Asia Pacific Report
Industrial wood coatings are an especially dominant end-use
segment in Vietnam, thanks to the importance of the wood processing industry and the strong demand for Vietnamese-made
furniture from export markets around the world.
Although the market for plastic coatings is relatively small
in all countries covered in this report, it is of greater relative
importance in Japan and Taiwan, since those countries are key
manufacturers of electrical and electronic goods.
Highlights from Frost and Sullivan Report:
Market research firm Frost and Sullivan’s data on the coatings industry in Asia Pacific report that the coatings industry is sensitive to the growth of gross domestic product
(GDP), and tends to grow at 1.5 to 2 times that of Southeast
Asia’s GDP.
•In 2014, the member economies of Southeast Asia
(ASEAN- 6) experienced decelerating growth; 4 of the 6
recorded slowdowns that edged the subregional average
down to 4. 5 percent in 2014. Indonesia and Thailand were
both among those decelerating in 2014.
• Southeast Asia is poised for a growth rebound in 2015.
Aggregate growth is to rebound to 4.9% in 2015 and 2016,
as recovery in Indonesia and Thailand leads the way and
most of the subregion trends up and benefits from rising
exports and lower inflation.
• The coatings market in Southeast Asia is expected to fare
well due to impressive growth in the construction industry,
a result of the development of residential & commercial
buildings as well as infrastructure. The optimistic economic
conditions anticipated in most Southeast Asia countries, especially Indonesia and Thailand, is expected to cause these
segments to witness buoyant growth, thereby influencing
the coatings market.
• The SEA coatings market was worth $6.68 billion in 2014
and is projected to reach $9.93 billion by 2019, fueled by
economic growth and rising urbanization.
• In 2014, the decorative coatings segment was the largest
application area, accounting for approximately 55. 7 percent of the total market, followed by wood, protective, and
automotive OEM coatings.
• Indonesia accounted for the largest share— 25 percent—
with a revenue of $1.7 billion in 2014, followed by
Thailand, Vietnam, and the Philippines.
•Much of the focus is now shifting towards emerging markets—mainly Indonesia, Vietnam and the
Philippines—as volume is the name of the game;
these countries host large population of 251 million,
91 million and 99 million, respectively. CW
