FOCUS coatings sales in nine months of 2011 in the regions of Europe, Middle East and Africa were $1.66 bn ($1.45 bn in nine months of 2011). Industrial Coatings segment sales in nine months of 2011 were $3.14 bn ($2.76 bn in nine months of 2010). Net income from the Performance Coatings segment for 3Q 2011 stood at $190 M ($174 M in 3Q 2010), Industrial Coatings at $101 M in 3Q 2011 ($86 M in 3Q 2010) and that from the Architectural Coatings segment stood at $53 M ($82 M in 3Q 2010). For nine months of 2011, net income from the Performance Coatings segment stood at $533 M ($491 M in nine months of 2010), that from the Industrial Coatings segment in nine months of 2011 was $332 M ($299 M in nine months of 2010) and that from the Architectural Coatings segment stood at $115 M ($111 M in nine months of 2010). PPG Industries’ vision is to continue to be the world’s leading coatings and speciality products company. PPG Industries financials 3Q and nine months of 2011, 20 Oct 2011, (PPG Industries Inc, PPG Place Pittsburgh, PA 15272, USA, tel: +1 412 434 3131, website: http://www.ppg.com)
PPG finalizes agreement to purchase Dyrup A/S, sets Jan 2012 closing date PPG Industries has announced that it has finalized the purchase agreement to acquire European coatings company Dyrup A/S, based in Copenhagen, Denmark, from its owner, Monberg & Thorsen, a public holding company. The final transaction value, including assumed debt, has been set at GBP 115 M, based on final due diligence. Both parties have agreed on a closing date of 5 Jan 2012. Once finalized, the acquisition of Dyrup will enable PPG Industries to continue to expand its geographic reach within Europe and to broaden its product portfolio with the inclusion of Dyrup’s established strong brands, 6
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particularly in wood care products. Dyrup, a European producer of architectural coatings and speciality products, had 2010 sales of about GBP 190 M. It employs about 950 people and operates six manufacturing facilities in Europe. Dyrup’s brands include Bondex, Gori and Xylophene, and its products are sold primarily in Denmark, France, Germany, Portugal, Poland and Spain. PPG Industries’ vision is to continue to be the world’s leading coatings and speciality products company. Press release from: PPG Industries Inc, PPG Place Pittsburgh, PA 15272, USA, tel: +1 412 434 3131, website: http://www.ppg.com (18 Oct 2011)
Arkema targets Chinese market Arkema has opened a polyvinylidene fluoride plant at Changshu, China. Even before the official opening, Arkema has announced that it may increase production capacity by 50% before summer 2012 (initial capacity 4000 tonnes/y). Arkema’s subsidiary Coatex has opened an 80,000 tonnes/y rheological additives plant nearby. The output will be used for paints, coatings, cement, paper and mineral treatment. Arkema has invested around €300 M at Changshu since 2006. It plans to open an acrylic latex plant before the end of 2012. Polyamide capacity will be tripled in 2013. HFC-125 gas production capacity will be increased by 30% before the end of 2012 (joint venture with Daikin). A new refrigerants plant is to open in mid-2012. Original Source: Chimie Pharma Hebdo, 24 Oct 2011, (567), 1 (Website: http://www.industrie.com/chimie) © ETAI Information 2011
MARKETS Leap in prices for paints and coatings industry Rising prices for titanium dioxide and other raw materials are
C O AT I N G S putting pressure on the paints and coatings industry. Despite rising sales, profits are falling. Titanium dioxide is relatively tight at the moment and becoming increasingly expensive. This is an enormous problem for the paints and coatings industry. Titanium dioxide prices have risen around 60% in two years. This is all the worse because prices of other raw materials such as solvents and epoxy resins have also increased. There are no signs of a change in trend for the moment. Since the economic crisis, titanium dioxide producers have been cautious about expanding capacity. If the economy cools down, the situation could become even worse. Akzo, the world’s leading coatings producer, already had to lower its profits forecast in midyear. BASF is also posting falling profits despite rising sales, and is now selling part of its architectural coatings business. Original Source: Handelsblatt, 19 Oct 2011, (202), 27 (Website: http://www.handelsblatt.com) (in German) © Verlagsgruppe Handelsblatt GmbH & Co KG 2011
Arkema strengthens its Rilsan pipe coating solution with new working partnership with RMB Products Inc Arkema Inc’s Technical Polymers business has strengthened its Rilsan fine powder solution for water treatment and water desalination applications through a new working partnership with RMB Products Inc, which specializes in large-scale coating of steel piping in the fabrication and plastic lining/coating of large metal structures. “Rilsan-coated carbon steel is a cost-effective and technically accepted alternative to stainless steel in today’s water treatment plants, including desalination units,” said Adrien Lapeyre, Sales and Business Development Manager for Rilsan fine powders, in Arkema’s North American Technical Polymers business. “With our working relationship with RMB Products, which has DECEMBER 2011
FOCUS invested in a large fluid bed for large scale pipe coating, we can use our expertise in the application process to strengthen our offering to the market.” “RMB Products is excited about the addition of fluidized bed coating using Rilsan fine powders,” said Randy Gardiner, Chief Technology Officer of RMB Products (www.RMB.com). “Arkema has been the ideal partner and has been instrumental in the incorporation of this technology into our coating and lining product offering. The Rilsan fine powder fluidized bed process allows us to offer a high integrity, tough and corrosion resistant coating to all surfaces of complex metal structures, such as pipes, tanks and a variety of pumps and valves.” “What’s more,” added Lapeyre, “Rilsan-coated carbon steel pipe has significantly lower cost and is produced with less energy and carbon dioxide emissions than stainless steel, which reduces the plant’s environmental footprint. It offers better aging resistance, a highly versatile range of chemical resistance, and protection for parts during handling and storage.” Since 1967, Arkema’s Rilsan high-performance powder coatings have been used in the water industry for coating pipes, pumps, valves and fittings. Manufactured from a vegetablebased, renewable resource, Rilsan resin is the market’s only engineering bio-plastic. Rilsancoated pipes overcome common pitting and corrosion problems encountered when stainless steel is used in water treatment and desalination piping, and can cut the installed cost of a piping system by half. Extensive research by Arkema shows that Rilsan-coated carbon steel reduces the CO2 emissions from pipe manufacture by more than 40% when compared to super duplex stainless steel. Rilsan case studies include a 40-year track record of success in water and waste water treatment and 10 years of service in sea-waterDECEMBER 2011
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reverse-osmosis desalination plants. A global chemical company and France’s leading chemicals producer, Arkema is building the future of the chemical industry every day. Deploying a responsible, innovation-based approach, it produces state-ofthe-art specialty chemicals that provide customers with practical solutions to such challenges as climate change, access to drinking water, the future of energy, fossil fuel preservation and the need for lighter materials. With operations in more than 40 countries, 15,700 employees and eight research centers, Arkema generates annual revenue of €5.9 bn and holds leadership positions in all of its markets with a portfolio of internationally recognized brands. Press release from: Arkema, 420, rue d’Estienne d’Orves, F-92705 Colombes, France, tel: +33 1 4900 8080, fax: +33 1 4900 8396, website: http://www.arkema.com (19 Oct 2011)
Polyurethane: a dynamic market – overview of growth forecasts and challenges in the polyurethane market The global market for polyurethane reached 13.65 M tonnes worth $33 bn in 2010. US market research company Markets and Markets (M&M) predicts that the global demand will grow by 4.76%/y until 2016. Around 73% of the polyurethane is consumed by four industrial segments (furniture 28%, construction 25%, electronics 12%, and the automotive industry 8%). Demand is forecast to grow by around 7.3%/y during 20112016. Around 13% of total polyurethane consumption or 1.77 M tonnes found applications in the paints and coatings industry in 2010. M&M predicts that this figure will rise by 4.9%/y to reach 2.36 M tonnes by 2016. Polyurethane as raw material accounts for about 9% of the total market for raw materials for adhesives. The Asia Pacific Region is the largest producer
C O AT I N G S and exporter of polyurethanes. According to the market study “MDI, TDI and Polyurethane Market by Type, Applications, Prices, Regulations Trends & Global Forecasts 2011-2016”, published by M&M, the Asia Pacific region accounted for 40.2% of the global polyurethanes market in 2010. This market is forecast to grow by 5.3%/y to reach 7.47 M tonnes by 2016. The polyurethanes market in Europe is predicted to grow by around 4.3% during this period. The European market for polyurethane coatings reached a volume of 570,950 tonnes in 2010, according to British market research company IAL Consultants in its recently published study, “An Overview of the European Polyurethane Coatings Market”. The largest growth rates in Europe are predicted for Russia. The article covers the following topics: the demand for polyurethane coatings is rising; applications in adhesives; developing countries are the engine for growth; strongest demand from Asia Pacific; largest European growth in Russia; the green segment creates growth; challenges due to regulations; biobased raw materials open new potentials; and high prices negatively affect the polyurethane market. Figure 1 sections the global polyurethane market in 2010 by applications as follows: foam 65%; coatings 13%; adhesives and sealants 7%; elastomers 12% and others 3%. Figure 2 sections the polyurethane coatings market by application segments (total volume 570,950 tonnes) as follows: wood coatings 28%; anticorrosion coatings 13%; automotive coatings 9%; industrial coatings 20%; plastic coatings 13%; marine paints 6% and others 11%. A bar chart shows the expected growth for the polyurethane coatings market in Europe from 2010-2015 sectioned by countries. The largest growth rates are predicted for Russia 7