US Coated Fabrics Demand to Reach 635 Million Square Yards in 2016

US demand for coated fabrics is forecast to increase 3.5 percent annually to 635 million square yards in 2016, an improvement from the declines of the 2006-2011 period.  Gains will be driven by a rebound in motor vehicle production, the largest market for coated fabrics.  In addition, renewed economic growth, rising manufacturing output, and rebounding construction activity will provide opportunities.  These and other trends, including market share and product segmentation, are presented in Coated Fabrics, a new study from The Freedonia Group, Inc., a Cleveland-based industry market research firm.  

In 2011, polymer-coated fabrics were the largest coating category, accounting for 88 percent of total coated fabric demand in value terms.  Within this category, vinyl-coated fabrics are the most commonly used materials, accounting for 40 percent of total polymer-coated fabric demand in 2011.  The significant share of vinyl-coated fabrics is primarily due to their relatively low cost and adequate durability for many applications. 

In 2011, over one-quarter of all coated fabric demand was attributable to the motor vehicle market, based on applications such as airbags, upholstery, headlining, trim, tops, and covers.  Airbags are projected to provide the best growth opportunities, driven by an increase in the number of airbags per vehicle partially due to government regulations, and the inclusion of more airbags into a larger number of vehicle types at varying price points.

Among other markets, those that are most closely tied to renewed construction activity (e.g., wallcoverings, furniture, and awnings and canopies) will achieve above average growth.  The protective clothing market will also achieve above average gains, benefiting from accelerating manufacturing output, as processes in many industries, such as chemicals, pharmaceuticals, and electronics, require employees to wear protective gear. Ongoing spending on protective clothing for military personnel and first responders will also boost coated fabric demand.

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.