Global Information Inc. presents a new market research report, "BRICK & BLOCK (US industry forecasts for 2014 & 2019)" by The Freedonia Group.
According to a new report from The Freedonia Group, "Demand for brick and block products is projected to increase nearly twelve percent annually from a weak 2009 base to 12.4 billion units in 2014, valued at $8 billion." Among the speculations, building construction, particularly residential construction, is expected to recover and subsequently generate growth in the market for brick and block products. Clay brick, in particular, should benefit from residential construction (i.e. new single-family housing) rebounds through 2014. By the end of the forecast period, demand for clay brick is projected to advance 15 percent yearly to reach 8.2 billion units.
Key trends in the brick and block products market:
- Consumption of clay brick products tend to concentrate in residential markets, which reflects heavy use of clay brick as siding material in construction of new homes.
- Demand for concrete brick and block products is expected to rise 6.9 percent per annum to 4.3 billion units in 2014.
- Structural and decorative concrete block products rely more heavily on nonresidential construction; and will therefore experience much slower gains.
- Aggregate brick and block pricing spiked between 2004 and 2009, which reflects high energy costs.
- Since growth through 2014 will mainly concentrate in lower unit cost clay brick, aggregate prices are expected to remain level.
©2010 by The Freedonia Group