Cement Board Market is Estimated to Witness High Growth Owing to Opportunity to Replace Traditional Construction Materia

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Cement board is a rigid cement-based building panel used in interior and exterior construction applications as an alternative to traditional drywall and exterior siding materials. It provides water, fire and mold resistance and durability. Cement board gains several advantages compared to drywall like high strength, moisture resistance, mold resistance and can withstand high impacts and loads. The residential and commercial building industry is demanding lightweight, energy efficient and strong construction products which is fueling the demand for cement boards.

The global cement board Market is estimated to be valued at US$ 1.86 Bn in 2023 and is expected to exhibit a CAGR of 9.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Opportunity:
Replacement of traditional construction materials presents a major market opportunity for cement board. Traditional construction materials like wood and drywall have limitations in terms durability and moisture resistance. On the other hand, cement board can withstand extreme weather conditions, fire, impacts and last longer compared to wood and drywall. Being a sustainable and eco-friendly building material, cement board is increasingly replacing wood and drywall in applications ranging from interior wall finishes, exterior sidings, ceilings and floor underlayments. The cement board market players are expected to leverage this opportunity of replacing traditional materials and tap the growing demand from remodeling and new construction projects across residential and non-residential sectors.

Porter’s Analysis

Threat of new entrants: The cement board market is moderately consolidated with presence of a few established players. The production of cement board requires huge capital investments and resources for infrastructure and machinery. This poses as a barrier for new players.

Bargaining power of buyers: Buyers have moderate bargaining power as there are multiple established brands selling cement boards with varied quality and pricing. However, switching costs for buyers are low.

Bargaining power of suppliers: The cement board market size has a large number of raw material suppliers which limits their bargaining power. The key raw materials such as cement and cellulose fiber are commoditized and globally available.

Threat of new substitutes: Substitutes like drywall and wall panels pose minimal threat as they do not offer the same durability and moisture resistance as cement boards.

Competitive rivalry: The global cement board market experiences moderate to high competitive rivalry among the top players. Players compete on pricing, product innovation, and expanding geographic reach.

SWOT Analysis

Strengths: Cement boards offer high strength, durability, fire resistance and moisture resistance. They are widely used in wet areas and for commercial construction projects.

Weaknesses: Cement boards are heavier than drywall which makes handling and installation a little difficult. They also require more skill and tools for cutting and finishing compared to drywall.

Opportunities: Growing building & construction industry especially in Asia Pacific provides ample opportunities for cement board manufacturers. Renovation and improvement activities in developed regions also support market growth.

Threats: Availability of cheaper substitutes like gypsum drywall can hamper cement board sales. Volatility in raw material prices is also a concern. Strict environmental regulations related to cement production act as a restraint.

Key Takeaways

The global cement board market is expected to witness high growth at a CAGR of 9.9% during 2023-2030. Rapid urbanization and infrastructure development in emerging economies are driving cement board consumption.

Asia Pacific dominates the global market with China being the largest producer and consumer of cement boards. The region's substantial construction industry along with growing infrastructure spending supports cement board demand.

Key players operating in the cement board market are Novartis AG, Merck & Co. Inc., F-Hoffmann La Roche, Eli Lilly and Company, Bayer AG, AstraZeneca, Astellas Pharma Inc., Amgen Inc., OSE Immunotherapeutics SA, and Bristol- Myers Squibb Company, among others. Major players focus on diversifying their product portfolios and expanding geographically into high growth regions.

Get more insights on this topic: https://www.newswirestats.com/cement-board-market-size-and-opportunity-analysis-2023-2030/

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