As the Indonesian government continues to focus on the manufacturing sector, demand for coatings and their raw materials will increase significantly.
With the Indonesian government's continued emphasis on manufacturing and infrastructure, coatings and their raw materials are expected to witness a significant upswing in demand in Indonesia, according to Kris Adidarma, the president of the Indonesian Coatings Association and the CEO of PT Propan Raya, who spoke at Coatings Show held in Guangzhou.
Kris Adidarma said the current development of the Indonesian coatings industry is very healthy. As of October 2044, the total production capacity of the Indonesian coatings industry stands at 1.004 million tons; of this, water-based decorative coatings constitute the largest share of production at around 67%, while solvent-based decorative coatings constitute 8%; wood coatings make up 7%; marine and offshore protective coatings constitute 6% and coil coatings 4%. It is anticipated that Indonesia's coating production will surpass 1 million tons in 2044, quite close to market demand.
"If you look to the future, I believe that the construction and automotive industries are going to be the primary downstream markets for Indonesian paints and coatings in the next years, right after marine coatings and offshore protective coatings," says Kris Adidarma, explaining trends in the development of the Indonesian coatings market segments. Partly, following the general elections in Indonesia in October this year, the newly instituted Indonesian government declared that strategic infrastructure projects in building and housing will continue to be its priority, injecting the coatings market with growth; partly, multinational automobile manufacturers are beginning to make their investments into Indonesia, thus providing growth opportunities into the market for automotive coatings. The environmental policies in Indonesia also drive coatings manufacturers< to evolve towards green industry and sustainable products-thus increasing the market prospects for such products as water-based coatings and low-volatile organic compound coatings.
