In response to growing environmental concerns and supportive government policies, water-based and other eco-friendly coatings are set for significant growth. Academician Jin Yong from the Chinese Academy of Engineering emphasized that these environmentally friendly coatings align with global technological trends and represent an upgraded version of traditional paints, shaping a new era of green painting solutions.
With the implementation of stricter environmental protection laws, penalties for polluting enterprises have no upper limit, making volatile organic compounds (VOCs) from conventional paints a key target for regulation. Currently, China's annual paint output reaches nearly 13 million tons, yet less than 50% of this is environmentally friendly paint—far below the 70-80% seen in Europe and the U.S. In terms of application, 45% of the market is occupied by architectural coatings, which are largely eco-friendly, with 90% being water-based and about 8% powder coatings. However, nearly half of the market still relies on solvent-based paints, which emit harmful substances like formaldehyde and benzene, posing serious environmental risks.
Internationally, traditional solvent-based paints have long been banned in many European and American markets due to their harmful effects during production and use. Since January 1, 2004, the EU completely prohibited the production and sale of solvent-based paints, shifting toward water-based alternatives. Similarly, the U.S. imposed restrictions on Chinese furniture painted with traditional coatings in 2004. Water-based paints, using water as a diluent and free from toxic chemicals, offer a sustainable solution that can significantly reduce atmospheric pollution and improve environmental management.
According to calculations, the paint consumption tax policy will put pressure on the average profit margin of the paint industry, which stands at 5-10%. For water-based paint manufacturers, however, this policy serves as indirect but strong support. Furthermore, China’s "Regulations for the Administration of Production of Passenger Vehicles and Product Access," effective since January 1, 2012, explicitly included water-based automotive coatings in the "Access Conditions and Review Requirements" for vehicle manufacturers. The VOC emissions from water-based paints are 60-70% lower than those of oil-based paints, offering clear environmental benefits.
Overall, eco-friendly coatings such as water-based and powder coatings are poised for rapid development. Jin Litai, for example, mainly produces cathodic electrophoretic and ceramic water-based paints, which account for over 70% of its product range. The company’s fundraising project was officially launched in 2014, aiming to produce nearly 80,000 tons of cathodic electrophoretic paint and topcoat annually, with projected market shares of over 40% and 20%, respectively, in the commercial vehicle sector. Shenjian, the largest manufacturer of polyester resin for powder coatings in China, has an annual production capacity of 95,000 tons. Yusanxia A, a vice president unit of the Domestic Coatings Association, actively participates in or leads the development of industry standards and invests heavily in R&D to create low-pollution, high-performance water-based and high-solid paints.
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