Akzo Nobel is somewhat unusual among the more specialty chemical (in this case paint) producers, as the company has managed to raise prices fast enough to offset costs and produced strong positive results for 4Q 2021. Not having auto OEM exposure will have helped Akzo and the company is well-positioned to manage pricing through its stores in many cases. It is a relatively safe environment to push up paint prices as all of the competitors have the same cost pressure and need to do the same, and demand remains strong – consumers are buying paint.
Mixed fortunes for the Paint Companies likely in 2Q 2021 and possibly for the rest of the year. Sherwin Williams is providing conservative guidance (see slide below) based on concerns over raw materials, and Axalta may be underestimating the auto production cuts -
read more in today's C-MACC Daily Report