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The German coatings and printing ink industry remains under pressure due to high raw material and energy prices. Although turnover rose by 8 per cent in 2022 due to inflation, sales fell by 4.5 per cent.
At the business press conference of the Association of the German Paint and Printing Ink Industry (VdL) on 7 February 2023 in Frankfurt, the latest figures on the state of the industry were presented. In Germany 1.53 million tonnes of coatings, paints and printing inks sold in 2022 - a drop of 4.5 per cent compared to the previous year. In the This year, a further decline of 2-3 per cent to 1.5 million tonnes is expected. This is to be expected, reported President Peter Jansen at the annual business conference of the Association of the German Paint and Printing Ink Industry (VdL).
In 2022, sales of coatings, paints and printing inks sold in Germany rose by 8 per cent year-on-year to EUR 6.1 billion due to inflation. The VdL also expects a further slight increase of just over 2 per cent to €6.2 billion in the current year. Several developments are putting pressure on the results of ink manufacturers: the Commodity prices remain at a high level, The situation is not expected to improve due to the inflation. The Energy crisis leads to higher gas and electricity costs in the long term. Rising bureaucratic costs are a particular burden for SMEs.
Industrial coatings and printing inks
With the Industrial coatings saw a slight increase in consumption of 1 per cent in volume, the value rose by 11 per cent due to price factors. While automotive series coatings, automotive refinish coatings, other vehicle construction and the electrical industry developed quite favourably, the Consumption of coatings in the wood and furniture industry and for metal products down. In 2023, there will be a decline of around 1 per cent in industrial coatings, as the wood and furniture industry in particular, but also the mechanical engineering sector, will experience a temporary decline. Significant decline in demand expected is. Total sales will rise again this year by 4 per cent to EUR 3.4 billion due to price factors.
The Sales of printing inks declined further in 2022 - 211,000 tonnes were consumed in Germany, a Down 8 per cent, for the first time, the Packaging printing accounts for more than 50 per cent. In total, sales of printing inks for publications and packaging totalled 925 million euros. The outlook for the current year remains negative - the volume of printing inks used will fall by 4 per cent, while sales will increase slightly due to inflation.
The risk of inflation and the acute global political situation make it extremely difficult to forecast economic development. Without significant further disruptions VdL expects a decline in production by German paint manufacturers of around 2 per cent. Domestic demand will decline in a similar way. In terms of value, a slight increase in domestic demand of 2 per cent is still expected.
„The industry cannot be happy with these figures, but we are struggling with the adversities of our time. Our appeal is to the legislator not to place additional burdens on companies in this difficult economic environment.“
Peter Jansen,President of the VdL
The association's political work continues to be characterised by the European Green Deal, explains Managing Director Dr Martin Kanert. Although Brussels has given the industry a little breathing space with the REACH revision, there is still However, the VdL calls for a sense of proportion and a holistic view of sustainability when implementing the Green Deal. In particular, the upcoming projects on eco-design, packaging and packaging waste are challenges that the member companies must overcome and thus contribute to the green transformation. „In addition, the ‚Farm to Fork‘ strategy of the Green Deal offers the Basis that printed food contact materials urgently need to be regulated at European level in the near future."
Source: VdL
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