Paints Industry Forcast
In 2022, housing market sales were in decline for almost the entire year. As an important link in the post-cycle industry chain of real estate, architectural coatings are closely related to the investment and development of real estate. At present, the downward pressure of the real estate industry increases, making the architectural coatings market face severe challenges. Research reports issued by institutions forecast that in 2022, the size of China's architectural coatings market will shrink by 24.5%.
However, with the three external financing channels of credit, bonds and equity for real estate enterprises fully opened up, and banks were allowed to carry out the business of replacing pre-sale funds with letters of guarantee, the policy focused on resolving the risks of stock projects and solving the pain points of the source of incremental funds of "Baojiao building". Housing enterprise financing "three arrows" under, is expected to continue to promote the "guarantee to deliver the building" process. Combined with the full liberalization of epidemic prevention and control, the macroeconomic recovery, the construction paint market demand is expected to rebound in 2023.
Institute forecast, 2023 housing completed area of about 940 million square meters, year-on-year rise of about 19.5%, 2023 completion end data is expected to show a bottoming out rebound situation. With the arrival of housing delivery cycle and under the background of housing preservation, the new construction is expected to accelerate the transmission to completion, support the demand for real estate chain, and will drive the demand for building materials such as downstream building coatings, floor coatings, thermal insulation materials, waterproof materials and Kiev materials to warm up.
To be continued.