Coatings World - January 2015

enhanced chemical and bleach resistance, increased strength and more value, and improved dispersability.

“Environmental regulations and social change for sustainable raw materials with less environmental impact are driving rapid change and innovation in all segments of the coatings market. The trend is well established in Europe and the United States, but is quickly growing in other regions.

“Consumers today have access to more information than ever
before and increasingly educate themselves prior to making pur-
chases to be sure the product meets their socio-environmental
requirements,” he said. “Paint producers are responding and this
in turn drives upstream suppliers, including pigment suppliers.”
Venturini said that China, India and Eastern Europe, are the
markets where per capita gross domestic product is the fastest
growing. “Automotive and industrial coatings will remain the
foundation for growth of high performance pigments markets,
however, growing requirements for improved stability and func-
tionality will position architectural and building materials for
tremendous potential growth.

“Globally, we expect to see further growth in high perfor-
mance pigments as the replacement of heavy metal pigments
continues,” he said. “Legislative requirements will play an in-
creasing role in the reformulation.”
In Europe, Venturini added, there is upside in the automo-
tive market and after a significant period of depressed sales, the
sector is improving. “Currently black and white remain the top
automotive colors supported by the popularity of effect blacks
and pearlescent whites. Specialty colors indicate the consumers’
desire to differentiate and we expect an increase in chromatic
colors as consumers seek out new color technology.”
While Asian countries will be influential in 2015, BASF’s
Tahir said that Mexico is also noteworthy. “The United States
has reduced the manufacturing cost gap to Asian producing na-
tions significantly by narrowing predictions for 2015,” he said.
“Mexico remains one of the leaders in low-cost manufacturing
and attracting significant manufacturing investments.”

Sustaining Sustainability

The demand for environmentally responsible products isn’t going anywhere, and the pigments market, in particular, presents suppliers with several opportunities to “go green.” According to Tahir, the industry’s conversation regarding sustainability has most recently become a conversation about total cost of ownership.

“Sustainability is a key component of TCO as well as regulatory
compliance,” he said. “In certain markets - such as furniture and
flooring - sustainable offerings are a differentiator. Sustainability
is a key metric for us when undertaking any new development.”
Venturini said that self-regulation by paint producers and
trade organizations will play “a larger role affecting every-
thing from end-of-life directives to volatile organic compounds
(VOCs) to environmental footprints.

“This drives change and creates opportunities that will fa-
vor those that manufacture to the highest global standards,” he
said. “We see these challenges as great opportunities for growth
at Sun Chemical. We’re working closely with our customers to
provide them with solutions for that both meet their individual
needs and regulatory requirements.”
As an example, Venturini added that in 2014, Sun Chemical
introduced Sunfast Elastomer Black pigments, which are made
from recycled rubber.
“It is a performance material that provides formulators with
a low gloss black pigment with improved jetness for waterborne,
solventborne and powder coatings that can impart physical
toughness, chemical resistance and water resistance onto most
applications,” he said.
“Made from 100 percent post-consumer recycled rubber,
the newest addition to Sun Chemical Performance Pigments’
diverse pigment line utilizes a fine particle size black elastomer
pigment that creates an attractive low sheen coating with excel-
lent flow and leveling in thin, smooth finishes. Ideal for coatings
on plastic, wood, coil and powder coatings, the new offering is
well-suited for use on consumer electronics, automotive inte-
riors, flooring, cabinets, furniture, direct to metal finishes, and
sound-proofing coatings.”
For its part, Wulf said that Sincol invested in sustainable so-
lutions years ago, which has certainly paid off.

“Sincol has long held the belief that environmental compliance would be crucial and made investments to stay ahead of new compliance regulations, having invested more than $30 million in pollution control of waste water from our manufacturing plant,” he said. “The new environmental regulations in China that take effect starting in 2015 have already been met or exceeded. We have also seen the trend for higher manufacturing costs as a result of demand for higher labor costs. Investments have been made to improve the efficiency in manufacturing resulting is lower labor demand.”

Meeting Customer Needs

In addition to offering customers eco-friendly products, sup-
pliers are challenged with narrowing down a wide variety of
options to meet specific customer needs, such as performance
attributes. In order to do that, Venturini said, companies need
to provide high-quality products, top-notch service and value.
“In terms of performance, [that includes] light fastness, durability,
weather fastness and ease of use,” he said. “Additionally, the market
is always looking for innovations – new materials that can help them
differentiate their products and their customer’s products.”
Wulf said that Sincol’s customers are also looking for functional
equivalents such as lightfastness that can be achieved with less ex-
pensive pigment chemistry. “We also see customers who prefer to
deal with suppliers that are actual manufacturers of the pigment.
Slight adjustments such as color can be made to meet specific re-
quirements. Affiliation with the pigment manufacturer assures
quicker responses with inquiries of regulatory data,” he said.

Tahir, of BASF, said that for specific industries, “customers are always interested in novel effects and a robust pipeline of pigment developments. Supply security for extended periods of time is important for customers in the automotive sector.”