LARGEST CONSUMER OF PAINT

The Asia-Pacific region is rapidly expanding, fueled by a growing economy and emerging middle
class. This growth is driving demand for many building and industrial materials, including paints
and coatings. According to market research firm IRL’s report “A Profile of the Asia-Pacific Paint
Industry,” the total market for paints and coatings was 21.4 million tons in 2013, and is forecast
by IRL to increase to 29.2 million tons by 2018; this is equivalent to an average annual growth
rate of 6.4 percent in the medium term. Overall in Asia-Pacific, architectural coatings account for
just less than 50 percent of the total paints and coatings market, although this figure varies
considerably from country to country. Protective coatings and general industrial coatings
(including can and coil coatings) are the second and third largest end-use segments, respectively.
Market research firm Frost and Sullivan’s data on the coatings industry in Asia Pacific report that
the coatings industry is sensitive to the growth of gross domestic product (GDP), and tends to grow
at 1.5 to 2 times that of Southeast Asia’s GDP. In 2014, the decorative coatings segment was the
largest application area, accounting for approximately 55.7 percent of the total market, followed
by wood, protective, and automotive OEM coatings. Much of the focus is now shifting towards
emerging markets—mainly Indonesia, Vietnam and the Philippines—as volume is the name of the
game; these countries host large population of 251 million, 91 million and 99 million, respectively.
REFERENCE: https://www.coatingsworld.com/issues/2016-08-01/view_features/asia-pacific-report-
371163/

https://www.slideshare.net/FrostandSullivan/strategic-analysis-of-the-asia-pacific-paint-and-coating-
industry
PAINT CONSUMPTION IN THE PHILIPPINES/ LARGEST PAINT MANUFACTURING
COMPANIES IN THE PHILIPPINES
The Philippines is primarily considered a newly industrialized country, which has an economy in
transition from one based on agriculture to one based more on manufacturing and services.

Though hitherto catered by domestic paints and coating producers, the country is witnessing a
transition to higher value-added products and multinational paint producers. Comprised of more
than two dozen paint and coating producers, the Philippines paint and coating industry has
registered a steady growth of more than six percent per annum in each of the previous five years.
With a population of more than 108 million at the end of 2018, the Philippines is one of the fastest-
growing economies of the South East Asia region.

Paint and coating producers have reaped rich dividends of steady economic growth of recent years.
The Gross Domestic Product (GDP) grew 6.2 percent in 2018, the slowest in three years, as high
prices of basic commodities coupled with slower agriculture expansion tempered growth.

However, the World Bank projects the GDP to grow 6.5 percent this year and by 6.6 percent in
2020 and 2021. With a median age of 23 years and a very high degree of urbanization, the
Philippines is expected to remain a very attractive market for domestic and multinational paint
companies operating in the country for a number of years to come. Comprised of 7,200 islands,
the Philippines can be geographically divided into three major divisions according to the
concentration of paints and coating producers.

Luzon is the largest and northernmost grouping – home to the capital city Manila and most of the
paint and coating production facilities. Visayas in the central region has the booming city of Cebu,
which is the next target area of country’s paint and coating producers. Mindanao located in the
Southwest is the Philippines agricultural hub. The region lacks many paint and coating production
facilities. The Philippines paint and coating industry also has a number of weaknesses. The country
has a prohibitive cost structure related to logistics, energy and raw materials, which are
not available domestically. The Philippines’ paint producers have low capacity utilization rates as
compared to their counterparts in other nearby countries. The country’s paint industry also suffers
from low investment in technology upgrades.
The majority of these 25 producers have production plants based in and around Metro Manila and
nearby provinces, as most of the construction and industrial activities in the country is centered in
this region.

Pacific Paint (Boysen) Philippines, Inc., Davies, Charter Chemical and Coating Corp., United
Paints, Inc., Asian Coatings Philippines, Inc., Nippon Paints and Jotun Philippines are the major
paint and coating producers in the country.
Century Chemical Corp., FH Colors and Coatings, Globesco, Inc., H-Chem Industries, Inc.,
Mayon Industrial Corp., Roosevelt Chemical Industries, Inc., Super Globe, Inc., Sycwin Coating
and Wires, Inc., Times Paint Corp. and Treasure Island Industrial Corporation belong to the
medium-scale paints and coating producers in the country.

Pacific Paint (Boysen) Philippines

Pacific Paint (Boysen) Philippines is the largest paint and coating producer in the Philippines by a
wide margin.The company claims to have nearly 60 percent of the domestic market share (based
on volume). Founded in 1953 as a repacker of paint and lacquer thinners under the trade name
Columbus, Pacific Paint (Boysen), the company produces architectural, industrial and marine
coatings for the domestic market.

The company ventured into paint production in 1958. In 1960, Pacific Paint acquired the license
to manufacture Boysen Paints in the Philippines from California-based company Walter N.
Boysen. Over the next decade, Pacific Paint was able to capture the lion’s share of premium quality
paint market in the Philippines – outselling all leading U.S. brand paints that also operated
production facilities in the country.
In 2000, Pacific Paint commissioned a fully integrated manufacturing facility just outside Metro
Manila. This manufacturing plant is considered the biggest and most modern paint production
facility in the country. Pacific Paint has emerged as the largest paint and coating producer in the
country over the years. In 2017, the company recorded sales revenue of USD $280 million.
REFEERENCE: https://www.coatingsworld.com/issues/2019-09-
01/view_india_asia_pacific_reports/the-paints-and-coatings-industry-in-the-philippines/