PPG Opens Waterborne Automotive Coatings Plant in Thailand

PPG Industries, Inc. PPG recently announced the start-up of a waterborne automotive coatings manufacturing plant in Samut Prakan, Thailand. It has a production capacity of 2,000 tons annually, helping PPG meet the rising demand for sustainably advantaged coatings from automotive companies in Southeast Asia.

PPG, which is among the prominent players in the chemical space, along with Dow Inc. DOW, DuPont de Nemours, Inc. DD and Eastman Chemical Company EMN, said that the facility includes an automated spray application center to enhance its services and improve competitiveness in the global market.

As the South Asian market is experiencing rapid growth in the automotive sector and continual support toward electric vehicles from the Thai Government, PPG is presented with vast opportunities. This facility will enable PPG to tap such opportunities through a special focus on the Southeast Asian market. By fostering partnerships with Chinese brands such as BYD and Chery, PPG will be able to support customers through localized production and technical support. The facility is expected to boost PPG’s local production capacity of waterborne basecoats and primers.

PPG missed fourth-quarter 2024 earnings and sales estimates but provided a positive outlook. It expects adjusted EPS for 2025 to range from $7.75 to $8.05, reflecting a 7% increase at the midpoint, excluding foreign currency and higher taxes. EPS growth is expected to be concentrated in the second half of 2025. PPG also aims to generate over $100 million in annualized share gains in its Industrial Coatings segment starting in the second half of 2025.

Another prominent player in the chemical industry, DOW, expects to benefit from near-term projects and increased operational focus in 2025, with increasing demand in packaging, energy and electronics. Its solid balance sheet and portfolio will support capital allocation priorities. To boost margins, the company is taking actions to cut costs by $1 billion, including $500-$700 million in direct costs and workforce reductions of 1,500 roles globally. Additionally, Dow is reducing 2025 capital spending by $300-$500 million to address macroeconomic challenges and support long-term growth.

For 2025, another industry leader, DuPont, projects consolidated net sales between $12.8 billion and $12.9 billion, with operating EBITDA expected to range from $3.325 billion to $3.375 billion. Adjusted earnings per share (EPS) are forecasted to be between $4.30 and $4.40. For the first quarter of 2025, DD forecasts net sales of around $3,025 million, operating EBITDA of roughly $760 million and adjusted EPS of around 95 cents. 

Eastman Chemical expects modest volume growth in its specialty businesses in 2025, leveraging an innovation-driven growth model. The company's circular platform will drive innovation, with commitments of $75-$100 million in EBITDA growth in 2025. EMN plans to reduce structural costs to offset inflation while investing in growth and long-term value creation. The company expects 2025 EPS to be between $8 and $8.75, and cash from operations to be around $1.3 billion.


 

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