Price Hikes Hit Paint Industry as Cost Pressures Mount in 2025

On March 13, Nippon Paint (Guangzhou) Co., Ltd. issued its third price increase notification of the year, signaling the ongoing cost pressures facing the industry. As raw material prices continue to surge, freight costs rise, and environmental regulations tighten, a wave of price hikes led by industry giants is setting the stage for a significant reshuffling in the paint sector.

Nippon Paint announced in its March 13 price adjustment letter that from April 1, 2025, it would raise the price of its “Professional Time-Li Interior Latex Paint” by 1%. This news has garnered considerable attention within the industry.

This is not the first price increase for Nippon Paint in 2025. On February 11, 2025, the company already notified customers of a 1-5% increase across its entire TUB product line, effective March 15. Additionally, Carpoly issued a price warning on February 28, stating that it would adjust prices for some products by 2-5% starting March 21.

Carpoly emphasized the challenges posed by a complex global economic environment and fierce market competition, stating that the current fluctuation in raw material prices has imposed significant operational and cost pressures on paint companies. They described the price adjustments as a necessary measure to ensure orderly business operations and long-term partnerships.

The surge in raw material prices has intensified cost pressures on paint manufacturers. BASF, the world’s largest chemical company, raised prices for its Ultraform POM resin products in the Asia-Pacific region by $350 per ton (approximately RMB 2,538/ton) starting March 1.

Moreover, Longbai Group, China's leading titanium dioxide producer, increased domestic sales prices by 300 RMB/ton and raised international prices by $50/ton starting February 21. This price hike prompted other titanium dioxide companies to follow suit, with cumulative domestic price increases reaching up to 1,100 RMB/ton.

Additionally, Celanese announced price increases for a range of products across multiple regions, with the maximum increase reaching $0.6/kg. LG Chem also raised prices for POE in China by $100/ton.

These price hikes have undoubtedly added further strain on paint manufacturers. Zhanxin Resin (China) Co., Ltd. also announced on February 26 that it would increase the delivered price of polyester resin products for powder coatings by 500 RMB/ton starting March 1, causing additional tremors in the paint industry.