21 January 2010 23:23 [Source: ICIS news]
HOUSTON (ICIS news)--PPG Industries’ strongest growth in 2010 will come from its industrial coatings segment, driven largely by continued strength in China’s automotive manufacturing sector, the US chemical and coatings producer said on Thursday.
Industrial segment volumes grew during the fourth quarter of 2009 by 40% in Asia and Latin America, CEO Charles Bunch said during a conference call. However, in the US and Europe, volumes remained more than 15% below year-ago levels due to strong recessionary pressure.
About 20% of PPG’s industrial coatings sales are in Asia, with the automotive original equipment manufacturing (OEM) segment making up a large portion of that market.
Hinging strongly on automotive demand, the segment will see continued growth in Asia, experience a return to growth in North America and remain essentially flat in Europe, he said.
The company’s industrial coatings sector grew its sales by 12% in the fourth quarter versus the year-earlier period, contributing to the company’s improved profits for the quarter.
For 2010, the company expects overall improved earnings, with Asia-Pacific leading the way with as much as 25% sales growth early in the year and with North America benefiting from a year-over-year increase in automotive production.
In other markets, commercial construction demand remained weak globally and no near-term rebound was anticipated in first half, Bunch said.
($1 = €0.71)
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|
Asian Chemical Connections