Market Trends of Egypt Automotive OEM Coatings Industry
This section covers the major market trends shaping the Egypt Automotive OEM Coatings Market according to our research experts:
Economical Conditions having a negative impact on the demand for Automotive OEM coaitngs
- Egypt's auto industry has slowed down a lot because of the economy. As a result, there aren't as many new cars on the market, and the prices of used cars have gone up a lot.
- Since March 2022, the country's domestic car market has come to a halt.With the Egyptian pound depreciating against the dollar, new passenger car prices have also increased.
- Because inflation was going up, the new import policy made the depreciation effect worse. This led to a shortage of new cars, which stopped the market.
- Due to the shortage of new cars, there is a huge demand for used vehicles in the market.
- The ongoing semiconductor shortage and disruption in supply chain management have further impacted the production of new vehicles.
- All of the things listed above hurt the demand in the country for automotive OEM coatings.
Understand The Key Trends Shaping This Market
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Solvent Borne Coatings To Dominate The Automotive OEM coatings
- Waterborne coatings, solvent-borne coatings, electrocoats, and powdered coatings are some of the commonly used technologies in auto OEM coatings.
- The solvent-borne automotive OEM coating is a liquid layer of protection made mostly of organic compounds. It is put on the surface of a material to protect it from corrosion, chemical effects, and other outside factors.
- Solvent-borne coatings are used a lot in the OEM coatings market for cars because they have good performance, are cheap, and have a high viscosity.
- In recent times, due to various environmental safety measures, various coating manufacturers have invested in the development of new coating technologies.
- Water is used as the medium or vehicle for the film-forming resins in water-borne automotive OEM coatings.Waterborne coatings have low levels of volatile organic compounds (VOC) and high levels of solids. They offer good durability, chemical resistance, and color retention.
- Advances in water-borne coatings, the usage of bio-based raw materials, etc. are some of the technologies being studied in order to reduce the VOC content and also to get the desired results for coatings used in various automotive vehicles.
- Water-borne acrylic alkyd hybrids are a new technology that helps with clean-up and low VOC levels, as well as leveling and durability.It helps to reduce the content of coalescing and process solvents more, often targeting close to zero VOC to meet regulatory demands in critical markets.
Due to the stringent laws passed by the governing bodies in the country, water-borne OEM coatings are growing at a faster rate and are expected to be the most dominant technology in the future.
