As the prices of raw materials continue to be high, especially the price of epoxy resin, metal zinc and so on, the international large-scale coatings manufacturer, which has the advantage of scale cost, has to announce price increases since 2018, following Nippon Paint. Since the announcement of the price increase measures in early February, Haihong Seniors, Jordan, Sherwin-Swiss, Akzo Nobel and other companies have recently announced the price increase of coatings.

Haihong elderly protective coatings, marine coatings, container coatings, yacht coatings and decorative coatings prices

     On February 26, 2018, the Danish Haihong old man (Hempel) released a message on the official website, saying that as the price of raw materials continued to rise in 2018, the company decided to raise the sales price of some products on the same day.

     According to the company, the cost of many of the raw materials used in paint production has continued to rise over the past two years. For example, in the past six months alone, the cost of epoxy resin has increased by 20% in Europe and North America, while in the Middle East and Southeast Asia it has increased by 58%. During the same period, zinc prices rose nearly 15% globally and reached a 10-year high by early 2018.

    “Although there are regional differences, the overall global price has risen significantly,” explains Michael Hansen, executive vice president and chief commercial officer of Hempel.

     He continued: “In the past few months, the company has done its utmost to absorb these price increases and cut the impact on customers. We are working closely with suppliers, R&D and manufacturing, but rising raw material prices have become a reality. And this trend is clearly continuing. We have no choice but to increase prices for some of our protective coatings, marine coatings, container coatings, yacht coatings and decorative coatings."

Jotun powder coatings announced price adjustments again after 20% price increase

     On February 12th, the Jotun powder coatings business in Norway announced that due to the substantial increase in raw material costs in 2017 and early 2018, the company decided to increase the price of all powder products and take effect immediately. According to the specific composition of the product, the price increase of the product can reach 20%.

     Ram Ramnath, vice president of powder coatings in Jotun, pointed out that in 2017, the price of titanium dioxide, polyester and epoxy resin rose sharply. The price of epoxy resin and pigment rose sharply in the first quarter of 2018, making the Jordan powder coating business not Other options can only increase their prices accordingly.

     “This is of course a difficult time for the entire industry. We value the long-term relationship with our customers and believe that we have a common understanding of the need to improve product prices to continuously provide product quality and service levels, our customers We look forward to receiving stable service from us, and we will continue to move forward to provide our customers with the best products and solutions to help their business grow."

     On February 28th, Jotun issued a global price adjustment announcement, announcing that due to the continuous increase in raw material prices, it caused certain cost pressure on Jordan, so it decided to adjust the product price appropriately.

     Jotun Group President and CEO Morten Fon said that in 2017, Jotun continued to develop further in the four main business units of marine coatings, industrial protective coatings, powder coatings and decorative coatings. Despite this, we cannot ignore the challenges of the coatings industry in 2017, the overall coatings market maintains a relatively low growth rate, and the global ship and ocean engineering sector has experienced a major recession, and Jordan is deeply affected by these challenges. .

     The real main challenge facing the company comes from the soaring prices of important raw materials, including titanium dioxide, metallic materials (such as copper and zinc), polyester resins and recent surges in epoxy resins. After the steady growth of epoxy resin prices in 2017, with the arrival of the first quarter of 2018, a new round of sharp rise has begun. Crude oil prices are also starting to rise, which will immediately lead to an increase in solvent prices. Therefore, Jotun expects raw material prices to show further growth in the coming months.

Sherwin-Williams anti-corrosion and marine coating products rose 25%

     Sherwin-Williams announced that it has increased its price from the company's industrial heavy-duty coatings and marine coatings business unit by 25% since March 1, 2018.

     According to the company, the price adjustment is based on a sharp rise in the price of raw materials. When the price of raw materials falls, the company will appropriately reduce the price of the product. At the same time, the company will continue to refine its management operations to reduce costs and share the increased costs and reduce future price increases.

Akzo Nobel packaging coatings increase in China

     On February 26th, the industrial coatings business unit of AkzoNobel in the Netherlands announced through WeChat that it will implement a new price policy for the whole line of packaging coating products in the Chinese market from April 1, 2018. The main reason is still to offset The pressure from rising raw material costs.

     According to the company, the increase in raw materials for the whole year of 2017 is very large. From now on, as the country's environmental protection policy and supply-side reform continue to deepen, the basic elements of rising raw materials still exist and are further strengthened. At the same time, crude oil prices rose from US$55/barrel in 2017 to US$66/barrel in February this year, which contributed to the continued rise in chemical costs.

      In response to the current situation and pressures of macroeconomic policies and upstream costs, many chemical suppliers have adopted different measures and methods to deal with this severe situation. It is reported that a famous resin supplier adopts reverse bidding to determine the output allocation. More seriously, some key raw materials are at risk of being shut down at any time.

         Akzo Nobel Packaging Coatings is making every effort to guarantee supply, and we will try our best to take corresponding emergency measures through multiple channels, and at the cost to ensure the supply demand and product quality of customers in the metal packaging industry.