Paint demand is forecast to rise
The demand for paint and coatings in the United States is expected to rise 7.8% annually through 2015, according to a study by The Freedonia Group, a Cleveland-based market research firm. The market is expected to expand strongly in both volume and value terms, rebounding from the declines of the recession-impacted 2005 to 2010 period.
However, the U.S. paint and coatings industry will continue to be impacted by the trend toward sustainability, and growing environmental concerns will subject manufacturers to increasingly stringent government regulations. As a result, paint and coating suppliers will continue to invest heavily in the development of innovative, higher-value formulations.
The large architectural market will grow at an annual rate of 10.8% through 2015, reaching more than $14 billion.
Demand will be promoted by renewed strength in the housing market, particularly as home-building activity rebounds from low 2010 levels. The interior paint market will remain larger and grow faster than its exterior counterpart.
Sales of paint and coatings in manufacturing markets will expand at a respectable rate through 2015, reversing the downward trend of the 2000 to 2010 period. Among the various market segments, furniture and fixtures will enjoy one of the best growth prospects, and will remain the leading outlet for coatings over the forecast period, according to the report.