Electronics Conformal Coating Market - Forecast (2023 - 2028)

The Electronics Conformal Coating Market size is forecast to reach $1.290 billion by 2026, growing at a CAGR of 6.1% in the period 2021-2026. The Electronics Conformal Coating is a protective coating or polymer, designed to protect the circuit board topology and other electronic components from corrosion, and enhance the service life. The growth of the Electronics Conformal Coating Industry is primarily driven by the intensifying demand of miniaturized electronics, circuitry and various advanced PCB-related applications. Due to the remarkable combination of superior performance and reliability of conformal coatings solution, several industry verticals such as defense & aerospace, marine, automotive and electronic are adopting the right level of protection. In fact, the promising demand for developing high end applications, such as medical equipment, along with the growing prominence of PCB manufacturers for designing durable coatings with premium corrosion resistance features with the use conformal coatings are observed to boost to market opportunities. Therefore, growing uses of conformal coating in wireless and portable consumer electronic products, as well as integrated electronic circuitry, printed circuit board fabrication, and other vast arrays of application, are estimated to drive the growth of the Electronics Conformal Coating Market.

The report: “Electronics Conformal Coating Industry Outlook – Forecast (2021-2026)”, by IndustryARC, covers an in-depth analysis of the following segments of the Electronics Conformal Coating Industry Outlook.

By Types: Acrylic, Polyurethane, Hybrid, Silicone, Epoxy and Others

By Operating Methods: Manual & Automated Spraying, Brushing, Dipping and Others

By Technology: Solvent-based, Water-based and UV Cured

By Application: Appearance, Moisture and insulation resistance, UV fluorescence, Flammability, Thermal shock, Adhesive and Others

By Industry Verticals: Consumer Electronics, Automotive, Aerospace & Defense, Industrial and Telecommunication, Marine, Medical, and Others

By Geography: North America (U.S, Canada, Mexico), Europe (Germany, UK, France, Italy, Spain, Russia and Others), APAC(China, Japan India, South Korea, Australia and Others), South America(Brazil, Argentina and others)and RoW (Middle east and Africa)

• Asia Pacific dominated the Electronics Conformal Coating Market in 2020 with a share of 39%, owing to the growing consumer electronics market, which leads to potential venture of significant number of PCB manufacturers, such as Ascent Circuits Pvt. Ltd, Kawasaka Process Co., Ltd, AC Synergy PTE Ltd in the region. 
• The Acrylic coating type is analyzed to register the highest share in 2020, and grow at a CAGR of 5.6% during the forecast period, owing to the fair elasticity and general protection to the board's components and wide array of applications. 
• The constant evolution of premium capabilities of medical components to monitor, diagnose and treat patients has accelerated the demand of Parylene conformal coatings for aiming biostable and biocompatible design, which eventually drive the growth of market.

By Types, the Electronics Conformal Coating Market is segmented into Acrylic, Polyurethane, Hybrid, Silicone, Epoxy and Others. The Acrylic coating type is analyzed to register the highest share in 2020, and grow at a CAGR of 5.6% during the forecast period, owing to the fair elasticity and general protection to the board's components and wide array of applications. The Acrylic coating is easily applied and removed and also, considered to be an affordable option in comparison to others for various end users. In March 2021, a leading global supplier of liquid and powder coatings, Axalta introduced Imron Industrial 2100 HG-C high-gloss clearcoat into its existing high-performance Imron Industrial portfolio in North America. The Imron Industrial 2100 HG-C high-gloss clearcoat is formulated to repair the damage areas quickly as it melts quickly and flows smoothly. The new clear coat is based on proprietary Axalta resin technology and produces both polyester and acrylic urethane properties for providing high-quality appearance applications. Thus, the growing demand of industry specifications coating and launches of clearcoat formulas are estimated to drive the Electronics Conformal Coating Market.

By Industry Verticals, the Electronics Conformal Coating Market is segmented into Consumer Electronics, Automotive, Aerospace & Defense, Industrial and Telecommunication, Marine, Medical, and Others. The Industrial and Telecommunication held the highest share, and estimated to register a CAGR of 11.23% during the forecast period, owing to the emergence of numerous advanced electronic assemblies and rapid transformation of consumer demands. In January 2020, the global market leader in electro-chemical solutions, Electrolube decided to launch an innovative range of UV Conformal Coatings, Thermal Management solutions and Encapsulation Resins at IPC APEX EXPO, held at the San Diego Convention Centre, CA. At Expo, Electrolube demonstrated a range of advanced solutions for a multitude of applications, including printed circuit board, housing electronic components, LEDs and fiber optic telecoms equipment, power electronics and many more. Thus, the growing demand of sophisticated collating solutions, such as epoxy and other selective conformal coating for potential performance are some of the factors that induce the growth of the Electronics Conformal Coating Industry.

Asia Pacific dominated the Electronics Conformal Coating Market in 2020 with a share of 39%, owing to the growing consumer electronics market, which leads to potential venture of significant number of PCB manufacturers, such as Ascent Circuits Pvt. Ltd, Kawasaka Process Co., Ltd, AC Synergy PTE Ltd in the region. Consequently, the automotive industry is also advancing that leads to the growth of the Electronics Conformal Coating Industry in this region. In September 2020, Covestro acquired the leading sustainable coating resins business from DSM. The acquisition of the Resins & Functional Materials business (RFM) from Royal DSM promoted the portfolio of Covestro in the market of sustainable coating resins, Coatings, Adhesives, Specialties (CAS) segment. Furthermore, the rapid penetration of digitalization is influencing the other market significantly as it requires the integration of high volume of electronic components. In November 2019, Teko Tinting and Engineering, the Asia-based member of the Inkmaker Group launched its XCELR8 in Jakarta, Indonesia to cater the strong demand from ink, coating and chemical manufacturers. The XCELR8 is the top Polymers, thickeners and surfactants (POS) solutions that enable manufactures with customizable specifications. Therefore, the evolving technology and the growing investment for innovative conformal coating formulation contribute significantly to the growth of the Electronics Conformal Coating Market.

The growing demand of automotive electronics, pertinent to vehicles and other technology advancement for the automotive ecosystem is estimated to drive the Electronics Conformal Coating Market. The introduction of Electric vehicles with advanced components boosts the demand for conformal coatings to protect the necessary electronic installations. In October 2019, the global manufacturer of electro-chemicals, Electrolube, launched six next generation UV cure conformal coating products at Productronica, held in Munich. The Electrolube’s UV Cure coatings, is the innovative new UVCL range, is designed for various requirements and higher levels of performance of electronics, LED and automotive manufacturers. Hence, in order to protect the sensors of the EV vehicles, and restore the quality of the systems from the environment are leading the demand for safety and luxury conformal coatings features, which accelerate the growth of the Electronics Conformal Coating Market.

The constant evolution of premium capabilities of medical components to monitor, diagnose and treat patients has accelerated the demand of Parylene conformal coatings for aiming biostable and biocompatible design, which eventually drive the growth of Electronics Conformal Coating Market. In October 2020, global leader in the manufacturing of conformal coatings, HumiSeal® announced the successful testing of its industry standard UV40 conformal coating to ISO 10993-5 cytotoxicity standards. The industry standard UV40 conformal coating ensures various electronics manufacturers across the globe to serve the medical device industry with increased confidence while using UV40 in PCBs. In order to achieve durability and complete protection of medical devices and other wearable technologies from dust, abrasion, humidity, liquids, and chemicals, the Specialty Coating Systems provide an additional level of confidence, which drives the growth of the Electronics Conformal Coating Market.

The advancement of Conformal Coating technology is serving various industries due to the specifically designed features, which offer absolute protection from harsh operating environments. owever, the expensive investment to achieve such end result and optimum protective conformal coating shields limits the scope for the various mid-sized enterprises to implement. In fact, several conformal coating manufactures are also investing to lower down the manufacturing cost due to the rising raw material price to seek the exact level of quality coating solution. Thus, high price in respect to managing quality conformal coating technology represents a hindrance to the growth of the Electronics Conformal Coating Market.

Product launches, acquisitions, and R&D activities are key strategies adopted by players in the Electronics Conformal Coating Market. The Electronics Conformal Coating Market top 10 companies include Dow, Henkel, Chase Corporation, H.B. Fuller, Electrolube Limited, Shin-Etsu Chemical Company Ltd., Henkel AG & Co, Dymax Corp., Quantum Silicones,

• In February 2020, Dow introduced new DOWSIL™ CC-8030 UV and Moisture Dual Cure Conformal Coating, the first solvent less silicone conformal coating with UV and moisture dual cure for high-volume electronics manufacturing at IPC APEX EXPO 2020. This new environmentally responsible silicone technology of Dow offers sustainability, health and safety while minimizing processing expenditure through fast automated spraying, and energy-efficient UV curing application.
• In March 2019, H.B Fuller announced the business expansion with the establishment of the H.B. Fuller Japan G.K to strengthen its Engineering Adhesive (EA) businesses in Japan. The engineering adhesive business in Japan offers high-performance adhesives to transportation, electronics, and aerospace, renewable energies and medical sectors.