US Siding Market, Freedonia

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Aug 05, 2014, 08:25 ET

LONDON, Aug. 5, 2014 /PRNewswire/ -- Reportbuyer.com has added a new market research report:

US Siding Market, Freedonia

http://www.reportbuyer.com/industry_manufacturing/construction/construction_materials/us_siding_market_freedonia.html

US demand to rise 7.1% annually through 2018

US demand for siding is forecast to rise 7.1 percent yearly to 103.5 million squares in 2018, valued at $12.1 billion. As is the case with many building materials, an expected rebound in construction activity will be the primary driver for growth. For siding, the link to new housing is particularly strong, given that nearly every home in the US features exterior cladding. (In contrast, most nonresidential buildings opt for curtain walls or unclad structural walls). Homeowners are increasingly turning to lower maintenance, more durable siding materials such as fiber cement, brick, EIFS, and stone, although all siding products are expected to benefit from the forecast recovery in new housing completions. Also adding to gains will be continued growth in the key replacement market, which accounted for 57 percent of sales in 2013. Vinyl will remain the leading replacement siding by far but will continue to be challenged by newer materials with better performance characteristics.

Brick, concrete & stone siding to see fastest growth

Among material types, brick, concrete, and stone siding are expected to see the most rapid advances in demand going forward. Brick siding demand will be driven by increasing residential building construction in the South, where the material is most commonly specified because of its favorable aesthetics and long tradition of use in the region. Moreover, home builders across the US are expected to increasingly install brick siding because of its desirable appearance, long lifespan, and fire resistance. Concrete and stone siding is widely used in both residential and nonresidential structures. Concrete blocks can be utilized to provide functional yet durable exterior cladding, while precast concrete panels and synthetic stone veneers are specified to recreate the look of more costly siding materials -- such as brick or natural stone -- at a lower cost. Vinyl siding accounted for the largest share of siding demand in 2013; however, vinyl siding has seen its share of the US market fall from 39 percent in 2003 to 27 percent in 2013. Vinyl siding has faced strong competition from various other materials -- such as fiber cement, stucco, and wood -- seen as more aesthetically pleasing. Going forward, vinyl siding will remain the leading material installed in the US because of its low cost, long lifespan, and minimal maintenance needs. However, vinyl siding will continue to lose market share to materials seen as better able to improve the exterior appearance of residences.

Residential market to regain leading share status

Residential improvement and repair applications were the leading siding market in 2013, indicative of the low level of housing completions in that year. However, going forward, the new residential market is expected to regain its leading market position in 2018 as housing completions rise rapidly from their low base. Residential improvement and repair demand for siding will exhibit solid growth as homeowners who put off re-siding projects during the 2007-2009 recession will do them going forward. Nonresidential demand for siding is forecast to grow 6.8 percent per annum to 25.0 million squares in 2018, driven by rebounding nonresidential building construction. The commercial and lodging and office segments saw the steepest demand declines between 2008 and 2013, and will thus post the fastest advances through 2018. Improving economic conditions will spur the construction of shopping malls, hotels, resorts, restaurants, and offices.

Study coverage

This upcoming industry study, Siding, presents historical demand data for 2003, 2008 and 2013, plus forecasts for 2018 and 2023 by material, market and US region. The study also considers market environment factors, details industry structure, evaluates company market share and profiles key participants in the US industry.

TABLE OF CONTENTS

INTRODUCTION xii

I. EXECUTIVE SUMMARY 1

II. MARKET ENVIRONMENT 4

General 4
Macroeconomic Outlook 5
Demographic Trends 9
Consumer Trends 13
Consumer Spending 13
Consumer Financing 16
Building Construction 19
Residential Buildings 22
Housing Completions 23
Housing Stock 28
Improvements & Repairs 32
Nonresidential Buildings 33
New 33
Nonresidential Building Stock 36
Improvements & Repairs 38
Regulatory & Environmental Trends 40
Environmental Issues 40
Green Building Standards 43
Recycling 46
Other Regulatory Issues 47
Pricing Trends 48
Materials & Technology Trends 50
Historical Market Trends 52
Foreign Trade 55
World Siding Market 58

III. MATERIALS 62

General 62
Area Outlook 65
Value Outlook 66
Installed Costs 68
Vinyl Siding 70
Markets 73
Products 75
Characteristics 78
Suppliers 81
Fiber Cement 81
Markets 83
Products 85
Suppliers 87
Wood 88
Markets 91
Products 94
OSB 96
Wood Shingles & Shakes 99
Plywood 103
Hardboard & Other 106
Suppliers 110
Stucco 112
Markets 113
Products 115
Traditional Stucco 116
One-Coat Stucco 117
Suppliers 118
Brick 119
Markets 120
Products 123
Clay Brick 124
Brick Veneer 127
Suppliers 130
Concrete & Stone 130
Markets 132
Products 133
Concrete Block 134
Other Concrete & Stone 136
Suppliers 139
Metal Panels 140
Markets 142
Products 143
Suppliers 145
EIFS 146
Markets 147
Products 149
Suppliers 150
Other Siding 151
Steel Siding 152
Polypropylene 155
Aluminum Siding 156
All Other Siding 159

IV. MARKETS 162

General 162
Residential 165
New 167
Improvement & Repair 171
Demand by Housing Type 176
Single-Family 177
Multifamily 182
Manufactured Housing 185
Nonresidential 188
New 192
Improvements & Repairs 196
Demand by Building Type 201
Commercial & Lodging 202
Institutional 204
Industrial 206
Office 208
Other 210

V. REGIONS 212

General 212
Regional Demographic & Economic Activity 213
Population Patterns 214
Economic Outlook 217
Construction Activity 221
Housing Trends 223
Siding Demand by Region 226
Northeast 228
Demand by Market & Subregion 228
New England 230
Middle Atlantic 231
Demand by Material 233
Midwest 237
Demand by Market & Subregion 239
East North Central 240
West North Central 242
Demand by Material 243
South 247
Demand by Market & Subregion 248
South Atlantic 250
East South Central 252
West South Central 253
Demand by Material 255
West 259
Demand by Market & Subregion 260
Mountain 262
Pacific 264
Demand by Material 266

VI. INDUSTRY STRUCTURE 270

General 270
Industry Composition 271
Market Share by Company 274
Market Share by Material 279
Vinyl 279
Stucco & EIFS 280
Wood 280
Brick 281
Fiber Cement 282
Metal Panels 282
Manufacturing 283
Competitive Strategies 285
Marketing 288
Distribution 291
Mergers & Acquisitions 294
Cooperative Agreements 296
Company Profiles 298
A&S Building Systems, see NCI Building Systems
Acme Brick, see Berkshire Hathaway
Alcoa Incorporated 299
Allied Building Products, see CRH
Alside, see Associated Materials
American Buildings, see Nucor
American Building Components,
see NCI Building Systems
American Original Building Products, see Ferriot
ASC Profiles, see BlueScope Steel
Associated Materials LLC 302
Axiall Corporation 306
BASF SE 308
Bayer IMSA, see Verzatec
Berkshire Hathaway Incorporated 310
BlueScope Steel Limited 313
Boise Cascade Holdings LLC 317
Boral Limited 318
Butler Manufacturing, see BlueScope Steel
CBC Steel Buildings, see Nucor
Ceco Building Systems, see NCI Building Systems
Cedar Valley Shingle Systems Incorporated 320
CertainTeed, see Saint-Gobain
Clarke Group 322
Coronado Stone Products Company 323
CRH plc 325
Dryvit Systems, see RPM International
Exteria Building Products LLC 328
Featherlite Building Products, see Berkshire Hathaway
Ferriot Incorporated 329
Garco Building Systems, see NCI Building Systems
General Shale, see Wienerberger Baustoffindustrie
Georgia Gulf, see Axiall
Georgia-Pacific, see Koch Industries
Gentek Building Products, see Associated Materials
Glen-Gery, see CRH
Gulf States Manufacturers, see Nucor
Hanson Building Products North America,
see HeidelbergCement
Hardie (James) Industries plc 331
Heartland Siding, see ProVia Door
HeidelbergCement AG 333
Heritage Stone, see ProVia Door
Kaycan Limited 335
Kirby Building Systems, see Nucor
Koch Industries Incorporated 337
Louisiana-Pacific Corporation 339
Mastic Home Exteriors, see Ply Gem Holdings
Materis Holding Luxembourg SA 341
Metal Building Components, see NCI Building Systems
Metl-Span, see NCI Building Systems
Mitten, see Ply Gem Holdings
Napco, see Ply Gem Holdings
NCI Building Systems Incorporated 343
Nichiha Corporation 346
Nucor Corporation 348
Oldcastle Architectural, see CRH
Parex USA, see Materis Holding Luxembourg
Ply Gem Holdings Incorporated 350
ProVia Door Incorporated 354
Resolite, see Verzatec
Revere Building Products, see Associated Materials
Rollex Corporation 356
Royal Building Products, see Axiall
RPM International Incorporated 358
Saint-Gobain 360
Schweiter Technologies AG 363
Shakertown 1992, see Clarke Group
Steelscape, see BlueScope Steel
Sto AG 365
3A Composites USA, see Schweiter Technologies
Varco Pruden Buildings, see BlueScope Steel
Variform, see Ply Gem Holdings
Verzatec SA de CV 368
Weyerhaeuser Company 369
Wienerberger Baustoffindustrie AG 371
Additional Companies Mentioned in Study 373

LIST OF TABLES

SECTION I -- EXECUTIVE SUMMARY

1 Summary Table 3

SECTION II -- MARKET ENVIRONMENT

1 Macroeconomic Indicators 9
2 Population & Households 13
3 Personal Consumption Expenditures 16
4 Consumer Financing Environment, 2003-2013 19
5 Building Construction Expenditures 21
6 Residential Building Construction Expenditures 23
7 New Housing Indicators 28
8 Housing Stock by Type 31
9 Residential Improvement & Repair Expenditures 33
10 Nonresidential Building Construction Expenditures 36
11 Nonresidential Building Stock 38
12 Nonresidential Building Improvement & Repair Expenditures 39
13 Siding Pricing Trends 50
14 Siding Market, 2003-2013 54
15 Siding Foreign Trade 58

SECTION III -- MATERIALS

1 Siding Demand by Material in Area Terms 66
2 Siding Demand by Material in Value Terms 68
3 Vinyl Siding Demand 73
4 Fiber Cement Siding Demand 83
5 Wood Siding Demand by Market 91
6 Wood Siding Demand by Product 95
7 OSB Siding Demand 99
8 Wood Shingle & Shake Siding Demand 103
9 Plywood Siding Demand 106
10 Hardboard & Other Wood Siding Demand 110
11 Stucco Siding Demand 113
12 Brick Siding Demand by Market 120
13 Brick Siding Demand by Product 124
14 Clay Brick Siding Demand 127
15 Brick Veneer Siding Demand 129
16 Concrete & Stone Siding Demand 131
17 Concrete & Stone Siding Demand by Product 133

LIST OF TABLES

18 Concrete Block Siding Demand 136
19 Other Concrete & Stone Siding Demand 139
20 Metal Panel Siding Demand 141
21 EIFS Siding Demand 147
22 Other Siding Demand by Market & Material 152
23 Steel Siding Demand 154
24 Polypropylene Siding Demand 156
25 Aluminum Siding Demand 159
26 All Other Siding Demand 161

SECTION IV -- MARKETS

1 Siding Demand by Market 164
2 Residential Siding Demand by Market & Material 166
3 New Residential Siding Demand 171
4 Residential Improvement & Repair Siding Demand 176
5 Residential Siding Demand by Housing Type 177
6 Single-Family Housing Siding Demand 181
7 Multifamily Housing Siding Demand 185
8 Manufactured Housing Siding Demand 188
9 Nonresidential Siding Demand by Market & Material 191
10 New Nonresidential Siding Demand 196
11 Nonresidential Improvement & Repair Siding Demand 201
12 Nonresidential Siding Demand by Building Type 202
13 Commercial & Lodging Siding Demand 204
14 Institutional Siding Demand 206
15 Industrial Siding Demand 208
16 Office Siding Demand 210
17 Other Nonresidential Siding Demand 211

SECTION V -- REGIONS

1 Population by Region 217
2 Gross Domestic Product by Region 220
3 Construction Expenditures by Region 223
4 Regional Housing Indicators 226
5 Siding Demand by Region 227
6 Northeast Siding Demand by Subregion & Market 230
7 Northeast Siding Demand by Material 236
8 Midwest Siding Demand by Subregion & Market 240
9 Midwest Siding Demand by Material 247
10 South Siding Demand by Subregion & Market 250
11 South Siding Demand by Material 259
12 West Siding Demand by Subregion & Market 262
13 West Siding Demand by Material 269

SECTION VI -- INDUSTRY STRUCTURE

1 Siding Revenues for Selected Manufacturers, 2013 273
2 Selected Acquisitions & Divestitures 296
3 Selected Cooperative Agreements 297

LIST OF CHARTS

SECTION VII -- EXECUTIVE SUMMARY
SECTION VIII -- MARKET ENVIRONMENT
1 Year of Construction of Housing Stock, 2013 31
2 Siding Market, 2004-2013 55
SECTION IX -- MATERIALS
1 Siding Demand by Materials, 2013 Area & Value 64
2 Range of Installed Costs for Selected Siding Materials, 2013 70
SECTION X -- MARKETS
1 Siding Demand by Market, 2013 164
2 Residential Siding Demand by Material, 2013 167
3 Nonresidential Siding Demand by Material, 2013 192
SECTION XI -- REGIONS
1 Siding Demand by Region, 2013 228
SECTION XII -- INDUSTRY STRUCTURE
1 Siding Market Share, 2013 275