Solid Surface Materials & Other Cast Polymers to 2016

This study analyzes the US cast polymer industry. It presents historical demand data for the years 2001, 2006 and 2011, and forecasts for 2016 and 2021 by material (e.g., marble, resins), product (solid surface materials, gel-coated composites, engineered stone), end use (e.g., countertops) and US region. The study also considers market environment factors, details industry structure, evaluates company market share and profiles industry players.

Demand to grow 5.3% annually through 2016

Demand for cast polymers in the US is forecast to increase 5.3 percent per year to 248 million square feet in 2016. Gains will be driven by a sharp rebound in housing completions from the depressed levels of 2011; however, even by 2021 the number of new homes built will not reach the peak levels achieved in 2006 before the downturn. The residential improvement and repair segment will continue to account for the majority of cast polymer demand, thus an upswing in
US residential remodeling activity. Demand for cast polymers will be further aided by a recovery in the nonresidential construction spending market. Greater market penetration by cast polymers in place of more traditional surfacing materials, such as laminates, will further benefit demand. In most applications, cast polymers offer low maintenance requirements as well as resistance to stains, moisture, impact and other damage caused by wear and tear.

Engineered stone to exhibit fastest cast polymer gains

Engineered stone is expected to post the most rapid advances in cast polymer demand through 2016. Residential consumers will continue to be attracted to the material because of it performance advantages and because it is designed to resemble high-end natural stone but with
more color options and greater durability. Engineered stone demand in the nonresidential building construction market will be supported by specifiers seeking materials that are impervious to biological contaminants and requiring minimal maintenance.

Solid surface materials to remain dominant

Solid surface materials will continue to account for the largest share of cast polymer demand, with 41 percent of the total market in 2016. While solid surface benefits from cost advantages, increased competition from natural stone and engineered stone will limit gains. Many consumers perceive stone as superior in performance and aesthetics over solid surface. Demand for gel-coated composites (e.g., cultured marble) will be supported by their rising use in nonresidential building construction applications. Gains will also be driven by trends in residential bathrooms (a greater number and more elaborate designs), an area where gel-coated composites are most frequently applied.

New housing segment to provide most rapid growth

The countertop market will account for 86 percent of cast polymer demand in 2016. The new housing segment will provide the most rapid gains, as housing completions rebound and builders looking to make homes more marketable increasingly choose cast polymer countertops instead of laminates or tile. Nevertheless, the residential improvement and repair segment will continue to account for the majority of cast polymer countertop demand. Designs that call for larger kitchens and multiple bathrooms will also promote demand. In nonresidential countertop applications, solid surface materials will make gains in institutional settings, such as hospitals and schools, because these materials offer resistance to biological contamination.

Table of Contents

INTRODUCTION xi

I.EXECUTIVE SUMMARY 1

II.MARKET ENVIRONMENT 4
General 4
Macroeconomic Environment 4
Demographic Trends 8
Consumer Trends 11
Personal Income & Expenditures 12
Consumer Financing 14
Building Construction Expenditures 18
Residential Building Construction 20
Housing Completions 22
Housing Stock 26
Improvements & Repairs 30
Nonresidential Building Construction 31
Nonresidential Building Stock 34
Improvements & Repairs 36
Countertop Overview 37
Sink Overview 39
Environmental Considerations 40
Training & Standards 42
Historical Market Trends 44
Competitive Materials Overview 46
Laminates 46
Natural Stone 47
Other 49
Pricing Trends 50
Solid Surface 51
Gel-Coated Composites 53
Engineered Stone 53
World Market 55
Foreign Trade 56
Solid Surface 58
Gel-Coated Composites 60
Engineered Stone 60

III.MATERIALS 62
General 62
Marble & Related Materials 63
Resins 66
 Polyester 67
 Acrylic 69
Alumina Trihydrate 70
Quartz & Other Stone 72
Other 73

IV.PRODUCTS 76
General 76
Supply & Demand 77
Value Outlook 81
Solid Surface Materials 83
Supply & Demand 84
Value Outlook 86
Characteristics 88
Types 91
Acrylic 92
Polyester & Polyester/Acrylic Blends 95
Market Share 98
Gel-Coated Composites 103
Supply & Demand 104
Value Outlook 106
Characteristics 107
Types 108
Cultured Marble 109
Other Gel-Coated Composites 112
Suppliers 114
Engineered Stone 114
Supply & Demand 115
Value Outlook 117
Characteristics 119
Types 122
Quartz 122
Other Engineered Stone 126
Market Share 128

V.APPLICATIONS 133
General 133
Countertops 135
Residential 138
New Construction 143
Remodeling 146
Demand by Housing Type 150
Single-Family 151
Multifamily 154
Manufactured Housing 157
Nonresidential 159
Institutional 164
Office & Commercial 167
Other Nonresidential Buildings 169
Nonbuilding 170
Other Building Surfaces 172
Sink Fixtures 174
Demand by Material 177
Demand by Product 179
Other Bathroom Applications 181
All Other Building Surfaces 184
Other Applications 187

VI.REGIONAL MARKETS 190
General 190
Regional Demographic & Economic Trends 191
Regional Population Patterns 191
Regional Economic Trends 193
Regional Construction Expenditures 195
Regional Housing Trends 197
Regional Cast Polymer Demand 200
Northeast 205
New England 208
Middle Atlantic 209
Midwest 210
East North Central 214
West North Central 215
South 217
South Atlantic 219
East South Central 221
West South Central 223
West 224
Mountain 227
Pacific 229

VII.INDUSTRY STRUCTURE 231
General 231
Industry Composition 231
Market Share 236
Competitive Strategies 240
Research & Development 243
Marketing 244
Distribution 248
Cooperative Agreements 250
Company Profiles 254
AGCO Marble Incorporated 255
American Granule, see Fama Industries
Aristech Acrylics LLC 256
Austin Countertops, see K&K Langham
Avonite Surfaces, see Aristech Acrylics
Baker (Craig) Marble Company Incorporated 259
BLANCO GmbH & Company KG 261
Breton SpA 262
Caesarstone Sdot-Yam Limited 264
California Crafted Marble Incorporated 266
Cambria 267
CCM Enterprises, see California Crafted Marble
Central Marble Products Incorporated 268
Cheil Industries Incorporated 269
Chemcore Industries Incorporated 272
CompacStone USA, see Marmol Compac
Cosentino SA 273
Craftmark Solid Surfaces, see AGCO Marble
Custom Marble Incorporated 276
DuPont (EI) de Nemours 277
EOS Surfaces LLC 279
Fama Industries Corporation 280
Fletcher Building Limited 281
Formica, see Fletcher Building
Hanwha Group 283
Huber (JM) Corporation 285
Illinois Tool Works Incorporated 287
InPro Corporation 289
International Marble Industries Incorporated 291
K&K Langham Limited 292
Karadon, see Fama Industries
Lehigh Surfaces 293
LG Hausys Limited 295
Majestic Marble & Glass Incorporated 297
Marbled Elegance Incorporated 298
Marmol Compac SA 299
Meganite Incorporated 301
Princess Marble Company 302
Royal Baths Manufacturing Company 303
Royal Stone Industries Incorporated 304
Samsung Chemical USA, see Cheil Industries
Santa Margherita SpA 305
Swan Corporation 307
Syn-Mar Products Incorporated 308
Technistone AS 309
Tiffany Marble Incorporated 310
Tower Industries Limited 311
United States Marble Incorporated 313
Venetian Marble Incorporated 314
Verona Marble, see Santa Margherita
Wilsonart International, see Illinois Tool Works
Additional Companies Mentioned in the Study 316

List of Tables

SECTION I -- EXECUTIVE SUMMARY
Summary Table 3

SECTION II -- MARKET ENVIRONMENT
1 Macroeconomic Indicators 7
2 Population & Households 11
3 Personal Consumption Expenditures 14
4 Consumer Financing Environment, 2001-2011 17
5 Building Construction Expenditures 20
6 Residential Building Construction Expenditures 22
7 Housing Completions 26
8 Housing Stock by Type 29
9 Residential Improvement & Repair Expenditures 31
10 Nonresidential Building Construction Expenditures 33
11 Nonresidential Building Stock 36
12 Nonresidential Building Improvement & Repair Expenditures 37
13 Countertop Demand 38
14 Sink Fixture Shipments 40
15 Cast Polymers Historical Market, 2001-2011 45
16 Foreign Trade in Cast Polymers 58

SECTION III -- MATERIALS
1 Materials Demand in Cast Polymers 63
2 Marble & Related Materials Demand in Cast Polymers 66
3 Resin Demand in Cast Polymers 67
4 Alumina Trihydrate Demand in Cast Polymers 71
5 Quartz & Other Stone Demand in Cast Polymers 73
6 Other Materials in Cast Polymers 75

SECTION IV -- PRODUCTS
1 Cast Polymer Supply & Demand 80
2 Cast Polymer Demand by Value 82
3 Solid Surface Supply & Demand 86
4 Solid Surface Demand by Value 88
5 Solid Surface Demand by Type 92
6 Acrylic-Based Solid Surface Demand 95
7 Polyester & Polyester/Acrylic Blend Solid Surface Demand 98
8 Gel-Coated Composites Supply & Demand 106
9 Gel-Coated Composites Demand by Value 107
10 Gel-Coated Composites Demand by Type 109
11 Cultured Marble Demand 111
12 Other Gel-Coated Composites Demand 113
13 Engineered Stone Supply & Demand 117
14 Engineered Stone Demand by Value 119
15 Engineered Stone Demand by Type 122
16 Engineered Quartz Demand 126
17 Other Engineered Stone Demand 128

SECTION V -- APPLICATIONS
1 Cast Polymer Demand by Application 134
2 Cast Polymer Countertop Demand by Market, Room & Material 138
3 Residential Cast Polymer Countertop Demand by Market 143
4 New Residential Construction Cast Polymer Countertop Demand 146
5 Remodeling Residential Cast Polymer Countertop Demand 150
6 Residential Cast Polymer Countertop Demand by Housing Type 151
7Single-Family Housing Cast Polymer Countertop Demand 154
8 Multifamily Housing Cast Polymer Countertop Demand 157
9 Manufactured Housing Cast Polymer Countertop Demand 159
10 Nonresidential Building Construction Cast Polymer Countertop Demand 164
11 Institutional Building Cast Polymer Countertop Demand 167
12 Office & Commercial Building Cast Polymer Countertop Demand 169
13 Other Nonresidential Building Construction Cast Polymer Countertop Demand 170
14 Nonbuilding Cast Polymer Countertop Demand 172
15 Other Building Surfaces Demand for Cast Polymers 174
16 Sink Fixture Demand for Cast Polymers 177
17 Cast Polymer Sink Demand by Product 179
18 Other Bathroom Applications Demand for Cast Polymers 184
19 All Other Building Surfaces Demand for Cast Polymers 187
20 Other Applications Demand for Cast Polymers 189

SECTION VI -- REGIONAL MARKETS
1 Population by Region 193
2 Gross Domestic Product by Region 195
3 Construction Expenditures by Region 197
4 Regional Housing Indicators 200
5 Cast Polymer Demand by Region 204
6 Northeast Cast Polymer Demand 208
7 Midwest Cast Polymer Demand 214
8 South Cast Polymer Demand 219
9 West Cast Polymer Demand 227

SECTION VII -- INDUSTRY STRUCTURE
1 US Cast Polymer Sales by Company, 2011 235
2 Selected Cooperative Agreements 252

List of Charts

SECTION II -- MARKET ENVIRONMENT
1 Year of Construction of Housing Stock, 2011 29

SECTION IV -- PRODUCTS
1 Cast Polymer Demand by Product, 2011 81
2 Cast Polymer Demand by Value, 2011 83
3 Solid Surface Market Share by Company, 201199
4 Engineered Stone Market Share by Company, 2011 129

SECTION V -- APPLICATIONS
1 Cast Polymer Demand by Application, 2011 134

SECTION VI -- REGIONAL MARKETS
1 Cast Polymer Demand by Region, 2011 205

SECTION VII -- INDUSTRY STRUCTURE
1 US Cast Polymer Sales by Company, 2011 237