Supply Chain Solutions for the Coatings Industry

Aug 7, 2025

How Coatings Manufacturers are Reinventing Their Supply Chains

Coatings industry supply chain challenges have intensified over the past years, with raw material shortages and logistics issues disrupting production across the sector. A delay or shortage of just one material can create a ripple effect.

Shortages lead to price increases. This raises manufacturing costs and makes it tough for businesses to compete. The coatings industry faces challenges. However, new technology and better supply chain strategies bring hope.

Unpacking the Raw Material Crisis in the Coatings Industry

Before we look at solutions, let’s examine the factors behind the raw materials crisis. This issue affects the entire billion-dollar industry in many ways:

• Global supply chain disruptions from the pandemic: The pandemic caused a two-year crisis. The number of raw material producers decreased, leading to higher prices and longer lead times. Recovery has been slow, with other factors complicating the situation.
• Petrochemical price volatility: The price of petrochemicals, essential for many coatings, has fluctuated due to inflation, shortages, and rising demand. This makes sourcing these materials more challenging and costly.
• Geopolitical conflict: The Russian-Ukrainian war disrupted the supply of titanium feedstocks and other materials, worsening inflation. Conflicts in the Middle East have also interrupted vital shipping routes for the chemical industry.
• Regulatory and environmental challenges: Sustainability efforts have caused some chemicals to be banned or limited. Manufacturers are moving to eco-friendly options. But they often struggle to find the right alternative raw materials. This is especially true with demand on the rise.

Emerging Strategies to Navigate Supply Chain Disruptions

Here are key strategies for coatings manufacturers to tackle the raw materials crisis:

• Diversify supplier networks: Having multiple suppliers reduces the risk of shortages. If one supplier faces a delay, others can step in.
• Nearshoring: By sourcing materials closer to home, manufacturers can respond faster to disruptions, reducing reliance on distant suppliers.
• Real-time visibility: Technologies like IoT devices and AI can improve supply chain visibility. They help manufacturers track performance, spot delays early, and minimize the impact of shortages.
• Embracing sustainability: Staying compliant with environmental regulations is crucial. Focusing on sustainability helps maintain resilience against disruptions.

The Role of Technology in Reinventing Supply Chain Operations

Technologies like IoT and GPS trackers provide real-time data and insights. AI systems analyze this data, transforming supply chain operations. They enhance visibility for coatings manufacturers, allowing quicker responses to disruptions.

This technology helps with routing and transport planning. It cuts fuel costs and speeds up delivery times. Solving the materials shortage is tough, but using new technologies in supply chain management is crucial.

How CheMondis Supports Coatings Procurement Teams

Navigating today’s coatings industry supply chain challenges has intensified over the past years, with raw material shortages and logistics issues disrupting production across the sector. Requires more than reactive sourcing; it demands smarter supplier selection, faster decision-making, and greater supply chain transparency.

At CheMondis, we help procurement teams in the coatings industry secure the right raw materials with confidence. Our Procurement Discovery service gives you structured access to verified chemical manufacturers across Europe, China, and beyond.

Building Resilience: Overcoming Raw Material Challenges in the Coatings Industry

Jul 29, 2025

The year 2025 marks a significant turning point for chemical compliance in the European paints and coatings industry. For years, raw material challenges in the coatings industry have disrupted production, driven up costs, and strained supply chains. Now, with tightening rules around PFAS (per- and polyfluoroalkyl substances), microplastics, and biocides, procurement teams are facing a new kind of complexity that goes well beyond pricing and availability.

Why Regulatory Pressure Is Increasing in the Coatings Industry

For years, PFAS and microplastic ingredients have been widely used in high-performance coating formulations for their durability, water-repellency, and other desirable properties. However, the regulatory landscape in Europe is changing.
The European Union is actively phasing out entire classes of PFAS, including lesser-known compounds such as trifluoroacetic acid (TFA), which is critical in some industrial and protective coatings.

At the same time, new rules targeting intentionally added microplastics under REACH, as well as stricter restrictions on certain biocides, are compelling formulators to rethink their raw material choices and move toward more sustainable alternatives.

What Buyers of the Coatings Industry Need to Consider

For procurement professionals, this shift means that purchasing decisions now involve more than just negotiating costs and lead times. Buyers should consider:

• Identifying suppliers who comply with REACH and the Biocidal Products Regulation (BPR) and can provide transparent, up-to-date documentation.
• Evaluating materials not only for current compliance but also for their likelihood of facing future restrictions.
• Seeking alternatives to PFAS- and microplastic-based ingredients that still meet technical and performance standards.
• Balancing the need for compliance against the commercial and technical risks of reformulating products prematurely.

Why CheMondis

At CheMondis, we understand the complexity of the coatings industry’s supply chain, and we help you navigate it.

Our Procurement Discovery Service connects buyers with verified, compliant suppliers, offering a diverse and global network so you can mitigate risk and maintain production schedules. We also help you discover tested and sustainable alternatives when regulatory changes or shortages disrupt your current materials.

With CheMondis, you gain transparency, flexibility, and access to a reliable supplier base that meets both your performance and compliance needs.

Moving Toward Compliance-Driven Sourcing

Compliance is no longer simply a regulatory checkbox; it is now a critical element of sourcing strategy. The evolving rules around PFAS, microplastics, and biocides require buyers to adopt greater visibility, documentation rigor, and flexibility within their supply chains.

By staying informed about regulatory developments, maintaining clear communication with suppliers, and proactively identifying alternatives, procurement teams can mitigate risks and keep production on track in an increasingly complex regulatory environment.

Europe-China Chemical Trade Shifts: What It Means for Buyers and Suppliers

Jun 17, 2025

Navigating Global Shifts in Chemical Sourcing

The global trade landscape is evolving rapidly, especially between Europe and China. Recent U.S. tariffs on Chinese goods have disrupted global supply chains, pushing Chinese exports toward Europe and altering trade flows in the chemical industry. Then, a freshly negotiated 90‑day truce paused reciprocal duties earlier this month. For European R&D departments, procurement professionals, and distributors, this transition presents both challenges and critical opportunities.

How Global Trade Shifts Impact Chemical Sourcing

During the tariff peak, Chinese exporters shifted focus to Europe, a pattern the EU continues to balance today. By 2019, Europe had become a larger importer of Chinese goods than the U.S., creating a competitive edge for European Buyers seeking cost-effective raw materials and chemical intermediates. But while Buyers may benefit from better prices, European chemical producers must navigate increased pressure to remain competitive.

European policy has adopted a “de-risking” strategy rather than complete decoupling. The goal: reduce dependence on any single source, especially for critical materials. Europe currently imports over 90% of certain pharmaceutical and specialty chemical inputs from China. This heavy reliance underlines the importance of smart, diversified sourcing.

Why Europe Still Leads in Chemical R&D and Manufacturing

Despite China’s dominance in foundational raw material production, Europe continues to lead in high-quality, compliant, and innovative manufacturing. The European chemical industry is globally respected for its strict safety regulations, research excellence, and sustainability initiatives.

European manufacturers add value by transforming base materials into advanced specialty chemicals and life sciences formulations. This division of labor strengthens the supply chain, combining cost-efficiency from China with European precision and compliance under frameworks like REACH.

Sourcing Verified Raw Materials: Risk or Opportunity?

European Buyers cannot afford to compromise on quality. Materials sourced from abroad must meet the EU’s strict standards. Strategic sourcing from verified partners allows companies to:

• Cut costs on base chemicals without lowering product quality
• Increase supply chain resilience through diversification
• Meet regulatory requirements (e.g., REACH compliance)
• Focus internal resources on high-value innovation

This balanced sourcing model empowers R&D and procurement teams to support innovation while remaining budget-conscious and competitive.

Ensuring Quality and Transparency with CheMondis

Navigating global sourcing requires trust and verification. How can Buyers be sure that a supplier halfway around the world meets their standards? CheMondis addresses this concern by providing a platform where every Supplier goes through a verification process. We connect European Buyers directly with thoroughly Verified Chinese Suppliers. All documentation (from material safety data sheets to certifications) is readily available, and communication is streamlined. This level of supply chain transparency and accountability helps avoid the pitfalls that can come with international trade.

Moreover, CheMondis enables efficient collaboration by simplifying logistics and communication. The platform lets buyers easily compare offers from different Suppliers, making informed decisions based on cost, quality, and lead times. By aggregating trusted Suppliers in one place, CheMondis saves Buyers the time and risk of searching on their own. Hence, diversifying your sourcing strategy becomes much easier – many of our users discover new, reliable Suppliers (locally or globally) that they wouldn’t have connected to otherwise. Whether you are looking to source a specialty polymer from a European producer or a bulk ingredient from an Asian manufacturer, our Marketplace ensures that quality, compliance, and reliability are non-negotiable in every deal. 

Navigating the Future: Partner with Confidence

In a world of shifting tariffs and evolving trade alliances, European Buyers don’t have to choose between supporting local industry and benefiting from global markets; a smart strategy allows for both. By staying informed and using trusted platforms, businesses can adapt to changes like the Europe–China trade realignment and even turn them into advantages. 

CheMondis is here to support you in this journey. Reach out to CheMondis today. Our team is ready to help you navigate the complexities of international chemical sourcing with confidence. Contact us to learn how we can connect you with the right Suppliers and reinforce your supply chain for the future. Moreover, together, let’s embrace the opportunities of a changing trade environment while keeping your business secure and competitive.

Why China is an Indispensable Supplier for the European Chemical Industry 

Apr 10, 2025

China plays a pivotal role in the global chemical industry. With a market share exceeding 40% of worldwide chemical production, the country is not only a vital Supplier of raw materials but also a powerful engine of innovation. But what makes China such an essential partner for European chemical companies and why is now the right time to strengthen this collaboration?

Unmatched Production Capacity and Global Market Leadership

China is the world’s leading producer of chemical raw materials and specialty chemicals. The broader Asia-Pacific region accounts for over 70% of global chemical output, with China at its core. European industry players benefit particularly from this.

• Fine chemicals and specialty products, indispensable for sectors like pharmaceuticals, coatings, and performance chemicals
• Basic chemicals, where China offers both vast production volume and globally competitive pricing
• Polymers and plastics, which form a significant supply base for European manufacturers

In recent years, China has strategically expanded its production capabilities, exporting chemicals worth several hundred billion US dollars annually. This has cemented its status as a dominant force in global chemical supply chains.

Innovation and Technological Leadership

China is no longer the manufacturing hub of the world. It has evolved to an innovative leader, investing heaily in the future of the chemical industry.

They are currently working on Green chemistry and recycling technologies to promote sustainable material use. Modern production facilitiies that increasingly meeting and exceeding the benchmarks of European companies.

International R&D collaborations, particularly in the development of high performance materials. Digitally integrated supply chains, that can enhance efficiency traceability, and responsiveness. With strong momentum in areas such as bio-based materials, low emission process, and automation, China is helping to shape the next generation of chemical production technologies

Competitive Costs and Reliable Supply

Amid rising energy prices and volatile global raw material markets, China remains a reliable and cost-effective partner for European Buyers.

• Economies of scale and advanced logistics ensure competitive pricing.
• Well-established infrastructure supports consistent raw material flow.
• Flexible production capacity, allowing companies to adapt to changing demand and specifications

For many European Manufacturers, Chinese Suppliers are not an option but are critical for maintaining global competitiveness.

Strategic Supply Chain Diversification

Europe’s chemical sector faces increasing pressure to diversify sourcing and reduce dependency on limited markets.

• Reduced reliance on a narrow supplier base.
• Resilient, diversified supply chains that can better withstand geopolitical shocks.
• Agility in responding to export controls, sanctions, or trade restrictions.

Strategic partnerships with Chinese producers are an important risk management tool in today’s complex global landscape.

Timing Matters: Why?

In a time of geopolitical tension and supply chain distruption, proactive supply planning becomes more important than ever. Companies that act now position themselves for long-term competitive advantages. China will continue to be a critical player in Europe’s chemical sector. Early engagement with trusted Chinese partners enables stable sourcing and gives companies access to cutting-edge innovations and fast-evolving markets.

CheMondis: Bridging China and Europe in the Chemical Industry

Recognizing China’s strategic role in the global chemical market is only the first step. The real challenge for many European companies lies in executing partnerships with Chinese producers in a way that is efficient, compliant, and scalable. This is where CheMondis delivers tangible value.

CheMondis is a digital B2B platform purpose-built for the chemical industry. We connect European Buyers directly with thoroughly vetted Chinese Suppliers. Each partner in our network is subject to strict quality control and compliance standards, ensuring that every transaction can meet the expectations of regulated European markets.

We also address a critical issue in international business: communication. The platform is designed to eliminate language and cultural barriers by offering a streamlined digital environment where communication is clear, direct, and efficient. This enhances transparency, speeds up negotiation cycles, and helps build trust on both sides of the transaction.

By combining Verified Supplier access, and a seamless digital interface, CheMondis enables European chemical companies to tap into China’s industrial capabilities with confidence. Our platform supports safe, efficient, and scalable sourcing that aligns with both operational goals and compliance requirements.