Wood Coatings Market

Although the wood coatings market will surely face another tough year, there are some reasons to be optimistic. Wood coatings stand to benefit from a rebound in the housing market and increased interest in consumers to undertake DIY projects.

According to a recent Freedonia Group study, Wood Protection Coatings and Preservatives, demand for wood protection coatings and preservatives is forecast to increase 2.2% per year to $3 billion in 2013. A rebound in the housing market will promote growth, as the residential segment is a key outlet for wood products that utilize coatings and preservatives. Demand will also benefit form a shift in product mix to higher value items, a slight upswing in pressure-treated lumber production and solid levels of residential repair and improvement spending. These favorable factors, however, will not overcome continued weakness in the key wood siding market.

In general, wood protection products will achieve the best gains in interior wood applications, such as flooring and cabinets. In these applications, gains will be promoted by a rebound in housing starts and growth in residential improvement spending, as the purchaseof