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FT Archives

Demand for Auto Coatings to Rise in Eastern Europe (11/8/06)

November 7, 2006
According to a new report from Information Research, total demand for automotive coatings in Eastern Europe is expected to reach 478,000 metric tons in 2010, equivalent to an average growth of 12% per annum (pa). In fact, automotive OEM coatings, powder coatings and coatings for plastics will grow on average by about 12-14% pa, with refinish growth trailing slightly at about 9% pa. The total market for these coatings, including non-automotive applications, is currently estimated at 278,000 metric across the eight countries, with powder coatings capturing 32% of the market; automotive refinishes, 29%; automotive OEM coatings, 26%; and coatings for plastics, 13%.

The report notes that the automotive OEM coatings market will show strong growth as a result of the automotive industry exporting output to Western Europe. Russia is by far the most attractive economy for this but the location of the Czech and Slovak Republics also bodes well for the future.

The study also predicts that powder coatings will demonstrate attractive growth, particularly in segments such as white goods and construction. Turkey is a particularly strong growth market while the Ukrainian powder segment is being driven by captive capacity investment by end-users. Many of the leading European powder coatings companies are competing for business in these markets.

Meanwhile, coatings for plastics exhibit strong demand within the electrical goods and automotive industries, and Poland, Turkey and Russia will emerge as key markets. There is a strong German influence in the plastic finishing segment in the more developed markets, while others will continue to seek better technology from the west.

The study, Potential of Automotive-Related Coatings in Eastern Europe, is available in two versions. The first is organized according to country and then coatings segment, while the second is organized according to coatings segment and then country. Each version contains more than 200 pages and 93 tables. The report costs €2,750; individually priced sections will be available to purchase on the company's website. For more information, e-mail tknowles@brg.co.uk or click on the website link below.

Links

  • www.informationresearch.co.uk

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