6 FEBRUARY 2010

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

Jotun will deliver powdercoatings. The construction of anew terminal three (T3) at theDelhi Airport, is to be completedin time for India to host theCommonwealth Games in 2010.The Peninsula Business ParkStanding has two towers of 20floors each and an exclusive 2-storey building, all comprisingover 1.2 M sq ft of workspace.Jotun India won the contract, andwill supply powder coating tosecure this international landmark.The Godrej IT Park in Mumbai isone of the 22 Green Buildingprojects planned in India for 2009.Jotun Powder Coatings India willprovide coating for the 1.4 M sqft Godrej IT Park project, whichuses 100% water recycling andsolar energy for lighting.

Press release from: Jotun A/S, Sandefjord,Norway, tel: +47 33 45 70 00, website:http://www.jotun.com (18 Jan 2010)

LEGISLATIONReview of nanotechnology laws

The European Commission is toreview all existing EuropeanUnion (EU) Laws that controlnanoparticles to ensure thatregulations are sufficiently robustto cope with their unusualproperties. Outgoing EUYEnvironment Commissioner,Stavros Dimas, told a Swedishgovernment EuropeanCommission conference on nano-regulation: “The Commission willreview all relevant legislationwithin two years to ensure safetyfor all applications ofnanomaterials in products withpotential health. Environmental orsafety aspects over theirlifecycle.” The statement followedearlier depositions claimingexisting laws were adequate.Meanwhile, the EU-fundedDEEPEN research project hascalled for the creation of moreopen, transparent and democraticregulation of nanotechnology toavoid generating mistrust amongstEuropean consumers

PPCJ, Dec 2009, 199 (4543), 6

NEWPRODUCTS

Deurex launches new degassingagent for powder coatings

German company Deurex AG hasdeveloped a new type ofdegassing agent. The companysuccessfully coated roundmicronised wax particles withdifferent micronised materials andnano-products such as silver.Deurex developed the additiveMAB 7055 particularly as adegassing agent for powdercoatings. The properties of theproduct are described.

Farbe und Lack, Jan 2010, 116 (1), 32 (inGerman)

MARKETSProduction statistics for paints andcoatings in Germany in 2Q 2009

A table lists production statisticsfor paints and coatings inGermany for 2Q 2008 and 2Q2009 with changes inpercentages. Total production ofsolvent-containing coatingsdecreased by 18.2% to 118,414tonnes worth €452.60 M (-23.9%)in 2Q 2009. German productionof dispersions, plaster andaqueous coatings decreased by5.7% to 397,592 tonnes worth€537.91 M (-9.1%). Totalproduction of paints and coatingsdecreased by 9.6% to 529,022tonnes worth €1.04 bn (-17.5%)and total production includingthinners amounted to 566,601tonnes (-11.3%) worth a total€1.097 bn (-18.3%). During thisperiod the production of powdercoatings fell by 31.4% to 13,016tonnes worth €45.91 M.

Farbe und Lack, Dec 2009, 115 (12), 11 (inGerman)

Production statistics for paints andcoatings in Germany in 1H 2009

A table lists production statisticsfor paints and coatings in

Germany for 1H 2008 and 1H2009 with changes inpercentages. Total production ofsolvent-containing coatingsdecreased by 19.8% to 218,262tonnes worth €845.72 M (-24.8%)in 1H 2009. German productionof dispersions, plaster andaqueous coatings decreased by10.3% to 711,620 tonnes worth€967.39 M (-13.6%). Totalproduction of paints and coatingsdecreased by 13.4% to 956,109tonnes worth €1.91 bn (-20.0%)and total production includingthinners amounted to 1.03 Mtonnes (-14.7%) worth a total€2.03 bn (-20.7%). During thisperiod the production of powdercoatings fell by 31.8% to 26,227tonnes worth €95 M.

Farbe und Lack, Dec 2009, 115 (12), 12 (inGerman)

The downturn will acceleratetrends in the speciality chemicalsector

Participants to the 2nd ICIS/Booz& Co CEO Roundtable onEuropean Speciality Chemicalsheld Nov 2009 in Frankfurt,Germany shared their views onthe potential direction of theregion’s speciality chemicalssector, in the aftermath of theeconomic downturn that kicked induring 4Q 2008. The sixspeciality chemicals majors thatparticipated agreed that thespeciality industry experiencedtwo to three very stressfulquarters beginning in 4Q 2008but signs of recovery have beenfelt going into 3Q 2009, withsome sectors demonstrating morebuoyancy than others. TheRecovery is being driven byAsian demand, particularly inChina, while European and theUS markets remain weak.Participants in the Roundtablealso discussed the importance ofinnovation to preserve marketcompetitiveness. The participantsagreed that the standardmethodology of R&D for productinnovation is no longer enough toattain a satisfying return oninvestment. People are now

FEBRUARY 2010 7

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

aware that invention does notequate to innovation. Companiesmust have the capacities totransform inventions intoinnovations, and this entails theentire company, includingproduction, marketing and sales,and not just the R&D division.There are still growth opportunitiesin industrial coatings, where 70%of the products are still made ofsolvents. Innovation is also beingpushed by the green trend asseen in the growing demand forsustainable products.

ICIS Chemical Business, 14 Dec 2009,(Website: http://icischemicalbusiness.com

3Q 2009 pain for oil as chemicalsbottom out

Heavy profit declines in the oiland gas sector continued in 3Q2009 from the previous year’sheights, although some industryplayers say chemical marketshave stabilized, but that therecovery will be uneven and slow.ConocoPhillips’ profits plunged71% to $1.5 bn. The companyintends to divest $10 bn worth ofassets and reduce capitalexpenditure by 12% to $11 bn tocut debt. Shell’s profitsplummeted by 73% to $3 bn. Itplans to trim down its workforceby 10%, equivalent to 5000 jobs,by end-2009. ExxonMobil’s profitsfor the quarter slid 68% to $4.7bn, while that of Chevron fell 51%to $3.83 bn. BP outperformedmost of its peers, having initiateda restructuring programme aheadof its competition. The companyposted profits of $4.67 bn, down47%, and is on course to reducecosts by $4 bn in 2009.Chemicals major BASF, citing thecosts of integrating recentlyacquired Ciba SpecialtyChemicals into its business,reported a 69% decline in profitsto €237 M ($351 M) and a 19%drop in sales to €12.8 bn for 3Q2009. Paints and chemicals groupAkzo Nobel saw sales shrink by10% to €3.64 bn ($5.38 bn), oncontinued demand softness.Bayer also recorded lower netprofits at €249 M (-10%).

Companies outside the oil, gasand chemicals sector, such asengineering contractor ABB,demonstrated a slightly betterperformance during the period.Only pharmaceuticals bucked thegeneral downtrend, withGlaxoSmithKline (GSK) recordinga 12% increase in net profits to€1.44 bn ($2.4 bn).

TCE (formerly The Chemical Engineer), Dec2009/Jan 2010, (822/3), 6

Decade in review: big names fadeaway

Several major names in thechemical industry have eitherdisappeared through acquisitionor have been turned into brandnames by their acquirers duringthe first decade of the 21stcentury. Dow Chemical acquiredUnion Carbide in 2000 andbought Rohm and Haas in 2009.BASF purchased Ciba SpecialtyChemicals in 2009, whileAkzoNobel acquired ICI in 2008.Dow and BASF gained moredownstream operations with theiracquisitions, while AkzoNobelsignificantly bolstered its coatingsoperations with the ICI purchase.

Chemical Week, 28 Dec 2009, (Website:http://www.chemweek.com)

Recession restructure

Several multinational coatingsfirms in Europe are beginning torealize the benefits of therestructuring initiatives theycarried out in response to theeconomic downturn. BASFCoatings posted sales of €1.6 bn($2.3 bn) during Jan-Sep 2009,down 18% year on year mainlybecause of the firm’s deepreliance on the automobile sector.The sales drop, however, hasbeen leveling up, with sales downby only 12% in 3Q 2009. BASFCoatings has increasedmanufacturing capability at itsGerman facilities in Munster andWuerzburg and rolled out a newscratch-resistant automotive clearcoat. AkzoNobel reported a15.2% increase in EBITDA(earnings before interest, tax,

depreciation and amortization),despite a 6% decline in sales.The company even acquired thepowder coatings operations ofRohm and Haas in Nov 2009.Cefic forecasts chemicalproduction, including downstreamproducts such as paints, to growby an average of 4.7% in 2010,following a 12% output decreasein 2009.

Coatings World, Dec 2009, 14 (12), 16-17

Cautious optimism in the Germanpaints and coatings industry for2010

A survey among German paintsand coatings manufacturersreveals that results in 2009 werenot as bad as expected andreports on a cautious optimism inthis segment for 2010. In 1H2009 the German production ofpaints and coatings fell by 13.4%to 956.109 tonnes. The productionof solvent-based paints andcoatings decreased by 19.8% to218.262 tonnes; and theproduction of powder coatings fellby 31.8% to 26,227 tonnes in 1H2009. The production ofdispersions, plaster and aqueouscoatings decreased by 10.3% to711,620 tonnes during this period.The German export rate of paintsand coatings decreased by 12.8%to 750,000 tonnes in 2009; andimports fell by 9.4% to 250,000tonnes. The economic crisisparticularly affected industrialcoatings and automotive coatingsbut failed to influence buildingpaints and coatings.

Farbe und Lack, Jan 2010, 116 (1), 13-14(in German)

Turbulent times for titaniumdioxide

Worldwide demand for titaniumdioxide in 2008 reached 4.7 Mtonnes, of which 23% isaccounted by the North Americanregion. North America is also akey exporter of titanium dioxide,shipping over 30% of its outputbeyond its borders. As for end-use markets, around 57% of the