Our business / Jotun Powder Coatings
Jotun is confident that growing concerns about
the environment will generate higher demand for
powder coatings.
Outstanding performance
Investment by Jotun in the development of innovative products to meet increasing global demand
for coatings solutions free of Volatile Organic Compounds (VOCs) resulted in record sales growth
in the Powder Coatings segment.
Despite business interruptions related to the coronavirus
pandemic in the first half of the year, Jotun not only achieved
sales growth in every region where the company is active but
also recorded double-digit growth in every market category
except for the pipeline customer group, which ended the year
with more modest results. As in other segments, record-high
raw materials costs outpaced the company’s efforts to raise
prices, thus impacting profitability.
EMPOWERING THE REGIONS
The performance of the Powder Coatings segment was
supported in part by Jotun’s decision, implemented in 2020,
to empower local sales and marketing teams to make
decisions closer to the markets they serve and concentrate
product innovations on meeting the evolving demands of
different customer groups. For example, the development
of powder coatings that deliver metallic finishes helped
Jotun boost sales in the Appliances, Furniture and Building
Components customer groups, while growth in General
Industries was driven by highly durable coatings developed to
protect exterior units, such as electrical cabinets.
Jotun has also expanded its range of colour selections for
different customer groups, which now includes Reveal Edge
and five different colour collections for Building Components.
In addition to showcasing Jotun’s highly durable products
in different finishes, Jotun’s “colour library” allows Jotun to
approach architects, designers and manufacturers directly to
ensure Jotun products are specified at an early stage.
NEW PRODUCTS, NEW MARKETS
Over the past decade, Jotun has invested significant resources
in the development of powder coatings solutions that cure
at lower temperatures, which can be used on non-metal
substrates. Other promising markets include battery housings
for electric cars and durable powder coatings for components
found in agriculture and construction equipment. Jotun is also
seeking to expand in the highly demanding pipeline market
where the company has developed Fusion-Bonded Epoxy
(FBE) powder coatings that provide superior, long-lasting steel
protection engineered to reduce storage and installation risk.
While raw materials prices are likely to impact the Powder
Coatings segment into the first half of next year, Jotun remains
confident that growing concerns about the environment will
continue to encourage customers to seek coatings solutions
free of VOCs in the years ahead.
Jotun Group Report 2021 I 25