Powder coatings: a mature yet hopeful market

MAY 2013 7

F O C U S O N P O W D E R C O A T I N G S

volatile organic compounds(VOCs) during manufacture orapplication.

Original Source: PPG Industries Inc, OnePPG Place Pittsburgh, PA 15272, USA, tel:+1 412 434 3131, website:http://www.ppg.com (7 Mar 2013) © PPGIndustries 2013

LEGISLATIONNew approaches for VOCemissions

The USA and Europe areadopting new approaches to VOC(volatile organic compound)emissions. A growing number ofcountries are realizing the valueof products with low emissions ofVOCs into indoor air. OnlyGermany and France haveapproved regulations for loweringproduct emissions. However,other European countries areexpected to implement analogouscompulsory requirements shortly,like Belgium in 2014. The No 1driver for low-emission products ismarkets where programmes forsustainable buildings like LEEDand ecolabels are continuing togain a growing number of users.The US Green Building Councilplans to basically modify itsspecifications for low-emittinginteriors in LEED version 4, whichis anticipated in 2013. Theproposed changes under LEEDv4include compliance with theCalifornia CDPH Section 013503programme, replacing complianceto specific labels; compliance toboth VOC content limits and VOCemission limits by the coatings,adhesives and sealants industry;and the opening of an alternativepathway of compliance for LEEDbeyond North America. Theamendments will permit moreproducts to be added in theevaluation for the LEEDv4 Low-Emitting Interiors credit and spurthe production of more productsthat release low VOCs into indoorair.

Original Source: Adhesives and SealantsIndustry, 1 Feb 2013, (Website:http://www.adhesivesmag.com/) © BNPMedia 2013

MARKETSPowder coatings: a mature yethopeful market

Market research firm Kusumgar,Nerlfi & Growney calculates theNorth American powder coatingsmarket at 410-420 M lbs or $1.3bn, rising at roughly 3%/y. Generalmetal represents the largest end-use in both volume and valueterms. The fastest growth inpowder coatings is projected toremain in Russia, Eastern Europe,Latin and Central America, and inAsia. In the USA, a total of $4 bnin potential opportunities forpowder coatings has beenidentified by a study carried out byChemark Consulting Group. Ofthat figure, $425 M could begenerated from five opportunitysegments in the current marketspace where powder coatingsalready participate, and $2.88 bnfrom 12 segment opportunities innew market spaces previouslyuntapped by these products.These new growth opportunitiesinclude substrates other than metalas well as new uses that have notbeen previously associated withpowder coatings. Several majorindustry players are now takingadvantage of these growthopportunities, including PPGIndustries. The company iscurrently working with the USArmy Research Laboratory todevelop a powder topcoat that willbe used on military vehicles andsupport equipment. PPG obtaineda $1.5 M award from the federalgovernment’s Strategic Environ-mental research and DevelopmentProgram for this project.

Original Source: PPCJ, Polymers, Paint,Colour Journal, Feb 2013, 203 (4581), 10-11 (Website:http://www.polymerspaintcolourjournal.com/)© Quartz Business Media Ltd 2013

Profile of the Russian paint industry

IRL projects the overall Russianpaint market will expand to 1.881M tonnes in 2016 from 1.475 Mtonnes in 2011. Growthopportunities are predicted to

come from the OEM-basedbusiness-to-consumer segmentsas consumer spending continuesto grow. The country’s decorativepaint market is pegged at some865,000 tonnes, while theindustrial coatings sector isplaced at 610,000 tonnes. Thedecorative paint sector will bepropelled by the overall nationaleconomic development, thegrowing consumers’ spendingpower, and a rising demand fromthe construction industry. Theindustrial coatings sector,meanwhile, is predicted to risesteadily at 6%/y buoyed by theincreasing end-user industriesand higher consumer spendingpower. The sector witnessed solidgrowth during the period ofrecovery from the economic crisisin 2009, particularly in theautomotive OEM and powdercoatings areas. A pie chart showsRussian coatings market in 2011.A line graph describes Russiancoatings market in 2007-2011.

Original Source: PPCJ, Polymers, Paint,Colour Journal, Feb 2013, 203 (4581), 56-57 (Website:http://www.polymerspaintcolourjournal.com/)© Quartz Business Media Ltd 2013

Modest growth for paint andcoatings in Australia in 2013forecasts IBISWorld

The Australian paint and coatingsindustry is projected to grow by1% over 2012-2013 as it continuesto gradually recover from thedownturn in 2008-2010, accordingto IBISWorld. The sector’s revenueis expected to have dropped to$3.63 bn, down 0.2%/y over thefive years through 2012-2013. Thedecline is partly attributed to theslowdown in the general economy,the cyclical downturn in thehousing sector and the structuraldecline of the country’s printingand automotive manufacturingsector. Major players in theindustry include Valspar Paint,AkzoNobel, Duluxgroup and PPGIndustries.

Original Source: APCJ, Asia Pacific CoatingsJournal, Feb 2013, 26 (1), 7 (Website:http://www.asiapacificcoatingsjournal.com/) © Quartz Business Media Ltd 2013