US Precast Concrete Products Market

US demand to rise 6.5% annually through 2018

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Jun 29, 2015, 09:30 ET

NEW YORK, June 29, 2015 /PRNewswire/ -- US demand for precast concrete products is forecast to rise 6.5 percent per annum to $12.2 billion in 2018, stimulated by a rebound in construction expenditures. During the 2008-2013 period, demand for precast concrete products declined as construction of buildings and nonbuilding structures languished. Precast concrete products demand will also be boosted by their ability to reduce the time and expense of construction projects. Precast concrete products are made and tested in factory-like conditions to meet specific performance properties, such as enhanced resistance to moisture or freeze/thaw cycles. In contrast, site-poured or cast-inplace concrete may cure improperly and need replacement, causing delays and cost overruns. While more costly than site-poured concrete, steel, or wood building products, precast concrete components often have longer lifespans and offer superior structural strength.

Architectural components to be fastest growing types

Among the different product types, structural and architectural building components are forecast to exhibit the strongest demand advances going forward, fueled by the sharp increases in building construction spending through 2018. Rising construction of office and commercial structures, manufacturing plants, and multifamily housing units will boost demand for precast concrete slabs, structural supports, and stairs, steps, and ramps. Demand for architectural building components will also rise at a rapid rate, as a more favorable lending environment will make it easier for home and business owners to refurbish properties by installing decorative facades, roofing tiles, and siding.

Nonresidential market to see fastest gains in demand

Nonresidential building construction applications accounted for the largest share of precast concrete product demand in 2013 and are expected to see the most rapid gains in demand going forward. Advances will be fueled by rebounding nonresidential building construction expenditures and rising interest in precast concrete products because of their performance properties. Demand will also benefit from precast concrete products' ability to mimic building materials that are more expensive and
difficult to install, such as brick or natural stone. This characteristic will support the use of precast concrete decorative facades, siding, and door and window components.
The residential market is forecast to see above average growth in precast concrete products demand through 2018. Strong gains in housing completions will spur demand for structural building components, while a more favorable lending environment will make it easier for homeowners to take out home equity loans to fund home improvement projects.

This will boost demand for roofing tiles, siding, and fencing in improvement and repair projects. Demand for precast concrete products in the nonbuilding market is expected to rise modestly through 2018. Advances will be supported by a need to repair the nation's aging network of bridges, highways, roads, water and sewer systems, and power distribution grids. Precast concrete products will often be specified due to their desirable performance properties. However, more rapid gains will be restrained by tepid growth in government spending, which will limit the funds available for infrastructure construction.

Study coverage

This upcoming study, Precast Concrete Products, presents historical demand data (2003, 2008, 2013) as well as forecasts (2018, 2023) by product, market, and US region. The study also considers market environment factors, evaluates company market share and profiles 40 industry players such as Cemex, CRH, HeidelbergCement and Metromont.
Read the full report: http://www.reportlinker.com/p02628852-summary/view-report.html

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