In 2021, the fiber cement siding market was valued at approximately US$ 3,963.50 million and is anticipated to grow to around US$ 6,229.51 million by 2028, reflecting a compound annual growth rate (CAGR) of 6.7% during the period from 2021 to 2028.
Fiber cement siding presents numerous advantages for builders, contractors, and homeowners, enhancing customer appeal, generating revenue, and fostering business expansion. It serves as a cost-effective option that improves the aesthetic appeal of exteriors while also being fire-resistant, boasting a flame spread rating of 0, comparable to that of brick. Furthermore, its exceptional weather resistance allows it to endure extreme temperatures and high humidity levels. These attributes are increasingly attracting builders, contractors, and consumers, which in turn is propelling sales and contributing to the growth of the fiber cement siding market.
The 2020 report from the International Energy Agency emphasizes that the building sector stands to gain from heightened government investments in energy efficiency, with a significant portion of stimulus funds directed towards buildings. In various regions, such investments could lead to marked improvements in technical efficiency. For instance, the United States is focusing on modernizing its infrastructure by developing energy-efficient buildings, with cities such as Concord, Denton, Denver, Fayetteville, Minneapolis, and Norman taking proactive measures against climate change. These initiatives are bolstered by federal programs aimed at enhancing existing buildings through improved insulation and more efficient heating systems. This emphasis on energy efficiency is expected to drive the demand for fiber cement siding in residential construction, thereby creating future opportunities for the fiber cement siding market.
The Asia-Pacific (APAC) region is characterized by numerous developing nations with robust economies, significant residential and industrial development, a large population, and rising disposable incomes, all of which contribute to the expansion of the fiber cement siding market. However, the prolonged lockdowns resulting from the COVID-19 pandemic led to a downturn in the construction sector and a subsequent decline in the demand for fiber cement siding in 2020. Some suppliers of raw materials temporarily halted operations to mitigate the virus's spread, resulting in shortages in countries like India and China. Nevertheless, the easing of lockdown restrictions and ongoing vaccination campaigns have facilitated a return to industrial activities and a steady flow of raw material shipments, thereby supporting the recovery and growth of the fiber cement siding market in APAC in 2021.
The global fiber cement siding market is segmented into North America, Europe, Asia Pacific (APAC), and the Rest of the World (RoW). North America holds the leading position in the market, followed by APAC, Europe, and RoW. APAC is recognized as the fastest-growing region, largely due to the presence of key players in the fiber cement siding market, including CSR Limited, Nichiha, Toray Industries, Everest Technopolis, SHERA Public Company, 2K Technologies, Yunion Industry, KMEW, SHIN KWANG, HVG Facades, and BGC Fiber Cement. The residential and commercial sectors in APAC are expected to experience substantial growth over the next decade. In Europe, the western part exhibits a strong demand for fiber cement siding, particularly for decorative residential applications, while the eastern part shows limited demand. Russia has a few players in the fiber cement siding market.
Key companies operating in the global fiber cement siding market include Cembrit Holding A/S, CSR Limited, Allura, Etex Group, GAF Materials LLC, James Hardie Industries plc, SHERA Public Company Limited, NICHIHA Co., Ltd, and Toray Industries, Inc.
The overall size of the global fiber cement siding market was assessed using both primary and secondary research methods. Extensive secondary research was conducted utilizing both internal and external sources to achieve a comprehensive qualitative and quantitative understanding of the fiber cement siding market. This research provided a detailed overview and forecast of the market across various segments. Additionally, primary interviews were held with industry stakeholders and experts, including vice presidents, business development managers, market intelligence managers, national sales managers, and external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the fiber cement siding sector. These interviews were instrumental in validating the data and obtaining deeper insights into the market dynamics.