Top Companies regained
ground in 2010
Coming off a very difficult 2009 when most coatings companies expe- rienced reduced activity and lower profitability, 2010 became the year when the coatings industry recovered from the economic downturn
across most markets and regions. For example, global automotive markets,
which were some of the hardest hit during the recession, experienced increased
production levels due to improved OEM auto builds as a result of higher demand, particularly in North America and Europe.
Automotive builds across the globe increased 22 percent, reflecting an improvement of 37 percent in North America and 20 percent in the rest of the
world. The industry production forecast for 2011 projects a global increase of
five percent, reflecting continued recovery in North America and continued
growth in Asia Pacific.
Most paint companies posted positive sales growth over 2009. However
full recovery to pre-recession levels is still likely a few years away. Still it is a
very positive sign that overall profitability was restored in most companies
and the industry is again preparing for growth outside the mature markets
while also continuing to invest in the R&D pipeline.
One of the biggest stories of the year was the landmark deal between Wal-mart and AkzoNobel. The Dutch paint maker supplanted Sherwin-Williams as
the primary paint supplier in the U.S. for the world’s largest retailer.
In other key news, after a year of bitter opposition, a competition watchdog recently approved Kansai Paint’s $260 million takeover bid of Freeworld
Coatings, which is making its curtain call in this year’s report. The deal represents a significant push into the African continent for Japan’s largest paint
and coatings maker.
Also gone from this year’s report is Australia’s Wattyl having been acquired by Valspar for $125 million. Under the deal, Wattyl, which began operations in 1915, handed over its 30 percent share of the domestic paints
market to Valspar.
As high growth markets continue to redefine the dynamics of all manu-facturing-based industries, domestic suppliers in these regions continue to gain
prominence on the world stage. In this year’s report we say hello for the first
time to several Chinese companies: Carpoly Chemical Group, Yips Chemical
and Shanghai Coatings. Also, in Russia, joining fellow domestic paints producer Empils is Russian Coatings.
I’m sure we will see this list of Top Companies continue to grow as these
high growth regions become increasingly important to the customers the coatings industry serves.
Also be sure to read this year’s State of the Industry report on page 80
where the presidents and CEOs of some of the biggest players in the industry
discuss the year under review as well as make predictions about the future direction the industry is headed. You don’t want to miss it!
TWRIGHT@RODPUB.COM
6 | Coatings World
www.coatingsworld.com
A Rodman Publication
70 Hilltop Road • Ramsey, NJ 07446 USA
(201) 825-2552 • Fax: (201) 825-0553
Web site: www.coatingsworld.com
EDITOR
Tim Wright • twright@rodpub.com
VICE PRESIDENT/EDITORIAL DIRECTOR
Tom Branna • tomb@rodpub.com
ASSOCIATE EDITOR
Kerry Pianoforte • kpianoforte@rodpub.com
ART DEPARTMENT
Michael Del Purgatorio • michaeldp@rodpub.com
INTERNATIONAL CORRESPONDENTS
Sean Milmo (Europe)
Charles W. Thurston (Latin America/Americas)
CONTRIBUTING EDITORS
Phil Phillips
EDITORIAL ADVISORY BOARD
Jim Berry (Berry Environmental)
Joseph Cristiano (consultant)
Thomas Frauman (consultant)
Joseph Prane (consultant)
Isadore Rubin (consultant)
Richard M. Tepper (PPG Industries)
Shelby F. Thames (University of So. Mississippi)
RODMAN PUBLISHING
PRESIDENT
Rodman J. Zilenziger, Jr. • rod@rodpub.com
EXECUTIVE VICE PRESIDENT
Matthew J. Montgomery •
mmontgomery@rodpub.com
GROUP PUBLISHER / ADVERTISING SALES
Dale Pritchett • dale@rodpub.com
ADVERTISING SALES (U.S.)
Kim Clement • kclement@rodpub.com
ADVERTISING SALES (Europe)
Baudry Boisseau Associates
27 Rue J. Lebeau- B-1000, Brussels, Belgium
Tel.: 32-(0)2-513-06-47 • Fax: 32-(0)2-514-17-38
baudry@baudryboisseau.com
ADVERTISING SALES (Hong Kong, Taiwan & China)
Ringier Trade Publishing Ltd
401-405 4/F New Victory House
93-103 Wing Lok Street, Sheung Wan, Hong Kong
(852) 2369 8788 • Fax: (852) 2869 5919
mchhay@ringier.com.hk
CLASSIFIED ADVERTISING SALES
Patty Ivanov • 631-642-2048; Fax 631-473-5694
patty@rodpub.com
PRODUCTION MANAGER
Patricia Hilla • philla@rodpub.com
CIRCULATION DIRECTOR
Joe DiMaulo • jdimaulo@rodpub.com
ONLINE DIRECTOR
Paul Simansky • psimansky@rodpub.com
WEB MASTER
Jason Lawton • jlawton@rodpub.com
COATINGS WORLD’S circulation is audited by BPA Worldwide.
