Global Waterborne Acrylic Resin Market

Waterborne Acrylic Resin Market Summary, Size & Emerging Trends

According to Decision Advisor, The Global Waterborne Acrylic Resin Market Size is Expected to Grow from USD 12,308 Million in 2024 to USD 18,798 Million by 2035, at a CAGR of 3.93% during the forecast period 2025-2035. Growing environmental regulations, increasing demand for low-VOC coatings, and rising infrastructure development globally are major factors driving the market for waterborne acrylic resins.

Key Market Insights

• Asia Pacific is expected to account for the largest share in the waterborne acrylic resin market during the forecast period.
• In terms of type, the pure acrylic segment dominated in terms of revenue during the forecast period.
• In terms of application, the architectural coatings segment accounted for the largest revenue share in the global waterborne acrylic resin market during the forecast period.

Global Market Forecast and Revenue Outlook

• 2024 Market Size: USD 12,308 Million
• 2035 Projected Market Size: USD 18,798 Million
• CAGR (2025-2035): 3.93%
• Asia Pacific: Largest market in 2024
• North America: Fastest growing market

Waterborne Acrylic Resin Market

The waterborne acrylic resin market is expanding due to rising environmental concerns and strict VOC emission regulations. These resins, which use water instead of harmful solvents, are gaining popularity across construction, automotive, and packaging industries for their low toxicity, durability, and ease of use. Governments globally are promoting sustainable materials through green chemistry policies, further supporting market growth. Demand is especially high in architectural and industrial coatings, driven by rapid urbanization and infrastructure development. As industries increasingly adopt eco-friendly solutions, waterborne acrylic resins are emerging as a preferred alternative to solvent-based systems. Their role in enhancing sustainability and meeting environmental compliance makes them essential in modern coating technologies, positioning the market for continued growth in both developed and emerging economies.

Waterborne Acrylic Resin Market Trends

• Rising demand for low-VOC and eco-friendly coatings is accelerating the shift from solvent-based to waterborne technologies.
• Increased construction activity in emerging economies is driving demand for durable, weather-resistant architectural coatings.
• Technology innovations are enhancing resin performance, improving adhesion, drying time, and durability.

Waterborne Acrylic Resin Market Dynamics

Driving Factors: Shift Toward Sustainable and Low-Emission Coatings

The primary driver of the waterborne acrylic resin market is the global transition toward environmentally sustainable and low-VOC (volatile organic compound) coatings. Growing concerns about air quality, worker safety, and climate change have compelled governments to impose stricter environmental regulations across sectors, especially construction and automotive. These regulations are accelerating the replacement of traditional solvent-based coatings with waterborne alternatives. Waterborne acrylic resins, known for their low odor, excellent adhesion, and improved UV resistance, are increasingly preferred in architectural and industrial coatings. Additionally, technological advancements have improved their film-forming abilities, durability, and weatherability, making them suitable even for demanding applications. This evolution not only ensures environmental compliance but also enhances product performance, enabling broader adoption across industries looking to balance sustainability with functionality.

Restraint Factors: High Formulation Cost and Performance Limitations in Harsh Conditions

Despite significant benefits, waterborne acrylic resins face notable limitations. One major challenge is their relatively higher formulation and conversion cost, particularly for manufacturers transitioning from solvent-based systems. Reformulation requires new equipment, training, and testing, which increases upfront investment. Furthermore, waterborne resins tend to have longer drying times and may underperform in environments with high humidity or temperature fluctuations, affecting adhesion and curing. These limitations reduce their appeal in high-performance industrial settings, such as marine, heavy-duty machinery, and high-corrosion zones, where solvent-based resins still dominate. Additionally, the price volatility of key raw materials such as acrylic monomers further compounds cost-related challenges, potentially impacting margins and limiting widespread adoption.

Opportunity: Rising Demand from Asia-Pacific and the Emerging Smart Coatings Market

The Asia-Pacific region presents the most promising growth opportunity, driven by rapid urbanization, industrial expansion, and supportive environmental regulations in countries like China, India, and Indonesia. Government investments in green infrastructure, eco-friendly construction materials, and smart city initiatives are boosting demand for sustainable coatings. Moreover, the rise of smart coatings offering functionalities such as self-healing, anti-fouling, anti-microbial, or anti-corrosive properties is creating new avenues for waterborne acrylic resin applications. Innovations in nanotechnology, hybrid formulations, and functional additives are enhancing resin performance, enabling entry into high-end markets like electronics, medical devices, and aerospace coatings. These emerging applications offer high-profit margins and position the market for technological leadership and long-term value creation.

Challenges: Supply Chain Volatility and Regulatory Complexity

The global waterborne acrylic resin market faces challenges related to supply chain stability and regulatory fragmentation. Disruptions in the supply of raw materials such as acrylic acid and additives caused by geopolitical tensions, trade restrictions, or logistics bottlenecks can impact production schedules and lead to price surges. Additionally, differing environmental and chemical safety regulations across countries complicate product formulation and compliance. Manufacturers often need to tailor their products to meet varying local standards such as REACH in Europe, EPA guidelines in the U.S., and national policies in Asia, increasing R&D and administrative burdens. In developing regions, limited awareness, infrastructure, and technical expertise also restrict market penetration. Addressing these issues requires strategic investment in supply chain resilience, localized production, and customer education.

Global Waterborne Acrylic Resin Market Ecosystem Analysis

The ecosystem consists of raw material suppliers (acrylic acid, monomers, additives), resin manufacturers, formulators (coating and adhesive producers), and end-users across construction, automotive, and packaging sectors. Key players such as BASF SE and Dow Chemical dominate the value chain through R&D and global distribution networks. Regulatory bodies (EPA, REACH, etc.) play a vital role in enforcing VOC limits and promoting sustainable alternatives. Collaboration and innovation are central to navigating this evolving ecosystem and achieving competitive advantage.

Global Waterborne Acrylic Resin Market, By Type

What factors enabled the pure acrylic segment to lead the waterborne acrylic resin market in terms of revenue share?

The pure acrylic segment led the waterborne acrylic resin market in terms of revenue share due to its superior performance characteristics, widespread application across various industries, and increasing demand for eco-friendly and durable resin solutions. Its high-quality properties, such as excellent adhesion, weather resistance, and versatility, made it the preferred choice among manufacturers and end-users, enabling it to outperform other segments in 2024.

Why Is the styrene-acrylic segment becoming more popular in the industry?

The styrene-acrylic segment is gaining popularity due to its balanced combination of cost-effectiveness, durability, and versatility. It offers improved weather resistance and better adhesion properties compared to some alternatives, making it highly suitable for a wide range of applications. Additionally, increasing awareness of its performance benefits and expanding use across industries have driven its rising demand in recent years.

Global Waterborne Acrylic Resin Market, By Application

How did the architectural coatings segment gain a competitive edge to lead the waterborne acrylic resin market?

The architectural coatings segment accounted for the largest revenue share of approximately 50% in the global waterborne acrylic resin market during the forecast period due to its extensive use in residential and commercial construction, driven by increasing demand for eco-friendly, durable, and aesthetically appealing coatings. Its superior performance characteristics, such as excellent weather resistance, low VOC emissions, and versatility in application, made it the preferred choice, leading to its dominant market position.

What makes the industrial coatings segment poised for significant growth in the market?

The industrial coatings segment is expected to register robust growth due to rising demand from sectors such as automotive, aerospace, and manufacturing, where durable and high-performance coatings are essential. The segment benefits from advancements in coating technologies, increasing industrialization, and stricter environmental regulations favoring waterborne and eco-friendly solutions, all of which are driving its rapid expansion.

The Asia Pacific region is projected to dominate the global waterborne acrylic resin market, accounting for nearly 48% of the global revenue by 2035.

This strong market position is largely driven by rapid urbanization and industrialization, which are fueling massive growth in the construction and infrastructure sectors. Countries like China, India, and Indonesia are experiencing a surge in infrastructure projects such as smart cities, highways, commercial buildings, and residential housing developments. Rising disposable incomes and a growing middle class in these countries also contribute to increased demand for high-quality, sustainable building materials, including waterborne acrylic resins. Furthermore, supportive government policies that encourage green building practices and sustainable construction materials are playing a significant role in expanding the market. These policies include incentives for using low-VOC products and funding for environmentally friendly urban development initiatives, which further boost regional demand for waterborne acrylic coatings.

India stands out as a high-growth market within the Asia Pacific. It is expected to register a compound annual growth rate (CAGR) of over 10% during the forecast period.

This growth is driven by large-scale smart city projects and government-sponsored housing schemes aimed at addressing urban housing shortages. In addition, the country’s rising industrial production and expanding manufacturing base are increasing the demand for durable and eco-friendly coatings. Initiatives like the “Make in India” campaign, which encourages domestic manufacturing and attracts foreign direct investment (FDI), are helping to strengthen the local supply chain for waterborne acrylic resins. These factors collectively contribute to India’s rapid market expansion and make it one of the most attractive markets for resin producers.

North America is expected to emerge as the fastest-growing regional market, capturing approximately 22% of the global revenue by 2035.

The growth in this region is propelled by stringent environmental regulations aimed at reducing VOC emissions, which make waterborne acrylic resins an increasingly attractive alternative to solvent-based coatings. The United States, as a key market within North America, benefits from significant investments in research and development to improve coating technologies, enhancing performance and sustainability. Rising consumer awareness and preference for green products also drive demand in both the automotive and construction sectors. These industries are increasingly adopting waterborne acrylic resins to comply with environmental standards while maintaining high performance and durability in their products. Additionally, technological innovations and the presence of well-established coating manufacturers further accelerate the adoption of waterborne resins across North America.

WORLDWIDE TOP KEY PLAYERS IN THE WATERBORNE ACRYLIC RESIN MARKET INCLUDE

• BASF SE
• The Dow Chemical Company
• Arkema Group
• Momentive Performance Materials
• Allnex
• DSM Coating Resins
• Synthomer PLC
• Shandong Dufa Chemical Technology Co., Ltd.
• DIC Corporation
• Nippon Shokubai Co., Ltd.
• Others

Product Launches in Waterborne Acrylic Resin Market

• In April 2024, BASF introduced a new range of low-VOC waterborne acrylic dispersions specifically designed to meet the demands of high-performance architectural coatings in the Asia-Pacific region. This product launch highlights BASF’s commitment to supporting sustainable construction practices by offering environmentally friendly coatings that reduce volatile organic compound emissions. These new dispersions are formulated to deliver superior durability, weather resistance, and aesthetic appeal, making them well-suited for modern architectural applications where eco-friendly solutions are increasingly prioritized.

• In August 2023, Arkema announced an expansion of its waterborne resin production capacity at its facility in France. This strategic move aims to cater to the rising demand for eco-friendly coatings among European manufacturers, especially those specializing in sustainable architectural and industrial coatings. The increased production capacity enables Arkema to better supply the growing market for waterborne acrylic resins, which are favored for their low environmental impact and compliance with stringent European VOC regulations.

Market Segment

This study forecasts revenue at global, regional, and country levels from 2020 to 2035. Decision Advisor has segmented the waterborne acrylic resin market based on the below-mentioned segments: 

Global Waterborne Acrylic Resin Market, By Type

• Pure Acrylic
• Styrene-Acrylic

Global Waterborne Acrylic Resin Market, By Application

• Architectural Coatings
• Industrial Coatings
• Adhesives/Sealants

Global Waterborne Acrylic Resin Market, By Regional Analysis

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of the Middle East & Africa

FAQs

Q. What is driving the growth of the global waterborne acrylic resin market?
A. Increasing environmental regulations, demand for low-VOC coatings, and infrastructure development are driving growth.

Q. Which region holds the largest market share in waterborne acrylic resins?
A. Asia Pacific holds the largest market share.

Q. Why is the pure acrylic segment leading the market in terms of revenue?
A. Due to its superior adhesion, weather resistance, and versatility.

Q. What are the main applications of waterborne acrylic resins?
A. Architectural coatings, industrial coatings, and adhesives/sealants.

Q. What challenges does the waterborne acrylic resin market face?
A. High formulation costs, performance limits in harsh conditions, and supply chain volatility.

Q. How is the Asia-Pacific region influencing market growth?
A. Rapid urbanization and government support are boosting demand in Asia-Pacific.

Q. Why is North America considered the fastest-growing market for waterborne acrylic resins?
A. Due to strict environmental regulations and rising demand for eco-friendly products.

Q. What role do environmental regulations play in this market?
A. They encourage the shift from solvent-based to waterborne, low-VOC coatings.

Q. How are technological advancements impacting waterborne acrylic resin products?
A. Innovations improve adhesion, durability, drying time, and enable new applications.

Q. What are the benefits and limitations of waterborne acrylic resins compared to solvent-based resins?
A. Benefits include low toxicity and environmental compliance; limitations are cost and drying time.

Q. Who are the key players in the global waterborne acrylic resin market?
A. BASF SE, Dow Chemical, Arkema, Momentive, Allnex, among others.