$43.52 billion Asia Pacific paints and
coatings market to grow at 11 percent
Research and Markets has reported in Frost
& Sullivan’s “Strategic Analysis of the Paint
and Coatings Market” that the $43.52 billion paints and coatings market in the Asia
Pacific region will to grow at a steady compound annual growth rate (CAGR) of 11
percent to reach $53.55 billion in 2011.
The report says the paints and coatings
market in the Asia Pacific has struck a purple patch due to the impressive growth in
the end-user segments of construction, commercial, public buildings and residential
real estate. The buoyant economic conditions in most Asia Pacific countries, especially in China and India, have had a
bearing on the fortunes of these sectors and
thereby on the paints and coatings market.
The high inflow of foreign investments in
these two countries and their reduced operating costs are greatly helping to increase
the profit margins of operators in those
countries. However, in countries such as
Vietnam, Indonesia and the Philippines that
have lower purchasing power, there is insubstantial demand for premium-grade and
high-performance paints. Paint manufacturers’ margins will also feel the pinch of
the rising prices of raw materials.
Stringent environmental regulations
have a role to play in limiting global paint
trade, as the restriction on the use of hazardous materials in the paint composition
limits product innovation, the report also
says. Foreign investors will also be deterred
by the unstable social, economic and political situation in a country. Domestic participants will have to find a way around
investors’ hesitation, as they will be eager
for higher spending on brand development
and management of products as Asians prefer well-recognised brands. One way to engage foreign companies is through merger
and acquisitions with the local companies,
says the analyst of this research. Such alliances will reduce foreign investors’ cost of
setting up a distribution hub in the country
and enhance their product penetration in
the local market. Companies could collaborate with national research centres to reduce
the cost of R&D and ensure that product
quality meets international standards.
Manufacturers in the more affluent coun-
tries have a more optimistic outlook, as con-
sumers are highly appreciative of product
innovations. Rising environmental aware-
ness and the demand from the middle class
population have popularised eco-friendly
paints and coatings. Most of the decorative
products available in the market are water-
based and have low or almost zero levels of
volatile organic compound (VOC) emis-
sions. Dirt-resistant paints that are more
durable are proving to be significant revenue
generators, as are innovative heat-reflective
paints in the tropical countries. Manufac-
turers will be looking to create a type of
OEM coating product that can withstand
various temperature and humidity condi-
tions, notes the analyst. This will save man-
ufacturers time and costs on the production
of customized industrial products.
China’s anti-corrosion coating
industry continues fast
development
Research and Markets has publishe-d a new
report titled, “China Anti-Corrosion Coating
Industry Report, 2010-2011.” Recent years
have seen fast-growing developments in
China’s anti-corrosion coating industry, with
the producers numbering over 650 and the
varieties becoming more multi-functional. In
2010, the output of industrial anti-corrosion
coating realized 2.18 million tons, up 25. 3
Directory of Paint Manufacturers – Central and Eastern Europe 2011
“Directory of Paint Manufacturers 2011 – Central and Eastern Europe.” The report
profiles 30 countries and each profile includes country information; brief history;
paint and coatings statistics; production capacity; export and import data; production range; and major paint and coatings producers. A total of about 500 paint
makers are included. Nations covered in the report include: Albania; Armenia; Austria; Azerbaijan; Belarus; Bosnia and Herzegovina; Bulgaria; Croatia; Czech Republic; Estonia; Georgia; Hungary; Kazakhstan; Kyrgyzstan; Latvia; Lithuania;
Macedonia; Moldova; Montenegro; Poland; Romania;; Russia; Serbia; Slovakia;
Slovenia; Tajikistan; Turkmenistan; Turkey; Ukraine; and Uzbekistan. This directory
is especially valuable for suppliers of raw materials, additives, pigments and fillers,
for suppliers of paints and coatings who want to evaluate export opportunities as
well as for entrepreneurs who want to assess production opportunities in these
countries. The content of the book is available on a CD, which also contains an ed-itable database. For more information visit CHEM4CEE Handels GmbH on the web
at www.chem4cee.com; by phone at + 43 22 36 866 983; or send an e-mail to
order@chem4cee.com.
22 | Coatings World
www.coatingsworld.com
September 2011
