Paint and Varnish Wholesalers

The 933 paint, varnish, and supply wholesalers in the US act as middlemen between manufacturers and a variety of end users, including retailers, other wholesalers, collision repair centers, OEMs, and building contractors. Special purpose coatings, which include automotive paints, account for over 40% of industry sales. Architectural coatings account for one third of industry sales. Other products include architectural coatings, enamels, primers, stains, solvents, and lacquers; paint supplies (brushes and rollers); OEM coatings; and wallpaper and wallpaper supplies.

Dependence on Automotive Collision Repair Business

Because automotive paint and coating sales account for a significant percentage of the market, the industry is influenced by demand from the vehicle collision repair market, which consists primarily of small independent businesses.

Dependence on Construction Industry and Economy

Demand for architectural paint and coatings is dependent on the health of the construction industry, which is cyclical and influenced by economic conditions.

Jul 27, 2026 - Remodeling Index Remains Positive

• The NAHB/Westlake Royal Remodeling Market Index (RMI) reading for the second quarter of 2026 was 61, down one point from the first quarter, according to a July 2026 report by the National Association of Home Builders (NAHB). Any RMI reading over 50 indicates that most remodelers feel market conditions are good. In the second quarter, the Current Conditions Index portion of the RMI remained unchanged at 70 compared to Q1 2026. The Future Indicators Index component of the RMI declined by two points to 52. The NAHB noted that the lock-in effect of high mortgage rates may incentivize existing homeowners to renovate rather than move, but that inflation may prompt some projects to be postponed, especially larger ones.
• The New York Times reports that the 21st Century ROAD to Housing Act is the largest federal housing measure in a generation, but it is unlikely to ease high rents and home prices soon. The law encourages local governments to allow denser housing and faster permitting, streamlines some affordable housing rules, protects new build-to-rent developments from investor restrictions, and removes a costly chassis requirement for manufactured homes. It also directs HUD to study changes that could expand modular construction. These provisions could support the US residential construction market by lowering factory-built housing costs, encouraging the development of new rental communities, and reducing local barriers to development. However, cities and states still control most zoning and land-use rules, while interest rates shape mortgage affordability. With little new funding and housing projects requiring years to complete, the law's effects are expected to emerge gradually.
• US housing starts rose 19% month-over-month and increased 3.5% year-over-year in June, according to the US Census Bureau. The rise in starts was led by a 76.3% increase in multifamily project starts involving five or more units, a segment of the residential construction sector that can be volatile month-to-month. Multifamily starts were up 19.3% compared to June 2025. Single-family starts in June were down 0.2% from May and 3.2% compared to a year earlier. High mortgage rates and a glut of unsold new homes continue to put downward pressure on single-family building. High costs for land and materials are also hindering building activity. Building permits for single-family slipped 2.4% in June from May, marking the lowest level in 10 months. June's multifamily permits dropped 4.9% from the month before.
• AkzoNobel rejected a roughly 12.49 billion euro takeover bid from Nippon Paint and Sherwin-Williams, choosing instead to pursue its planned merger with Axalta Coating Systems, according to The Wall Street Journal. The decision underscores ongoing consolidation pressures in the global paint and coatings industry, where companies are seeking scale, portfolio breadth, and geographic reach to compete across decorative, industrial, and specialty segments. Akzo said the offer, which included a proposed breakup of its business, undervalued its long-term prospects and was subject to regulatory uncertainty. The bid represented a 39% premium to Akzo’s prior closing price. Akzo’s boards reaffirmed support for the all-stock Axalta deal, while Nippon Paint and Sherwin-Williams did not comment.

Industry size & Structure

The average paint, varnish, and supply wholesaler employs 22 workers and generates $23.8 million annually.

• The paint, varnish, and supply wholesale industry consists of about 933 firms that employ 20,100 workers and generate $22.2 billion annually.

• The industry is concentrated; the top 50 companies account for about 84% of industry revenue.

• Large automotive paint, body, and equipment (PBE) wholesalers include LKQ Corporation and ThePaintStore.com. Large manufacturers of paints and coatings include PPG, Sherwin-Williams, and RPM. Sherwin-Williams is one of the largest wallpaper distributors in the US.