Tim Knavish: Infrastructure. All right. Thank you. Thank you. US infrastructure, we are starting to see, I would call it, upstream project activity and we’re very active in the specification side of ensuring that our products are well specified, whether it’s traffic or protective coatings or architectural coatings or industrial coatings. Typically, paint and coatings are late stage in those projects, sometimes last stage in those projects. So this is more of a ‘24 and beyond growth opportunity for us, but we’re certainly seeing that upstream activity happening now. We’re excited about it and we’re very active with it.
Vince Morales: And if I could add, it’s not US comment, but it’s a Mexico comment. We are seeing a significant amount of near-shoring occur in Mexico, several hundreds of building permits for manufacturing facilities have been requested. Those will yield benefits for us certainly in ‘24 and ‘25 as that manufacturing is put in place. And then as Tim mentioned earlier, we have a full-fledged array of PPG businesses in Mexico to facilitate further painting once that industrial activity picks up as well as our strong Comex brand.
Tim Knavish: Yeah, just to put some metrics around that Mexico nearshoring. In Q1 of this year, there’s about $48 billion of nearshoring investments in Mexico. That’s 3x, three times Q1 of 2022. So we are really seeing that pickup and were involved in the specification side of that business as well.
Operator: Your next question comes from the line of Mike Harrison. Your line is now open.
Mike Harrison: Hi. Good morning. Wanted to ask about auto OEM and the price realization that you’re seeing there. Is there more still to come on pricing in auto OEM? And are there any instances where you’re starting to see some customer pushback related to raw material declines either in auto OEM or any other subsegments?
Vince Morales: Yeah, Mike. This is Vince. Let me start and I’m sure Tim will have some color here. But it’s taken us a while as it typically does, at doing an inflation cycle to negotiate with our customers, get paid for the value we provide. So we had a lag on the way up in terms of the inflation versus price to our OEM customers. We’re in a steady state environment now. We’re not seeing any pushback We’re still trying to capture — as the volume grows, we’re still trying to capture our margins back in that business, but we’re not seeing any pushback at this point from the customers. Again, that’s a traditional lag effect that we would see in any inflation cycle.
Tim Knavish: And to your broader question about other segment, I would say normal market dynamics, nothing significant, nothing material. There’s been some intense competitive pressure just around the edges. But at the core, we haven’t really seen anything that was unexpected or out of the normal.
Operator: Your next question comes from John Roberts. Your line is open.
John Roberts: Thank you. Refinish organic sales were up mid single digit. I don’t know what pricing was up, but the Performance segment was up 6%. Refinish volumes globally flat and when you talk about it being better than expected, was price better than expected or was volume better than expected?
Tim Knavish: Yeah. Hey, John. Volume was positive here in the US, which of course is our most — largest and most critical market. And that was better than we expected. Volume in Europe, I would say, was worse than we expected. Volume down there a bit more than we thought. And then volume in China, a little bit muted because of the slower recovery, but we see that is sequentially improving as time goes on. But overall, great quarter for that business, really bullish on particularly the US side and we’re watching closely what happens on the Europe side.
