According to the latest research report, Over the projected period, the asphalt shingles market size is predicted to grow at a CAGR of about 5.8 percent, reaching a market value of more than USD 8 billion.
Asphalt shingles, often known as wall or roof shingles, use asphalt for waterproofing. These are commonly used as roof covers since they are less expensive than other varieties and are simple to install. Such benefits drive overall demand for such shingles in new buildings and refurbishment, particularly in developed countries such as North America and Europe. The harsh temperature conditions in these locations, along with the requirement for aesthetics in the roofing system in the building industry, have led to the development of asphalt shingles.
As a result of increased urbanization, the construction sector has experienced modest development, with an increase in the number of new residential buildings and remodeling/renovation projects. This has fueled the expansion of the asphalt shingle sector. When evaluating the economic growth of any economy, the construction industry has always been an essential indication. Emerging trends like product and material innovation, investments, and others have a direct influence on the building industry's dynamics.
This report contains all the information on the global asphalt shingles market outlook and its strengths. The report also contains the culmination of dynamics, segmentation, key players, regional analysis, and other important factors. And a detailed analysis of the global asphalt shingles market forecast to 2027 is also included in the report.
Covid 19 Analysis
While the COVID-19 problem worsens, producers are progressively changing their methods and buying tactics to suit the demands of a market-based pandemic, creating a demand for Asphalt Shingles. Over the next several months, there will be a lot of both positive and bad surprises as companies and their vendors respond to rising client demand. With the global economy in disarray, numerous sectors appear susceptible to export-dependent economies. Because of a shortage of downstream demand, the impact of this pandemic will change the worldwide market for Asphalt Shingles, causing some producers to cease or reduce output. Some have had their output suspended as a precautionary measure by their respective governments to fight the spread of the virus. In such cases, market conditions in Asia Pacific areas have been fragile, collapsing on a regular basis and proving difficult to stabilize.
The worldwide asphalt shingles industry is very competitive, with several competitors from all over the world. The players used a variety of tactics to enhance their worldwide presence and market share. Some of the major strategies employed by the companies include advanced material product development, mergers and acquisitions, strategic alliances, and collaborations.
Major Key Players
The expansion of the global construction sector is proving to be the main force driving the global asphalt shingles market growth. Due to growing urbanization, the Asia Pacific area is anticipated to see an increase in construction investment throughout the projection period. Asphalt shingles are increasingly being utilized in conjunction with other components such as leak barriers, ventilation, and breathable membranes to assist prevent water absorption and ice damming from snow. Thus, the substantial improvement in the durability and weather resistance performance of asphalt shingles is projected to contribute significantly to their growing usage and, as a result, boost the market throughout the projection period. However, fluctuating polymer costs may stifle market expansion.
The market for high-performance laminated shingles is expected to expand at a 4% annual pace through 2025. These goods have superior performance characteristics and have the classic look of high-quality wood because they contain two layers of bonded material that provide it more durability, customizable options in terms of different colors, and elaborate cutting. Because of growing urbanization and globalization, there will be an increase in demand for luxury residential and commercial buildings such as residential villas, offices, lodges, and institutes, which will provide growth opportunities.
Polymer price volatility may stymie asphalt shingles market expansion.
However, the availability of alternative goods such as clay tiles, metal, slate, and cedar shake may impede demand for asphalt products and it may create challenges for the target market's growth over the projection period.
Cumulative Growth Analysis
Demand for High-Performance Laminated Shingles has increased faster than demand for other products. High-Performance Laminated Shingles produced USD 2,868.8 million in sales in 2019 and are anticipated to grow at a CAGR of 4.0 percent during the forecasted period. Organic Asphalt Shingles produces revenue of USD 3,447.0 million in total business based on composition in 2019. The new Construction sector is one of the major contributors to the Asphalt Shingles Market value, accounting for around 47.0 percent of revenue in 2019. North America is a significant market stakeholder, accounting for roughly 31.0 percent of the market's entire business in 2019.
Value Chain Analysis
According to the reports, the worldwide asphalt shingles market has been classified into three segments: type, material, and application. The market has been divided into three types: heavy laminates, laminates, and strips. The material category is further divided into fiberglass and organic. The application segment is divided into two categories: new construction and renovation/remodeling. The market has been segmented into three types: heavy laminates, laminates, and strips. The fastest-growing sector is strip asphalt shingles. When compared to other asphalt shingles, the rationale is linked to their lightweight and cost-effectiveness. These are composed of one layer of asphalt and have a slate-like flat look.
The sector is further subdivided based on material into fiberglass and organic. Fiberglass held the highest market share in 2017 and is projected to exhibit a similar growth trend over the forecast period. Fiberglass has advantages such as being lower in weight, more fire-resistant, and more durable. Because of the core, which provides an additional level of flexibility, fiberglass stands out as being more durable. The section is divided into two categories: new construction and renovation/remodeling. In 2017, the renovation/remodeling section was the dominating category. The cause is linked to increasing expenditure on renovation and repair operations in both residential and commercial areas. As a result, there is a high demand for asphalt shingles in both the residential and commercial sectors.
The market is segmented on the basis of type, material, application, and region. The global asphalt shingles market trend is expected to witness decent growth during the forecast period.
Based on the application, the market is segmented into new construction and renovation/remodeling.
Based on the propulsion types, the market is segmented into new construction and renovation/remodeling.
According to the reports, the worldwide asphalt shingles market has been divided into four regions: North America, Europe, Asia-Pacific, and the Rest of the World (RoW). In 2017, North America and Europe accounted for the largest share of the worldwide asphalt shingles market share, followed by Asia-Pacific, and this dominance is expected to continue through 2023. This is linked to harsh climate conditions in North America and Europe, as well as increased spending in R&D for innovative materials in these regions. After North America and Europe, the Asia-Pacific region has a sizable market share. The area has seen an increase in the number of building projects, fueled by significant investment in commercial and residential development in nations like China and India. This is likely to increase demand for asphalt shingles in the Asia-Pacific area in the near future.
The following report comprises of –
|Market Size||2023: USD 8 Billion|
|CAGR||5.8% CAGR (2020-2027)|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Type, Material, Application, Region|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Owens Corning (US), Certain Teed Corporation (US), IKO Industries, Ltd. (Canada), TAMKO Building Products, Inc. (US), Tarco, Inc. (US), Siplast, Inc. (US), Henry Company LLC (US), Malarkey Roofing Products (Portland), Polyglass U.S.A., Inc. (US), and Atlas Roofing Corporation (US).|
|Key Market Opportunities||New product launches and R&D Amongst major key Players|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
Hike in construction activities would primarily drive the asphalt shingles market.
The CAGR of asphalt shingles market would be 5.8% during the forecast period.
North America and Europe would tae charge of asphalt shingles market.
Growing R&D expenditure and adverse weather conditions would ensure strong growth for the asphalt shingles markets in these two regions.
Strip asphalt shingles would grow with the fastest speed.