The global high performance pigments market size was valued at $5.69 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 4.8% from 2023 to 2030, according to a recent report from Grand View Research.

High-performance pigments are characterized by superior properties when compared to their conventional counterparts. These superior characteristics include high resistance to heat and light, enhanced fastness, and longer operational life, making them useful for various applications across multiple industries.

Because of their superior performance characteristics, high-performance products are priced higher when compared to their conventional counterparts. According to Grand View Research, such price disparity is anticipated to remain a key challenge for the market participants over the forecast period. Volatile raw material prices are also expected to pose threats to industry profitability.

Developed countries including India, China and Japan are expected to witness rapid growth in demand over the forecast period across numerous industries. Such robust growth prospects promise ample growth opportunities to the companies in the near future. Technological innovation related to superior products with enhanced properties is also estimated to offer abundant opportunities for growth and development.

According to Grand View Research, growing environmental awareness and stringent regulatory laws are expected to result in high demand for high-performance pigments in the near future. Customer preference for bio-based products has resulted in industry participants taking several key initiatives to develop high-performance pigments from completely bio-based products. Such initiatives and technological advancements are expected to offer ample growth opportunities over the forecast period.

The coating segment dominated the market and held the largest revenue share of 60.9% in 2022. The escalating demand for high-performance pigments in the inks industry propels the growth of this segment. Inks and coatings necessitate pigments capable of enduring harsh environmental conditions, encompassing exposure to UV radiation, chemicals, and extreme temperatures.

High-performance pigments provide enhanced color retention and durability, rendering them highly suitable for inks and coatings, which encompass exterior finishes, trim paints, and protective coatings.

Grand View reported that markets in developed regions such as North America and Europe are saturated in terms of applications. However, strong environmental concerns and stringent regulations are projected to fuel the market in these regions and offer ample growth opportunities to the industry participants.

Key Happenings in the High Performance And Special Effect Pigments Market

• January 2023, Heubach GmbH unveiled the new product line, Ultrazur, at PlastIndia 2023. This innovative line comprises ultramarine blue pigments, offered in four distinct tones that span from greenish to reddish hues.
• March 2023, BTC Europe and Sudarshan Chemical Industries Limited entered into an agreement for the distribution of pigments in Europe. This strategic partnership will enable Sudarshan Chemical Industries Limited to function as a dependable supplier of high-performance pigments, encompassing a wide spectrum of colors. By expanding their third-party product portfolio through this partnership, BTC Europe aims to augment its competitive edge in the pigments market and reinforce its overall corporate strategy.
• May 2023, U.S. Silica launched a product called EverWhite, designed specifically for coatings, building products, and various other applications. This innovative pigment offers a unique solution as it can either partially substitute or complement other inorganic white pigments, such as aluminum trihydrate (ATH) and titanium dioxide (TiO2).
• November 2023, OXERRA, an iron oxide pigment manufacturer, announced its intention to build a manufacturing facility of complex inorganic color pigments (CICP) and a comprehensive research center in China before the end of 2023.
  
  “This new plant will supplement our current manufacturing facility in Kidsgrove, United Kingdom, and further emphasizes our commitment to global support and sustainability for the color pigment market,” said Terence Yu, chief executive officer, OXERRA Group.
  
  “The plant’s dedicated research center will provide continued and comprehensive development of high-performance, heat-resistant inorganic color pigments.”
• January 2024, ALTANA entered into an agreement to acquire the Silberline Group. The U.S. company specializes in developing and manufacturing effect pigments utilized in various applications, ranging from automotive coatings and printing inks to plastics, protective coatings, and packaged consumer goods.
  
  Silberline, headquartered in Tamaqua, PA, was founded in 1945 and currently employs more than 450 people globally. In 2022, the company achieved sales of approximately $80 million. The completion of the transaction is still subject to customary closing conditions, and both parties have agreed not to disclose the purchase price.