Powder Coatings – The Changing Landscape

By Cynthia Challener

Participants in the powder coatings market have experienced an exciting journey, traversing both very high peaks and deep valleys.The changing landscape has provided both challenges and opportunities for resin suppliers and powder coatings formulators. Currently, the overall growth rate for powder remains above that of the coatings market in general, and despite several worrying conditions, most players in the market have a positive outlook as the powder coatings adventure continues into the future.

In general, the growth of the powder coatings market mimics the broad economic growth in the various regions of the world. The ChemQuest Group, a management consulting firm located in Cincinnati, OH, valued the 2005 global market for powder coatings at $4. 1 billion based on sales of 1.2 million metric tons.

ChemQuest expects the global market to grow 6.4% annually, with the highest growth in Asia ( 11% per year) and the lowest in Western Europe (1% per year), according
to vice president Michael D. Brown. In the U.S., Kusumgar, Nerlfi & Growney (KNG) estimates that sales of powder coatings reached $1.4 billion in 2005, with the market growing at 4% annually. In Asia, KNG valued the 2005 powder coatings market at $2 billion, and increasing at a rate of 12% per year.