and ensuring operational efficiency in the oil and gas sector.

Market Challenges

• Economic Instability and Budget Constraints: Economic instability and budget constraints present a major challenge to the anti-corrosion coating market in South America. Many countries in the region face economic difficulties, including inflation, currency fluctuations, and political uncertainty, which can impact public and private sector investments in infrastructure and industrial projects. These financial challenges often lead to reduced spending on maintenance and corrosion protection, as companies and governments prioritize other pressing needs. This can result in a higher risk of infrastructure deterioration, negatively affecting the market for anti-corrosion products and services.

Market Trends
• Growth of Local Manufacturing Capabilities: A notable trend in South America is the growth of local manufacturing capabilities for anti-corrosion products. As the region seeks to reduce dependency on imports and lower costs, there is an increasing emphasis on developing local production facilities. This trend is supported by government initiatives aimed at promoting industrial self-sufficiency and economic growth. The establishment of local manufacturing not only helps meet the demand for anti-corrosion products but fosters innovation and customization to address the specific needs of the South American market.

The construction and infrastructure sector drives the South America anti-corrosion coating market is due to the pressing need to preserve older infrastructure and protect new developments amid the diverse and often harsh environmental conditions in the region, with growing investments in infrastructure projects.

The infrastructure in South America is truly vast, especially in the field of large masses of structures, most of which are therefore exposed to the harshest climatic conditions in the world. These include strong humidity, heavy rainfall, frigidly cold to extremely hot temperatures, and coastal environments that accelerate corrosion with great intensity. Most of the structures and facilities in the region are old and should be comprehensively rehabilitated and protected using proper measures to ensure their safety and normal operation. The demand for anti-corrosion solutions is determined by some factors. There is increasing public and private sector investment in infrastructure modernization and expansion, such as within Brazil's Growth Acceleration Program, or PAC, and others across the continent. These span nearly all sectors, including transport, energy generation, transmission and distribution, and water and sanitation all with a huge need for corrosion protection to assure asset durability and continued operational performance. In addition, a move toward sustainable development and the ambition to approach the international standards in terms of structural safety and considerations of environmental protection boost the introduction of new anti-corrosion technologies within this region. These include high-tech coatings, cathodic protection systems, corrosion inhibitors, as well as innovation-monitoring solutions. The need to make infrastructures more resistant to natural disasters, such as earthquakes, floods, hurricanes, and others, increases the demand for effective anti-corrosion measures.

Epoxy coatings lead in the South American anti-corrosion coating market, with reasonable performance, cost, and easily adapted to the severe industrial and environmental conditions within the region.

Epoxy coatings are among the leading anti-corrosion materials now tending in the South American market due to a set of factors completely in concord with the economic map and industrial needs of this continent. The region's huge and diverse geography ranges from tropical rainforests through arid deserts to rugged mountains, compelling the need for anti-corrosion solutions that can withstand diverse environmental conditions and duress. Epoxy coatings are compatible with sites both coastally and inland because they possess excellent resistance to humidity, UV radiation, and temperature fluctuations, respectively. In addition, the projected superior adhesion to different substrates, like steel, concrete, and wood, means that the products meet the needs created by the diversity of the sectors of industry in South America, for example, oil and gas exploration in Venezuela and Brazil, and mining operations in Chile and Peru. Its outstanding chemical resistance makes epoxy a great solution in those industries where destructive substances are commonly used. Thus, with this, the cost efficiency of epoxy coatings resounds very well with the markets of South America where economic considerations are very pivotal in the context of the decisions within the project. Reduced maintenance and long life of epoxy coatings mean lower lifecycle costs for public infrastructure projects and private industrial applications a compelling value proposition. The versatility of the epoxy systems can be modified to meet specific regional needs, for instance, perpetuation to microbial growth of humid tropical locations, or increased abrasion resistance for mining equipment. The increasing importance of infrastructure development in South America, particularly in countries like Brazil and Colombia, has significantly boosted the demand for epoxy coatings in construction and transportation areas. This material is likewise flexible in that it can be applied by a range of methods, from spray systems to hand application, and accurately so, over a varied range of project requirements which often arise in the area, sometimes under challenging application conditions. In addition, the increase in environmental consciousness in South America is demanding the need to develop low-VOC and water-based formulations, in line with the general trend toward more sustainable practices. Especially, in markets such as Costa Rica and Uruguay, a rise in awareness is related to low-VOC technologies and the water-borne form of epoxies.

Market leadership of the solvent-based anti-corrosion coating segment in the South American market was motivated by its good performance in severe conditions and by strong growth in terms of industrial and infrastructure demand in the region.

In South America, the need for solvent-based anti-corrosion coatings is largely driven by the increased industrial base in sectors like oil and gas, marine, and construction. This is highly important to the economy of South America, and therefore these industries necessarily require solid methods to curb corrosion, given the varied climate and environment of the region which easily proves a favorable field of action to corrosion. In many cases, coatings based on solvents are still preferred because of their brilliant performance features, which include excellent adhesion, durability, and resistance to extreme temperatures and humidities. The rapid drying times related to the application of coatings based on solvents are equally important factors for the popularity of the same. For industries like construction and manufacturing, where times are very critical, coatings can be applied and dried very quickly as thereby, reducing the time and eventually related costs spent on project completion significantly. This factor calls for greater importance in South America, where projects related to infrastructure often face severe time and budget pressures. This could mean that the pot life of the solvent-based coatings is longer, hence allowing more flexibility during application quite an advantage in the case of professionals who have to ensure that the finish is uniform and free of flaws. Without growing environmental awareness and a push for more eco-friendly alternatives, the solvent-based coatings still outshine the rest in their performance record. In South America, because so many manufacturers have tailored their production around these coatings, there exists a familiarity and reliance on their use. While the water-based and powder coatings are making inroads, particularly in applications where the emission of VOCs is a problem, the share of the market retained by the solvent-based coatings remains large because they possess unrivaled strength and performance in high-demand applications.

Brazil is the prominent country in the South-American anti-corrosion coatings market analyzed to have heavy investments in infrastructure development alongside increased industrialization.

Demand for anti-corrosion coatings in Brazil has been terrific, being the largest South American country. Infrastructure projects have been taken as top priority by Brazil to boost transportation networks that include roads, bridges, and railways to cater to both enormous economic growth and large-scale urbanization. The focus on infrastructure is not just for enhancing connectivity as it is to boost trade and commerce, which ups the demand for durable materials resistive to all manner of environmental degradation processes. Anti-corrosion coatings provide essential protection against infrastructural degradations, thus increasing lifespan and reducing maintenance costs due to moisture, chemicals, and other corrosive agents. The Brazilian industries are diversified, and the country is on an expansion mode. Brazil has automotive, oil and gas, and manufacturing industries at the forefront. The country's automotive sector is the largest, thus the state-of-the-art needs of the country in terms of high-performance anti-corrosion coatings designed to meet the harsh environmental aggressions that the country's weather is renowned for. Similarly, its oil and gas industry, an all-important component in the economy, depends on a large number of anti-corrosion coatings in its beach and land pipelines, storage tanks, and large number of drilling rigs to ensure operational efficiency as well as safety. The growing sustainability awareness has impacted Brazil's anti-corrosion coatings market. Fostering regulations related to volatile organic compound (VOC) have pushed the necessity to look for more sustainable, low-VOC coatings, and therefore most manufacturers in the segment are developing such sustainable solutions. On the other hand, it has steered the course not only to be in tune with the world's focus on sound environmental management but to make a difference by positively influencing consumers, who are increasingly becoming aware of their ecological footprints.

• In September 2023, BASF announced the launch of its new bio-based anticorrosion coating, Coralcure. This coating is made from renewable raw materials and is said to be more environmentally friendly than traditional anti-corrosion coatings.
Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Anti-Corrosion Coating market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By End Users
• Construction and Infrastructure
• Oil and Gas
• Industrial
• Marine
• Energy and Power
• Automotive
• Others (Including Aerospace, Defense, etc.)

By Type
• Epoxy
• Acrylic
• Alkyd
• Polyurethane
• Zinc
• Others (Including Fluoropolymer, Ceramic, etc.)

By Technology
• Solvent-based
• Water-based
• Powder coatings
• Others (UV-cured, etc.)

The approach of the report:
This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Anti-Corrosion Coating industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.

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