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Investments in energy, transportation infrastructure, housing, automotive and other industries are pouring in from China, Europe, and multinational banks.
Brazil’s Northeast region is poised to rise to the fastest-growing area in Brazil from a history of lagging other regions. Massive investments in energy, transportation infrastructure, housing, automotive and other industries are pouring in from China, European countries, and multinational banks. The region is a particular target of President Luis da Silva or “Lula,” who was born in Pernambuco state, one of nine states in the region. He has vowed to build the region into a middle-class economy, out of a state of near poverty now. To do so, he is reactivating projects he launched during his first term, including a regional rail system and a 15-year-old home purchasing program, “My Home My Life” (MCMV). The architectural segment of the paint and coatings industry in Brazil has always led volume production by segment at about 75%, and includes major multinationals like Sherwin-Williams, BASF, PPG, and others. Domestic players include WEG, Color Quimica, Pintura, and others. These players and all others saw a national increase in sales of 2.1% over the first half of 2024, while the Northeast posted the leading 3.6% growth rate, according to the Associação Brasileira dos Fabricantes de Tintas, Abrafati. Among those with manufacturing plants in the Northeast, the top five listed by descending sales, are: Rochesa Tintas e Vernizes, in Quatro Barras, Parana, with over $66 million in annual sales; Tintas Iquine, in Jaboatao Dos Guararapes, Pernambuco, with $59 million in sales; Tintas Hidracor, in Maracanau, Ceara, with unidentified sales; Bonardi Industria Quimica, in Colombo, Parana, sales unknown; and Hydronorth, in Cambe, Parana, with sales unknown, according to Dun & Bradstreet.
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