Cement Board, also referred as fiber cement siding, is a building material used in both exterior and interior construction. It is made from sand, cement and cellulose fiber under high pressure and heat. Cement board offers benefits like durability, moisture and fire resistance over other building materials. It is widely used for walls, floors, facades, ceilings, countertops and other surfaces in residential and commercial construction. The global Cement Board Market is estimated to be valued at US$ 2.15 Bn in 2024 and is expected to exhibit a CAGR of 24% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
Rising Construction Industry
The opportunity for growth of the cement board market lies in the rising construction industry worldwide. According to Global Construction Perspectives and Oxford Economics, the global construction market is projected to grow by 85% to hit $15.5 trillion by 2030. Rapid urbanization along with growing population is driving the residential construction sector across developing nations like India, China, Indonesia and others in Asia Pacific region. Furthermore, increasing commercial construction activities for malls, offices, hospitals etc. in developed regions of North America and Europe is propelling the demand for cement board. The rising construction industry will augment the consumption of cement board in coming years, thus providing immense growth prospects to the market during the forecast period.
Porter’s Analysis
Threat of new entrants: The high capital requirements and economies of scale in production and logistics pose significant barriers for new companies.
Bargaining power of buyers: The bargaining power of buyers is moderate due to the availability of substitutes. However, switching costs are low.
Bargaining power of suppliers: Raw material suppliers have moderate to high bargaining power as cement board manufacturers rely heavily on a few raw material suppliers.
Threat of new substitutes: Substitutes like drywall provide competition but cement board has advantages in durability, fire resistance and moisture resistance.
Competitive rivalry: Intense competition exists amongst the top players to gain market share through product innovation, marketing and distribution network expansion.
SWOT Analysis
Strength: Cement board has properties of high durability, fire resistance and moisture resistance making it suitable for walls, floors and roof decks.
Weakness: Cement board has higher raw material and production costs compared to drywall. Transportation costs are also higher due to density and rigidity.
Opportunity: Growth in the construction industry especially commercial construction is expected to drive demand. Residential remodeling projects also provide opportunities.
Threats: Economic slowdowns can negatively impact construction spending and hamper market growth. Substitutes like drywall pose competition.
Key Takeaways
The Global Cement Board Market Share is expected to witness high growth over the forecast period due to rapid urbanization and growth in the construction industry. Increasing commercial and infrastructure projects across developing regions will drive the market.
The Asia Pacific region currently dominates the market and is expected to maintain its lead due to strong growth in China, India and other Southeast Asian countries. North America and Europe are also sizable markets fueled by ongoing construction activities.
Key players operating in the cement board market are Veritas Technologies Llc., Actifio Inc., Veeam Softwares, Commvault Systems Inc., Symantec Corporation, Ca Technologies, Microsoft Corporation, Dell Technologies Inc., Ibm Corporation, and Hewlett Packard Enterprise. The players are focused on expanding their global footprint and broadening their product portfolios through mergers & acquisitions. Innovation in product features and integrated solutions are key strategies followed.
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https://www.ukwebwire.com/cement-board-market-size-share-growth-outlook-2023/
