Automotive Coatings Market
China’s engine heats up,
ends U.S.’s reign as
largest auto market
BY TIM WRIGHT
EDITOR
The global recession that is severe- ly impacting North America and Western Europe is not affecting
China’s economy so harshly. While slowing its pace of development, it started to
warm up in the second half of 2009 when
the housing market and infrastructure
constructions revived, along with increased demand in the automotive market. As a result, automotive coatings
manufacturers are benefiting from the
revived demand as strong car sales are
driving an increase in project volume
and spurring investment in the region
despite tough financial times.
China’s 2009 vehicle sales rose 46
percent making it the world’s largest
auto market, a title held by the U.S.
since the Model T Ford went into production a century ago. The nation’s
vehicle sales rose to 13. 6 million units,
according to the China Association of
Automobile Manufacturers. In the
U.S., sales slumped 21 percent to 10. 4
million vehicles, the fewest since 1982,
according to Autodata Corp.
This year the trend of China’s emerg-
ing dominance continues. In January
its monthly auto sales overtook the U.S.
for the first time. China’s ascent in the
global auto market has been hastened
by the plunge in U.S. auto sales, which
tumbled 37% in January to a 26-year
low of 656,976 units.
COATINGS MANUFACTURERS
CONTINUE TO INVEST IN
EMERGING MARKETS
The global automotive OEM coatings
market was valued at $7.75 billion in
2009, a 12 percent drop from $8.79 billion the previous year, according to
Chemark Consulting Group. As expected, sales of automotive coatings reflected auto sale trends in general. Auto
OEM coatings sales in North America
dropped in 2009 a whopping 22 per-
