Dual Value as a Weather-Protective and Ornamental Exterior for Buildings Sustains Global Growth of the Siding Industry

The global Siding industry is forecast to reach 74.6 billion square feet by 2022, driven by the dual value of siding as a weather-protective and ornamental building exterior.

Siding is a wall cladding product, applied to create an elegant, adorning, waterproofing and protective building exterior. Siding can be made with different materials such as bricks, fiber cement, stucco/EIFS, vinyl, wood, stone, and metal, and in various styles such as bars, boards, shingles and laps etc. Siding, over the years, has evolved as a decorative and safety component virtually in all new residential and non-residential construction programs and also in building renovation & remodelling projects as well as in prefabricated buildings vertical. Against the backdrop of growing focus on architectural efficacy and structural robustness of buildings, the importance of siding is gathering momentum. Extending an important element of external architecture vital for construction of resilient buildings, siding continues to make robust progress. Besides improving aesthetics and waterproofability of a building, siding is also gaining traction due to its functional properties such as insulation and resistance to fire, and chemicals.

Siding, like all other construction materials, remains exposed to swings in the construction sector, with number of new construction projects in residential & non-residential segments, and home repairs & remodeling spending volumes determining the siding demand. Siding industry is poised to gain from ongoing stable growth in the world construction sector. While emerging nations are forecast to play a major role in steering the construction industry, contribution of developed nations is also expected to remain highly relevant. Macro factors such as growing population, rapid pace of urbanization, expanding middle class group, growing disposable incomes and improving living standards, are poised to play pivotal role in construction spending in the immediate term. Similarly, higher bracket for building construction and infrastructure development by governments across the world would also infuse growth into the construction sector. The overall optimistic scenario in the construction sector, thus favors growth of the siding industry in the short- to medium-term. However, siding industry has to deal with certain issues such as growing concerns over fire safety of wall cladding in high-rise buildings, and increased use of glass for exterior walls, which invalidates the use of conventional building materials in wall construction.

Asia-Pacific represents the largest market worldwide and is forecast to emerge as the fastest growing market with a CAGR of 8.2% over the analysis period, led by factors such as growing population and a parallel increase in home constructions; healthy GDP growth, robust business environment and the ensuing increase in commercial building constructions; rise of tourism and the hospitality industry and the resulting increase in hotel constructions and the growing preference for clapboard style hotel architecture.

Major players in the market include Alside Inc., Alumasc Group Plc, American Building Components, Associated Materials Inc., BlueScope, Boral Limited, Certain Teed Corporation, Designer Panel Systems, Etex, Forterra Building Products Limited, Gentek Building Products Inc., Georgia-Pacific Corporation, James Hardie Industries PLC, Kaycan Ltd., Kingspan Panels, LIXIL Group Corporation, Louisiana-Pacific Corporation, Metal Building Components Inc., National Cladding Wales Ltd., NCI Building Systems, Nichiha Corporation, Palagio Engineering Srl, Peter L. Brown Co., Ply Gem Holdings Inc., Royal Building Products, Ruukki Construction, Sto Corp., Toray ACE Co. Ltd. and Wienerberger AG among others.

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