Reports Forecast Growth in Latin American, European Coatings Markets
Another market study from the market-research firm forecasts that powder-coatings sales revenue in Europe will record an annual compound growth rate of 7% over the next several years, increasing from $1.14 billion in 2000 to $1.82 billion by 2007.
"Latin American Paints and Coatings Markets" forecasts coatings-consumption compound annual growth rates of 4.8% for Mexico, 4.6% for Brazil and 6.0% for Argentina through 2007.
Brazil, the biggest market for coatings in the region, generated coatings revenue of $1.49 billion in 2000, as the market posted its first year of positive growth since 1997, the report says. Coatings consumption in Mexico rose an estimated 11.6% in 2000 from the previous year, to $1.38 billion, while coatings consumption in Argentina declined 8.6%, the study estimates.
The study suggests that government initiatives to renovate public infrastructures in Latin America will generate growth opportunities for suppliers of transportation, construction and heavy-duty maintenance paints and coatings. In addition, the lowering of trade barriers with Latin American countries will attract foreign investment in regional labor and raw materials while bringing efficient new technologies to domestic operations, the study says.
The study also suggests that environmental compliance will become an increasingly important selling point for coatings suppliers in the Latin American market, as the region's traditionally weak environmental rules and enforcement policies give way to a greater emphasis on such controls as a result of increasing consumer awareness.
The powder-coatings study, "The European Market for Powder Coatings," addresses issues such as the impact of powder-coatings reformulation resulting from the elimination of TGIC in polyesters; the effect of competition from the Asia-Pacific region; and expanded use of powder coatings in automotive applications. The powder-coatings market is analyzed by geographic region, coatings segment and coatings-manufacturer activity.
More information on the reports is available from the company's website at www.frost.com.