Latin America. As the planet moves towards a greener, public health-focused approach, regulations in the paints sector in Latin America are slowly tightening. According to the Mathiesen Group report, new regulations will be put in place by 2025 to bring local practices into line with global standards.
Governments in the area continue to place emphasis on creating tougher environmental regulations. According to a World Bank study (2023), stricter policies are being implemented to reduce the environmental impact of the paint industry, focusing on the reduction of volatile organic compounds (VOCs) and the promotion of more environmentally friendly alternatives.
Brazil's Environmental Protection Agency (IBAMA) has reported that, starting in 2025, stricter limits for VOCs will come into force, aligning with regulations implemented by the European Union in 2020.
Likewise, Mathiesen group stated that "these measures will drive manufacturers to develop new formulations, which will require greater investment in research and development (R+D)".
Chemical Safety
The Economic Commission for Latin America and the Caribbean (ECLAC, 2023) indicates that the "adoption of regulations similar to the European Union's REACH in nations such as Argentina and Colombia aims to guarantee the safe handling of hazardous materials."
Regarding the registration and supervision of chemical substances, these will have to be noted and analyzed by local authorities, which will imply a significant change in the activities of several companies.
This, then, conditions the economic impact of compliance. An analysis by Deloitte (2023) estimates that, although the initial costs to comply with regulations will be high, those companies that obtain security certifications "will benefit from greater consumer confidence and access to new markets".
Labeling
"The demand for greater transparency on the part of consumers has driven important changes in labeling regulations. By 2025, product labels are expected to contain more detailed information about their components and potential health and environmental effects," Mathiesen said.
In Peru and Ecuador, this action will be carried out so that buyers can obtain more accurate data on the sustainability of products.
