Paint Power Plays: What Comes Next for Independent Shops

You can’t exist as an independent repair facility owner in 2026 without an increasingly strong chance of passing a few goliath MSOs on your way to work.

For better or worse, consolidation is a fact of life in this industry. For as many independent shop owners who groaned a decade ago at the idea of consolidators entering their markets, there are just as many owners today retiring with a check from one of these major corporations in their pockets.

Just like the decades-old debate over DRPs, the question of whether a shop will fight MSOs or ultimately leave their business to them is a personal business decision. However, in the case of the automotive paint industry, that choice is quickly being made for you. Here’s why…and what it could mean for independent body shops moving forward.

Coatings Companies Change Course

Although summer is typically a time for relaxation, the paint industry didn’t rest for a second this past season. July saw the official launch of Surventis, an independent company formerly known as BASF Coatings. The company’s arrival follows the acquisition of a majority stake in BASF’s Coatings business by the Carlyle Group, in partnership with Qatar Investment Authority. BASF retains a 40 percent stake.

“As a standalone company, Surventis will operate with greater speed, agility and focus,” noted a July 1 press release on what the company called its “carve-out” from BASF. “Carlyle will support the business through targeted investments in its global capabilities and local operations, drawing on its track record in carving out and building standalone industrial companies. Surventis will strategically focus on entrepreneurship, performance and growth – helping customers succeed in today’s demanding and fast-evolving markets.”

Surventis promised to pick up where BASF Coatings left off, serving more than 42,000 customers in over 140 countries. Brands now under the Surventis banner include Chemetall, Glasurit and R-M.

BASF is far from alone in changing its structure. As of this writing, a merger between Axalta and AkzoNobel appears increasingly likely, with the union anticipated to become official by either year’s end or the early part of 2027. (An earlier joint attempt by Nippon Paint Group and Sherwin-Williams to purchase AkzoNobel ultimately stalled.) PPG, meanwhile, doesn’t appear to be going anywhere, although it already has a history of acquiring other entities. The company’s 2018 purchase of SEM Products is just one headline-grabbing example.

Taken together, these developments point to the high level of change taking place among some of the industry’s largest players. Changes in ownership, corporate structure and strategic direction continue to reshape the paint industry we once knew…just like that larger neighborhood independent business that was transformed into a big-name megashop seemingly overnight.

Pressure and Possibility

What do all these mergers, acquisitions and rebrandings mean for the shops that depend on the paint industry every day? Ultimately, it’s just another reason for repair businesspeople to think and act on their feet.

To get a sense of how these maneuvers could affect the collision repair industry down the line, simply consider the current state of consolidation on the shop side. Gone are the days when MSOs were confined to major metropolitan areas. Today, aircraft carrier-sized facilities are operating in some of the sleepiest semi-rural markets in the country.

Naturally, insurers that have invested in partnering with these facilities will do everything they can to direct consumers their way, doing little to support independent operations in those markets. As the big guns continue to dominate, consumer choice inevitably diminishes, even if smaller facilities somehow manage to weather the wave.

A similar scenario could soon impact independent shops in another way: fewer choices and less leverage to negotiate discounts and other perks in the paint market. At a time when independents are already struggling to maintain profitability amid perpetually shrinking margins, weakened bargaining power with paint suppliers could put even more pressure on their bottom lines.

That said, economic pressure on the independent body shop industry is nothing new, and adversity has always created new opportunities. Consolidation of the paint industry could prove to be just the latest reason for enterprising shops to use their long-standing ability to pivot toward areas that provide a stronger means of survival. With ADAS, “software as a service” and other automotive trends calling for greater specialization on the repair side, the potential for shops to branch out into new revenue streams has rarely been higher.

Something may take out the independent repair industry one day, but it very likely won’t be paint manufacturer consolidation.

Want more? Check out the September 2026 issue of Hammer & Dolly!