PDF Document 2.46 MB - Geveko

ChemTech business area / Geveko IndustriWithin the corrosion protection product area Geveko Industri has entered into a partnership with the manufacturer of Lada cars inTogliatti, Russia.protection products, the transition tomore eco-friendly products andapplication methods continued in2007, particularly in Sweden andNorway. Tests have also been performedin the rest of the Nordicregion and in Russia, and the productswill be launched in 2008.More and more people in theautomotive industry are realisingthat a supplementary anti-corrosiontreatment will be needed sooner orlater on the Nordic market owing tothe harsh conditions, seen from acorrosion viewpoint, with salt andplenty of moisture. This has inducedmore carmakers to go into partnershipwith Geveko Industri and itssubsidiary Svensk Bilvård AB in 2007in order to complement their corrosionprotection.The demand for professionalanti-corrosion treatment has r e -mained firm throughout the Nordicregion. Sales of Mercasol ® have continuedto expand as a result of partnershipswith a number of carmakerson the Russian vehicle after-salesmarket. The corrosion protectionproduct area, which also includesproducts for Industry and Offshore,noted sales growth of more than20% in 2007.The corrosion protection productshave also shown that they morethan satisfy the new EU regulationson solvents.Outlook for 2008The Nordic building and civil engineeringeconomy is expected toshow sustained strength with infrastructureinvestments in Norway,Sweden and Finland. Economic conditionsgained momentum in theBenelux countries in 2007 and areexpected to show further growth in2008, whereas the Germany economyslowed down in the second halfof 2007 and growth is expected to belower in 2008.Further investments to broadenthe market in Sweden and theNetherlands primarily will continuein 2008 All in all, our view is thatMercalin ® marking sprays will continueto do well in 2008.Sales of Mercasol ® corrosionprotection products are expected tomake further good progress in 2008,as a result of growth in the Nordiccountries, Svensk Bilvård’s plannedmarketing drive in Sweden, and ahigher market share in Russia. Ecofriendlyproducts and corrosion protectionmethods are being launchedand will result in a growing numberof stations in the Nordic regionchanging products. There is interestin Russia in these products as well asin products adapted to the Russianautomotive market.Commodity prices also rosemore strongly than expected in 2007owing to higher oil prices, since thepricing of most commodities is energyrelated or based on oil derivatives. Itis difficult to predict prospects for2008, but commodity prices areexpected to remain stable, albeit at ahigh level. However, a variety ofglobal factors, which impact on oilprices, could alter the picture at shortnotice.The process of harmonisationwith REACH (Registration, Evalua tionand Authorisation of Chemicals), theEU’s new rules, is in progress. Theimpact on Geveko Industri willdepend mainly on the way in whichsuppliers of raw materials act as thecompany is a secondary user anddoes not need to carry out its ownregistration. New and modifiedproducts are being launched successivelyin order to satisfy the environmentalrequirements of the EU andour customers. In 2007, GevekoIndustri’s environmental managementsystem was certificated in accordancewith ISO 14001. Geveko Industrinow has integrated certification inboth quality and the environment.Future prospectsGeveko Industri’s aim is to take continuousaction to improve productivityand profitability, and to furtherdevelop products that satisfy varyingcustomer needs and requirements.The demand for environmentaladaptation involves regular day-todayeffort on the internal and externalenvironment and the reformulationof products with retained userfunctionality. It is by responding tothe wishes of customers, authoritiesand organisations that we can createnew business opportunities for moreadapted products.41