Ceilings - The Freedonia Group

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INDUSTRY MARKET RESEARCH FOR BUSINESS LEADERS, STRATEGISTS, DECISION MAKERS
Table of Contents 2
List of Tables & Charts 3
Study Overview 4
Sample Text, Table
& Chart 5
Sample Profile, Table &
Forecast 6
Order Form & Corporate
Use License 7
About Freedonia,
Custom Research,
Related Studies, 8
Ceilings
US Industry Study with Forecasts for 2018 & 2023
Study #3204 | August 2014 | $5300 | 253 pages
The Freedonia Group
767 Beta Drive
www.freedoniagroup.com
Cleveland, OH • 44143-2326 • USA
Toll Free US Tel: 800.927.5900 or +1 440.684.9600
Fax: +1 440.646.0484
E-mail: info@freedoniagroup.com
Study #3204
August 2014
$5300
253 Pages
Ceilings
US Industry Study with Forecasts for 2018 & 2023
Table of Contents
Executive Summary
Market EnvironmenT
General.......................................4
Macroeconomic Overview................5
Demographic Trends......................9
Consumer Trends.........................13
Consumer Spending..................14
Consumer Financing..................16
Building Construction..................19
Nonresidential Buildings............22
New.....................................23
Nonresidential Building Stock..25
Nonresidential Building
Floor Space.........................27
Improvements & Repairs.........30
Residential Buildings................32
Housing Completions..............33
Housing Stock.......................38
Improvements & Repairs.........42
Historical Market Trends...............43
Pricing......................................46
Regulatory & Environmental
Considerations..........................49
Regulatory Considerations..........49
Energy Efficiency Considerations51
Indoor Air Quality....................53
Recycling................................55
Sound Control..........................55
Wet Felt...............................76
Fiberglass.............................77
Metal...................................79
Other Materials......................81
Demand by Market....................83
Suspension Systems.....................86
Demand by Material..................87
Demand by Market....................89
Specialty/Other Ceiling Products....91
Demand by Type.......................92
Baffles.................................93
Clouds..................................94
Stretch Ceilings.....................95
Wire & Attachments...............96
Trim & Other.........................96
Demand by Market....................97
MARKETS
General................................... 100
Nonresidential.......................... 103
New..................................... 106
Improvements & Repairs.......... 109
Demand by Building Type........ 111
Institutional....................... 112
Office................................. 115
Commercial & Lodging.......... 119
Other Nonresidential............. 123
Residential............................... 125
New..................................... 129
Improvements & Repairs.......... 130
REGIONS
OVERVIEW
General.....................................59
Area Demand..............................61
Competitive Ceiling
Coverings Outlook.....................63
World Ceiling Outlook..................65
Foreign Trade.............................67
PRODUCTS
General.....................................68
Ceiling Tile................................71
Demand by Material..................73
General................................... 133
Regional Demographic
& Economic Activity................ 134
Economic Outlook................... 135
Population Patterns................ 138
Construction Activity.............. 141
Housing Trends......................... 144
Regional Ceiling Demand............ 147
Northeast.............................. 150
New England....................... 152
Middle Atlantic.................... 153
Midwest................................ 155
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Page East North Central................ 159
West North Central............... 161
South................................... 162
South Atlantic..................... 165
East South Central............... 166
West South Central............... 167
West..................................... 169
Mountain............................ 172
Pacific................................ 174
INDUSTRY STRUCTURE
General................................... 177
Industry Composition................ 178
Market Share............................ 182
Vertical/Horizontal Integration... 188
Product Development
& Manufacturing..................... 191
Marketing & Distribution............ 193
Cooperative Agreements............. 195
Company Profiles
Acoustic Ceiling Products........... 198
Acoustic Solutions.................... 200
All Noise Control....................... 202
Armstrong World Industries........ 204
Barrisol Normalu....................... 209
Ceilings Plus............................ 211
CLIPSO Productions................... 213
Empire West............................. 215
Gordon Incorporated................. 216
Halstead International............... 219
Hunter Douglas......................... 221
Laqfoil Limited......................... 223
Lindner Group.......................... 224
Newmat USA............................ 226
9Wood Incorporated.................. 227
Norton Industries...................... 229
pinta elements......................... 231
ROCKWOOL International............ 234
Rulon Company......................... 236
Saint-Gobain............................ 238
Shanker Industries.................... 240
(continued on following page)
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Study #3204
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Ceilings
US Industry Study with Forecasts for 2018 & 2023
Table of Contents
Company Profiles
(continued from previous page)
Sky Factory.............................. 242
Sound Concepts........................ 243
Sound Seal............................... 244
Steel Ceilings........................... 246
Synergistic Solutions................. 248
Tectum Incorporated................. 249
USG Corporation....................... 250
List of Tables/Charts
EXECUTIVE SUMMARY
1 Summary Table.......................3
MARKET ENVIRONMENT
1 Macroeconomic Indicators........9
2 Population & Households.......13
3 Personal Consumption
Expenditures......................16
4 Consumer Financing
Environment, 2003-2013......19
5 Building Construction
Expenditures......................22
6 Nonresidential Building
Construction Expenditures....25
7 Nonresidential Building Stock27
8 Nonresidential Building
Floor Space........................30
9 Nonresidential Building
Improvement & Repair
Expenditures......................31
10 Residential Building
Construction Expenditures....33
11 New Housing Indicators.........38
12 Housing Stock by Type...........41
Cht Year of Construction of
Housing Stock, 2013............41
13 Residential Improvement
& Repair Expenditures..........43
14 Ceiling Market, 2003-2013......45
Cht Ceiling Market, 2004-2013......46
15 Ceiling Pricing......................48
Cht Ceiling Pricing, 2003-2013.....49
OVERVIEW
1 Ceiling Demand by Area.........63
PRODUCTS
1 Ceiling Demand by Product.....70
Cht Ceiling Demand by
Product, 2013.....................71
2 Ceiling Tile Demand
by Material.........................74
Cht Ceiling Tile Demand
by Material.........................75
3 Wet Felt Ceiling Tile Demand...77
4 Fiberglass Ceiling Tile Demand79
5 Metal Ceiling Tile Demand......81
6 Other Material Ceiling
Tile Demand.......................83
7 Ceiling Tile Demand
by Market...........................86
8 Suspension System
Demand by Material.............89
9 Suspension System
Demand by Market...............91
10 Specialty & Other Ceiling
Product Demand by Type.......93
11 Specialty & Other Ceiling
Product Demand by Market....99
MARKETS
1 Ceiling Demand by Market.... 102
Cht Ceiling Demand
by Market, 2013................ 103
2 Nonresidential Building Ceiling
Demand by Product............ 106
3 New Nonresidential Building
Ceiling Demand by Product 108
4 Nonresidential Building
Improvement & Repair
Ceiling Demand by Product 111
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Page 5 Nonresidential Building Ceiling
Demand by Building Type... 112
6 Institutional Ceiling Demand
by Product & Application.... 115
7 Office Ceiling Demand by
Product & Application........ 119
8 Commercial & Lodging Ceiling
Demand by Product
& Application................... 122
9 Other Nonresidential Ceiling
Demand by Product
& Application................... 125
10 Residential Ceiling
Demand by Product............ 128
11 New Residential Ceiling
Demand by Product............ 130
12 Residential Improvement &
Repair Ceiling Demand
by Product....................... 132
REGIONS
1 Gross Domestic Product
by Region........................ 138
2 Population by Region.......... 141
3 Construction Expenditures
by Region........................ 144
4 Regional Housing Indicators147
5 Ceiling Demand by Region.... 149
Cht Ceiling Demand
by Region, 2013................ 149
6 Northeast Ceiling Demand.... 152
7 Midwest Ceiling Demand....... 159
8 South Ceiling Demand.......... 164
9 West Ceiling Demand........... 172
INDUSTRY STRUCTURE
1 US Ceiling Product Sales for
Selected Producers, 2013.... 181
Cht US Ceiling Market
Share, 2013...................... 182
2 Selected Cooperative
Agreements...................... 197
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Study #3204
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Ceilings
US Industry Study with Forecasts for 2018 & 2023
Gains will be driven by a rebound in nonresidential building construction, a recovery in improvement and repair activity, and growing interest in better performing ceiling products.
US demand to rise 7.3%
annually through 2018
Demand for ceiling products in the US is
forecast to advance 7.3 percent per
annum through 2018 to $2.5 billion. A
rebound in nonresidential building
construction will drive gains as the
ceiling market continues its recovery
from declines following the 2007-2009
economic recession. In addition to new
nonresidential building construction, a
recovery in improvement and repair
activity and growing interest in ceiling
products that offer improved performance and aesthetics will boost value
demand through the forecast period.
Key ceiling tile segment
to post strong growth
Through 2018, ceiling tile demand is
expected to post strong growth of 6.6
percent per year to $1.4 billion, supported by an improving building construction market. Furthermore, efforts by
manufacturers to improve the aesthetics
of ceiling tiles, including more colors,
varied perforation designs, and the use
of an increasing variety of materials such
as wood and metal, will boost value
demand. In addition, many architects
and designers have moved toward open
plenum ceilings and open floor plan
spaces in office and institutional buildings, where sound control is important
for productivity. While building features
such as open plenum ceilings serve as a
check on ceiling tile area demand, these
US Ceiling Demand, 2018
($2.5 billion)
Suspension
System
Specialty & Other
Products
designs boost tile value demand as more
costly ceiling tiles with improved noise
reduction properties are often selected
so as to offer similar sound quality to full
wall-to-wall ceilings, but with less overall
ceiling coverage.
Specialty & other ceiling
products to be fastest
growing segment
Specialty ceiling products are forecast to
see the most rapid growth in demand
through 2018, reaching $543 million on
11 percent annual advances. The
frequency of use of specialty ceiling
products, including clouds, baffles, and
stretch ceilings, has grown since the
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Page Tile
early 2000s, and it is expected to
continue to do so through the forecast
period. For example, design trends that
call for specialty material ceiling tiles will
support rising demand for specialty trims
to conceal metal ceiling grids and
improve the aesthetics of the ceiling.
Additionally, trends toward spaces that
are more open to the architectural ceiling
will increase the installation of products
such as clouds or baffles where wall-towall ceilings may have previously been
installed. Increasingly stringent and
widespread regulations on seismic
design will also continue to boost
demand as more builders will install
additional bracing products for suspended ceiling systems.
Copyright 2014 The Freedonia Group, Inc.
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Study #3204
August 2014
$5300
253 Pages
Ceilings
US Industry Study with Forecasts for 2018 & 2023
Sample Text,
Table & Chart
TABLE VI-8
SOUTH CEILING DEMAND
(million dollars)
Item
2003 2008 2013 2018 2023
South Construction (bil $) 341.8 423.9 373.6 599.5 824.0
$ ceiling/000$ construction 1.49 1.59 1.67 1.51 1.36
markets
South Ceiling Demand 510.0 674.0 623.5 906.01121.0
By Subregion:
Improvements & Repairs
South Atlantic 281.1 356.1 316.0 455.0 561.5
Demand for ceiling products in the nonresidential improvement
and
East South Central 70.5 90.2 83.5 119.5 144.5
repair market grew strongly between 2003 and 2008, following trends
West South Central 158.4 227.7 224.0 331.5 415.0
in improvement and repair construction expenditures over the same
time
By
Market:
period. Demand reached a peak of $1.2 billion in 2008. In the wake
Nonresidential 453.9 616.6 575.1 832.01022.5
of declining nonresidential building improvement and repair spending
New 138.7 206.3 138.6 258.5 334.5
following the 2007-2009 economic recession, spending declined
to a low
Improvement & Repair 315.2 410.3 436.5 573.5 688.0
point of $1.1 billion in 2010 before beginning to recover through
2013,
Residential 56.1 57.4 48.4 74.0 98.5
when spending exceeded the 2008 level for the first time. Through
the New 18.7 15.5 11.0 20.8 27.3
forecast period, demand is expected to see continued strong growth
as Improvement & Repair 37.4 41.9 37.4 53.2 71.2
improvement and repair spending and the stock of existing buildings
continues to expand. Nonresidential improvement and repair ceiling
% South 35.5 36.2 35.9 36.8 37.0
demand is projected to reach $1.6 billion in 2018 on 5.3 percent Ceiling
annual Demand 1435 1860 1735 2465 3030
increases.
sample
table
Ceiling tile demand made up three-fifths of all nonresidential
improvement and repair ceiling expenditures in 2013. Ceiling tiles are
often replaced in nonresidential buildings when they become damaged
due to moisture, impact, or breakage when they are removed for access
to the ducts and electrical work that they conceal. Furthermore, ceiling
tiles are regularly replaced as part of routine building improvement projects. These factors boost ceiling tile improvement and repair spending.
Ceiling tile demand in the nonresidential improvement and repair market
is projected to reach $970 million in 2018 on 5.2 percent annual growth.
Rising interest in various value-added options for tile, including materials like wood or metal, custom colors and designs, and improved noise
reduction coefficients (NRC) and light reflective values (LR values),
will boost value demand even as design trends move toward less overall
coverage of the architectural ceiling.
sample
text
CHART VII-1
US CEILING MARKET SHARE, 2013
($1.7 billion)
Suspension system demand followed similar patterns as tile between 2003 and 2013, boosted further by significant price increases over
214
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O th e rs
1 3 .8 %
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Page sample
chart
M a rke t
L e a d e rs
8 6 .2 %
39.2%
A r m s tr ong
26.9%
U SG
9.5%
C er tainT eed
6.3%
4.3%
R O C KF O N
H unter D oug las
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Study #3204
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Ceilings
US Industry Study with Forecasts for 2018 & 2023
Sample Profile,
Table & Forecast
TABLE IV-2
CEILING TILE DEMAND BY MATERIAL
(million dollars)
Item
2003 2008 2013 2018 2023
Nonres Bldg Construction (bil 2009$)386.7 441.7 290.6 426.5 485.0
$ ceiling tile/000$ construction 2.38 2.45 3.39 3.19 3.39
Ceiling Tile Demand (mil 2009$)1069.01123.0 852.01068.01183.0
price deflator (2009=100) 86.1 96.3 115.7 127.4 139.0
Ceiling Tile Demand 920.01081.0 986.01360.01645.0
Wet Felt 793.0 907.0 810.01093.01291.0
Fiberglass 62.5 75.2 70.7 99.0 120.0
Metal 31.1 50.1 54.3 86.5 120.5
Wood & Other 33.4 48.7 51.0 81.5 113.5
$/square foot 0.48 0.55 0.67 0.74 0.82
Ceiling Tile Demand (mil sq ft) 1909 1983 1482 1829 2001
sample
table
COMPANY PROFILES
Ceilings Plus Incorporated
6711 East Washington Boulevard
Los Angeles, CA 90040
323-724-8166
http://www.ceilingsplus.com
Annual Sales: $30 million (estimated)
Employment: 150 (estimated)
Key Products: metal and wood ceiling panels
sample
profile
Ceilings Plus is a producer of metal and wood ceilings, walls, and
related products. The Company is privately held.
The Company participates in the US ceilings industry through
the manufacture of metal and wood ceiling panels for commercial and
institutional applications. Ceilings Plus’ ceiling panels are made from
a non-combustible aluminum core with a variety of metal or wood
finishes in a wide range of sizes and designs. Ceiling panels are sold
under the RADIANS, ILLUSIONS, MULTIPLES, RUNWAYS, BARZ,
MIRRA, and PLANX brand names. RADIANS curved ceiling panels
from the Company are designed to be lightweight, acoustical, and fully
downward accessible. These products are made in widths ranging from
1 to 4 feet and lengths from 2 to 10 feet, and convex, concave, wave,
and dome styles. The Company’s ILLUSIONS modular ceiling panels
are integrated with lighting and other ceiling-mounted fixtures, provide
full accessibility to above-ceiling services, and are suitable for installation in concealed suspension systems. These panels are made in 1- to
4-foot widths and 2- to 10-foot lengths in square, rectangle, triangle,
parallelogram, trapezoid, rhombi, pentagon, hexagon, and other shapes.
STUDY
COVERAGE
This Freedonia study, Ceilings,
presents historical data (2003,
2008, 2013) as well as forecasts
for 2018 and 2023 for ceiling
demand by product, market and
region of the US. The study also
assesses key market environment
factors, details industry structure,
evaluates company market share
and profiles 28 competitors in the
US ceiling industry.
MULTIPLES modular panels from Ceilings Plus encompass lay-in
flat, tegular, and snap-in models with lengths and widths ranging from Copyright 2014 The Freedonia Group, Inc.
211
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Tel US: 800.927.5900 or +1 440.684.9600 • Fax: +1 440.646.0484 • e-mail: info@freedoniagroup.com
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