IMCD survey: Industry trends shaping the future

How was the survey structured?

Carola Duncan: At IMCD Coatings & Construction we launched our first Trends Commentary in 2021 to identify key industry trends and inform industry innovation. For the second edition in 2023 we introduced insights from our Customer Trends Survey. This year’s edition survey follows a pulse format to ensure up-to-date data and perspectives as to what trends will shape our markets in 2025 and 2026.

We emphasised local market adaptation, tailoring survey design and translations. Conducted over four weeks in 2024, the survey covered 30 countries across the Americas, Asia-Pacific, Europe, and the Middle East and Africa. Responses were segmented by line of business, country, company size, and role, targeting key market segments such as adhesives and sealants, construction, decorative paints and industrial coatings. Nearly 1,500 respondents participated, primarily from R&D (40%), management (22%), and purchasing (20%), with industry experience ranging from 10 to 30+ years.

What surprised you the most about this year’s survey?

Duncan: First, was a very positive surprise as the participation almost doubled compared to the first survey, reflecting strong engagement from the industry. The second surprise was a shift in megatrends expected impacts. In our survey we differentiate four megatrends shaping our industry: Green & Circular, which focuses on minimising environmental impacts; Healthy Future, which emphasises creating safer, label-free formulations; Smart Functionality, which enhances products with features that go beyond primary functions; and Efficiency, which optimises productivity and material use.

One of the biggest shifts was the declining emphasis on the Smart Functionality trend, dropping from 22% to 8%.This is largely due to the impact of the Healthy Future trend surging from 18% to 30%, making it the second highest ranked trend, showing a shift in focus very visible within the industrial coatings and decorative paints sectors.

Green & Circular remains the leading trend across all regions except the Americas, where Efficiency is seen as having the most impact, likely influenced by economic factors and the region’s emphasis on cost-effective production. This clearly shows a growing prioritisation of health-conscious choices and enhancing the sustainability profile of formulations.

Sustainability is currently the key factor shaping the coatings industry. What are your main takeaways from the survey?

Duncan: Firstly, two sustainability-driven mega trends emerged as dominant, Green & Circular and Healthy Future. Compared to 2023-24, these trends have gained significance, with 68% of respondents identifying them as the most impactful, up from 52% in the previous period.

Secondly, in our state of sustainability section, we dove more into details about how to adopt sustainable practices. Here we learned that while over 70% of respondents see sustainable products as a key differentiator, willingness to pay for them continues to depend on return on investment or cost absorption by customers. This is particularly relevant in industries such as construction and industrial coatings, where material costs and regulatory compliance significantly influence purchasing decisions. Generally speaking, we see that regulation remains the strongest driver for sustainability, particularly in Europe and North America.

What main opportunities and challenges do you anticipate for decorative coatings?

Duncan: For decorative coatings, the do-it-yourself (DIY) market plays a significant role, making consumer preferences highly influential. We anticipate sustainability to become even more critical as consumer awareness grows. Our trends survey shows that reducing CO₂ and other emissions to the environment are deemed important or very important formulation trends in Europe by over 80% of customers. To achieve that, many decorative paint manufacturers are developing formulations using bio-based binders and recycled fillers.

The challenge is combining alternative raw materials that match the performance of the market-standard paints, including opacity, wet-scrub resistance, weather durability, and volatile organic compounds (VOCs). From a technical standpoint, the potential for sustainable transformation in decorative paints over the next decade is immense.

What main opportunities and challenges do you anticipate for industrial coatings?

Duncan: The industry faces increasing pressure to develop safer, more sustainable solutions while maintaining efficiency and cost control. Achieving the same performance as traditional solvent-borne coatings while ensuring regulatory compliance remains a hurdle. For example, water-based formulations are much more complex and sensitive, with a larger number of raw materials that create even more interactions, making them more demanding in terms of formulation. However, the demand for high-performance and safer coatings presents a significant opportunity, particularly in industries like automotive and industrial machinery, where durability, regulatory compliance, and environmental impact are key concerns.  In that context we expect a rising demand for PFAS-, Tin-, Cumene- and Cobalt-Free resins and additives. Our technical experts and our global laboratories are supporting our customers with the innovative materials from our suppliers to solve these complex transitions.

Almost all market segments mention Asia-Pacific as the growth region. How will this affect the flow of goods?

Duncan: With Asia-Pacific emerging as the key growth region for respondents to the survey, our approach remains focused on leveraging IMCD’s global footprint. As we are a distributor, we support this growth through strategic partnerships, regional and local logistics hubs, and dedicated local teams, ensuring efficient supply chain management and tailored customer solutions. Our strategy is to provide on-the-ground support, ensuring a seamless supply chain and aligning with the region’s evolving demands.

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