Europe
Sponsored by
At the same
time the profits
of coatings
producers are
once again being
squeezed by
rising raw material
prices and even
shortages.
European Coatings Market Experiences
Fastest Growth Since 2008 Financial Crisis
by Sean Milmo
European Correspondent
milmocw@rodmanmedia.com
Economic conditions in Europe seem to be working in favor of coatings companies. But they are having a mixed success in
taking advantage of an economic recovery to
boost sales and profits.
The economies of the European Union’s
28 member states are now growing at the average annual rate of close to 2.5 percent, the
fastest since the 2008 financial crisis. “The
economic expansion accelerated more than expected in the first half of 2017 (and) continues
to be solid and broad-based across countries
and sector,” Mario Draghi, president of the
European Central Bank, told a press conference
in September.
Industrial production in the EU is increasing
at an even stronger annual rate in excess of
three percent – its highest level since the post-
2008 recession.
Among the coatings sector’s major customer
markets, construction has been going through
a major revival in some countries. Germany’s
construction output has been rising at its quick-est rate since 2010 with robust growth in all
three key segments of residential, commercial
and civil engineering, according to figures from
the financial service company IHS Markit.
However, levels of construction activity in
Europe have been varying considerably. In
some countries production has been soaring at
a double-digit percentage rate while in others it
has been close to zero or even decreasing.
In the automobile sector, new automobile registrations in the EU increased by an
average of 4. 5 percent between January
and August this year with registrations in
France going up by 9 percent and in Spain
