New York, NY (PRWEB) August 05, 2014
The Ceramics Manufacturing industry is composed of producers of three different types of products: pottery, kitchenware and artwork; porcelain plumbing fixtures and porcelain electrical supplies. According to IBISWorld Industry Analyst Zachary Harris, “All three of the industry's subdivisions have been in a state of long-term decline as high production costs have made domestic operators uncompetitive with foreign manufacturers, who satisfy the vast majority of domestic demand for industry products.” The one exception to this trend is small-scale craft ceramics products makers, who largely do not compete on price and are therefore able to defend their market share against foreign competitors. The recession damaged this industry, with revenue falling 33.8% in 2008.
Since 2009, the industry has continued to suffer, albeit at a slower rate than before and during the recession. The majority of industry revenue declines over the past decade can be explained by the closure of plumbing fixtures and ceramic electronic components manufacturing establishments over this period, the larger part of which exited the industry following the recession. While this trend continued during the five years to 2014, the number of industry exits slowed compared with previous years. As a result, IBISWorld expects industry revenue to decline an annualized 3.6% over the five years to 2014. In 2014, industry revenue is expected to fall 5.9% to $31.7 million.
Industry revenue is expected to continue to decline over the five years to 2019, albeit more slowly than over the past five years. This is due to the fact that although a significant amount of industry operators are expected to continue to leave Canada, the relatively low number of businesses in this industry shields it from the impact of large-scale exits. Conversely, small-scale ceramic crafts-makers, who have thrived over the past five years, are expected to continue to increase their sales as higher consumer spending bolsters demand for their products. Additionally, improvements in information and communications technology (such as the increasing geographic spread of PayPal) are expected to help small ceramic crafts-makers sell more exports. “Despite export growth, industry revenue is expected to fall over the five years to 2019, as plumbing fixtures and bathroom accessories manufacturers continue to leave the industry,” says Harris.
For more information, visit IBISWorld’s Ceramics Manufacturing in Canada industry report page.
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IBISWorld industry Report Key Topics
The Ceramics Manufacturing industry comprises establishments primarily engaged in shaping, molding, glazing and firing plumbing fixtures, pottery and electrical supplies, made entirely or partly of clay or other ceramic materials. The most-common products are porcelain, also called vitreous china.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US and Canadian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.