Automotive OEM (Original Equipment Manufacturer) coatings are coatings that are applied to automobiles, light trucks, vans and sport utility vehicles, and associated vehicle parts in a factory environment. This category encompasses electrodeposition and other primers, printer surfacers, colorcoats, basecoats, and clearcoats for both plastic and metal substrates used on tire exterior, interior, and underbody of the referenced vehicles. Included in this segment are coatings for the main body that are typically applied at an assembly plant of the vehicle manufacturer, as well as parts manufactured by independent tier suppliers that paint components at their own facilities. The automotive OEM coatings segment is an important component of the global coatings market. One of the largest industrial segments, it comprises approximately 7.5% of the value of the total coatings market, representing roughly $7 billion in sales for 2008. Tire current global economic downturn has affected virtually every industry, including paint and coatings. Since the demand for automotive OEM coatings is inherently linked to automobile production, the dramatic decline in automobile production over the past two years has had a significant impact on coatings demand. In 2008, the International Paint and Printing Ink Council (IPPIC) retained Orr & Boss, Inc., a leading U.S.-based international management consulting firm, to prepare a comprehensive, in-depth market analysis entitled Global Paint and Coatings Industry Market Analysis Report (2007-2012). Coatings market data presented in this article is based oil the intensive market research conducted for the report and examines how the continuing downturn in the global economy impacts the automotive OEM coatings market.
