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Wood Protection Coatings and Preservatives
US demand to reach $3.3 billion in 2013
Demand for wood protection coatings and preservatives is forecast to increase 2.5 percent per year to $3.3 billion in 2013. A rebound in the housing market will promote growth, as the residential segment is a key market for many wood products that utilize coatings and preservatives. The promotion of wood as a sustainable, renewable resource will provide opportunities among consumers requesting green building materials and home items, such as furniture, flooring and cabinets. In addition, demand will benefit from a shift in product mix to higher value items, a slight upswing in the production of pressure treated lumber and solid levels of construction-related residential repair and improvement spending. ( http://www.bharatbook.com/Market-Research-Reports/Wood-Protection-Coatings-and-Preservatives.html )

Higher value formulations to continue market share gains
Higher value formulations in both coatings and preservatives continue to gain market share, primarily due to environmental and performance issues. Concerns over the release of VOCs during the coating process have initiated a gradual switch to more environmentally friendly formulations, such as waterbased coatings in on-site applications, and powder and radiation-cured coatings in factory applications. In addition, coatings that exhibit higher performance attributes, such as longer-term durability and dual purposes (e.g., paint and primer combinations), will continue to gain market share. Concerns over the environmental impact of certain preservative raw materials spurred producers of chromated copper arsenate (CCA), the dominant preservative in treated lumber, to voluntarily withdraw their product from residential use in 2003. Successor preservatives do not meet end user requirements for less corrosive products and consumer demands for even less toxic alternatives. As such, third generation wood preservatives (e.g., micronized, all-organic, borates, organometallics) are penetrating the market and will likely experience favorable gains through 2013.

Interior applications to offer best market opportunities
In general, demand for wood protection coatings and preservatives will achieve the most favorable gains in interior wood applications, such as flooring and cabinets. Flooring and cabinet production will be promoted by a rebound in housing starts and growth in residential repair and improvement spending, as the purchase of these items is common during both homebuilding and remodeling activity. In order to maintain wood’s position in interior applications, wood coating suppliers will strive to develop product lines that feature a wider range of colors, improved efficiency and enhanced durability. In addition, wood coatings suppliers are addressing growing consumer demands for green building materials and home products with the development of more environmentally friendly, typically non-petrochemical based coating formulations.

Maintenance coatings to pace exterior segment
In exterior applications, wood will continue to suffer losses to competitive materials, limiting demand for wood protection coatings and preservatives. However, maintenance coatings demand will continue to be supported by the large installed base of wood-based home siding and decks. Demand will also be boosted by the greater use of higher value coatings, featuring enhanced durability, greater ease of use and easier cleanup. In addition, some opportunities for growth still exist based on wood’s high aesthetic and insulating qualities.

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