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POWDER COATING, March 2016 39 Canadian primary aluminum production increases in January M O N T R E A L , Q u e . — T h e A l u - minum Association of Canada re- ported that primary aluminum pro- duction in Canada continued its up- ward trend by increasing for the eighth consecutive month. Production in January 2016 increased 1.8 percent to an annual rate of 3,090,941 metric tonnes, up 54,812 tonnes over the De- cember 2015 rate of 3,036,129 tonnes per year (TPY). Compared to a year ago, production was up 8.7 percent o v e r t h e J a n u a r y 2 0 1 5 r a t e o f 2,843,715 TPY. Actual production in J a n u a r y t o t a l e d 2 6 1 , 8 0 1 m e t r i c tonnes. This report is based on infor- mation provided to The Aluminum Association of Canada by survey par- ticipants, which is aggregated by the Association. Primary metals leading index decreases in December RESTON, Va.—The primary metals leading index decreased in December, and its 6-month smoothed growth rate fell deeper into negative territory. The US economy increased at a slower rate in the last quarter of 2015, with the manufacturing sector operating below its long-term trend. Moreover, ad- vanced new orders for durable goods decreased in December, suggesting that the manufacturing sector's metals demand in 2016 is likely to decrease further. The strength of the US dollar and slow global economic growth con- tinue to reduce US metal products ex- ports. Meanwhile, the level of metal imports remains high. The metals price leading index growth rate re- mained in positive territory in Novem- ber, normally this would suggest that the decline in metal prices could slow in the near term. However, high global metal inventories and metal produc- tion is undermining any sustained price growth. The primary metals leading index de- creased 1.4 percent to 155.5 in De- cember from a revised 157.7 in No- v e m b e r . T h e i n d e x ' s 6 - m o n t h smoothed growth rate, a compound annual rate that measures the near- term trend, decreased to -6.1 percent from a revised -4.3 percent in Novem- ber. A growth rate above +1.0 percent is usually a sign of an upward near- term trend for future metals activity, whereas a growth rate below -1.0 per- cent indicates a downward trend. Three of the four indicators that were available for the index's calculation de- creased in December. The Institute for Supply Management's Purchasing Managers' Index (PMI) fell below the threshold that denotes a decrease in fu- ture manufacturing activity for the sec- ond consecutive month in December. It made a -0.1 percentage point contri- bution. The primary metals leading index is subject to revision next month when the remaining four components become available. Paints and coatings spur epoxy resin growth SAN FRANCISCO, Calif.—Forecast- ers are predicting a favorable growth pe- riod for the epoxy resins market in the coming 7 years. The global market for epoxy resins is expected to reach 12.1 bil- lion by 2022. In 2014, the global market was estimated at 6.63 billion. This is ac- cording to Epoxy Resins Market Analysis by Application and Segment Forecasts to 2022, a new report by Grand View Re- search, an industrial market research firm. Increasing demand for paints and coatings as a result of sustained growth in the construction and automotive indus- tries is credited with boosting the market now and is expected to continue to drive the global epoxy resin market over the forecast period. The upward trend is ex- pected to continue as certain end-use markets grow and create more demand in industrial applications, including powder coatings. Paints and coatings was the largest ap- plication segment and was responsible for more than 40 percent of the global market in 2014. The demand for auto- motive coatings, as a result of increased automobile production, is predicted to create more need in this segment in the forecast period. Composites are ex- pected to be the fastest-growing appli- cation segment, at a rate of 7.3 percent globally from 2015 to 2022. Growing demand for lightweight, high-perfor- mance materials, particularly in the aviation and automotive industries, is expected to drive this segment. Manufacturing sector's economic activity contracts for fourth month TEMPE, Ariz.—Economic activity in the manufacturing sector contracted in January for the fourth consecutive month, while the overall economy grew for the 80th consecutive month, say the nation's supply executives in the latest Manufacturing ISM Report On Business. The report is based on data compiled from purchasing and supply executives nationwide. The January PMI registered 48.2 per- cent, an increase of 0.2 percentage point from the seasonally adjusted De- cember reading of 48 percent. The New Orders Index registered 51.5 per- cent, an increase of 2.7 percentage points from the seasonally adjusted reading of 48.8 percent in December. The Production Index registered 50.2 percent, 0.3 percentage point higher than the seasonally adjusted December reading of 49.9 percent. The Employ- ment Index registered 45.9 percent, 2.1 percentage points below the sea- sonally adjusted December reading of 48 percent. Inventories of raw materi- als registered 43.5 percent, the same reading as in December. The Prices Index registered 33.5 percent, the same reading as in December, indicat- ing lower raw materials prices for the 15th consecutive month. Manufacturing contracted in January as the PMI registered 48.2 percent, an increase of 0.2 percentage point from the seasonally adjusted December reading of 48 percent, indicating con- traction in manufacturing for the fourth consecutive month. A reading above 50 percent indicates that the manufacturing economy is generally expanding; below 50 percent indicates that it is generally contracting. A PMI above 43.2 percent, over a period of time, generally indicates an expansion of the overall economy. The past relationship between the PMI and the overall economy indi- cates that the PMI for January (48.2 percent) corresponds to a 1.6 percent increase in real gross domestic product (GDP) on an annualized basis.