Being at the mercy of others isn't for the faint of heart, especially for those who own and manage finishing and coating operations in North America.
You can run the most efficient finishing operation known to man, have all your ducks in a row, have a management team that knows how to manage properly, a staff that is dedicated and appreciative of the customer that pays their wages, and all of it could be naught if one day your customer decides to cut back on making a part they send you, or even stop making that part altogether.
Being in the finishing and coating industry often means you have little or no control over how much growth you may have over the next five to 10 years, or whether you can afford that CapEx project or facility expansion. When customers dictate your future — and, let's be honest, customers dictate nearly every business's future, but it seems more prevalent in the finishing and coating world — then planning for it is sometimes an adventure all its own.
Each year, FinishingAndCoating sets out to ask just a few simple questions of its readers:
- How did you do this year compared to the year before?
- How do you think next year will be compared to this year?
- What trends do you see in the business?
It's a quick survey that reveals a lot about where the finishing and coating industry has been and—more importantly—where it is headed.
We surveyed over 1,700 for our cover story in the January 2026 issue, seeking a glimpse into what happened to shops and facilities in 2025.
About 37% said business was down 10% or more from 2024 numbers. Many more say that little to no growth was observed, with rising operating costs cutting into profits more than ever.
- “Economic conditions (inflation), impact of tariffs, lack of direction of automakers on EV vehicles, and cost of living.”
- “Top three clients moved out of state.”
- “Interest rates are high, so new and used vehicles are not selling.”
- “I believe tariffs and political uncertainty contributed to the flat line in business.”
Those were just a few of the comments we received from shops. Inflation was the main culprit, but the core reason is that manufacturers are a little more wary about how the past year went because of the tariff battles the new administration was fighting with countries where many of these finished parts might be shipped.
And when a manufacturer delays or postpones new orders and shipments, the trickle down to the finishers and coaters is obvious.
Hopefully, those concerns will clear themselves up fairly quickly now that we are in 2026 and the economy seems to be on the upswing. About 60% of shop owners expect a modest uptick in business in 2026, with at least a 10% increase over 2025. About 30% of shops report forecasting revenue increases of 20% or more, while about one-fourth (23%) expect business to be stagnant or down from 2025 levels.
“I am hoping for a better political climate and a steadier economy going forward,” one shop owner says.
“Lower interest rates and new tax laws regarding capital equipment should increase demand for equipment and machinery,” another owner says. “Employment numbers will likely continue to look good, and a strong stock market keep consumer sentiment positive.”
In that case, we can only say “Happy New Year” and keep our fingers crossed.
Tim Pennington is Editor-in-Chief of Finishing and Coating, and has covered the industry since 2010. He has traveled extensively throughout North America visiting shops and production facilities, and meeting those who work in the industry. Tim began his career in the newspaper industry, then wound itself between the sports field with the PGA Tour and marketing and communications firms, and finally back into the publishing world in the finishing and coating sector. If you want to reach Tim, just go 
