US Roofing

US Roofing

US roofing demand is forecast to increase slightly from an elevated 2022 base to 277.5 million squares in 2027. Growth in real terms will be restrained, largely due to a decline in conventional housing starts – following a surge in 2020 and 2021 – that began in 2022 and is expected to continue through 2024, with sluggish growth thereafter. A slowdown in residential reroofing activity after a surge in 2020 and 2021 will also depress growth.

Market value will see a significant deceleration from the 2017-2022 period, as most roofing product prices will moderate following price spikes that occurred due to supply chain issues and high raw material costs. However, market value is still expected to outpace real growth because of the increasing use of higher value roofing products with enhanced performance and aesthetic properties.

Strong Growth for Solar Roofing Supported by Building Codes & Government Incentives

While most small volume roofing products will see gains throughout the forecast period, solar roofing demand is expected to grow at an exceedingly fast rate due to current and future “green” building codes and state-driven incentives, particularly in California:

• California’s CALGreen building code requires most newly built and substantially renovated structures to meet zero net energy criteria by 2030; installing solar roofing can help meet this criteria.
• Currently, 25 states offer some sort of sales tax exemption for solar energy devices and 36 states offer property tax exemptions. More states are expected to offer incentives as the use of solar panels becomes more widespread.

A reduction in solar roofing prices over time – due to decreasing manufacturing costs, economies of scale, government investment, and financial incentives – will also encourage greater adoption of this product.

Metal Roofing Will Continue to Gain Market Share

Metal roofing has steadily gained share in the US roofing market over the past decade thanks to both its good performance and aesthetics. This product’s share of the market will continue to rise due to several factors, including:

• homeowners receiving discounts or incentives from insurance companies to install metal roofs, which are considered more durable than traditional asphalt roofs
• the fact that it is structurally sufficient to support the weight of solar panel installations, which will boost demand as interest in solar products grows in some parts of the country
• its sustainability (metal roofing materials can be made from recycled metals) and energy efficiency (metal reflects rather than absorbs heat, stopping extra heat from entering)

Study Description

This Freedonia industry study analyzes the $24 billion US market for roofing. It presents historical demand data (2012, 2017, and 2022) and forecasts (2027 and 2032) as well as annual data for years 2019-2026. Unit demand and value demand data is shown for roofing by material (asphalt shingle, metal, bituminous, plastic, rubber, tile, wood), product type (Standard laminated shingles, high-performance shingle, three-tab shingle, standing seam, metal shingle, metal shake, metal tile, corrugated panel, modified bitumen, built-up roofing, thermoplastic polyolefin, polyvinyl chloride, ethylene-propylene, neoprene, butyl, concrete tile, clay tile, porcelain tile, wood shingle, wood shake, spray polyurethane foam, composite shingle, synthetic roofing, slate, liquid-applied roofing, tensioned fabric, vegetative roofing, solar roofing) and market (new and reroofing demand in both residential and commercial buildings). The study also evaluates company market share and competitive analysis on industry competitors including GAF, Owens Corning, CertainTeed, and Johns Manville.