|
Bharat Book Bureau, a leading market information
distributor has put forth a report
'Wood & Competitive Decking forecasts for 2011 & 2016' (
http://www.bharatbook.com/detail.asp?id=46970 )US demand for decking
is projected to grow about two percent per year through 2011 to 3.5
billion lineal feet, valued at more than $4 billion. Growth will be
similar to the 2001-2006 period, despite a weaker new housing outlook.
The decking market is relatively stable because more than 85 percent of
demand is generated through repair and improvement activity, which is
inherently less cyclical than the new construction market. New markets
will offer more mixed prospects. Gains in new nonresidential
construction activity will accelerate, while new residential and
nonbuilding construction spending is expected to cool, limiting decking
gains.
advertisement
The US decking market has seen a shift in product mix in recent
years. In 1996, wood decking materials accounted for 96 percent of
volume demand, with only minimal use of alternative decking materials
such as wood-plastic composites, vinyl and polyethylene. However, from
1996 to 2006, alternative materials replaced natural wood materials at
an accelerated rate. Alternative decking materials in the aggregate
accounted for more than ten percent of the 3.2 billion lineal foot
market in 2006, posting double-digit gains annually in most markets from
1996 to 2006.
Alternative decking materials to post fastest growth
Alternative decking materials will continue to lead the decking
market in terms of annual gains through 2011, further eroding the market
share of wood materials. Composite decking will provide the strongest
growth opportunity, fueled by its high durability and low maintenance
requirements, as well as by product advances that provide more realistic
wood appearance. Additionally, the environmental profile of composites
(e.g., some wood-plastic blends use recycled materials), as well as
their increasing acceptance and availability, will drive gains. Other
alternative decking materials such as plastic and aluminum will also
show strong growth through 2011. Demand for these materials will benefit
from many of these same performance characteristics as composite
materials such as lower maintenance requirements and long life. However,
these decking materials often provide less favorable aesthetics and a
much higher price than composites or wood, which often limits use in the
large residential market.
Wood to remain dominant decking material
Despite significant competition from alternative decking materials,
wood will remain the dominant material used to produce decks in the US
going forward. Wood decking demand will continue to reap the rewards of
its good reputation and its aesthetic appeal. Pressure-treated wood in
particular will continue to benefit from its lower price compared to
other woods and alternative decking materials. Tropical hardwoods will
lead gains in the wood segment. However, demand for wood decking overall
is forecast to grow minimally through 2011, limited by ongoing concern
over the safety of the preservatives used to treat lumber and the higher
maintenance requirements over the life cycle..
Study coverage
This new Freedonia industry study, Wood & Competitive Decking, is
available for $4500. It presents historical demand data for 1996, 2001
and 2006 plus forecasts for 2011 and 2016 by product, market and US
region. The study also considers market environment factors, evaluates
market share and profiles 37 competitors.
For more information, please visit:
http://www.bharatbook.com/detail.asp?id=46970
Would you like to see your news and articles here? GO>>
Disclaimer: The views and opinions expressed in the research published are those of the individual companies and writers and not necessarily those of Investorideas.com®, or any of the industry sector portals . At the time of publication, writers may hold positions in the stocks or companies mentioned.
Investorideas.com® or any of the industry sector portals cannot assure accuracy of the research presented. Investors are encouraged to research and verify facts and under no circumstances is Investorideas.com® endorsing the content as a recommendation to buy or sell stock.
|
