Freedonia Market Research Analyzes Roofing Industry

Demand for roofing is forecast to grow nearly two percent per annum through 2012 to more than 280 million squares, valued at $15.6 billion.  Demand for roofing weakened over the 2002 to 2007 period primarily due to decreased housing construction near the end of the period.  Going forward, the recovery of residential construction and an increase in nonresidential construction will provide better opportunities for growth.  These and other trends, including market share and company profiles, are presented in US Roofing, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm. 

The residential construction market, which accounted for more than 60 percent of total roofing area demand in 2007, is projected to provide the greatest roofing gains through 2012, driven by new construction activity.  After a period of sustained growth, housing construction contracted sharply in 2006 and 2007, resulting in a net decline in new residential roofing demand over the 2002-2007 period. 

Demand for roofing in nonresidential construction markets is projected to grow over one percent per year through 2012, in line with its pace between 2002 and 2007.  The outlook for roofing demand in new nonresidential applications is expected to improve, as nonresidential building construction increases.  The office and commercial construction market will provide the greatest growth, driven by increased demand in new construction applications.

While new roofing applications are expected to grow faster through 2012, the majority of demand will continue to come from reroofing applications.  In 2012, reroofing will account for three-quarters of total roofing demand.  Reroofing demand is expected to weaken through 2012, due to past construction cycles that reduced the number of buildings requiring routine reroofing over the forecast period.

Roofing tile and plastic roofing are anticipated to see the fastest gains through 2012.  Demand for roofing tile will be driven by the recovery of the residential market, especially in the South and West, where roofing tile demand is greatest.  Demand for plastic roofing, which is primarily used in nonresidential construction, will increase as plastic materials supplant bituminous low-slope roofing products.  Asphalt shingles will remain the most popular roofing product, owing to their dominant position in the large residential roofing market.  Asphalt shingles are forecast to account for more than 80 percent of residential roofing 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.