Coatings Companies Announce Price Increases
Axalta Coating Systems will introduce price increases for customers in greater China in response to a substantial increase
in the costs of raw materials. Price increases will affect certain
refinish and industrial coatings customers and select light and
commercial vehicle OEMs and sub-suppliers to these end markets. Specific price increases will be communicated directly to
affected customers.
“The upward pricing pressure on the cost of our raw materials reflects multiple factors beyond our control including the
availability of feedstocks, increased regulatory requirements,
and a limited number of suppliers that meet our rigorous quality
standards,” said Steven Markevich, Axalta executive vice president and president, Transportation Coatings and Greater China.
“While we have been absorbing cost inflation for the past
several months, we have come to a point where we need our
customers’ help and support in sharing a portion of these raw
material increases. This has become necessary in order to continue to provide customers with the products, services and
technologies that they rely upon from Axalta to support their
growth,” explained Michael Cash, senior vice president and
president, Industrial Coatings.
PPG has announced that it will implement customer-specific price increases and surcharges in Europe to offset a significant rise in raw material costs. The price changes will impact a
select group of automotive OEM (original equipment manufacturer) and industrial coatings products, effective May 1 or as
contracts permit.
“The recent input cost increases in Europe, similar to what we
experienced in Asia, are due to a significant tightening of commodity supply, supplier capacity constraints and regional feedstock availability,” said Tim Knavish, PPG senior vice president,
automotive OEM coatings.
“While we must work with our customers to share the burden of these cost increases, we remain committed to providing
them with global coatings solutions that offer outstanding value,
world-class service and the latest technologies,” said Shelley
Bausch, PPG vice president, industrial coatings.
PPG announced that it will implement customer-specific
price increases and surcharges in Asia to offset a significant rise
in raw material costs. The price changes will impact a select
group of automotive OEM (original equipment manufacturer)
coatings and industrial coatings products, effective April 1 or as
contracts permit.
“The coatings industry in Asia is currently experiencing
a dramatic tightening of commodity supply, stemming from
increased environmental regulations and controls, supplier
capacity constraints, and regional availability of feedstocks,”
said Tim Knavish, PPG senior vice president, automotive
OEM coatings.
“While we must work with our customers to share the bur-
den of these cost increases, we remain committed to providing
them with global coatings solutions that offer outstanding value,
world-class service and the latest technologies,” said Shelley
Bausch, PPG vice president, global industrial coatings.
Over the last 12 months, the cost of raw materials used for
manufacturing coatings have escalated significantly and affects
the coatings industry worldwide, forcing Jotun to increase prices
for marine-, protective- and powder coatings.
Raw materials like, epoxy, titanium dioxide and copper have
increased by more than 20 percent over the last 12 months,
“In Asia, we are in a cycle of inflation that as of yet is unabated. Crude oil prices nearly doubling since last year, production
issues and force majeure in some feedstock markets, and a
continued push for compliance with environmental and safety
regulations in the region have led to rising feedstock prices for
key commodity chemicals,” said Sam Shoemaker, President
Valspar Packaging.
“We will continue to work closely with our customers to
minimize costs and remain committed to providing packaging
coating solutions and best-in-class service, and regulatory expertise,” said Louie Wang, managing director Asia Pacific.
Details of the price increases will be communicated directly
to customers.
Valspar is the largest metal packaging coatings solutions
provider in the world. Across all of Valspar’s packaging solutions,
the company adds value to can makers, end makers and brand
owners through its technology leadership, regulatory expertise
and best-in-class technical service. With 60 locations in over 30
countries, Valspar provides complete packaging solutions to
reduce costs, improve performance and protect the quality of
brands and products.
