Water Based Resins Market

Water Based Resins Market Size and Forecast

The global Water Based Resins Market is valued at USD 47.8 Billion in 2024 and is projected to reach a value of USD 87.8 Billion by 2035 at a CAGR (Compound Annual Growth Rate) of 5.7% between 2025 and 2035.

Water Based Resins Market Key Highlights

• Based on the Resin Type, the Acrylic Resins category accounted for significant market share in Water Based Resins market industry for 33.20% in 2024
• In 2024, by Application, Coatings & Paints dominated the Water Based Resins market with 39.30% of market share
• Based on the End-User Industry, the Building & Constructioncategory accounted for significant market share in Water Based Resins market industry for 35.56% in 2024
• Asia Pacific dominated the Water Based Resins market industry with 36.40% Water Based Resins market share in 2024
• North America region is anticipated to grow at the highest CAGR during the forecast period in Water Based Resins market industry

Water Based Resins Market Drivers

Growing awareness of environmental sustainability and the tightening of regulations on volatile organic compounds (VOCs)

Because of their favorable environmental characteristics, water-based resins are progressively replacing solvent-based resins in applications like adhesives, coatings, paints, and inks. In the past, solvent-based resins were frequently utilized because to their high volatile organic compound (VOC) concentration. Nonetheless, their use has decreased as a result of tighter laws designed to lower VOC emissions. VOCs are dangerous chemicals that can harm human health and the environment. Examples of these substances are formaldehyde and benzene. The US, the UK, and Germany are just some of the nations that have enacted strict legislation governing VOC emissions. For instance, the US Environmental Protection Agency (EPA) limits VOCs in indoor coatings to 380 grams per liter. Because China plays a major role in the paint and coatings sector, rules require the use of water-based resin coatings in many applications to reduce VOC emissions. In the same way, automobile refinishes and decorative paints are subject to VOC regulations enforced by the European Parliament. Regulatory bodies such as the Biocidal Products Regulation (BPR), EU Ecolabel, British Coatings Federation (BC), Toxic Substances Control Act (TSCA), Clean Air Act (CAA), ASTM International, and REACH have established standards for VOC limits in paints and coatings. Water-based resins are replacing high-VOC solvent-based resins, which is leading to innovation and reshaping the market as manufacturers create goods that satisfy environmental rules without compromising quality or performance.

Water Based Resins Market Challenges

Despite their environmental benefits, water-based resins often face challenges related to cost and performance

These resins typically have higher production costs due to the need for specialized raw materials and complex manufacturing processes. Water-based resins may also be less durable, dry more slowly, and have less adhesion than solvent-based resins, which can restrict their use in high-performance situations. These elements may discourage certain industries, especially those where performance is a top priority, from completely switching to water-based substitutes.

Water Based Resins Market Opportunity

As technology advances, water-based resins are finding new applications in various emerging industries

Water-based resins are being studied by the electronics and automotive industries for use in coatings, adhesives, and other materials that need to have a lower environmental impact without compromising performance. Additionally, the growing focus on sustainable packaging and the development of bio-based water resins present significant opportunities for market expansion. As these applications mature, they are expected to drive further growth and innovation within the Water Based Resins market.

Resin Type Insights

The Resin Type segment is divided into Acrylic Resins, Epoxy Resins, Alkyd Resins, Polyurethane Resins, Polyester Resins, Polyvinyl Acetate (PVA) Resins, Others. The Acrylic Resins segment held the dominant share in 2024, accounting for significant Water Based Resins industry share of 33.20%.

• Acrylic Resins: Water-based acrylic resins are widely used in coatings, adhesives, and inks due to their excellent durability, UV resistance, and low VOC emissions. These resins offer strong adhesion, flexibility, and chemical resistance, making them ideal for architectural coatings, automotive paints, and industrial applications where environmental regulations favor water-based solutions over solvent-based alternatives
• Epoxy Resins: Water-based epoxy resins are known for their high mechanical strength, chemical resistance, and superior adhesion. They are commonly used in protective coatings, floor coatings, and industrial applications where corrosion resistance and durability are crucial. Their lower toxicity and eco-friendly nature make them a preferred choice for infrastructure, marine, and automotive coatings
• Alkyd Resins: Water-based alkyd resins provide high gloss, good adhesion, and excellent weather resistance, making them suitable for wood coatings, metal finishes, and decorative paints. Traditionally solvent-based, advancements in technology have enabled waterborne formulations with improved drying times and durability, addressing growing demand for low-VOC and environmentally friendly coatings
• Polyurethane Resins: Water-based polyurethane (PU) resins are highly flexible, durable, and resistant to abrasion, making them well-suited for wood coatings, textiles, adhesives, and automotive finishes. They form strong protective films and resist chemicals effectively, ensuring long-lasting performance. With lower VOC emissions, they serve as an eco-friendly alternative for industrial and commercial use
• Polyester Resins: Water-based polyester resins are valued for their high tensile strength, durability, and resistance to chemicals and weathering. They are widely used in coatings, adhesives, and composite materials. These resins provide excellent adhesion and film-forming properties, making them suitable for automotive, marine, and industrial applications where long-term performance is required
• Polyvinyl Acetate (PVA) Resins: Water-based PVA resins are commonly used in adhesives, paints, and paper coatings due to their low cost, non-toxic nature, and strong bonding properties. They offer good flexibility, water resistance, and fast-drying characteristics, making them ideal for woodworking, construction, and packaging applications where eco-friendly formulations are in demand in Water Based Resins Market

Application Insights

The Application segment is divided into Adhesives & Sealants, Coatings & Paints, Inks, Textiles & Leather Finishing, Others. The Coatings & Paints segment held the dominant share in 2024, accounting for significant Water Based Resins industry share of 39.30%.

• Adhesives & Sealants: This segment held the most market share in 2024 of Water Based Resins market. Water-based resins in adhesives & sealants provide strong bonding, flexibility, and low VOC emissions, making them ideal for construction, packaging, woodworking, and automotive applications. They offer fast drying, excellent adhesion to various substrates, and chemical resistance, ensuring durability while meeting environmental regulations for safer and more sustainable adhesive solutions
• Coatings & Paints: Waterborne resins are widely used in coatings & paints due to their low toxicity, high durability, and superior weather resistance. They provide excellent adhesion, gloss retention, and UV resistance, making them ideal for architectural, automotive, and industrial coatings. Their eco-friendly nature supports the growing demand for low-VOC and sustainable coatings
• Inks: Water-based resins enhance printability, color vibrancy, and fast drying in flexographic, gravure, and digital inks. They offer low odor, high adhesion, and improved water resistance, making them ideal for packaging, textiles, and publishing applications. Their reduced environmental impact aligns with the increasing preference for sustainable and non-toxic printing solutions
• Textiles & Leather Finishing: Waterborne resins are used in textiles & leather finishing to provide softness, durability, and water resistance. They enhance abrasion resistance, flexibility, and breathability in fabrics, synthetic leather, and footwear coatings. Their non-toxic and eco-friendly properties make them a preferred choice for sustainable textile treatments
• Others (Paper Coatings, Flooring, Construction Additives, etc.): This segment includes paper coatings, flooring finishes, and construction additives, where water-based resins provide enhanced durability, stain resistance, and moisture protection. They are used in corrugated packaging, laminate flooring, and concrete protection, offering low VOC emissions, improved performance, and compliance with environmental regulations across multiple industries

End-User Industry Insights

The End-User Industry segment is divided into Building & Construction, Automotive, Packaging, Industrial, Furniture & Woodworking, Textiles & Leather, Printing & Inks, Others. The Building & Construction segment is categorized into Architectural Coatings, Wood Coatings, Concrete Coatings. The Building & Construction segment held the dominant share in 2024, accounting for significant Water Based Resins industry share of 35.56%.

Building & Construction: This segment held the most market share in 2024 of Water Based Resins market. Water-based resins are widely used in building & construction due to their low VOC emissions, durability, and weather resistance. They enhance coatings, sealants, and adhesives, providing long-lasting protection, flexibility, and sustainability in various applications.

• Architectural Coatings: Offer UV resistance, durability, and enhanced aesthetics for interior and exterior surfaces while reducing environmental impact
• Wood Coatings: Provide moisture resistance, scratch protection, and high adhesion, ensuring the longevity of wooden structures and furniture
• Concrete Coatings: Improve abrasion resistance, waterproofing, and chemical protection, making them ideal for flooring, bridges, and infrastructure applications

Automotive: Waterborne resins play a vital role in automotive coatings, offering high gloss, durability, and corrosion resistance while meeting strict environmental regulations.

• OEM Coatings: Used in automotive manufacturing, they provide aesthetic appeal, scratch resistance, and UV protection with low VOC emissions
• Refinish Coatings: Ideal for vehicle repairs, offering quick drying, superior adhesion, and weather resistance for long-lasting finishes

Packaging: Water-based resins are increasingly used in packaging due to their eco-friendly nature, flexibility, and strong barrier properties.

• Flexible Packaging: Enhances printability, heat resistance, and moisture protection in food and consumer goods packaging
• Rigid Packaging: Provides impact resistance, chemical stability, and sustainable coating solutions for containers and bottles

Industrial: Waterborne resins improve performance, longevity, and environmental safety in various industrial applications.

• General Industrial Coatings: Offer corrosion resistance, chemical protection, and abrasion durability for machinery and equipment
• Marine & Protective Coatings: Provide high saltwater resistance, UV protection, and anti-corrosive properties, ensuring durability in harsh environments

Furniture & Woodworking: Water-based resins in furniture & woodworking applications offer scratch resistance, moisture protection, and smooth finishes. They improve durability and sustainability in wood coatings, laminates, and adhesives, reducing emissions while enhancing aesthetic appeal and longevity.

Textiles & Leather: Waterborne resins enhance water resistance, flexibility, and durability in textile coatings and leather finishing. They provide soft-touch coatings, stain resistance, and breathability, making them ideal for footwear, upholstery, and fashion applications while ensuring compliance with eco-friendly standards.

Printing & Inks: Water-based resins are crucial in printing & inks, offering low toxicity, excellent adhesion, and high color vibrancy. They are widely used in flexographic, gravure, and digital printing, ensuring fast drying, scratch resistance, and eco-friendliness, particularly in packaging and publishing.

Water Based Resins Market Regional Trends

In 2024, the Asia Pacific captured 36.40% of the revenue share.

Asia Pacific Water Based Resins Market Trends

Asia Pacific Water Based Resins Market is driven by region’s burgeoning industrial activities, rapid urbanization, and significant investments in the construction and automotive sectors, which have spurred substantial demand for water-based resins due to their environmentally friendly attributes. As a result of its advantages for the environment and the government's support of low-VOC products, countries like China, India, and Japan have been leading the way in increasing demand for water-based resins.

North America Water Based Resins Market Trends

North America Water Based Resins Market is driven by well-established construction, automotive, and packaging industries are key consumers of water-based resins, particularly in coatings, adhesives, and sealants. The region’s market is supported by stringent environmental regulations and substantial advancements in resin technologies. Additionally, advancements in resin technology and rising consumer preference for sustainable products are further accelerating Water Based Resins market expansion.

Based on the provided market data, Vantage Market Research offers customizations in the reports to meet the specific needs of clients.

Water Based Resins Market Trends

• Sustainability and Green Chemistry: There is a growing trend towards developing and utilizing bio-based water resins derived from renewable sources. This aligns with the broader push for sustainable materials and green chemistry, as companies strive to reduce their carbon footprint and environmental impact
• Increased Adoption in Industrial Coatings: The industrial coatings sector is increasingly adopting water-based resins due to their lower VOC emissions and improved safety profiles. This trend is particularly strong in automotive, construction, and general industrial applications where environmental regulations are stringent
• Advancements in Resin Technology: Continuous innovations in resin formulations are enhancing the performance characteristics of water-based resins, such as improved adhesion, faster drying times, and greater durability.

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Competitive Landscape

The Water Based Resins market is characterized by the presence of several key players, including major chemical companies and specialized resin manufacturers, competing on factors such as product innovation, environmental sustainability, and pricing. In order to comply with strict environmental rules and the growing demand from consumers for sustainable products, these companies are concentrating more and more on creating high-performance, environmentally friendly resins. These companies frequently use strategic alliances, mergers and acquisitions, and production capacity expansion as means of fortifying their market positions. The competition in this market is further heightened by technological developments and the increasing use of water-based resins in a variety of industries, including coatings, adhesives, and inks.

The key players in the global Water Based Resins market include - Dow, BASF SE, Lubrizol Corporation, Covestro AG, Westlake Corporation, Arkema, ADEKA CORPORATION, Olin Corporation, DIC Corporation, Allnex GMBH among others.

Latest Announcements

Westlake Epoxy Announces the Launch of the EpoVIVE™: A New Era of Sustainable Solutions

• In February 2025, Westlake Corporation (NYSE: WLK) announced today that Westlake Epoxy plans to launch at JEC World, March 4 to 6, 2025, in Paris, EpoVIVE™, an epoxy product portfolio offering a range of sustainable characteristics across multiple products, which will support customer sustainability initiatives. The EpoVIVE™ portfolio of Epoxy phenolic, resins and curing agents, represents a significant step forward in the commitment to drive sustainable innovation and foster value-chain collaboration. EpoVIVE™ products are developed with an environmentally conscious mindset

Covestro launches Waterborne Coating Solutions

• In February 2024, Covestro announced it is developing a Waterborne and Waterborne UV family of high performing resins for industrial coating applications such as wood furniture, cabinetry, and building products

Water Based Resins Market Segments Covered in the report:

By Resin Type:

• Acrylic Resins
• Epoxy Resins
• Alkyd Resins
• Polyurethane Resins
• Polyester Resins
• Polyvinyl Acetate (PVA) Resins
• Others

By Application:

• Adhesives & Sealants
• Coatings & Paints
• Inks
• Textiles & Leather Finishing
• Others

By End-User Industry:

• Building & Construction
  • Architectural Coatings
  • Wood Coatings
  • Concrete Coatings
• Automotive
  • OEM Coatings
  • Refinish Coatings
• Packaging
  • Flexible Packaging
  • Rigid Packaging
• Industrial
  • General Industrial Coatings
  • Marine & Protective Coatings
• Furniture & Woodworking
• Textiles & Leather
• Printing & Inks
• Others

Water Based Resins Market Regions and Countries:

North America

• U.S.
• Canada
• Mexico

Europe

• Germany
• France
• U.K.
• Italy
• Spain
• Nordic Countries
• Benelux Union
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• South-East Asia
• Rest of Asia Pacific

Latin America

• Brazil
• Argentina
• Rest of Latin America

The Middle-East and Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of Middle-East Africa