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US Siding Market, Freedonia

  • January 2016
  • 367 pages
  • Freedonia
Report ID: 847923


Table of Contents

US demand to rise 5.6% annually through 2019

US demand for siding is forecast to grow 5.6 percent per year to 100.0 million squares in 2019, valued at $10.7 billion. A rebound in building construction activity, in particular double-digit gains in housing completions, will stimulate siding demand in the new residential market, which is expected to become the largest siding market by 2019. Fiber cement and stucco siding materials will enjoy the best prospects in new housing applications because of strong growth in housing construction in the South and West, where these siding materials are popular.

US siding demand will also benefit from a turnaround in the residential replacement segment. Homeowners and landlords who postponed or cancelled re-siding projects in the aftermath of the 2007-2009 recession will now be able to undertake them.

Brick, stucco to be fastest growing siding types

Brick and stucco siding are forecast to record the most rapid advances in demand among siding types through 2019. Brick siding demand will be spurred by accelerating growth in building expenditures, particularly in the South, where the material is most commonly utilized because of its favorable aesthetics and long tradition of use in the region. Stucco demand is also becoming increasingly preferred as a siding material due to its low cost and minimal maintenance requirements. Demand gains for stucco will be especially strong in the West based on the popularity of Spanish style architecture in the region.

Vinyl siding to remain largest product segment

Vinyl siding accounted for the largest share of US siding demand with onequarter of the total in 2014. However, vinyl siding’s market share has consistently fallen since 2004. Vinyl siding has faced continued competition from other materials perceived to be more aesthetically pleasing.

Nevertheless, vinyl siding is expected to remain the leading material installed in the US through 2019 based on its low cost, long lifespan, and minimal maintenance needs. Additionally, the large stock of existing homes that utilize vinyl siding will support improvement and repair demand, as homeowners often prefer to use the same material when replacing older or worn siding.

Nonresidential buildings to be fastest growing market

Rebounding nonresidential building construction activity will also serve to bolster siding demand going forward. The commercial and lodging and office segments, both of which declined between 2009 and 2014, are projected to record the fastest rates of growth through 2019. Improving economic conditions are expected to boost demand for siding through the construction of restaurants, hotels, resorts, and offices.

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