Coatings Word January 2014

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Table of Contents

January 2014 www.coatingsworld.com Coatings World | 5

January 2014 Vol. 19, No. 1

Coatings World (ISSN 152-711-29) is published monthly by Rodman Media Corp., 70 Hilltop Road, Ramsey, NJ 07446 USA. Phone: (201) 825-2552; Fax (201) 825-0553. Periodical postage paid at Ramsey, NJ 07446 USA and additional mailing offices. Publications Mail Agreement No: 40028970. Return Undeliverable Canadian Addresses to Circulation Dept. PO Box 1051, Fort Erie, On L2A 6C7, [email protected]. POSTMASTER: Send address changes to: Coatings World, 70 Hilltop Rd., Ramsey, NJ 07446. Free subscriptions to Coatings World are available to qualified individuals. Others are as follows: U.S. one year $75; two years $120. Outside U.S. and overseas: one year $95 (U.S.), two years $160 (U.S.), foreign airmail: one year $195 (U.S.). 5% GST required on Canadian orders. GST #131559148. The publisher reserves the right to determine qualification of free subscriptions. Printed in the USA. Coatings World is used under license from Whitford Worldwide. Coatings Worlds circulation is audited by BPA International.

ADVERTISING SECTIONSClassified Ads.......................................................48 Advertising Index .................................................49

COLUMNSInternational Coatings Scene ...............................19

Latin America Arkema Increases Investments in BrazilEurope European Coatings Market Embraces

SustainabilityAfrica Drive to Lead-Free Africa

Business Corner ...................................................24Disruptions Consultants Have Them Too, Part 2

DEPARTMENTSEditors Page ..........................................................6As We Go to Press .................................................8Index to Companies ...............................................8Market Watch ......................................................10Fresh Paint ...........................................................12Patents .................................................................18New Products ......................................................25Industry News ......................................................42Suppliers Corner ..................................................45People..................................................................46Meetings ..............................................................47Final Coat .............................................................50

34 Additives Update37 Pigments Report39 CHINACOAT Review

28 Architectural Interior Coatings Above and cover photo courtesy of Kelly-Moore Paints

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A Rodman Media Publication 70 Hilltop Road Ramsey, NJ 07446 USA

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Richard M. Tepper (PPG Industries)Shelby F. Thames (University of So. Mississippi)

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6 | Coatings World www.coatingsworld.com January 2014

At the start of a new year there is always a sense of optimism for the future. The paint and coatings industry has had some rocky years, but things appear to be improving. Throughout 2013 both paint manufacturers and their suppliers were

reporting improvements in their business. The general feeling is that this upswing is going to continue into 2014.

In the article Interior Architectural Interior Coatings (pg. 28) paint manufacturers I interviewed reported positive growth in 2013 due to an improved housing market and increased consumer confidence. In the Pigments Report (pg. 36) pigment suppliers also expressed optimism. Frank Lavieri of Lansco Colors said, We saw the pigment market grow in 2013 especially in the last third of the year and particularly in industries serving construction and housing. Since 2009 we have seen the consump-tion of pigment increase steadily and at double-digit rates at times. We expect 2014 to be another strong year. This sentiment was echoed in the Additives Market Report (pg. 33). The outlook for 2014 remains op-timistic, with eyes continuing to follow the housing market. Particularly as interest rates begin to rise and employment numbers evolve, said Amber Goodyear of Coatex Inc.

This optimism has a concrete basis as financial experts are also report-ing that they expect things to improve in 2014. Prudential market experts recently reported that they expect significant growth in the financial mar-kets in 2014 as the U.S. and global economies continue to recover amid central bank actions, low inflation and an improved business climate. They outlined their views at Prudential Financial, Inc.s 2014 Global Economic and Retirement Outlook briefing.

In a statement released at the briefing Ed Keon, managing director of Quantitative Management Associates, said the more global markets and economies improve, the more they begin to resemble their pre-2008 levels. He expects significant growth in 2014 driven in part by technological in-novations and a possible positive shock in energy production in the U.S. and around the world. He expects the Federal Reserve to remain on the sidelines for the next couple of years, keeping interest rates low, even as it begins to taper its bond-buying program.

The new normal is beginning to look like the old normal. Weve seen significant growth in 2013 and were now experiencing a robust economy that we used to think of as normal, Keon said.

Although it is much too early to tell for sure, things certainly do seem to be looking up in 2014!

2014 Off to a Great Start

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AkzoNobel Powder Coatings to Relocate Manufacturing Facilities in China

AkzoNobel Powder Coatings plans to relo-cate its manufacturing facilities in Ningbo and Suzhou, China to the Chang Zhou National High-Tech District by the end of 2015.

The current location of AkzoNobels Ningbo site has been designated as a fu-ture residential zone in the Chinese govern-ments 2010 urbanization plan, therefore making it unviable for future operations. Discussion with the local Government resulted in Chang Zhou being identified as a suitable alternative location. At the same time, AkzoNobel will also relocate its Suzhou plant to Chang Zhou. This move will further support the companys integrat-ed business strategy focused on ensuring sustainable growth of its business in China.

The relocation of our Ningbo and Suzhou facilities to Chang Zhou presents an opportunity to upgrade our manufacturing capacity and capability in the region, allow-ing us to provide even better service to our customers said John Wolff, managing di-rector AkzoNobel Powder Coatings. The move will also create opportunities to better leverage synergies amongst AkzoNobel busi-nesses and improve operational performance in line with AkzoNobels global strategy.

The current Ningbo and Suzhou plants will continue to operate as normal until the end of 2015 with no disruptions to customer supply.

Further details regarding the reloca-tion plans and comprehensive HR plans for Ningbo and Suzhou-based employees will be announced in due course.

AkzoNobel currently employs more than 7,700 people in China, with 2012 revenue totaling 1.7 billion, the major-ity being generated from local demand. Currently AkzoNobel Powder Coatings has six manufacturing facilities in China, serving customers across the region.

Lowes Names Olympic Paint Innovation Partner of the YearLowes recently named Olympic Paint and Stain its 2013 Innovation Partner

of the Year. Olympic was honored with the award at Lowes annual vendor meet-ing. The award recognizes an innovative product that helps consumers realize their home improvement goals.

Olympic RESCUE IT! provides con-sumers with a cost-saving option to res-cue, instead of replace, severely damaged or weathered decks, patios and driveways. The exterior resurfacing stain, which tints to more than 110 colors, features outstanding elasticity to fill wood and concrete splits and cracks up to a quarter-inch deep. The resurfacers flexible, crack-bridging ability results in a long-lasting, uniform finish that enhances the appear-ance of a deck or concrete surface while al-lowing consumers to save money, time and energy by avoiding costly replacements.

Olympic launched the product ex-clusively at Lowes in March 2013, and

consumers immediately responded to the products affordability and ease of use. In fact, the product has earned a perfect five-star rating and a 100 per-cent recommendation rate from con-sumers on Lowes.com.

With the launch of its new resurfac-ing product, Olympic rescued consum-ers who were previously stuck with only costly replacement options, said Mike Jones, Lowes chief merchandising officer. By working hand-in-hand, Olympic and Lowes have raised the bar on delivering quality and value, helping make home improvement simpler by solving a com-plex problem for customers.

Olympic Paint was selected from vendors in product categories across the store, and the award is determined based on the following criteria: innovation, pro-ductivity and popularity. CW

Index to CompaniesThis index gives the starting page for a department or feature with a sig-

nificant reference to a manufacturer of paint, coatings, adhesives and sealants Subsidiaries are indexed under their own names.

AkzoNobel ................................................................................................ 12, 25 APV Engineered Coatings ............................................................................... 25Axalta Coating Systems ............................................................................. 12, 25Basco Paints .................................................................................................... 22BASF ............................................................................................................... 12BH Paints ........................................................................................................ 25Chemspec ........................................................................................................ 22Dunn Edwards ................................................................................................ 28H.B. Fuller ...................................................................................................... 12Kelly-Moore .............................................................................................. 12, 28MasterChem ................................................................................................... 25National Paint ................................................................................................. 12PPG ........................................................................................................... 12, 22Rhino Linings .................................................................................................. 12Rust-Oleum ..................................................................................................... 25Sansin .............................................................................................................. 50Sherwin-Williams ...................................................................................... 25, 28Sika ................................................................................................................. 12Tikkurila ......................................................................................................... 25Valspar ...................................................................................................... 12, 28

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According to analysis by RNCOS, the industrial paint market in India is be-ing driven by automotive and high per-formance coatings. The auto industry in India is showing signs of pickup with car sales of 133,486 in August in 2013, up 15.4 percent from a year ago, ac-cording to Society of Indian Automobile Manufacturerss (SIAM) data quoted in a recent daily. Moreover, a higher demand from rural India will help also to boost the revenues of automobile industry and hence the industrial coating industry in the short to medium term.

According to the latest report by RNCOS Booming Paint Industry in India, both automotive and high per-formance coating are witnessing huge demand and are witnessing huge growth. Several properties of automotive paints like resistance to high stresses like rain and UV radiation, heat and cold, gravel from the road and the brushes during the car wash, are providing an edge to this type of coating over other industrial paints. In addition, a high performance coating also provides superior perfor-mance properties, like corrosion and wear-resistance. Thus, these two catego-ries will continue to drive the industrial paint market in the country.

The report Booming Paint Industry in India, has provided an insight on the paint market by dividing the market into decorative and industrial paints, with market forecasts up to FY 2015-16 for various components along with their segments. Further, the components of the decorative market have been divided into various sub-segments. The report has also provided a detailed overview of the raw materials and the trade scenario in the paint market. In addition, macro-economic indicators and trends affecting the industry have been identified to give a clearer picture of the industry. Profiling of major players in the paint market has also been provided with an emphasis on their product portfolio, key financials

and industrial activities, in order to track the transformations happening in the industry.

Ceresana Forecasts Pigments Global Revenues to Reach $34.2 Bn in 2020In its third edition of the latest study, Ceresana forecasts global revenues gener-ated with pigments to increase to $34.2 billion in 2020. Pigments are mainly used in the production of paints and varnishes as well as the coloring of plastics and con-struction materials. Other applications in-clude the manufacturing of printing inks and paper. The most important indicator for the development of the pigment in-dustry is the construction sector, as total demand for construction material, paints, varnishes, and plastics largely depends on the development of this branch.

Asia-Pacific accounts for almost half of global consumption of pigments al-ready and is expected to increase its share of the market even further. This region will continue to be the growth motor of the pigments industry, as China and India in particular are substantially increasing demand for pigments. Eastern Europe, the Middle East and South America will see demand rise by more than 3 percent p.a. each as well and thus contribute to the positive development of the pigment industry. The rather satu-rated markets in Western Europe and North America will slowly return onto a growth path after they suffered losses in the past couple of years.

The presence of pigment-processing industries is subjected to regional differ-ences; the demand for individual types of pigments depends on the requirements of the industry in question. Hence, demand for specific types of pigments may vary widely among the regions. Titanium di-oxide is dominating the pigment market, given its widespread use in paints, varnish-es, and the processing of plastics. North America consumes a disproportionately

large amount of organic pigments; in Asia-Pacific, on the other hand, iron ox-ides are accounting for a comparatively large share of regional consumption. The largest growth potential in Asia-Pacific is expected for carbon black pigments.

Paints and varnishes are the by far most important sales market for pigments world-wide. More than 43% of global demand originates in this segment. Processing plas-tics accounts for 27% of total demand for pigments. This segment will develop at the second highest growth rates in the future, explains Oliver Kutsch, CEO of Ceresana. Only the segment printing inks will grow at higher rates, thanks to an increase of de-mand for printed packaging. Ceresana ex-pects the least dynamic development for the segment paper, as the completely revised 3rd edition explains.

Global Renewable Chemicals Market to Grow at CAGR of 7.32 Percent from 2012-16, Predicts TechNavioTechNavios analysts forecast the Global Renewable Chemicals market to grow at a CAGR of 7.32 percent over the pe-riod 2012-2016. One of the key factors contributing to this market growth is the increasing demand for eco-friendly chemicals and materials. The global re-newable chemicals market has also been witnessing the adoption of eco-friendly bio-based chemicals and materials by major companies around the world in or-der to reduce greenhouse gas emissions. However, the possibility that production of renewable chemicals could trigger a global food crisis could pose a challenge to the growth of this market.

TechNavios report, the Global Renewable Chemicals Market 2012-2016, has been prepared based on mar-ket analysis with inputs from industry experts. The report covers the Americas, and the EMEA and APAC regions; it also covers the Global Renewable Chemicals

RNCOS Analyzes Demand for Auto and HP Coating in Indian Paint Market

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market landscape and its growth pros-pects in the coming years. The report also includes a discussion of the key vendors operating in this market.

Lower Feedstock Prices Can Reduce Cellulosic Sugar Prices as Low as USD 0.26/kg: Lux ResearchLower feedstock prices can drive down prices of fermentable cellulosic sugar to USD 0.26/kg, down from USD 0.32/kg to USD 0.36/kg, competitive with sugars from corn or sugarcane, according to Lux Research. This advance would allow bio-based chemicals and biofuels to be made from more plentiful non-food sources, helping them better compete with petro-leum-based chemicals and fuels.

Improved enzyme technology will also be critical to making bio-based fuels and chemi-cals from cellulose competitive with those from corn and sugarcane, Lux Research says.

Feedstock is the single largest driver of overall fuel production economics.

While agricultural waste is a common target feedstock, municipal and indus-trial waste can be near zero cost, or even negative cost, said Andrew Soare, Lux Research Senior Analyst and the lead author of the report titled, Cellulosic Chemicals and Fuels Race to Compete with First-Gen Sugar Economics. While enzymes are a big cost driver for cellu-losic sugar, methods such as supercritical fluid processes that dont use enzymes at all can offer cheaper options, he added.

Thermochemical Pretreatment Options Offer Cellulosic Sugars for USD 0.25 per kg Operating CostLux Research analysts built a cost model for a 700,000-ton-per-year plant to study the five main routes from lignocellulosic biomass to sugars. Among their findings:

Cellulosic sugar costs vary. The mini-mum selling price for cellulosic sugars depends on the processes used. Dilute acid yields USD 0.34/kg, high-opex steam

explosion costs USD 0.35 per kg, ammonia fiber expansion costs USD 0.36/kg, and supercritical water can yield the cheapest price of USD 0.32/kg. Feedstock has a 21 percent impact on cellulosic sugar prices. A sensitiv-ity analysis of cellulosic sugar prices found that flexing feedstock up to USD 100 per metric ton and down to USD 45 per metric ton (from a baseline of USD 70 per metric ton) had the largest impact on sugar prices, changing it by over 21 percent.

Eschewing enzymes yields cheapest prices. Enzymes are the most expensive variable in prices of cellulosic sugar, and supercritical fluid and concentrated acid processes dont require enzymes at all, potentially offering the cheapest options though technology risk remains.

The report, titled Cellulosic Chemicals and Fuels Race to Compete with First-Gen Sugar Economics, is part of the Lux Research Alternative Fuels Intelligence and the Bio-based Materials and Chemicals Intelligence services. CW

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Following an announcement in June of this year, AkzoNobel has agreed to the sale of 67 of its 72 German decorative paints stores to five independent wholesale distrib-utors. Financial details were not disclosed.

As a result of the transactions, all re-lated assets and staff will transfer to the new owners, with completion expected by the end of Q1 2014. Of the remain-ing five stores, three will be closed, while the sale of the other two is expected to be finalized by the end of the month.

AkzoNobel will also form strategic partnerships with the five distributors, with contracts in place for the company to continue supplying paint. The new owners will be Schlau Hammer, MEG Rhein Ruhr, MEG Paderborn, MEG West and Weigel.

The divestment of the 67 stores is part of AkzoNobels global drive for opera-tional excellence. In Germany, it is central to plans to make the country more prof-itable and effective by fully focusing on customer needs and developing and mar-keting key brands, the company stated.

Sika to Acquire Cementitious Powder Products Manufacturer Sika has agreed to acquire LCS Optiroc Pte Ltd. in Singapore and LCS Optiroc SDN. BHD in Malaysia, a leading manu-facturer of cementitious powder products. The business generated annual sales of CHF 24 million in the last financial year. With the acquisitions of AkzoNobels Building Adhesives and Everbuild Building Products this year as well as Technokolla in 2011, this take-over strengthens Sikas offerings in powder products and in the interior finishing sector.

Founded by Kim Hong Lim and Choong Fee Chong, LCS Optiroc has achieved a leading position in the Singapore cementitious powder products market, according to the firm. The com-pany has a strong product offering which includes grouts, mortars, floor screeds,

tile adhesives and renders for interior and exterior finishing in the refurbishment and flooring target markets.

Choong Fee Chong will stay with the company to support the development of the cementitious powder business both locally and regionally.

Sika is acquiring two established factories in Singapore and in Malaysia, which will reinforce the regional supply chain. The acquisition will enable Sika to take a big step forward in the Singapore construction market, significantly in-creasing sales volume and gaining a local manufacturing base.

With the new site in Malaysia, Sika will strengthen its presence in the southern part of the country. In addition to further strengthening Sikas market position in Malaysia and Singapore, the acquisition will also provide a base for expansion into the cementitious powder products market in the Asia/Pacific region.

PPG Aerospace Expands Operations in JapanPPG Industries has expanded its aero-space business operations in Japan with the relocation of its application support center to a site in Miyoshi that supports increased production capacity, adds ware-house space and affords new service capa-bilities. The new site in Miyoshi Kurozasa Industrial Park includes a 1,994 square-meter manufacturing facility and office as well as an 890 square-meter stand-alone on-site warehouse.

The larger site, near Nagoya, en-ables PPG Aerospace to expand its ca-pabilities in the region as Japans role as a major aerospace center continues to grow, according to Paul Bowman, PPG Aerospace general manager for Asia Pacific. PPG established opera-tions at its former application support center in Handa City in 2005 after serving the Japanese aerospace market from a facility in Tokyo for sealants and coatings distribution.

The staff of PPG ASC-Japan, which is located at 1123-1, Komochimatsu, Kurozasa, in Miyoshi Kurozasa Industrial Park, provides regional support to original-equipment and maintenance customers in commercial, business and military aviation as well as military land-based transporta-tion. The ASC is one of 16 PPG operates around the world to provide local sales, customer service and technical support for aerospace OEM customers, airlines and aftermarket customers for PPG Aerospace sealants, coatings and transparencies.

Keep America Beautiful Launches Community Paint Donation Program through Support from DowNational nonprofit Keep America Beautiful (KAB) and Dow have launched the KAB Community Paint Donation Program, which will award donated paint to communities throughout the country.

Dow completed its sixth year as a na-tional sponsor of Keep America Beautifuls Great American Cleanup (GAC) in 2013 with employees volunteering at more than 50 events in communities with Dow busi-ness locations throughout the U.S.

These merit-based grants have been developed to support KAB affiliates ef-forts to build and sustain vibrant commu-nities at a local level. Grant awards will be used to purchase paint that features in-novative raw materials provided by Dow Coating Materials.

Dow is continuing to demonstrate its commitment to making a difference in communities where it has a presence by donating materials for approximately 2,500 formulated gallons of 100 percent acrylic interior paint for community im-provement projects that KAB affiliates and GAC participating organizations ini-tiate in Dow communities.

Thriving communities are rooted in individual responsibility and action as well as public-private partnerships, said Becky Lyons, COO of Keep America

AkzoNobel Confirms Sale of German Paint Stores

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Beautiful. Thanks to Dow, the Community Paint Donation Program will help our network of affiliates and partnering orga-

nizations generate more positive impact in their communities.

Dow is proud to be a long-time sup-porter of KAB and we hope this effort will be a further catalyst toward build-ing and maintaining thriving communi-ties, said Howard Ungerleider, executive vice president, Dow Advanced Materials. Were especially pleased that we can tie this important philanthropic work to our Dow Coating Materials businesses this is the embodiment of corporate citizen-ship at its best.

BASF Earns Top Score in Corporate Equality IndexBASF has received a 100 percent rating on the 2014 Corporate Equality Index (CEI), a national benchmarking survey on corporate policies and practices related to Lesbian, Gay, Bisexual and Transgender workplace equality. BASF joins 303 ma-jor businesses earning Best Places to Work for LGBT Equality status from the Human Rights Campaign Foundation.

At BASF, we appreciate the impor-tance of recruiting, developing and re-taining top talent from all backgrounds, and providing them with a positive work environment that encourages people to perform at their best, said Nevin McDougall, senior vice president, BASF Corporation, and the executive sponsor of ALLchemie, the companys Employee Resource Group supporting LGBT em-ployees and their allies.

Supportive employment practices and benefits, as well as the inclusive efforts of its employee resource groups, contribut-ed to BASF earning this recognition from the Human Rights Campaign.

H.B. Fuller Receives New Product Innovation Leadership Award from Frost and SullivanH.B. Fuller has been recognized with a New Product Innovation Leadership Award from Frost & Sullivan for its hot melt adhesive product innovation and technical leadership in the nonwoven

hygiene market. The award recognizes the development and successful commer-cialization of two of its next generation, high cohesion olefin based, hot melt ad-hesive products, Full-Care 5300 and Full-Care 5650.

In its analysis, Frost & Sullivan noted the effective use of H.B. Fullers third generation, high cohesive, polyolefin technology to create game-changing ad-hesive products. These technologies work across diaper construction applications and support the latest trends in diaper de-sign (or functionality), such as ultra-thin and modified shapes. Their research also highlighted H.B. Fullers commitment to enhanced supply security for adhesives and its development of adhesive technol-ogies that enable customers to do more with less, very much in line with H.B. Fullers and their customers sustainabil-ity initiatives.

PPG Donates $5,000 to Future of Flight FoundationThe PPG Industries Foundation an-nounced a $5,000 donation to the Future of Flight Foundation (FoFF) to support a program that exposes local students to various STEM (science, tech-nology, engineering and math) careers and challenges them to master cutting-edge solutions for various scientific con-cepts. The grant was made on behalf of the PPG Industries Seattle Application Support Center (ASC), part of the com-panys aerospace business.

We are truly grateful for PPGs con-tinued support in providing our local stu-dents with the opportunity to take part in STEM-focused programs, said Barry Smith, executive director of the FoFF. This funding will give more students experiences that directly push them to collaborate as a team, work through the scientific process and ultimately become our future innovators.

The FoFF will host a different class of students each day to experience a con-densed version of its Flights of Innovation program. The program uses scenario-based learning that encourages students to become innovators. It is part of the FoFFs initiative to provide commercial aviation-related programs that inspire

innovative thinking and exploration to find solutions to critical global issues.

Kelly-Moore Paints Offers Colors Inspired by Downton AbbeyThe PBS television series Downton Abbey has captivated audiences with its drama and sophistication. According to paint maker, Kelly-Moore among the other fascinating features is the shows home dcor and style.

As many anticipate the premier of Season 4 (January 5, 2014), Mary Lawlor, manager of color marketing at Kelly-Moore Paints, has put together a series of colors inspired by Downton Abbey that consists of refreshing pastels and creams.

The style and dcor of the most loved show Downton Abbey are the influencers of the following colors to inspire that look in todays home, Lawlor said. Rich deep reds, wood toned browns, refreshing pastels and creams grounded by utilitar-ian grays, each inspired by the amazing settings portrayed on the show.

PPG Receives Ford Approval for ClearcoatsPPG has received approval from Ford Motor Company for use of its advanced clearcoat products for warranty repairs on all Ford vehicles. The approval was announced jointly by Kevin Loop, PPG OEM business development manager and Gerry Bonanni, Ford senior engineer, paint and body repair.

PPG clearcoats approved by Ford include Deltron DC2000 Ultra Velocity Clearcoat, Nexa Autocolor P190-6800 HS Express Clearcoat and Envirobase High Performance EC800 Ultra Fast 2.1 Clearcoat.

These products have all met the de-manding quality and performance stan-dards we have in place, said Bonanni. Before we give an okay to any product, we subject it to extensive testing to be cer-tain it performs not just in controlled lab-oratory environments but also in the real world. These three PPG clearcoats have met the criteria, and we are satisfied they will provide the excellent finish Ford vehicles require and dealers and customers expect.

P190-6800 HS Express Clearcoat is a 2.1 VOC air-dry compliant clearcoat



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designed for use with the PPG Aquabase Plus waterborne refinish system. EC800 Ultra Fast 2.1 Clearcoat is part of the PPG Envirobase High Performance wa-terborne system and is also a 2.1 VOC air-dry clearcoat. Delton DC2000 Ultra Velocity Clearcoat is a versatile clearcoat suitable for use with the Deltron DBC, Global Refinish System and Envirobase High Performance basecoats.

All three clearcoats dry quickly, do not require flash time between coats or baking in a paint booth and can be pol-ished within approximately 30 minutes, delivering outstanding gloss, appearance and durability, according to the com-pany. With their reduced cycle times, the clearcoats can improve productivity, in-crease efficiency and cut energy costs with no sacrifice in final finish quality.

Rhino Linings Acquires Advanced Coating SolutionsRhino Linings Corporation, a lead-er in protective coatings and linings

industry, has acquired Advanced Coating Solutions, a San Diego-based developer and manufacturer of waterborne, compli-ant coatings including epoxies, urethanes, stains, sealers and topcoats.

Prior to the acquisition, Advanced Coating Solutions was a supplier to Rhino Linings Corporation. The acquisition brings Advanced Coating Solutions prod-ucts and personnel in-house, and gives them the resources necessary to focus on new product development based on tech-nologies pioneered by the company.

Rhino Linings will continue produc-ing Advanced Coating Solutions current commercial products, which include wa-ter-based polyurethanes, acrylic coatings and water-based acrylic emulsion coat-ings. As a result of Rhino Linings stream-lined manufacturing process, scale of production, warehouse and logistics net-work, these products will be more price competitive in the market.

Employees will be relocated to the Rhino Linings San Diego headquarters,

and production will be based in that facility. Additional terms of the acquisition were not released.

BASF Supplies Paints for Production of Mercedes-Benz Sprinter in Russia Mercedes-Benz Vans and BASF have joined forces in the growth market of Russia. BASF is supplying all of the paints for the recently launched production of the Sprinter Classic van. Mercedes-Benz Vans manufactures the Sprinter Classic for the Russian market in coop-eration with its Russian partner GAZ at the Gorky automotive plant in Nizhny Novgorod. For the finish, the manufac-turers are using 100 percent BASF prod-ucts, both for the e-coat and for primers, topcoats and clearcoats.

We are very pleased that Daimler AG has chosen us. The supply contract is an additional milestone in the part-nership, which has connected our two companies in both the passenger car and

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commercial vehicle segments for many years and demonstrates the trust Daimler places in our products and services, said

Carsten Vietze, coatings account manager for Daimler Van and Truck & Bus Europe at BASF. With the supply contract, we are strengthening the market position of the entire BASF Group in the growing Russian market.

The paint system for the Sprinter Classic stands out for its high level of robustness, a property that is especially important for commercial vehicles such as the Mercedes-Benz van. For the new paintline, in addition to the e-coat, primer and clearcoat, BASF suppliers three me-tallic and three solid colors.

BASF is a long-standing partner of Daimler for passenger cars and commer-cial vehicles in all regions. In addition to the complete product portfolio, ranging from e-coat to clearcoat, the company offers a wide range of services. In 2012, the partnership with BASF in the truck and bus segment was recognized with the Daimler Supplier Award. The Sprinter Classic is the first vehicle produced in co-operation between Mercedes-Benz Vans and GAZ. According to the firm, the Sprinter is one of the most successful van models in the world. In 1995, it replaced the Mercedes-Benz T1 and since then has been on roads worldwide.

AkzoNobel Agrees to JV Deal in Oman to Boost Middle East PresenceAkzoNobel has expanded its presence in the Middle East after acquiring a 50 percent stake and management control of Sadolin Paints Oman SAOC, which em-ploys approximately 150 people.

The company has signed a joint ven-ture agreement with Omar Zawawi Establishment LLC (promoter and share-holder of Sadolin Paints) which involves the manufacture and sale of decorative paints and performance coatings in Oman. Financial details were not disclosed.

This agreement forms part of AkzoNobels growths plans for the Middle East, said Conrad Keijzer, the companys executive committee member responsible for Performance Coatings.

Bringing our decorative paints and per-formance coatings expertise under one roof in Oman will provide a strong plat-form to support our customers in this in-creasingly important market.

PPG Donates $10,000 to Science BuddiesThe PPG Industries Foundation has do-nated $10,000 to Science Buddies, a nonprofit organization that provides millions of students, parents and teach-ers with highly personalized online re-sources to help build literacy in science and technology.

The donation from PPG has enabled Science Buddies to expand our project base with engaging experiments for K-12 students to learn more about the science behind color and surfaces, said Jayme Burke, vice president, Science Buddies. We appreciate the ongoing assistance from PPG as we continue to provide core program support to a wide variety of students and help develop them into to-morrows engineers, scientists and other technical professionals.

In collaboration with PPG Industries, Science Buddies developed project ideas that investigate color and surfaces through chemistry, human behavior, mechanical engineering, photography, physics and sociology. The Science Buddies website provides step-by-step instructions for ex-periments that can be conducted at home, in the classroom or at science fairs.

Science Buddies also worked with PPG to develop project ideas for 118,000 stu-dents and teachers in Allegheny County, Pennsylvania; Cuyahoga County, Ohio; Guilford County, North Carolina and Harris County, Texas.

Axalta Coating Systems Highlights Six Decades of Automotive Color The most popular colors in automotive history are celebrated in Axalta Coating Systems, LLCs color history report titled, Six Decades of Automotive Color. Axalta, a leader in providing color trend-ing information for the automotive community, has gathered more than six decades of information showcasing the most popular colors by year in four major

automotive markets: North America, Europe, Asia Pacific and South America. The annual tradition of reporting trends in vehicle color popularity began in 1953, with only a North American focus. Over time, the report has been expanded to in-clude all major regions and vehicle seg-ments. For the first time, the top five most popular colors by model year, dat-ing back more than 60 years, have been compiled into a historical mosaic of color.

Our customers have counted on our legacy to deliver exciting color, as well as solutions to meet the challenges of a changing world, said David Fischer, vice president, OEM Global Market Strategy and Growth, Axalta. As manufacturing and coatings processes have evolved, the industrys commitment to sustainability has increased and customer expectations for improved performance have contin-ued. Axalta has been a preferred partner to deliver the necessary technology to meet both of these demands.

Valspar to Supply Waterborne Coating System for Maersk Container IndustryThe Valspar Corporation and Maersk Container Industry have entered into a long-term supply agreement. Valspar will provide Valspar Aquaguard waterborne coating for shipping containers manu-factured in Maersk Container Industrys operations in Dongguan, China. With this agreement, manufacturing of a signifi-cant share of dry goods containers will convert from solventborne coatings to Valspar Aquaguard waterborne coating. Maersk Container Industry (MCI) is a business unit in the Maersk Group, which comprises the worlds largest shipping container company. MCI plans to be-gin production with Valspar Aquaguard sometime in 2014 and aims towards one day going 100 percent waterborne.

National Paint Industries Purchases Petri Paint National Paint Industries has purchased the assets of the Petri Paint Company of Newark, New Jersey. Petri, established in 1963 is a manufacturer of clear finishes for the hardwood flooring industry.



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National will continue to manufacture all Petri products including the full line of water-based, oil modified, and moisture curing polyurethanes as well as the full line of quick drying sealers at its facility in North Brunswick, New Jersey.

We are excited to have a company of Petris reputation for premium prod-ucts join our growing family of coat-ings. Petri is an approved vendor with Sherwin Williams and the products are available from over 3500+ store locations across the USA, said Mike Schnurr, president of National.

National Paint Industries, established in 1959 manufactures a broad line of specialty coatings for the pleasure and commercial marine, hardwood flooring, swimming pool, and industrial mainte-nance markets.

Axalta Coating Systems Invests in New UK OfficesAxalta Coating Systems has made a ma-jor investment in new headquarters for the companys UK operations. The new facility includes an Academy for body shop customers and will consolidate all of Axaltas liquid coating businesses of-fices in the country. The added capabili-ties of the new location are designed to meet the needs of the companys expand-ing portfolio of customers across liquid coating business segments throughout the UK. The new 2,106 square-meter facility at Welwyn Garden City, Hertfordshire, opened on December 16, 2013.

The Axalta Coating Systems Academy will open in February 2014. Axaltas three global refinish brands, Cromax, Spies Hecker and Standox, each will have its own dedicated training room, mixing area and spray booth. Refinish body shop customers will hone their technical skills at the Academy using Axalta products and be able to make use of a large, com-munal 140 square-meter break-out area.

This is an exciting time for our com-pany and our customers in the UK, ex-plained Mike Davis, managing director Axalta Coating Systems UK. This in-vestment demonstrates our commitment to put our customers first. The Academy will enable refinish craftsmen to learn and to apply best practices to build their

businesses and keep pace with an ever-changing market.

There has been a tremendous amount of effort since February 2013 across Axaltas entire global business to get us to operate as an independent paint com-pany, added Davis. Only three months after becoming an independent company we announced a $50 million investment

to expand our production in China. Today we continue to work to be agile and flexible. And with our investment into our new UK offices and training acad-emy, we look forward to accelerating our growth as we continue to provide qual-ity and innovative technologies and solu-tions to our customers. CW

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U.S. 8,540,974 B2BASF has been granted a patent for an aque-ous dispersion comprised of water-soluble and/or water-swellable anionic polymers of ethylenically unsaturated, anionic mono-mers; an aqueous medium; and a stabilizer comprised of (a) at least one water-soluble polymer selected from the groups consisting of graft polymers of vinyl acetate and/or vinyl propionate on (i) polyethylene glycols or (ii) polyethylene glycols or polypropylene gly-cols blocked at one or both terminal groups with alkyl, carboxyl or amino groups, polyal-kylene glycols, polyalkylene glycols blocked at one or both terminal groups with alkyl, carboxyl or amino groups and (b) at least one water-soluble copolymer comprised of (b1) nonionic monoethylenically unsaturat-ed monomers, (b2) cationic monoethyleni-cally unsaturated monomers and optionally (b3) anionic monoethylenically unsaturated monomers, the fraction of the interpolymer-ized cationic monomers being greater than that of the anionic monomers.

Polyurethane Coatings with Improved AdhesionU.S. 8,541,059 B2PRC-DeSoto International has obtained a patent for a polyurethane coating composi-tion comprised of (a) an isocyanate compo-nent comprised of 70 to 99 weight percent of an aliphatic isocyanate, wherein the aliphatic isocyanate is comprised of polymeric hexa-methylene diisocyanate; and 1 to 30 weight percent of of an aromatic isocyanate, where-in the aromatic isocyanate is comprised of polymeric methylene diphenyl diisocyanate; wherein weight percent is based on the total solids weight of the isocyanate component; and b) a polyol component comprised of 40 weight percent to 80 weight percent of a hard acrylic polyol; 10 weight percent to 40 weight percent of a soft acrylic polyol; and 5 weight percent to 30 weight percent of a polyester polyol; wherein weight percent is based on the total solids weight of the polyol component; and wherein the coating com-position cures at room temperature.

Multi-Layer Anti-Reflecting CoatingU.S. 8,541,062 B2Guardian Industries Corp. has been award-ed a patent for a method of making a multi-layer anti-reflective coating comprised of preparing at least two un-solgel precursor compositions, wherein each of the at least two un-solgel precursor compositions are comprised of at least one inorganic ox-ide precursor and at least one UV curable monomer; depositing a first coating layer of one of said un-solgel precursor composi-tions on a substrate; curing the first coating layer by exposing the first coating layer to electromagnetic radiation; depositing at least one additional coating layer of one of the un-solgel precursor compositions on the first cured coating layer; curing the at least one additional coating layer by exposing the at least one additional coating layer to electromagnetic radiation; and heating the cured coating layers to remove substantially all organic content and form a multi-layer anti-reflective coating.

Temperature Controlled Variable Reflectivity Coatings U.S. 8,541,094 B2Empire Technology Development has re-ceived a patent for a coated substrate comprised of a substrate and a coating on the substrate, the coating is configured to change between a relatively higher reflec-tivity state and a relatively lower reflectiv-ity state depending at least partially upon a temperature of at least a portion of the coat-ing, the coating is comprised of a selectively reflective layer comprised of a plurality of microcapsules, the plurality of microcap-sules comprised of an ionic liquid and a surfactant within a shell, the plurality of mi-crocapsules having a relatively higher reflec-tively when at temperatures above a cloud transition temperature and a relatively lower reflectivity when at temperatures below the cloud transition temperature; wherein, when at temperatures above the cloud transition

temperature, the selectively reflective layer reflects a first fraction of incident light; and when at temperatures below the cloud tran-sition temperature, the selectively reflective layer reflects a second fraction of the inci-dent light, the first fraction of the incident light being greater than the second fraction of the incident light.

Toagosei Patents Adhesive U.S. 8,541,495 B2Toagosei Co. has been granted a patent for an adhesive comprised of (a) a 2-cyanoacry-late; and (b) from 1 to 400 parts by weight, based on 100 parts by weight of the 2-cya-noacrylate, of a cyanoacrylate comprised of two or more 2-cyanoacryloyl groups, wherein the cyanoacrylate (b) is an ester obtained by reacting 2-cyanoacrylic acid with a polyoxyallsylene polyol, a polyester polyol, a polycarbonate polyol, a polybuta-diene polyol, a hydrogenated polybutadiene polyol, a polyisoprene polyol, or a hydroge-nated polyisoprene polyol, and wherein the number average molecular weight of the cyanoacrylate (b) is in the range from 1,000 to 50,000.

Nitto Denko Patents Pressure-Sensitive Adhesive U.S. 8,541,501 B2Nitto Denko Corporation has been granted a patent for a water-dispersed pressure-sensitive adhesive composition comprised of a (meth)acrylic polymer, a latex contain-ing a rubber component, and a tackifier: the (meth)acrylic polymer is obtained by polym-erizing a monomer composition comprised of as a primary component an alkyl (meth)acrylate having an alkyl group with 1 to 18 carbon atoms; the rubber component is im-miscible with the (meth)acrylic polymer and has a loss tangent peak temperature of 5 C or below when determined by a dynamic viscoelastic measurement in which shear strain is applied at a frequency of 1 Hz; and the tackifier is miscible with the rubber component, but immiscible with the (meth)acrylic polymer. CW

BASF Patents Aqueous Dispersions of Water-Soluble Anionic Polymers

18 Patents 0114.indd 18 1/6/14 3:04 PM


International Coatings Scene Latin America

by Charles W. Thurston Latin America Correspondent [email protected]

Arkema is augmenting its Brazilian investment this year in production technology at its recently acquired plant in Araariguama, in Sao Paulo state, with plans to offer more of the companies global portfolio to customers in Brazil from local production. The company has already completed quality control upgrades at the plant, acquired in mid-2012, and is in the middle of installing a new technical ser-vice laboratory, said Eric Kaiser, Arkema Coatings Resins business director for the Americas, based in Cary, North Carolina.

The new investments will help the company offer more domestically-pro-duced rheology additives and waterborne emulsions, which are substantially taxed as imports in Brazil. While Arkema de-clines to cite the dollar value of its exist-ing or planned investments in Brazil, the acquisition was expected to contribute some $20 million per year to subsid-iary Coatex. South American sales in 2013 were three to four percent of our total global sales, and I do see that num-ber growing, said Kaiser. The company books Central American and Caribbean sales within its North America numbers.

At the same time that Arkemas new facility has established local production in Brazil for both Coatex and Arkema Coating Resins, the companys coatings resins business also is expanding into other new markets in Latin America. In late November, Arkema forged a stra-tegic alliance with Miami-based Andes Chemicals for the distribution of Arkema products in the Andean region, as well as in Central America and the Caribbean.

We see that certain countries in the Andean region, like Peru, have an attractive growth rate, and the region as a whole has a good growth rate, so an important first step for us was to establish a strong partnership

with someone who can take our product to market there, said Kaiser.

In 2013, Perus gross domestic prod-uct expansion was the third fastest in Latin America, at 5.2 percent, following neighboring Andean nation Bolivia at 6.4 percent, and Paraguay at a stunning 13 percent. The Latin American regional growth rate last year was 2.6 percent, ac-cording to the United Nations Economic Commission for Latin America and the Caribbean (ECLAC).

The Andean region could be a hot mar-ket over the next few years, and Peru will lead growth for the region, said Mauro Trevisani, the chief operating officer for Andes Chemical, based in Miami. That is why last year we opened a subsidiary includ-ing a warehouse in Lima; a lot is going on there in terms of infrastructure, he noted.

Arkema expects to serve the Andean countries from its U.S. grid of

manufacturing primarily, since cross-continental logistics west from Brazil are difficult given the Amazon and the Andes mountains. Having both east coast and west coast operations in the United States gives us the option of serving South America either from the United States or from Brazil. Arkema coatings resins sup-plied to clients in Brazil now are largely those being produced within the country.

Arkemas PVDF, a paint additive with broad functionality enhancement and in-creasing demand, is marketed under the Kynar brand, and is among the companys higher performance products gaining mar-ket share in Latin America. Among polyac-rylate dispersing agents, Coatex markets the Ecodis and Coadis brands; among acrylic water-based paint thickeners, it markets the Rheotech, Thixol and Viscoatex brands. Coapur is the companys polyurethane-based thickener brand. CW

Arkema Increases Investments in Brazil

19 Latin America 0114.indd 19 1/9/14 2:40 PM


International Coatings Scene Europe

by Sean Milmo European Correspondent [email protected]

The use of biomaterials and more benign chemicals in coatings in Europe is ac-celerating as whole supply chains give greater priority to sustainablity, particularly as a means of protecting the environment.

At the same time, however, producers of coatings and their raw materials are having to deal with uncertainties about exactly what ma-terials can be categorized as being environmen-tally acceptable. Sustainability is not always something that can be easily proved.

European standards bodies are currently drawing up standards for biomaterials, which should help establish the biological genuine-ness of chemicals like biosolvents, biosurfac-tants and biopolymers.

However, with more complex issues like biodegradation and bioaccumulation, which are covered by environmental and safety legis-lation, European regulators could take several years to draw up specific rules for coatings raw materials such as pigments.

Meanwhile, a growing proportion of com-panies, many of them buyers of coatings, are utilizing office IT systems to ensure that per-sonnel meet corporate sustainability criteria, including regulatory compliance, when pur-chasing products.

Use of these software tools reflects the ris-ing proportion of companies in Europe that are now wanting to switch as much as possible to green products.

In a recent global study of 500 industry executives, McKinsey & Company, a man-agement consultancy, found that greenness is considered to be one of three very impor-tant factors along with consistency/quality

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European Coatings Market Embraces Sustainability

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International Coatings Scene Europe

and superior service. Executives rate greenness as a key differentiating fac-tor for their company from competi-tors, Jens-Christian Blad, a McKinsey consultant, told the Ecochem sustain-able chemistry conference, in Basle, Switzerland, in November.

Among the different aspects of green-ness, executives of companies in Europe attached more importance to biodegrad-ability and biobased materials than their U.S. counterparts who put more value on recyclability and non-toxicity.

The executives in Europe also had the highest proportion of customers re-quiring or consistently purchasing green products38 percent against 28 percent in Asia and 13 percent in the U.S.

AkzoNobel, approximately two thirds of whose annual sales are in coatings with the remainder in speciality chemi-cals, has a target of 20 percent of its revenue by 2020 coming from products which provide a sustainability benefit to its customers.

Already 9 percent of its raw materi-als expenditure is on biobased chemi-cals, which the company claims is much higher than the average among its industry peers.

We would like to take that fur-ther, but we cant affect our competive-ness with our customer base, Peter Nieuwenhuizen, AkzoNobels director for future-proof supply chains, told the Basle conference.

Nevertheless the company is aiming to increase the share of biobased chemicals in its raw materials spend from 9 percent to 12 percent by 2020.

AkzoNobel is currently concen-trating on boosting the application of selected biobased raw materials such as epichlorohydrin, acrylic acid, acetone and n-butanol. We can start to see a path to the greening of sig-nificant parts of our supply chain, Nieuwenhuizen said.

Currently certain driverslike rap-idly growing supplies of cost com-petitive biobased materials, increased demand and an emphasis on decreas-ing carbon footprintsfavored the rise in sales of biobased raw materials, ac-cording to Nieuwenhuizen. In addition

they have advantages for AkzoNobel, such as providing alternative sources of supply and, in terms of sustainability, strengthening its position as a leading global coatings company.

However, particularly in Europe, coat-ings companies and their raw material suppliers will need the support of of-ficial standards to help bolster sales of products which are biobased and/or meet sustainability criteria.

The European Committee for Standardisation (CEN), a European Union-backed body, has stated that standards for biobased products are essential elements in aggregating de-mand for them.

The European Commission, the European Unions executive, has man-dated CEN to draw up standards on a range of biobased chemicals, most of which can be used in coatings.

The task is being carried out by a technical committee which is liasing closely with the main European trade association for coatings and printing inks (CEPE), as well as organizations representing producers of fats and oils, starches, solvents and bioplastics and conventional plastics.

Fredric Petit, chairman of the com-mittee who is also sustainability direc-tor at DSM, a supplier of both biobased and conventional raw materials for coatings such as resins, warned the Ecochem meeting that standardization could be complex.

The process of creating a European standard from the start of work on a draft through to the approval of a de-finitive text could take at least three years, he said. Only then would a standard be ready to be implemented nationally across 33 countries, 28 of them EU members with the remainder non-EU countries like Norway, Iceland and Turkey.

Besides the absence of standards, another hurdle to the marketing in Europe of biobased and sustainability products is the necessity for chemicals sold in Europe to be registered, with safety profiles, under REACH, the EUs chemicals safety legislation. Some chemical companies have been deterred

from launching new biobased products in Europe because of the high cost of gathering test data for REACH.

REACH is also posing difficulties for coatings raw materials suppliers, particu-larly pigment makers, who want to estab-lish the sustainability of their products.

The European Chemicals Agency (ECHA), Helsinki, Finland, which is responsible for administering REACH, has still not come up with firm criteria for deciding whether the levels of persis-tency, bioaccumulation and biodegra-dation of pigments and other chemicals with similar properties are hazardous to the environment.

The agency is sceptical about the ac-curacy of some testing systems for bio-degradability and persistency which have been authorized by the Paris-based Organisation for Economic Co-operation and Development (OECD), whose ap-proved tests are accepted by regulators across the world.

An expert group has been set up by ECHA to help with the assessment of and validation of testing methods for chemicals suspected of being persistent, bioaccumulative and toxic (PBT) or very persistent and very bioaccumula-tive (vPvB).

So far the PBT Expert Group has over two years investigated around 150 sub-stances, including coatings pigments and biological products. It has fully assessed 11 with only one assessed as being PBT or vPvB. With most of the rest it had stat-ed it needs more information or test data.

At a recent conference on chemicals persistency in Paris, Johanna Peltola-Thies, an ECHA official, admitted that a long list of scientific issues needed to be clarified by the expert group.

The European Commission to which ECHA is accountable, pledged last year (2013) all prioritized PBTs or vPvBs would be assessed by 2020. But it con-ceded that some other potentially per-sistent or bioaccumulative substances could still be awaiting full evaluation after that date.

Establishing the sustainability of some coatings and their raw materials, even biobased ones, in Europe could turn out to be a lengthy procedure. CW

20-21 Europe 0114.indd 21 1/6/14 3:05 PM


International Coatings Scene Africa

by Shem Oirere Africa Correspondent

The drive by paint manufacturers, government and non-govern-mental agencies to eliminate the making of paints with lead and chrome in Africa gained momentum in 2013 despite few setbacks such as lack of rel-evant legislation to enforce the initiative and reluctance by some suppliers to re-move the offending products from their shelves for fear of losses.

Although it is discretionary in almost all African countries for paint makers to remove lead from paint, some manufac-turers have taken the lead in ensuring the World Health Organization (WHO) and United Nations Environmental Programme (UNEP) target of a world free of lead paint and chrome by 2020 is achieved.

We are pleased to be years ahead of the global deadline of producing lead-free paints, said Kamlesh Shah, managing di-rector of Kenya-based Basco Paints Ltd, the leading paint maker and distributor in Eastern Africa.

Basco Paints, whose Basco and Duracoat brands are distribut-ed in Uganda, Ethiopia, Tanzania, Democratic Republic of Congo, and South Sudan, said it put an end to pro-duction of decorative paints with lead and chrome in 2013.

All Duracoat decorative paints manufactured from August 2013 are lead/chrome-free and all raw materials containing these contents have been re-placed, said Shah.

Basco Paints Duracoat and Basco brands come in 7,000 shades with Shah saying it is the largest offering in the region.

The move to unleaded paint is pos-sible and we are proof of that. I en-courage other players in the industry

to follow suit because it is possible for paint manufacturers to find alternative raw materials to do the same job.

Some of South Africas paint manu-facturers, too, are determined to achieve lead-free products as part of their social responsibility and response to global pressure to eliminate the toxic sub-stance, which according to WHO con-tributes to an estimated 600,000 new cases of intellectual disabilities because of childhood exposure.

South African Paint Manufacturing Association (Sapma) is seeking tougher sentences on paint makers unwilling to reduce the level of lead in their paint brands and called for enforceable legisla-tion to ensure the lead levels in all paint brands is reduced from 600 ppm (parts per million) to 90 ppm in line with the Global Alliance for the Elimination of Lead in Paint (GAELIP).

This can only happen if the govern-ment stopped merely threatening to take action against the culprits but actually makes an example of them and prosecute them, said Deryck Spence, Sapmas ex-ecutive director.

Speaking in November during a workshop organized by the Department of Labour, Spence was quoted by local media saying: Sapma has done every-thing in its power to warn lead-using producers whether Sapma members or not but we now require the strong arm of the government to name and shame manufacturers who still ignore anti-lead legislation.

Sapma members would welcome such prosecutions because it would be in accordance with our ethical views and strategies since the major brands, having already eliminated lead in the decorative market, are diligently working towards the total elimination of lead in the man-ufacture of paint, including industrial products like road-marking paints.

He said Sapma members have com-mitted to produce only lead-free paint

and, equally importantly, those retail members who join Sapma will not stock paint from a supplier unable to provide a declaration that his or her product is lead-free.

There are about 200 small- to me-dium-sized manufacturers of paint and coatings producing uncontrolled prod-ucts. Our drive to recruit as many retail-ers as possible is also still a challenge. Without the retail industrys cooperation, paints containing lead can still find its way to store shelves and all too often at ridiculously low prices.

He advocated for more water-based paints with more white oil-based enam-els to reduce the lead levels in the brands supplied to the market.

It should be remembered that 80 per-cent of decorative paint is water-based and contains no lead, which is tradition-ally used to obtain the rich colors in oil-based enamels. As the majority of enamel sold is white, this reduces the lead factor even further since colored enamels rep-resent only about four percent of decora-tive sales he explained.

Chemspec, one of Africas largest coat-ings companies with a five percent market share of South Africas coatings market, is one of the manufacturers that have pledged to eliminate lead/chrome from all their paint brands distributed across the continent and beyond.

We continue to remove lead and hazardous materials from our paint, the

Drive to Lead-Free Africa

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International Coatings Scene Africa

company said in one of its media releases adding that the company has been forced to shift focus to waterborne wood finish-ing products because the wood finish industry is slowly becoming more envi-ronmentally aware.

Chemspec, whose decorative brands include Deco, Chemspel, Woodsure and Panache, has operations in Tanzania, Malawi, Zimbabwe, Botswana, Namibia and Mauritius markets where it intends to set the pace in supplying paint with low lead levels. The international market accounted for the coating companys 39 percent total sales in 2013.

There have been concerns, howev-er, in the West Africa coatings market over the supply of highly toxic paint brands by local and foreign companies with at least one international lobby calling for the prosecution of a leading U.S.-based supplier.

Nigeria, where an estimated 700 chil-dren under the age five died from lead poisoning in 2010, is yet to enact legisla-tion to curb high levels of the chemical. It is estimated that another 3,000 chil-dren are in need of long-term treatment from the lead poisoning in the countrys Zamfra state.

A group of civil society organizations recently called for immediate enactment of mandatory national regulations for limiting lead concentrations in paints.

There should be a complete ban and eradication of continued sale of leaded paints and have in place regulatory mech-anism towards adulterated, unregistered, unlabeled, repackaged and uncertified paint products, they said in a petition to the Federal Government.

We believe that national re-brand-ing should be synonymous with prod-uct re-branding. Government should set example by prohibiting procure-ment (purchasing) of paint products with lead.

Paint Manufacturers Association has also been pushing its members to ensure their operations are responsive to environmental needs and that they leave behind a better environment for coming generations.

PMA chief executive officer Sulaimon Tella said in a previous interview with

local media the lobby is out to ensure the industry takes seriously the need to contribute towards a greener environ-ment through the raw materials we use.

An environmental group Sustainable Research and Action for Environmental Development (SRADev) said public awareness by both government agen-cies and civil society is critical in the fight to eliminate lead paint from the Nigerian market.

There is a need for information cam-paigns to inform the public about the hazards of lead exposure, especially in children; the presence of lead in deco-rative paints for sale and use in the na-tional market; lead paint as a significant source of childhood lead exposure; and availability of technically superior and safer alternatives, said Leslie Adogame, SRADevs executive director.

Paint manufacturers in Nigeria are encouraged to eliminate lead compounds from their paint formulations, especially of those paints likely to contribute to lead exposure in children and others.

He urged the manufacturers to volun-tarily take part in programmes that pro-vide third party paint certification that no lead has been added to their paints, and to label products in ways that help consumers to identify paints that do not contain lead.

In neighboring Cameroon, the coun-trys largest paint maker and supplier Seignerurie, a subsidiary of the U.S.-based PPG, was early last year in the news for selling highly toxic house paint to con-sumers despite alerts of the high levels of lead it contained and petitions to with-draw the product from the market.

The accusation was made in March by Occupational Knowledge International (OK International) which describes itself as a global organization working to build capacity in developing countries to iden-tify, monitor, and mitigate environmental and occupational exposures to hazardous materials in order to protect public health and the environment.

There is an immediate need for regulations to restrict the lead content of paint in Cameroon to protect public health, said Perry Gottesfeld, executive OK International.

Gottesfeld, who is also a co-author of the research into the Cameroon is-sue said,The levels of lead are extraor-dinarily high and these products have been banned in the U.S. for more than 30 years.

The findings of the research were published in the May 2013 issue of the Journal of Occupational and Environmental Hygiene and revealed lead concentrations are as high as 50 percent by weight in household paint being sold by Cameroons largest paint company, Seignerurie. This concentration is more than 5,000 times the allowable limit in the U.S.

This is the ultimate case of a com-pany operating with double standards as they sell hazardous products in develop-ing countries that have been banned in the US since the 1970s, said Gottesfeld.

However, in an interview with a UK publication, PPG said it has ad-opted globally accepted standards for all its products including the con-tentious paints in circulation in the Cameroonian market.

PPG globally adopted a position that limits the lead content for all architectur-al and decorative coatings marketed to consumers to the United States Consumer Product Safety Commission (CPSC) stan-dard of 90ppm in 2008, said Jeermy Neuhart, PGGs spokesperson.

In 2011, PPG undertook an inter-nal review regarding lead in consumer paint sold in Cameroon, which does not have a legal limit for lead in paints and coatings. PPG has indicated its support of a Cameroon governmental standard for lead in consumer paints and will comply with such a regulation if enacted.

A sample study of African countries found high levels of average lead con-centrations with Kenya having 14,900 ppm, Cameroon, 23,100 ppm; Egypt, 26,200; Nigeria (two studies), 37,000 and 15,750 ppm; Senegal 5,870 ppm; South Africa, 19,860; and Tanzania 14,500 ppm.

According to the WHO, Exposure to lead paint can be entirely stopped through a range of measures to restrict the pro-duction and use of lead paint. CW

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Business Corner Strategies & Analysis

by Phil Phillips, PhD Contributing Editor [email protected]

In Part One, we discussed the HBR conclusions: We have come to the conclusion that the same forces that disrupted so many businesses, from steel to publishing, are starting to reshape the world of consulting.

We concluded with the two reasons, up until now, HBR has for consultants being immune to disruption . . . opacity and agility.

Being opaque, the black box of the team room, causing extreme difficulty in the measurement of the consultants in-puts in combination with the BIG GUYS agility, the flexibility to respond to the threat of disruption in the past, is being stripped away with new models from lesser-known more focused and targeted consultants.

In this issue we will examine two questions: Are Consultants in danger of disruption? & are Clients hiring the right firm for the job?

Legal ProfessionFor example, the legal industry has been and is currently under pressure with both their customer . . . . the disgruntled client as well as their new competitor models. An Advanced =Law survey of general corporate councils found that 52 percent agree (and only 28 percent disagree) with the statement that gen-eral council will make greater use of temporary contract attorneys, and 79 percent agree that unbundling of legal services . . . . will rise.

Cost pressures force clients to aban-don the easy assumption that price is a proxy for quality.

So, the pressure is on ALL consultan-cies but especially the branded large firms where their fees are line item expenses that stand out as large versus the mea-sureable results clients receive.

These large branded firms have start-ed to counter the pressure stemming from client inability to capture mea-sureable results by seeking out smaller, more-focused industry-knowledgeable boutique consulting firms,(to absorb or contract) in hopes by doing so they will maintain their higher fees but produce both solid qualitative and quantitative results in the process.

However, smarter more agile clients are finding these boutique consulting firms themselves thus going direct cut-ting enormous costs in the process.

Consultants... You Are In Danger If...

Recently it has become more diffi-cult to win clients and satisfy them.

You have been more and more left out of the loop when a client set of project objectives are being developed.

When lower level personnel moni-tors your progress.

You are competing with new rivals who are more specialized.

Clients ask you to partner with other consultants.

You are revising your business model in order to manage smaller projects.

Clients... Do You Have The Right Consultant?

Whats your time threshold for outside consultancy review and measurement? Have you examined the opportunities for spreading

your work across more specialized providers?

Have you aggregated consultative spending across company to ID both the absolute amount and the pat-terns by individual firms?

Do your consultancies make trans-parent the breakdown that under-pins their recommendations? Can you standardize these analyses into hard assets?

Do you bring in experienced profes-sional services industry staff mem-bers when developing proposal and managing same?

Do you have an outcomes-based system for measuring the quality of the providers work?

Do your assessments drive de-cisions about future consultancy hirings?

It is very interesting to note that HBRs interviews with consultants who rejected the notion of disruption in their industry cited the difficulty of getting large partnerships to agree on revolutionary strategies. Why try something new, they asked, when what theyve been doing has worked so well for so long?

This is exactly the attitude that has given a set of solid disruption opportu-nity platforms to so many other indus-tries over time . . . like the horse and buggy to cars; the typewriter to desk-top to laptop to iPad; land-line phones to cell phones; mail to email and finally, the stated disruption of the leaders in the legal services industrys top fran-chised firms (Consultants), is undeni-ably under way. CW

Reference: Harvard Business Review, October, 2013

DISRUPTIONS... Consultants Have Them Too

Part Two of a Two-Part Series

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Sherwin-Williams has launched MIL-PRF-22750G Type III, Grade A Seafoam Green High Solids Epoxy, which meets the military specification for direct-to-metal (DTM) applications. The new product is one of the first DTM high solids epoxies to earn approval from the Army Research Lab in Aberdeen, Maryland.

The two-component coating can be used in applications that specify either Grade A or Grade B finishes, includ-ing Army or Navy equipment requiring weather resistance or for interior surfac-es. It offers superior corrosion resistance and satisfies the Army Research Labs stringent requirements of performance to a minimum 1,000 hours of salt spray and 40 cycles of cyclic corrosion, according to the company.

The MIL-PRF-22750G Type III Seafoam Green High Solids Epoxy is de-signed for one-coat application directly over zinc phosphate steel or treated alu-minum, eliminating the need for a primer coat. A primer may be applied under the topcoat if desired. The epoxy provides ex-cellent flow characteristics, is free of lead hazards, and offers a good combination of potlife and dry time.

B-H Paints Launches Ulttima Plus Line of Paints for the Carribbean RegionB-H Paints, a member of the Harris Group of Companies, has launched the new Ulttima Plus line of paints which they report is the Ulttimate Paint Solution manufactured to solve the five major painting challenges that customers revealed through research conducted across the Caribbean. The new line of paints are comprised of a series of five innovative, proprietary trademarked technologies, all unique to Ulttima Plus.

These five technologies were de-signed to reflect the wants and needs of Caribbean paint consumers, to address the product complaints customers have

made in the past, and moreover to solve customers painting problems, helping them to get better results that last longer, saving them time, aggrava-tion and money. In addition, Ulttima Plus products that display the Green Wise certification mark have been tested and certified by an ISO 17025 accredited test-ing laboratory to meet or exceed the VOC requirements and do not contain certain chemicals determined to be harmful to humans or the environment.

Rust-Oleum Introduces Primer and Sealer with Synthetic ShellacRust-Oleum has recently introduced a primer and sealer made with synthetic shellac that mirrors the same proper-ties as traditional shellac. Utilizing a first-of-its-kind synthetic shellac, BIN Advanced boasts ultimate stain block-ing and superior odor sealing, with excellent adhesion and high hiding fea-tures, the company reported.

BIN Advanced is the ultimate stain blocker with a high hiding bright white finish. It also has exceptional odor block-ing sealing everything from pesky pet odors to soot and lingering smoke dam-age from fire. Sealing and hiding ev-erything from water and rust stains to graffiti, dark paint colors, crayon, lipstick and grease, BIN Advanced provides a more brilliant top coat color due to the products superior hide and hold out.

BIN Advanced has excellent adhe-sion and sticks to slick surfaces such as Formica, tile, glossy paints and var-nishes. It is dry to the touch in as little as 25 minutes, and can be top coated after 45 minutes.

PPG Unveils SIGMA NEXEON Antifouling Coatings Without Copper for Commercial VesselsPPG Industries protective and marine business is the first coatings manufacturer

to successfully develop and market a range of copper-free antifoulings for commer-cial vessels to help customers stay ahead of future regulations. The unique SIGMA NEXEON coatings range was developed based on extensive research and testing at PPGs own facilities and third-party stud-ies, the company reported.

The SIGMA NEXEON range pro-vides a complete copper-free antifouling solution. The SIGMA NEXEON 710 product is the antifouling solution for operational vessels and can be applied during construction and dry docking. For new-builds where outfitting takes longer than six months, SIGMA NEXEON 750 high-activity copper-free topcoat anti-fouling is specified.

Both products combine unique self-polishing zinc-acrylate binder technology with high performance to help protect ships during the new-building process and while in service.

A distinctive benefit of SIGMA NEXEON copper-free antifouling is its property of smoothness from start. Because of the absence of copper, the leveling and smoothness right after ap-plication is significantly improved, deliv-ering better fuel efficiency from the start. Third-party testing with leading universi-ties and test institutes in Korea and Japan has confirmed the properties and perfor-mance of SIGMA NEXEON antifoulings. From these studies, PPG has classified SIGMA NEXEON products as low fric-tion antifouling.

The SIGMA NEXEON antifouling range was recently applied to the under-water hulls of four new-build drill ships, NORBE VIII, NORBE IX, NORBE X and NORBE XI, in operation offshore Brazil for Odebrecht Oil and Gas Limited.

Odebrecht wanted to keep the hulls clean from fouling and free from discol-oration while stationary in seawater to minimize cleaning costs before delivery to the field. Following successful com-pletion of the project, OOG awarded

Sherwin-Williams Introduces One of the First Direct-to-Metal High Solids Epoxies

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PPG a certificate of appreciation for its commitment to safety, outstanding coating quality and excellent performance.

Axalta Launches Nap-Gard 7-2555 Thermosetting Epoxy Powder Anti-Corrosion CoatingAxalta Coating Systems has launched its latest generation Nap-Gard product, which can withstand continuous oper-ating temperatures of 155C (311F). Nap-Gard High Tg 7-2555 is a ther-mosetting epoxy powder designed for use as a corrosion barrier coating for underground and sub-sea pipelines that operate in high t

Coatings Word January 2014

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