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The smart coating is based on the controlled release of corrosion inhibitors and indicators from specially formulated microcapsules and particles pioneered by NASA (patent allowed). The coating detects corrosion in its early stages, inhibits it, and/or repairs the coating. The onset of corrosion triggers the release of compounds that indicate and inhibit corrosion. Mechanical damage to the coating triggers the release of film-forming compounds to repair the damage. In practice, the corrosion-responsive microcapsules detect the chemical changes that occur when corrosion begins and respond by releasing their contents. A corrosion indicator will identify the affected region with a color change, and healing agents and corrosion inhibitors help mitigate the corrosion. The microcapsules can be tailored for incorporation into different coating systems. This multifunctional coating system will reduce maintenance cost and improve safety by preventing catastrophic corrosion failures. The coating can reduce infrastructure life cycle costs by extending the life of corrosion-susceptible structures and components, reduce inspection times of structures, and reduce the level of repair for corrosion-affected areas.