Aerospace Coatings
Photo: Sherwin-Williams Aerospace
The aerospace coatings market continues to face some challenging
economic conditions. However, a strong military segment and the
demand for chrome-free technology is driving the market forward.
BY TIM WRIGHT
EDITOR
The aircraft coatings industry in the United States is highly con- solidated with four key suppliers:
AkzoNobel, PPG, Deft and Sherwin-Williams. The market was valued at
roughly $140 million in 2008, according
to Chemark Consulting, and is dominated by the commercial aircraft segment,
which accounted for 73.5 percent of the
market. The military and general aviation segments accounted for 22. 5 percent
and five percent respectively.
Continued economic pressure in the
airline industry continues to depress
demand for both original equipment
(OE) and maintenance coatings in
both the commercial and general aviation segments. The military segment
on the other hand is expanding at a
higher growth rate due to increases in
defense spending.
The commercial airline industry
operates in a very competitive envi-
ronment where margins are razor
thin. “Any significant fluctuation in
costs or revenues can have severe
impacts on profitability,” said John
Griffin, director, AkzoNobel Aerospace
Coatings EMEA. “In down times, air-
lines will often postpone non-critical
operations, such as repainting air-
craft. However, a significant amount of
paint is used during required mainte-
nance operations, and airlines will
repaint aircraft as part of a rebrand-
ing effort to improve the airline’s
image, which often takes place in the
difficult times. So, volumes are lower
than in previous years, but our airline
customers still need our products and
services to operate.”
Corporate and general aviation is the
hardest hit segment because the costs
associated with private aircraft are dis-
cretionary and often the first to be cut
in a recession. “The defense segment is
less volatile due to aircraft mainte-
nance requirements and long term
funding plans for new programs, but
ballooning deficits will impact this seg-
ment,” said Griffin. “Commercial man-
ufacturing is relatively strong by his-
toric standards, and it looks to continue
at current production levels for the
next few years.”
While rising fuel costs and the
recession have taken their toll on the
airline industry, the aerospace coat-
ings market is on the up swing,
according to Chris Athanasopoulos,
director, international business, Deft,
Inc. “Our commercial business is
improving with new programs like
Boeing 787, 747-8, Airbus 380, 350 and
Bombardier C Series airplanes,” he
said. “At the same time low-cost air-
