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CUBE
05 July 2013
www.informationresearch.co.uk
cube@brggroup.com
+44 (0) 208 832 7830
Argex announces purchase agreement with PPG
Argex Titanium Inc. announced that it has
entered into a long-term supply agreement
with PPG Industries Inc. relating to titanium
dioxide (TiO2) pigment suitable for various
end-use applications by PPG.
PPG is one of the world’s leading coatings and
speciality products companies, serving
customers in construction, consumer products,
industrial and transportation markets and aftermarkets. PPG operates in nearly 70 countries
around the world, with sales in 2012 of US$15.2 billion.
The supply agreement and a concurrently executed research services agreement between
PPG and Argex, whereby PPG will provide continued research and development support to
both optimise Argex pigment grade TiO2 for paints and coatings and combine PPG’s
coatings technology and expertise with Argex’s TiO2
proprietary processing technology, replace the
collaboration agreement signed by the
two parties that was
CONTENTS
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Dow announces mechanical completion of first acrylic monomer plant in the
Middle East
Drytac ® sells UV liquid coating division to Advanced Finishing Technologies, a
member of the Digital2You USA network
Brenntag expands its service facilities in Thailand
ShawCor announces contract to provide pipe coating services for the Edvard
Grieg project in the North Sea
Trust Chem Europe growing
Bordeaux Digital Printink continues to expand in the UK: partners with FTC (UK)
to deliver coatings and liquid laminates
A PROFILE OF THE MEXICAN PAINT INDUSTRY
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announced in April 2012.
Roy Bonnell, Argex President and Chief Executive Officer, said, “The agreements with PPG
are a significant milestone for our company. Our relationship with PPG has greatly assisted
with our stated goal to move towards production. We are very pleased that PPG will be our
first customer for TiO2 pigment suitable for use in its architectural paint production. We are
also pleased that we will continue our collaboration with PPG to optimise our product for
other various end-use applications.”
“These agreements and our ongoing collaboration with Argex are demonstrative of PPG’s
stated intent to leverage our expertise to secure an enhanced supply of critical raw
materials,” said Charles F. Kahle II, PPG Chief Technology Officer and Vice President,
Research and Development, Coatings.
PPG previously manufactured titanium dioxide using the chloride process at its former
Natrium, W.Va., chemicals plant and sold titanium dioxide pigment for coatings and other
end-use applications. Titanium dioxide is a raw material widely used in the paint and
coatings industry as pigment for its hiding, durability and whiteness characteristics.
Source: Argex Titanium, 27 June
Dow
supply to customers in the Middle East
and Asia-Pacific.
The Dow Chemical Company is pleased to
announce the mechanical completion of
the first acrylic monomer production
facility in the Middle East. The Saudi
Acrylic Monomer Company (SAMCo) joint
venture plant in Al-Jubail, Saudi Arabia,
provides the company with advantaged
feedstocks to fuel Dow’s production of
acrylic emulsion polymers for applications
such as coatings and adhesives. The plant
will also allow more reliable and efficient
Dow acquired a joint venture stake in
SAMCo with Tasnee Sahara Olefins
Company in 2009. The new plant will
produce Glacial Acrylic Acid (GAA) and
Butyl Acrylate (BA) to fuel regional, global
and captive demand. Tasnee will market
the products in the Gulf Cooperation
Council (GCC) countries and Dow will
market them throughout the rest of the
world. Pre-marketing activities have been
underway for several months and SAMCo
looks forward to commencing commercial
shipments in the next quarter.
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“The SAMCo plant was designed to
incorporate Dow’s best technologies to
help ensure safe and efficient operations
to allow us to improve reliable supply to
customers around the world as well as our
own downstream businesses,” said Pat
Gottschalk, Business President for Dow’s
monomers, resins and intermediates
businesses.
The SAMCo plant was completed with an
outstanding construction safety record
and the project was recognised by Project
Finance magazine as the Middle East
petrochemical project of the year in 2012.
Source: Dow, 27 June
Drytac/Advanced Finishing Technologies
Drytac®, an international manufacturer of adhesive-coated
products and graphics finishing equipment and supplies,
has signed a formal agreement with Advanced Finishing
Technologies/Digital2You to sell its UV liquid coating
division, including UV coaters and UV liquid coatings. The sale is a direct result of a recent
corporate review during which Drytac® decided to shift its business strategy.
Going forward, Drytac® will focus on its expanded line of standard and custom adhesivecoated products. Jim Tatum, who previously managed Drytac®’s UV liquid coating division,
will now champion the product line at Advanced Finishing Technologies. Advanced Finishing
Technologies will continue to offer the same UV product lines with the same product names
through various sales channels and the Digital2You dealer network.
“Jim’s knowledge of the UV liquids market is vast, and his familiarity with our UV liquid
customers should ensure a smooth transition for both companies,” states Marc Oosterhuis,
Drytac® President. Jim Tatum adds, “This is a product line that I helped develop from the
ground up so I consider this a great opportunity to advance liquid coating technologies. It’s
both an honour and a challenge, but I look forward to continued success with the UV liquids
line.”
It is important to note that Drytac® will retain its aqueous (water-based) liquid coating
division, which offers both aqueous liquid coaters and liquid coatings to customers in the
graphics finishing market. In addition, the company plans to introduce a new aqueous giclee
coater and several liquid coatings during the SGIA Expo in Orlando, Florida, held October 2325, 2013.
Source: Drytec, 1 July
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Brenntag
Brenntag, the global market leader in
chemical distribution, has further
expanded its application laboratory
facilities with the construction of a new
Innovation & Training Centre in Thailand.
The new facility is situated within the
premises of the Warehouse and Logistics
Centre in Bangkok offering two training
rooms and six technical application
laboratories. The labs are designed to
support Brenntag’s Specialties business
for Personal Care, Food & Beverage, Agro,
Cleaning, Textile and Coatings (ACES).
For customers, Brenntag adds value by
developing new product formulations for
and together with customers using the
broad range of speciality ingredients in its
product portfolio. Customers appreciate
that Brenntag can speed up the process
for new product launches by having
access to an application lab and technical
staff in close proximity to their markets.
Through the new Innovation & Training
Centre, Brenntag Thailand is also able to
offer more value-added services to
suppliers. In partnership with suppliers,
Brenntag arranges customer seminars
which are targeting individual customer
needs. Suppliers also have the
opportunity to conduct training sessions
at the Centre with the assistance of
experienced and competent specialists of
Brenntag.
Source: Brenntag, 28 June
ShawCor
ShawCor Ltd. has announced that its pipe
coating division, Bredero Shaw, has
received a contract with a value of
approximately US$30 million from Statoil
Norway to provide pipeline coatings for the Edvard Grieg Oil Pipeline project and the Utsira
High Gas Pipeline project. These pipelines will transport oil and gas from the Edvard Grieg
and Ivar Aasen fields. The gas will be transported to St. Fergus through a tie in of the Utsira
High Gas Pipeline to the Sage system and the oil will be transported to Sture, Norway,
through a tie in of the Edvard Grieg Oil Pipeline to the existing Grane Oil Pipeline. The
Edvard Grieg field (formerly Luno) is located in the Utsira High area of the Norwegian North
Sea. The contract will be executed at the Bredero Shaw pipe coating facility in Leith,
Scotland.
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This contract involves coating approximately 98 km of 16" pipe and 46 km of 29" pipe with
3-layer polypropylene anticorrosion coating, internal flow efficiency coating and concrete
weight coating. Coating will commence during the fourth quarter of 2013.
ShawCor Ltd is an energy services company specialising in products and services for the
pipeline and pipe services and the petrochemical and industrial segments of the oil and gas
industry. The company operates through eight divisions with over seventy-five
manufacturing and service facilities located around the world.
Source: ShawCor, 28 June
Trust Chem Europe
introduction of our DiAzoCondensation
Yellow range and with the successes of
our other High Performance Pigments a
further increase will be needed.”
commented Henk Loonstra, Technical
Director Trust Chem Europe.
Trust Chem Europe BV, the European
division of Trust Chem Co. Ltd, has
announced that effective 28th June 2013,
as part of its continued growth, its
European headquarters in Deventer (the
Netherlands) is moving to a new office
location.
“We
expect
that
with
the
recent
“As we build upon our expansion into
Europe we are continuously looking for
new and value-added ways to do
business. After doubling the square
metres of our European warehouses in
2012 we now are doubling office space.
With more office space, and a state-ofthe-art infrastructure, logistics and
warehouses, we will be able to provide
even better services to our distributors
and customers,” said Robert Paul
Wielinga, Marketing & Sales Director,
Trust Chem Europe.
Source: Trust Chem Europe, 27 June
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Bordeaux/FTC
Bordeaux Digital Printink, a leading innovator of a wide
range of inks and coatings for a variety of demanding
inkjet applications, printing technologies and techniques, has announced that FTC (UK) has
joined its reseller network. FTC (UK), a leading manufacturer of finishing products for the
Visual Communications Market, will distribute Bordeaux’s coating and liquid laminates
throughout the United Kingdom.
FTC will showcase Bordeaux’s coatings at the FESPA 2013 conference, 25th-29th June 2013, in
London, UK at the Excel London Exhibition Centre, stand G75S. Live demonstrations will
include coatings with Bordeaux’s CLEAR WIDE™ UV coating series for high volume wide
format applications.
Bordeaux also offers a wide variety of environmentally friendly water-based coatings, latexbased inks, dye-sublimation, UV and UV LED curable inks and bulk ink delivery solutions. The
company’s wide range of inks and liquids for inkjets is available in the UK through UK
Euroconnect and Stehlin Hostag.
Source: Bordeaux Digital Printink, 24 June
Available now from IRL...
A PROFILE OF THE MEXICAN PAINT INDUSTRY
1ST EDITION
IRL is pleased to announce the publication of a brand new publication A Profile of the Mexican
Paint Industry. For the first time ever, IRL examines Mexico’s paints and coatings market
independently and not as part of a regional study on the Central American paint market, thereby
enabling to present more in-depth paint market data and trends. This first edition provides market
data for 2011, anticipated figures for 2012, and forecasts to 2016.
Mexico’s paints and coatings sector was enjoying a period of rapid expansion until the outbreak of
the world financial crisis which, accompanied by an increase in raw material prices, caused the
sector to tumble. With NAFTA free-trade agreements in place, Mexico succeeded at increasing trade
competitiveness with the USA, bringing the paints and coatings market into full recovery in 2010.
Last year Mexico outperformed Brazil in terms of GDP growth (Mexico: 3.9%; Brazil: 2.7%)
benefitting the development of the paints and coatings sector, causing it to further expand and
reach an estimated demand of 820,400 tonnes. Although the elections taking place on 1 July 2012
have caused the economy to slow-down, this trend has quickly reversed and consumer behaviour
and investments have risen once again.
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Decorative paints is by far the largest market segment, accounting for almost 70% of the total paints
and coatings market share but is subject to seasonal demand. Together with Mexico’s increased
purchasing power, credit lending has allowed for refurbishment works to drive the construction
sector. While many are identifying the development of a second seasonality peak, it is the smaller
industrial coatings sector that is foreseen to undergo faster growth rates on average in the next few
years -with AAGR of 3.1 % up until 2016 in the decorative segment as opposed to a 3.7 % growth
expected on the industrial coatings segment. By the end of the year 2016, the market could reach a
demand of 965,000 tonnes.
Mexican Paint Market, 2011 - 2016
800,000
600,000
400,000
2011
2016
200,000
0
The booming of the automotive industry will be the key driver to fuel Mexico’s industrial coatings
growth and will also promote the use of automotive refinishes on the long term. Indeed, the
automotive OEM coatings sector is expected to experience growth rates well above Mexico’s
expected GDP progress, with the possibility of attaining a 5.2% year-on-year growth rate.
Otherwise, new investments into Mexico’s state-run Pemex, which largely dominates the country’s
oil and gas sectors, will be the main factor to trigger expansion in most other industrial coatings
sectors including the marine, protective and general industrial coatings sectors.
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On the technological side, a number of reformulations to improve the eco-friendliness of paints have
strengthened the existing, but relatively recent, trend towards substitution of solventborne with
waterborne coatings. A much stronger use of powder coatings has also been reported. However,
despite environmental awareness increasing slowly, there is otherwise not much legislative incentive
to promote a faster switch-over towards environmentally-friendlier products.
A challenge to be addressed within the paints and coatings sector is that much of the industry still
relies on outdated equipment and technologies. In addition, the market remains largely dominated
by the giant paint maker Comex.
Nonetheless, the outlook for the paints and coatings market sector in Mexico appears highly
promising. The country’s per capita paint consumption stands at 7.1 kg/head, a figure considerably
lower to that of Brazil, placed at 8.4 kg/head. This indicates much potential for growth in a country
that over the past decades has continuously leapfrogged Brazil as Latin’s America top economy.
‘A Profile of the Mexican Paint Industry’, 1st Edition, gives an insight into the market changes in the
past few years as well as the current market status of the paint industry. The report outlines the
key trends affecting nine mainstream paints and coatings segments. The paints and coatings
segments covered are: decorative, industrial wood, protective, marine, automotive OEM,
automotive refinishes, powder, general industrial and plastic coatings. Forecasts on these are
presented to the year 2016, including the release of anticipated market figures for the end of the
year 2012.
For more information on this report, please contact Cathy Galbraith: cgalbraith@brggroup.com or
call +44 208 832 7830.
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