Global Waterproofing Membrane Market

Global Waterproofing Membrane Market (by Product, Application, Raw Material, Usage & Region): Insights and Forecast with Potential Impact of COVID-19 (2022-2026)

Market Insight:

A waterproofing membrane is a thin waterproofing layer applied to the surface. It is a continuous coating that prevents water from passing through.

Waterproofing membranes avoid a variety of construction industry issues such as electrical fitting degradation, plaster softening and cracking, and metal corrosion. Waterproofing membranes, when applied to walls, prevent water entry and subsequent structural damage, safeguarding basement walls and floors, balconies, terraces, and even swimming pools from water and humidity. The global waterproofing membrane market is expected to reach US$33.18 billion in 2023, growing at a CAGR of 6.50% during the forecast period.

Segment Covered:

• By Product: The market report has segmented the global waterproofing membrane market into two segments in terms of product: Liquid Applied Membrane and Sheet Membrane. The liquid applied membrane segment lead the waterproofing membrane market, accounting for maximum share of the market. The liquid applied membrane segment is expected to experience high growth owing to the growing awareness of the advantages of the product such as cost-effectiveness and ease of installation. Moreover, manufacturers are focusing to introduce new solutions in the market which would further contribute to the market growth.
• By Application: The report splits the global market into six segments on the basis of application, namely Building Structures, Roofing, Roadways, Waste & Water Management, Walls, and Others. Building structures hold the dominant share in the market. The growth can be attributed due to the high application of waterproofing membranes in buildings to improve the shelf life and protection at varying temperatures.
• By Raw Material: According to report, the market has been segmented into six segments on the basis of construction type: PVC, HDPE, EPDM, TPO, Modified Bitumen, and Others. Modified bitumen segment is expected to grow at a CAGR of 6.8% in the coming years owing to its unique properties such as high resistance to weathering and aging. It increases the product viability in terms of flexibility at low temperatures, high UV resistance properties, and improved flow resistance at high temperatures.
• By Usage: The report provides the segmentation of global waterproofing membrane market based on usage: New Construction and Refurbishment. The refurbishment market is anticipated to grow at a high CAGR during the forecasted period. The increase in refurbishment activities in developed economies such as the US and countries in Europe are the major drivers of the waterproofing membrane market. Rising disposable income, easy availability of loans, and increased affordability have led homeowners to spend more on refurbishment and renovation projects.

Geographic Coverage:

According to this report, the global waterproofing membrane market is divided into four regions: Asia Pacific, North America, Europe, and the Rest of the World. The countries covered in Asia Pacific region include China, Japan, India, Australia, South Korea, and the Rest of the Asia Pacific, while North America includes the US, Canada, and Mexico. Moreover, UK, Germany, France, Italy, Spain, and the Rest of Europe are included in the European region.

The Asia Pacific dominated the market with largest share of the global market. The region is anticipated to lead the global waterproofing membrane market during the forecast period owing to the growing infrastructural developments and rapid industrialization, especially in China and India. The US market is divided based on product: Liquid Applied Membrane and Sheet Membrane. The liquid applied membrane is expected to grow at the highest CAGR, owing to the increase in the number of housing projects, growing underground water construction requirements, and rising infrastructural developments in the US.

Top Impacting Factors:

Growth Drivers

• Growing Construction Industry
• Increasing Disposable Income
• Supportive Government Initiatives
• Rising Demand for Residential Spaces

Challenges

• Fluctuating Raw Material Prices
• Potential Health and Environmental Issues

Trends

• Increasing Housing Age
• Growing Demand For Green Roofing & Green Building
• Driver: Growing Construction Industry

Construction is a high-risk industry that includes a wide range of activities, from infrastructure development to renovation including residential construction, bridge construction, road paving, etc. One of the most important applications in a construction is waterproofing. Waterproofing improves the durability of many different surfaces in construction. In addition, waterproofing materials should be applied in order to ensure the comfort of the house or office to be used after the construction is finished. The increase in the construction activities is creating demand for waterproofing solutions. This trend is expected to continue in the near future and would contribute to the lucrative growth prospects for the global waterproofing membrane market.

• Challenge: Fluctuating Raw Material Prices

The cost of raw materials for manufacturing building materials impacts the prices of the building materials. The rising raw materials costs along with other factors such as oil, gas, and energy are the key causes of increases in the prices of the waterproofing membrane. The raw materials used for manufacturing waterproofing membranes are extracted primarily from crude oil. Waterproofing membranes based on PVC, PU, acrylic, and bitumen are all derived from petroleum sources. Due to the fluctuating crude oil prices, the prices of raw materials of waterproofing membranes are also affected. Therefore, increasing raw material prices are expected to hamper the growth of the waterproofing membrane market.

• Trend: Increasing Housing Age

The aging housing stock signals a growing remodeling market, as old structures normally need to add new amenities, or repair/replace old components. Older houses are less energy-efficient than new construction and ultimately would require remodeling and renovation in the future. With the housing stock aging around the world, demand for new construction is set to pick up in the long-term and the remolding market could also receive a boost as older buildings often require retrofits. As the age of housing increases, so would the demand for waterproofing membrane products. An increase in renovation activities for existing buildings is estimated to boost the demand for waterproofing membrane materials during the forecast period.

The COVID-19 Analysis:

The waterproofing membrane market growth was negatively affected by the COVID-19 pandemic in early 2020, as lockdowns, social distancing measures, and trade sanctions have triggered massive disruptions to global supply chain networks. A major challenge that the waterproofing membrane market faced during the initial period of the COVID-19 outbreak was the low availability of the workforce and rising labor costs. After a period of contraction in demand, waterproofing membrane demand would be supported by an increase in housing starts and the efforts of building owners to repair or replace the nation’s large stock of structures with older or worn structures, thus resulting in a positive growth outlook. Also, virtual communications with homeowners have been growing in popularity, as have touch-free orders, pickups, and deliveries.

Analysis of Key Players:

The global waterproofing membrane market is highly fragmented, with many players holding trivial market share. The key players of the global waterproofing membrane market are:

• BASF SE
• Sika AG
• Dow Inc. (The Dow Chemical Company)
• Berkshire Hathaway, Inc. (Johns Manville)
• Carlisle Companies Incorporated
• RPM International Inc. (Tremco Incorporated)
• GCP Applied Technologies, Inc.
• Forsoc, Inc.
• Standard Industries (BMI Group)
• Soprema Group

Some of the strategies among key players in the market for waterproofing membrane market are partnerships, mergers, acquisitions, and collaborations. For Instance, in 2022, BMI Group acquired Spanish company Asfaltos ChovA, a specialist in efficient flat building solutions for waterproofing and thermal and acoustic insulation. Moreover, Carlisle Construction Materials would produce the commercial roofing industry’s first 16-foot-wide TPO membranes. In addition to this, in 2021, Forsoc, Inc. introduced a product called Polyurea WH 100, which hand-applied application makes the installation of a wide range of roof waterproofing applications easy.