Is this e-mail difficult to read;

read the News Review online

Resins & Coatings

News Review


image dsc

Castor oil and derivatives demand to grow by 4.4% until 2020

Global castor oil and derivatives demand was 674 kilo tons in 2013 and is expected to reach 898 kilo tons by 2020, growing at a CAGR of 4.4% from 2014 to 2020.
Global castor oil and derivatives market is expected to reach USD 1.81 billion by 2020, according to a new study by Grand View Research, Inc. Growth of key end-use industries including biodiesel, lubricants and cosmetics is expected to drive the global castor oil and derivatives market. Cosmetics & pharmaceuticals was the largest application segment and accounted for over 25% of total market volume in 2013. Growing demand for bio ingredient based cosmetics is expected to remain a key driver for this segment.
Volatile crude oil prices have prompted a strong shift towards substitution of conventional fuel by bio fuels which is also expected to have a positive influence on the market growth.

LANXESS looks for rubber business partnership

LANXESS reviews strategic options for its rubber business or parts thereof. In particular, entering into a joint venture is considered "an option".
Bloomberg reported, that the Saudi Arabian Oil Company (Aramco) may be interested in a minority participation in LANXESS' rubber business. A rubber business partner is actually one of the last blockades of LANXESS' planned group realignment. Overcapacity and price pressure dominated lately the rubber business, with an annual turnover of around EUR 4.5 billion.

ANGUS completes divestiture from DOW

Golden Gate Capital, a private equity investment firm with more than $12 billion of committed capital under management, successfully completed the acquisition of ANGUS Chemical Company, the world's only chemical company dedicated to the manufacture and distribution of nitroalkanes and their derivatives, from the DOW chemical company.
As previously announced, the $1.215 billion transaction includes the ANGUS business headquarters and R&D facility in Buffalo Grove, IL; manufacturing facilities located in Sterlington, LA, and Ibbenbueren, Germany; a life-science additive facility in Niagara Falls, NY; as well as the associated business, inventory, customer contracts, process technology, business know-how and certain intellectual property.
(Coatings World)

Sherwin-Williams sales increase by 9.3% in 2014

The Sherwin-Williams Co. announced its financial results for the year and Q4 ended December 31, 2014. Compared to the same periods in 2013, consolidated net sales increased $944.0 million, or 9.3%, to $11.13 billion in the year due primarily to higher paint sales volume in the company's Paint Stores Group and acquisitions. Consolidated net sales increased $112.4 million, or 4.6%, to $2.57 billion in Q4.
Net sales in the Paint Stores Group increased 14.2% to $6.85 billion during 2014 and increased 8.0% to $1.58 billion in Q4, due primarily to higher architectural paint sales volume across all end market segments. The Global Finishes Group's net sales increased 3.8% to $2.08 billion during 2014 and increased 1.1% to $502.4 million in Q4, due to selling price increases and higher paint sales volume. The Latin America Coatings Group's net 2014 sales decreased 7.3% to $771.4 million, due primarily to unfavorable currency translation rate changes.
In Q1 of 2015, Sherwin-Williams anticipate consolidated net sales to increase in the mid single digit percentage range, compared to the Q1 of 2014.

Hempel acquires Jones-Blair Co.

Hempel has signed a binding agreement to acquire Jones-Blair Co., Dallas, TX, a leading North American supplier for the protective and waterproofing markets. The proposed acquisition will help Hempel expand its North American business in accordance with its global growth strategy.
Hempel's Group President and CEO Pierre-Yves Jullien commented, "Jones-Blair is a company that we have been following for years, and we finally got the chance to acquire it. Jones-Blair has proven to be one of the best coatings manufacturers in the region. It has a unique market position, great technical knowledge and many years of experience. The acquisition will create the best conditions for us to achieve our objectives in North America, and also supports our goal of becoming one of the world's top-10 largest coatings suppliers by the end of 2015".
The transaction is expected to close in early March 2015, subject to regulatory approval. Hempel acquired the U.S.-based protective coatings manufacturer Blome International Inc. in 2012. At the end of 2014, Hempel completed its latest acquisition when it acquired Schaepman, a Dutch coatings manufacturer.

DSM invests in sustainable resins

Royal DSM, a life sciences and materials sciences company, announced a substantial investment in its Wilmington, MA, manufacturing facility. Driven by its commitment to grow the sustainable coatings market, DSM will upgrade its facilities to produce state-of-the-art waterborne resins for inks and coatings.
The societal trends toward environmentally friendly and renewable products call for novel resin technologies. DSM's global leadership in waterborne urethane technologies enables customers to stay ahead of anticipated environmental and regulatory challenges without sacrificing performance. This portfolio of resins are used in packaging, construction, flooring, automotive, textiles, decorative, adhesive and general industrial segments.

PPG to acquire sealants business of Le Joint Francais

PPG Industries announced that it has submitted an offer to acquire a majority interest in the aerospace and automotive sealants businesses of Le Joint Français (LJF).
LJF is a supplier of sealants and adhesives products for the aerospace and automotive industries and has been a long-term licensee of PPG's aerospace sealant technology. LJF's aerospace and automotive sealants businesses would be spun-off to form a new, separate entity, of which PPG would be the majority owner. PPG anticipates closing the transaction in the second half of 2015, following completion of the French works council consultation process, receipt of regulatory approvals and satisfaction of other customary closing conditions. Financial terms were not disclosed.

Global bio solvents demand to grow by 5.2% until 2020

The global bio solvents market is expected to reach USD 9.31 billion by 2020, according to a new study by Grand View Research, Inc. Volatile petrochemical prices coupled with growing concerns regarding VOC presence in conventional solvents is expected to remain a key driving factor for global bio solvents market. Bio solvents have been gaining acceptance across key end-use industries and are expected to replace most of the conventional solvents on account of its biodegradability and toxic free properties. Increasing demand for green paints & coatings is expected to further complement the market growth. Increasing market penetration in pharmaceutical and cosmetic industries is also expected to have a positive influence on the market growth.
Lactate ester emerged as the leading product segment and accounted for 30% of total market volume in 2013. Increasing penetration of lactate esters in coatings, printing inks and industrial cleaning applications is expected to drive its demand over the forecast period. Glycols are expected to be the fastest growing product segment at an estimated CAGR of 5.4% from 2014 to 2020. Paints & coatings emerged as the largest application segment and accounted for 44.2% of total market volume in 2013. Increasing construction spending in emerging markets of Brazil, China and India on account of increasing urbanization and industrialization rates is expected to remain a key driving factor for this segment.

JOTUN invests in Kenya

Jotun, one of the world's major paint manufacturers, has announced that it has made a significant investment in Kenya, with an aim to strengthen its market presence in the East Africa region.
The investment totals to EUR 2,39 million and will be utilised to set up regional offices in Nairobi to develop a fully operational warehouse and as well as recruiting and developing skilled teams for the brand in the country. Products are being imported from Jotun facilities located in Egypt and Dubai, and Jotun will initially focus on offering protective coating and decorative paints as part of its portfolio.

Oil could plunge to $20

The recent surge in oil prices is just a "head-fake", and oil as cheap as $20/barrel may soon be on the way, Citigroup said, as it lowered its forecast for crude.
West Texas Intermediate Crude, which currently trades at around $52 a barrel, could fall to the $20 range for a while. The U.S. shale-oil revolution has broken OPEC's ability to manipulate prices and maximize profits for oil-producing countries. Citibank reduced its annual forecast for Brent crude for the second time in 2015. Prices in the $45-$55 range are unsustainable and will trigger "disinvestment from oil" and a Q4 rebound to $75 a barrel, according to the report. Prices this year will likely average $54 a barrel, according to Citibank.
Middle Eastern producers are increasingly competing with cargoes from Latin America, Africa and Russia for buyers in Asia. Oil prices have dropped about 45% in the past six months, as production from the U.S. and OPEC surged. Price cuts come after Saudi Arabia, the largest crude exporter, reduced pricing to Asia last week to the lowest in at least 14 years. The Organization of Petroleum Exporting Countries left its members' output targets unchanged at a November meeting, choosing to compete for market share against U.S. shale producers rather than support prices. Iraq is the second-biggest producer in OPEC and Iran is fourth.

New BASF's acrylic coating for concrete façades

BASF introduced a water-based, 100% acrylic coating to protect vertical concrete exteriors from water and dirt. The new coating is the latest in the "MasterProtect" line, which includes a range of high-performance water repellents, elastomeric and high-build anti-carbonation, chemical-resistant and corrosion-resistant coatings for concrete. The coating can be applied as a restoration topcoat or used on new vertical construction, according to BASF. The low-VOC formulation boasts excellent adhesion to concrete and existing coatings.

Plastic packaging market to grow by 5.2% until 2020

Transparency Market Research published a new market report titled "Plastic Packaging Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2014 - 2020". The global plastic packaging market was valued at US$ 259.6 billion in 2013 and is expected to reach US$ 370.25 billion by 2020, growing at a CAGR of 5.2% over the forecast period between 2014 and 2020.
Increasing demand for plastic packaging in the healthcare industry is expected to be one of the key factors driving the growth of this market. In addition, expansion of the food & beverages market, which is the largest application of plastic packaging, is expected to fuel growth. Furthermore, rising consumer preference towards light weight, durable and highly aesthetic packaging is expected to significantly encourage growth of the market over the next few years. However, volatility in prices of crude oil which consequently affects the prices of its downstream chemicals is expected to hamper the plastic packaging market adversely. Research and development activities on plastic packaging technologies have opened up opportunities for the usage of nanotechnology in the formation of films and printing.
Asia Pacific accounted for the highest demand for plastic packaging in 2013, which was over 35% of the market share, owing to the presence of a large number of industries in this region. This trend is expected to continue over the forecast period on account of rapid economic development in this region resulting in the growth of industries such as food & beverages, personal care products and pharmaceuticals among others. Regions in the Rest of the World are expected to witness significant increase in consumption of packaging due to economic development in countries such as Brazil.

GRACE to separate into two companies

The 2014 financial results offer WACKER Chemie a carefully optimistic outlook for 2015.
W. R. Grace & Co. announced a plan to separate into two independent, publicly traded companies. The two companies will be "New Grace", comprised of Grace's Catalysts Technologies and Materials Technologies business segments, and "New GCP", comprised of Grace's Construction Products business segment and the Darex packaging business.
Grace believes that the planned separation will enhance strategic focus, with more efficient capital allocation and the scale and cash flow needed for growth and value creation and will simplify operating structures, improving management focus and allow improved cost productivity and optimized functional support. Post separation, the company expects New Grace to have sales of approximately $1.8 billion. The New Grace will seek to make strategic bolt-on acquisitions in its core segments as well as acquisitions to expand its high margin, high-performance specialty chemicals and performance materials portfolio.

Fluoropolymer coatings market to grow by 6.36% until 2019

The Fluoropolymer Coatings market is estimated to reach $1,534.30 million by 2019, signifying firm annualized growth of 6.36% between 2014 and 2019.
Fluoropolymer coating systems are prepared from fluoropolymer resin such as PTFE, PVDF, FEP, ETFE resin. The coating system consists of fluoropolymer resin along with binder resins, solvent, pigments and additives. The ratio of these components in the system dominates the characteristics of coatings and they are unique and proprietary for each coating manufacturer.
PVDF based coating systems are highly durable coating systems extensively used for coating architectural aluminum surfaces as well as post-formed steel sheets (metal coils). PVDF coatings constitute 15.03% of the overall consumption of fluoropolymer coating. PVDF coatings have been widely accepted in building & construction industry because of low maintenance cost, gloss and color retention and stain resistance properties.
China and the U.S. are at forefront of fluoropolymer coating consumption, while Italy, Japan, and the Germany are other key markets for fluoropolymer coating consumption. China is the key market in Asia-Pacific, consuming more than half of the demand for fluoropolymer coating, followed by Japan, South Korea, and India where consumption is growing at a steadily.

Exhibition : Middle East Coatings Show 2015

The Middle East Coatings Show (MECS) is the only dedicated coatings event in the Middle East and Gulf Region for raw materials suppliers and equipment manufacturers for the coatings industry.
The event will be promoting the latest paint and coatings technologies for the region's environmental, manufacturing and industrial needs and provides an opportunity to network with both local and international exhibitors.
The 2015 MECS will be held at the Dubai International Convention and Exhibition Center, between 9-11 MAR, 2015.
(Coatings Group)

(More upcoming events on :

Read current & past issues of the Resins & Coatings News Review online.

The Resins & Coatings News Review by ANDRIANOS Chemicals is a weekly newsletter offered freely to all subscribers, since 2006. News covered include new products, new technology, M&A, J/V, price changes (affecting European market), market analysis and historical facts of the European and global resins & coatings chemical industry. Subscribe to our free weekly newsletter.
Feel free to share this newsletter with friends and forward to colleagues.
If not interested, please unsubsrcibe, by sending an e-mail to :
News are listed from various sources, as quoted above, aggregated by agents ANDRIANOS Chemicals, Athens, Greece.