Paint & Coating Manufacturing

Paint & Coating Manufacturing

Brief Excerpt from Industry Overview Chapter:

Companies in this industry make paints, varnishes, lacquers, enamels, and other coatings. Major companies include Axalta Coating Systems, Benjamin Moore, PPG, RPM International, and Sherwin-Williams (all based in the US), as well as AkzoNobel (the Netherlands), Asian Paints (India), the coatings operations of BASF (Germany), and Kansai Paint (Japan).

COMPETITIVE LANDSCAPE

Demand is driven by industrial production and construction spending. The profitability of individual companies depends on technological expertise and efficient production. Small companies can compete successfully with large ones because of the large number of paints and coatings used for a wide variety of applications, including decoration, water resistance, and corrosion resistance. The US industry is highly concentrated: the largest 50 companies account for about 80% of revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

The US industry revenue is composed of products and services such as architectural coatings (45%), interior solvent-thinned undercoaters and primer (about 10%), and miscellaneous allied paint products (about 10%). Other products include exterior water-thinned paints, special purpose paints and coatings.