World demand for siding is forecast to expand 2.6 percent per year through 2013 to 4.8 billion square meters. Growth in the global siding market will be driven largely by advances in residential construction, which in many industrialized countries is expected to rebound from a low 2008 base. Residential construction will also fare well in developing countries, many of which are facing housing deficits. These and other trends are presented in World Siding, a new study from The Freedonia Group, Inc., a Cleveland-based industry market research firm.

The Asia/Pacific region is projected to be one of the fastest growing siding markets during the 2008-2013 period, with China and India accounting for the majority of new demand. North America will achieve above average gains through 2013, but nearly all new growth will occur in the US. The residential siding segment in the US is projected to see substantial growth as new housing construction recovers from its depressed 2008 level, but nonresidential siding demand is expected to decline slightly. From 2008 to 2013, the overall market in Western Europe will experience restrained growth because of flat nonresidential siding demand, although this rate will be an improvement from the 2003-2008 pace.

Demand in the Africa/Mideast region is expected to grow just over three percent per year through 2013; an increase in residential construction activity will be complemented by the more intensive use of siding products in building construction. In Latin America, sales of siding are expected to grow at a similarly strong rate. Brazil and Colombia will make the largest contributions to growth. The market in Eastern Europe will expand at a slower rate than any other regional market due to a marked deceleration in residential construction activity.

Demand for masonry and concrete products will remain strong through 2013. Sales of concrete and stone products, which tend to be fairly expensive, are expected to grow nearly three percent per year because of the increased use of concrete and stone siding in high-end applications. The use of brick and tile, and stucco and EIFS products is projected to grow more moderately. Between 2008 and 2013, demand for fiber cement siding will grow strongly because of a recovery in the US siding market; additionally, the use of fiber cement products is expected to increase in a number of countries, including China and India. Sales of vinyl siding are expected to surge through 2013 because of higher levels of US demand; outside North America, vinyl products will account for just a small portion of overall siding demand.