US demand for carpets & rugs to grow
Demand for carpets and rugs in the US is projected to advance 4.5 per cent annually to 14.6 billion square feet in 2019, valued at $16.2 billion. Growth will be spurred by rebounding building construction expenditures and continuing consumer interest in replacement and remodeling projects, such as the removal of worn or out-of-style carpets & rugs.
Demand for carpets and rugs in the US is projected to advance 4.5 per cent annually to 14.6 billion square feet in 2019, valued at $16.2 billion. Growth will be spurred by rebounding building construction expenditures and continuing consumer interest in replacement and remodeling projects, such as the removal of worn or out-of-style carpets & rugs. However, more rapid gains will be restrained by competition from hard surface flooring, which has taken market share from carpets and rugs in the floor covering market over the past decade and will continue to do so. These and other trends are presented in Carpets & Rugs, a new study from The Freedonia Group, Inc., a Cleveland-based industry market research firm.
The residential market, which accounted for 62 per cent of carpet & rug demand in 2014, will remain the leading end use for carpets & rugs. The new housing segment will see the fastest growth in demand as housing completions rise at a double-digit pace through 2019. The larger residential remodeling and replacement segment will see gains as homeowners replace older or worn carpets and rugs. According to analyst Matt Zielenski, ´Advances will be checked by rising interest in hard surface flooring as homeowners opt for these products´despite a higher initial cost than carpets and rugs´because they are seen as being more durable or attractive.´
Carpet & rug demand in the nonresidential market will be driven by rising spending on office and commercial and institutional construction, the nonresidential markets where carpets and rugs are used most extensively. In the transportation equipment segment, demand is forecast to rise modestly as motor vehicle production decelerates from the strong pace seen between 2009 and 2014.
Among carpet and rug types, tufted products accounted for the largest share of demand in area terms in 2014 with 82 per cent. These carpets dominate demand due to their low cost, ease of installation, and favorable aesthetic and performance properties. Tufted carpet & rug demand is expected to rise as building construction expenditures increase.
