From the viewpoint of an equipment supplier, there are several areas that seem to impact the finishing industry. All companies are being squeezed from both sides. The customers of the product, whether it is another manufacturer or the final consumer, are pushing to keep the price down. In addition, the costs of energy and raw materials keep going up.

In many cases, these increases cannot be passed on due to contracts that were signed several years ago. This creates a dilemma for many companies.

The increase in steel and energy prices, in particular, also impacts the equipment supplier greatly. Because we have such a long sales cycle (i.e., the time between quoting and an order being placed), it is difficult to predict what the cost will be when the order is finally worked on. Equipment suppliers have had to place inflation factors in the quotations to cover increases in steel costs and expenses to deliver the equipment (gas surcharges). Purchasers of equipment typically want a firm quotation.

Another area that we find many companies looking at is only the purchase price of the equipment used in the finishing process. They are not looking at what the "life" cost of the equipment will be. In these days of reverse auctions, the cost of maintenance, uptime and energy are not typically factored into the buying decision. A piece of equipment may be less expensive on initial cost, but when energy and maintenance costs as well as the loss of production due to downtime are factored in, it may be more expensive in the long run. These days, it is very difficult to sell a piece of equipment which costs more but has a one- to two-year payback in energy savings. Another area typically missed when a system is being purchased is the disposal costs of paint. The maintenance labor required to maintain a dry filter booth and dispose of the filters in a high production facility can be very costly. In addition, the potential hazards of handling the filters to the employees must be factored in. In some cases, a waterwash spray booth with an automatic sludge removal system is far more economical in the long run.

From a technical standpoint, one area that can impact both product quality and paint and powder usage in a finishing line is the environmental conditions in and around the booths. Many waterborne paints require a specific range of temperature and humidity to properly transfer the paint from the spray gun to the product. If this is not controlled properly, the transfer efficiency and product quality can be impacted.

The same thing applies for powder paints. Most powder applications require a specific range of temperature and humidity. The transfer efficiency and application onto the parts can be greatly impacted. In addition, the powder may fall off the product if this range is not maintained. This impacts the quality and throughput of the system.

Review & Forecast compiled by Greg Valero, Editor and Publisher.