Market Dynamics
Asia pacific coated glass market drivers
The coated glass industry is primarily driven by increased demand for commercial projects. Concerns about rising air conditioning costs in commercial buildings are expected to drive up demand for solar control glass in the foreseeable future. The emergence of the automotive industry as a speciality application segment may drive up demand for coated glass even further.
Coated glass is widely utilised for facades, partitions, windows, and other applications in the building and construction industry, making it a major market segment for coated glass. Because of its ability to reduce the cost of air conditioning and heating for the building's occupants, coated glass is employed as energy-saving glass in structures.
In 2021, Asia Pacific's revenue share of the worldwide market was 35.0 percent. In the Asia Pacific, China, Japan, and South Korea are major players. Developing economies like India, as well as Southeast Asian countries like Indonesia and Thailand, have enormous potential. Market expansion in these countries is aided by rising economic growth, disposable income, and concurrent increases in investments in electric vehicles, house construction, and solar systems.
Governments are enacting a variety of building regulations in order to reduce building energy use. This is a huge opportunity for the coated glass business. The expansion of painted glass in architectural applications is being driven by growing awareness of energy efficiency, global warming, an increase in green building construction, and technological breakthroughs in coated glass.
Automobiles manufactured in large quantities in Asia Pacific are likely to boost the industry in some way. Despite the fact that coated glass products have yet to gain widespread adoption in the automobile sector, automakers are beginning to incorporate them into vehicles, particularly premium vehicles. Asian countries enjoy major cost advantages, which aid in the increase in automobile manufacture.
In hot climates, coated glass is commonly used in residential and commercial buildings to keep interiors cool by reflecting outside heat while permitting maximum visible light transmission. The interior temperature of a structure is lowered by reflecting infrared energy, eliminating the demand for air conditioning systems. Coated glass is also utilised in colder climates to keep the structure's interior warm by re-radiating heat from within. In colder climates, this lowers the cost of heating. This can boost the demand for Coated Glass in countries like India, Australia etc.
In addition, coated glass can be mixed with other types of glass to achieve value-added characteristics such as noise reduction, ornamental look, and safety and security. The IEA predicts that the overall energy consumption of air conditioning systems will quadruple by 2050. As a result, construction energy consumption is expected to rise.
There has been an increase in the implementation of building laws demanding energy efficiency in buildings during the last two decades. China created the Design Standard for Energy Efficiency in Residential Buildings in the Hot Summer and Warm Winter Zones in 2003, with a focus on the country's warmest southern regions. To increase solar management and energy efficiency, low-e glasses are coated with metallic and/or metal oxide. The coated glass market is expected to grow fast as the global construction sector expands and building regulations are strictly enforced.
Moreover, the solar industry's achievements forecast a rise in solar panel utilisation, which could alter the need for coated glass in the future. Solar panel glass is critical because it functions as a barrier between the solar photovoltaic cells and the severe external forces. Solar panel glass with a coating is essential because it has a direct impact on the efficiency and output of solar photovoltaic systems. Low reflectivity, high transmittance, good rigidity, safety, and durability are all advantages of coated solar panel glass for increased solar system performance.
Asia pacific coated glass market restraints
Short-term issues for market players include a lack of competent workers and increased building material costs. The high production cost is hampering the expanding boom of the coated glass market, which is being pushed by the expansion of the building sector. Because coated glass is made from flat glass, the float line used to make flat glass has a considerable cost disadvantage.
The glass melting process consumes roughly 60–70% of the total energy utilised in the glass manufacturing process. These furnaces run on fossil fuels, electricity, or a combination of both. Although efforts are continuing to reduce energy consumption through research and development (R&D), it continues to account for a significant amount of the entire manufacturing process cost.
COVID-19's proliferation posed a serious threat to the economy and civilisation. To slow the virus's spread, the governments imposed regulatory bans, which led to the suspension of production, the closing of all work environments, the limitation of public interactions, and the temporary suspension of worldwide manufacturing and trading activities. Coated glass market growth decreased as a result of the epidemic. To comply with government-mandated lockdowns, several manufacturing companies were forced to temporarily halt operations. As a result, vehicle production and construction-related activities came to a halt, and the market began to shrink.
