Housewraps Market in North America to Reach $2.79 Billion by 2017, According to New Report by Global Industry Analysts, Inc.

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GIA announces the release of a comprehensive report on the North American Housewraps market. Although the prolonged severity of the economic slowdown and depressed construction industry have elicited declines in housewrap sales between 2007 to 2009, the market nevertheless staged a recovery in 2010, and is projected to register $2.79 billion in sales by 2017. Growth in the North American housewraps market is expected to be driven by increase in building construction activity as a result of post recession resurgence in residential and non-residential construction spends. Growing focus on energy efficient constructions, tighter insulation standards and sustainable building practices will also help drive demand for housewraps in the region.

Housewraps: A North American Market Report

Use of weatherization products in construction is not a new concept as several weather resistant barriers placed over outer sheathing of walls have been put to use in home constructions for many decades. Building paper, the traditional weatherization product in form of sheet of paper or ‘felt’ with asphalt coating, which is designed to safeguard a house from exterior water penetration, continues to find adoption as a weather resistant barrier even today. However, developments in materials over the last two decades have led to the introduction of advanced and highly versatile synthetic housewrap materials, which offer dual protection against water penetration and air/dust infiltration, while simultaneously helping moisture to escape through the exterior envelope thus keeping the walls dry. With over two decades of presence in the mainstream market, housewraps now stands transformed into an essential building envelope product supported by technological advancements, which have helped make the advantages offered even more cutting edge.

Predominantly used in new residential and commercial constructions, fortunes in the housewraps market are closely tied to the overall economic growth and health of the construction industry. The recent recession, not surprisingly threw demand off-track with financial constraints, and budgetary cuts faced by builders, resulting in decline of orders for new installations. The new installation business is especially vulnerable to the recession thus explaining the erosion in sales of housewraps. Cancellation, postponement, and general weakness in new office, commercial and residential building projects as a result of tight lending norms, paralyzed credit markets, drop in property values and rentals, and rising vacancy rates, sharp falls in the number of applications for new building permits, increased inventory of unsold new, and existing homes, and cost cutting among commercial establishments have played instrumental roles in negatively impacting demand/ order influx rates.

Low business confidence and weakened financial muscle is citied as a primary factor responsible for putting into limbo expansion plans in commercial property. Private construction and remodeling work has also been mauled down due to weak residential spending. Depreciation in home values, decline in new housing starts, crumbling consumer confidence, rising levels of unemployment, and reduction in household wealth, among others, resulted in adversely impacting residential building construction spends. Volatile price movements of raw materials coupled with recession induced price sensitivity among customers and intense price competition, which largely restricts pricing flexibility, have exerted extreme downward pressure on corporate bottomlines.

As the heat and dust raised by the economic turmoil settles down and the current year limps out on a broken economy, improvement in the business environment and recovery in growth, which is already visible, is forecast to be in-sync with the recovery in residential and non-residential buildings construction. Expected recovery in the construction space by 2011, especially in commercial structures is expected to put the growth momentum back on track. Additionally, government support in the form of sponsored economic stimulus packages for construction industry, Federal Reserve’s monetary easing program and R&D funding for exploring new building technologies is also helping indirectly support demand for housewraps. Increased infrastructure spends, improvement in liquidity situation, softening of interest rates, and continued urbanization, will all help drive growth back into fore.

As the economy improves further in the short to medium term period, the housewraps market will regain its lost momentum, encouraged by the fact that tighter insulation practices will continue to remain a key feature in modern housing constructions in the region. The need for well-insulated, weather resistant residential and commercial buildings will continue to offer a fertile environment for the growth of housewraps market. The trend towards energy efficient and green buildings, which not only offer considerable cost benefits for home owners in terms of savings on operating costs for heating homes, but also prove beneficial to the environment by ensuring reduction in greenhouse gas emissions and controlling climate change, will continue to drive demand for housewraps in the years to come. Sustainable building practices are also emerging as a major trend in the industry, further propelling the use of housewraps.

As stated by the new market research report on Housewraps, the US remains the largest regional market for Housewraps. Comparatively a small market in terms of dollar sales, Canada nevertheless is the fastest growing regional market for housewraps in North America, waxing at a CAGR of more than 16% over the analysis period.

Major players in the marketplace include Alpha Pro Tech Ltd., Berry Plastics Corporation, CS Fabric International Corporation, Dow Building Solutions, E. I. DuPont De Nemours And Company, Fiberweb Plc, Intertape Polymer Group, Johns Manville, Owens Corning, Pactiv Corporation, Polymer Group Inc., Raven Industries Inc., and The Fortifiber Building Systems Group.

The research report titled “Housewraps: A North American Market Report” announced by Global Industry Analysts, Inc., provides a comprehensive review of market trends, issues, drivers, company profiles, and key strategic industry activities. The report analyzes the North American housewraps market by country US, and Canada, and by product markets, such as, Perforated Housewraps, and Non-Perforated Housewraps.

For more details about this comprehensive market research report, please visit – http://www.strategyr.com/Housewraps_Market_Report.asp

About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a reputed publisher of off-the-shelf market research. Founded in 1987, the company is globally recognized as one of the world’s largest market research publishers. The company employs over 800 people worldwide and publishes more than 1300 full-scale research reports each year. Additionally, the company also offers thousands of smaller research products including company reports, market trend reports, and industry reports encompassing all major industries worldwide.

Global Industry Analysts, Inc.
Telephone: 408-528-9966
Fax: 408-528-9977
Email: press(at)StrategyR(dot)com
Web Site: http://www.StrategyR.com/

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