Fiber Cement Market Size, Share & Segment By Material Type (Portland, Silica, Cellulosic, Others), By Application (Siding, Roofing, Cladding, Molding & Trimming, Others), By End Use (Residential, Non-Residential), And By Region | Global Market Forecast 2024-2032

Fiber Cement Market Report Scope & Overview:

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The Fiber Cement Market Size was valued at USD 13.0 Billion in 2023 and is expected to reach USD 18.3 Billion by 2032 and grow at a CAGR of 3.9% over the forecast period 2024-2032.

The fiber cement market is projected to exhibit strong growth during the forecast period driven by several compelling factors that enhance its value proposition within the construction industry. One major driver is its inherent durability and sustainability. Furthermore, the manufacturing process of fiber cement usually involves the presence of recycled materials, giving a lower environmental footprint. For instance, Patina Transparent cladding gives the building an improved aesthetic value with its unique appearance. In white, black, and bluish-grey colors, the cladding gives a very alluring color palette to the architects. This building is a prime example of how fiber cement cladding works. Fiber cement cladding goes beyond functionality to create a new façade for a building. Embracing sustainability appeals to increasingly large areas of builders and architects who have environmental concerns.

Besides the element of sustainability, the element of versatility that fiber cement reflects is also equally appreciable. It can be effectively used in most cases for siding, roofing, cladding, and even for interior panels. Many companies are also seen investing in fiber cement to construct more manufacturing plants in various countries. For instance, Sterlite Technologies Ltd. had, in September 2023, invested USD 56 million in a greenfield optical fiber and cable manufacturing facility that would also be its North American headquarters in South Carolina. The expansion is aimed at winning a market share of 10-12% in the US market, riding on the leadership and demand coming for 5G, FTTp, and rural broadband. Sterlite has brought down cost per home by 15-20% and will offer both rural and urban areas link speeds of over 1 Gbps, thus making the services more affordable.

Stringent regulations against asbestos, widely documented to be a health hazard, are fast limiting its use in construction. Moving asbestos to phase-out schedules based on building codes and environmental regulations creates a huge demand for safer alternatives like fiber cement. It is this perfect regulatory shift and economic growth in the developing economies that is viewed as a perfect storm for the fiber cement market. On the back of rapid urbanization and infrastructure development projects, huge demands for construction materials are made by countries like China and India.

MARKET DYNAMICS

KEY DRIVERS:

• Fiber cement has started gaining traction in the construction industry owing to its enhanced properties.

• Increasing application of fibre cement in ultra-high-performance concrete.

The growth in developing countries is high, and the major factors contributing to it include the rapid pace of urbanization and industrialization that further fuels an increase in residential building projects. Fiber cement is important in these projects since it represents a very important material in the construction of residential paving tiles, cladding, and exterior anti-moisture protection walls with fiber cement siding. This rise in construction activity for the fiber cement market in coming years. Beyond residential construction, the growing demand for cement additives is also fueling the market growth. Fiber cement works more or less as an additive in building mixtures and also helps in energy conservation by reducing the structural temperature. It is due to such an energy-efficient property that it has become a widely acclaimed choice for many construction works.

RESTRAIN:

•  Exposure to health-related problems may be brought about to the fiber cement market by the presence of fibrous silicate minerals.

Exposure to such minerals in excess is a potential cause of lung cancer, ovarian cancer, and respiratory illnesses. Governments and institutions across the world are acting very carefully by introducing more restrictions on the usage of fibrous silicate minerals in fiber cement products. Most of those regulations set a limit for the content of such minerals in the finished products. The United States Environmental Protection Agency has issued guidelines regarding safe use and exposure to fibrous silicate minerals during product manufacturing. The British Columbia government has proposed further Zd measures in order to ensure the health protection of workers in fiber cement manufacturing plants. While such regulations are necessary for public health, they would act as a hindrance to the growth of the fiber cement market. This might concern changing the production methods and finding substitute materials that will enable companies to comply with gradually stricter regulations, thus impacting markets on the large.

OPPORTUNITY:

• Innovative solutions like ultra-high-performance concrete are emerging with increasing residential and non-residential projects.

The construction boom is giving place to new innovations. The strong competition in the sector is leading architects and engineers to unique designs with high performance materials. Ultra-high performance concrete is meeting this challenge. This fiber-reinforced material is very strong with strength over 150 MPa and enables faster construction. What is really powering the popularity of UHPC is that it helps build creative structures like floating stairs and cantilever balconies. Increasingly used UHPC provides a major push to this market.

CHALLENGES:

• The biggest challenge to Fiber Cement in its fight to increase its market share is developing economies.

While in developed countries the trend is eco-friendly and high-performance materials, the key factor is affordability for places like Brazil and India. The low cost keeps asbestos as a favorite because of its easy and inexpensive availability in these countries. This competition also brings to the forefront a critical gap: unawareness about asbestos' health and environmental hazards. The top fiber cement manufacturers can fill this gap by educating the end-users in these markets. This could now, coupled with potential innovation in cost-competitive and safe fiber cement solutions, hold the key to unlocking this vast and promising market.

KEY MARKET SEGMENTS

By Cement Type 

• Portland

• Silica

• Cellulosic

• Others

In the year 2023, by material type, the Portland segment dominated the Fiber Cement Market with a market share of more than 40%, due to its dominant position attributed to many driving factors such as affordability and widespread availability. It is due to the cost-effectiveness of Portland cement that the material becomes highly preferred for exterior wall siding and cladding systems in residential building construction projects. This, in addition, finds application in-ceiling applications as well since it helps in reducing the temperature of the ceiling. These factors combine to power the surge in demand for Portland cement in fiber cement products. Though Portland is leading the charge, other segments aren't too far behind either. Rising demand for siding boards is driving the silica segment due to the fact that this material withstands extreme temperatures and weathers easily.

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By Application  

• Siding

• Roofing

• Cladding

• Backer Boards

• Wall Partitions

• Molding & Trimming

• Others

The Siding segment dominated the fiber cement market in 2023 by application with a market share of 25%. The two primary factors driving the segment are low maintenance cost and impressive mechanical properties. High tensile strength makes fiber cement sidings resistant to cracking and highly flexible when used for siding on exterior walls. These, therefore, are some of the key attributes that have driven new demand in fiber cement siding due to its low maintenance cost factor. Among all these, siding currently dominates the application markets but other applications like roofing are gaining at a steady pace. The roofing segment is projected to witness a moderate compound annual growth rate during the forecast period.

By End-Use  

• Residential

• Non-Residential

The non-residential sector will continue dominating the fiber cement market with a percentage share above 47% in 2023. It is further estimated to witness the largest revenue generation during the projected period. Fiber cement is also used in mill, factory, warehouse, and loom constructions as outlined by various government legislations. Generally, asbestos is banned for use in construction in many countries like the UK, the U.S., and Canada, and therefore it may be substituted with fiber cement in construction. To a great degree, the favorable and permissive nature of lending legislation enforced by various governments around the world encourages the development of non-residential building projects.

Regional analysis:

The Asia Pacific region is expected to dominate revenue share of about 44% in the global fiber cement market during 2023. This surge in the region has turned into a population boom, which eventually leads to the development of residential construction projects wherein fiber cement turns out to be very useful for interior and exterior designing with inadvertent functional benefits such as environmental protection. Another key growth market is North America, due to the rise in demand for advanced construction materials. Advancing insecurity levels due to theft cases involving building materials has just seen almost all homeowners trying as much as possible to go for materials that will serve the triple purpose: safety, aesthetics, and performance. Fiber cement will do all these triple purposes. The European region is predicted to grow significantly with the high per capita income in the region, which translates to improved investment in the construction industry. The region has a few manufacturers of the fiber cement material, hence its ready supply.

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REGIONAL COVERAGE:

North America

• US

• Canada

• Mexico

Europe

• Eastern Europe

  • Poland

  • Romania

  • Hungary

  • Turkey

  • Rest of Eastern Europe

• Western Europe

  • Germany

  • France

  • UK

  • Italy

  • Spain

  • Netherlands

  • Switzerland

  • Austria

  • Rest of Western Europe

Asia Pacific

• China

• India

• Japan

• South Korea

• Vietnam

• Singapore

• Australia

• Rest of Asia Pacific

Middle East & Africa

• Middle East

  • UAE

  • Egypt

  • Saudi Arabia

  • Qatar

  • Rest of Middle East

• Africa

  • Nigeria

  • South Africa

  • Rest of Africa

Latin America

• Brazil

• Argentina

• Colombia

• Rest of Latin America  

Key Players:  

Some of the major players in the Fiber Cement Market are James Hardie Industries PLC (Ireland), ETEX Group (Belgium), Evonik Industries (Germany), Saint Gobain (France), CSR Limited (Australia), Nichiha Corporation (Japan), Cembrit Group A/S (Denmark), The Siam Cement Public Company Limited (Thailand), plycem corporation (Costa Rica), Beijing Hocreboard Building Materials Co. Ltd. (China), and other players.

Hardie Industries PLC (Ireland)-Company Financial Analysis

RECENT DEVELOPMENTS

• March 2024: Shera invested US$36 million to establish its first production hub in the Philippines. Announced by Thunnop Jumpasri, president and country head for the Philippines and Malaysia, this would represent a significant expansion in response to robust growth in the local construction sector.

• September 2023: Nuvoco Vistas, a major cement manufacturer of India, has brought out "Duraguard Microfibre"—a fibre-reinforced cement-based product. In other words, it aimed at strengthening durability and strength in construction materials with respect to increasing demands for resilient building solutions within the construction domain.

• December 2023: ETEX Group acquired BCG's fiber cement business, This strategic acquisition is aimed at boosting ETEX's revenue stream specifically within the fiber cement segment.

• December 2023: Etex has acquiring SCALAMID, This Polish company boasts a cutting-edge production line with room for growth, but the real game-changer is the technology. SCALAMID's innovative process allows direct printing of designs onto fiber cement boards, giving architects and designers exciting new creative possibilities.