Cladding Market Size, Share & Trends Analysis Report By Product (Fiber Cement, Composite Material, Terracotta, Ceramics), By Application (Residential, Commercial, Industrial), By Country, And Segment Forecasts, 2022 - 2030

Report Overview

The global cladding market size was estimated at USD 210.41 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 7.0% from 2022 to 2030. The global cladding market is expected to be driven by the increase in construction activities across the globe, coupled with the growing demand for energy-efficient buildings. The global construction industry is experiencing sluggish growth owing to the economic slowdown due to the COVID-19 crisis, which has resulted in poor investor confidence and a decline in construction activities, as a result, the cladding market also experienced a major setback. However, the market is expected to witness moderate growth in the coming years with the gradual economic recovery and improved business confidence.

COVID-19 had a significant and negative influence on the U.S. construction sector. The restrictions imposed by the government to contain the spread and effect of the virus have hampered project development and had a negative impact on supply chains, factories, equipment, materials, and labor. This downturn had adversely impacted the growth of the construction sector, thereby hindering the growth of the cladding market.

The U.S. cladding market is expected to witness sustainable growth in the forecast period owing to the growth in the construction sector in the country. The product aids in increasing the energy efficiency of a structure, leading to a decrease in energy requirement for heating, ventilation, and air conditioning. Increased demand for energy-efficient construction solutions is one of the primary factors driving the market growth.

Increasing construction spending in developing countries owing to the population expansion and strong economic and industrial developments are expected to positively affect the demand for cladding products in the forecast period. The global construction market, following its recovery, is expected to witness steady growth. The cladding industry is highly competitive in terms of product differentiation, quality of claddings, and pricing. The market players focus on improving product quality in terms of durability, aesthetic appeal, and energy efficiency and are expected to undergo mergers and acquisitions in order to strengthen their position in domestic and international markets.

Product Insights

Terracotta product segment led the market and accounted for more than 35% share of the global revenue in 2021. The growth can be attributed to its durability, recyclability, resistance to ultraviolet radiation, weatherproof & fireproof, and fast & easy installation properties. These panels provide continuous insulation outside the primary wall and improve a building's thermal performance.

The demand for fiber cement-based cladding is likely to witness a high growth on account of its high durability, cost-effectiveness, and low maintenance cost. It is manufactured using cement, water, cellulose fiber, and pulverized limestone. These panels are gaining increasing acceptance in the cladding market as they are weatherproof and can easily resist high-pressure winds and rainwater. There is an increasing demand for aluminum cladding in the construction industry, owing to its beneficial properties such as lightweight, recyclability, resistance to fungi & algae, and easy installation. These panels are widely utilized for sound & thermal insulation, fire resistance, and improving the aesthetic appeal of buildings.

The demand for ceramic cladding is likely to witness growth on account of its maintenance-free and pollution resistance properties as well as the ability to enhance the aesthetic appeal. The panels are manufactured using an unalterable color that is weatherproof in nature.

Application Insights

The office construction segment led the market and accounted for more than 33.8% of the global revenue share in 2021. The segment is inclusive of working spaces including government and private offices. Claddings are used in these constructions to provide thermal insulation, weather resistance, fire resistance, and aesthetic appeal to the building.

Cladding demand is predicted to increase significantly in the residential construction sector as a result of rising consciousness about energy-efficient structures, the need for rehabilitation of old buildings, increasing over-cladding operations, and government mandates for green buildings.

Rapid industrial expansion and increased government and private sector investment are projected to promote the growth of the industrial construction industry. Business expansion by multinational companies, combined with newly built manufacturing plants and processing units, is driving demand for industrial building. These factors are projected to fuel the need for industrial claddings.

The commercial construction segment is inclusive of buildings for hypermarkets, supermarkets, departmental stores, shopping malls, hospitals & clinics, restaurants & hotels, resorts, and others. Increasing urbanization and investments from the government in tourism and commercial construction are expected to drive the demand for claddings.

Regional Insights

Asia Pacific region led the market and accounted for more than 34% share of the global revenue in 2021, on account of rising per capita income, rapid urbanization, and growing population coupled with rising construction activities in the emerging economies including China, India, and Japan.

The North America cladding market is expected to grow substantially during the forecast period, owing to rising demand from the residential sector, and government initiatives to strengthen social infrastructure in the U.S. and Canada. Furthermore, increased awareness of the benefits of weather protection for buildings is conducive to promoting the market growth.

The demand for claddings in Europe is expected to gain momentum over the forecast period owing to the growth in commercial construction activities. Increasing utilization of cladding to enhance the aesthetic appeal of a structure is further expected to propel the product demand in the forecast period.

The construction sector in the Middle East & Africa is expected to observe a rebound growth during the forecast period owing to factors such as an increase in investments, expansion of oil production, and improved weather conditions, which are expected to drive the demand for cladding.

Key Companies & Market Share Insights

The key players in the cladding market are manufacturers, distributors, and installers dealing in various components of the entire cladding structure. The market players are engaged in the procurement and distribution of metal frameworks, panels or facades, and insulation sheets in order to cater to the demand from the construction sector.

Technical innovations and improvements in the production process have resulted in the manufacture of components with superior durability, custom colors, and low maintenance. Quick installation techniques with superior fastening equipment and the introduction of interlocking panels have surged market competition across the globe. Numerous domestic and international players are focusing on achieving a stronghold in the competition.

Some prominent players in the global cladding market include:

• Kingspan Group

• Carea Group

• GB Architectural Cladding Products Ltd

• Rieger Architectural Products

• OmniMax International, Inc.

• CGL Systems Ltd.

• SFS Group

• Cladding Corp

• Centria

• Trespa International B.V.

• Middle East Insulation LLC  

• Shildan, Inc.

• Avenere Cladding LLC 

Cladding Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional & country levels and provides an analysis of the industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global cladding market report based on product, application, and region:

• Product Outlook (Volume, Million Sq. Meters; Revenue, USD Million, 2017 - 2030)

  • Steel

  • Aluminum

  • Composite Materials

  • Fiber Cement

  • Terracotta

  • Ceramic

  • Others

• Application Outlook (Volume, Million Sq. Meters; Revenue, USD Million, 2017 - 2030)

  • Residential

  • Industrial

  • Commercial

  • Offices

  • Institutional

• Regional Outlook (Volume, Million Sq. Meters; Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • UK

    • France

    • Italy

  • Asia Pacific

    • China

    • India

    • Japan

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa

    • Bahrain

    • Egypt

    • Iran

    • Iraq

    • Jordan

    • Kuwait

    • Libya

    • Oman

    • Qatar

    • Saudi Arabia

    • Sudan

    • Turkey

    • United Arab Emirates