July 21, 2024

The Railway Coatings Market Is Propelled By Increasing Railway Infrastructure Projects

Railway coatings offer protection to railway tracks and infrastructure from corrosion and abrasion and help extend their life. Railway coatings are made up of complex polymers, pigments and additives that impart properties like resistance to weathering, degradation and fire. Growing railway projects across countries is fueling demand for high performance railway coatings. For instance, China’s multi-billion dollar Belt and Road Initiative involves infrastructure development through railroads connecting China with central and South Asia as well as Europe and Africa.

The global Railway Coatings Market is estimated to be valued at Us$ 2455.58 Mn in 2023 and is expected to exhibit a CAGR Of 5.2% over the forecast period 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

Waterborne railway coatings are gaining popularity as they help reduce volatile organic compound (VOC) emissions compared to solvent-borne coatings. Moreover, waterborne coatings have low odor and are environmentally friendly. Leading coatings companies are focusing on developing sustainable and eco-friendly coating solutions to cater to stringent environmental regulations. For example, AkzoNobel offers a range of waterborne coating systems for railroads that offer reduced pollution and enable fast drying.

Porter’s Analysis

Threat of new entrants: Low. Established players have strong brands and supply chain infrastructure making entry difficult.

Bargaining power of buyers: Moderate. Buyers have some influence due to the bargaining power of large railway networks but suppliers have built strong relationships.

Bargaining power of suppliers: Moderate. Suppliers have specialized production capabilities but customers can substitute suppliers if prices rise significantly.

Threat of substitutes: Low. No direct substitutes for railway coatings currently exist in the market.

Competitive rivalry: High. Major players compete on price, quality, product innovation and supply contracts resulting in high competition.

Key Takeaways

The global Railway Coatings Market is expected to witness high growth. The global Railway Coatings Market is estimated to be valued at US$ 2455.58 Mn in 2023 and is expected to exhibit a CAGR of 5.2% over the forecast period 2023 to 2030.

North America dominates the market currently due to high regulatory standards and established railway infrastructure. However, Asia Pacific is expected to grow at the fastest pace owing to rapid urbanization and industrialization in countries like China and India.

Key players operating in the railway coatings market are Akzo Nobel N.V., The Sherwin-Williams Co., Axalta Coating Systems, Weilburger Coatings GmbH, Hempel A/S, HSH Railway Finishes, PPG Industries, Inc., HELIOS, Teknos Group. AkzoNobel N.V. is one of the largest players with strong brands and global presence. Sherwin-Williams Co. focuses on product innovation. Axalta Coating Systems has wide product portfolio serving rail industry needs.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it