Introduction
Ceiling tiles are also called as ceiling panel. These are very lightweight construction materials used to cover ceiling. They provide thermal insulation are generally designed to enhance the aesthetics as well as acoustics of rooms. It is widely used for decoration of inner sections of a room and for noise reduction purposes.
The market growth is expected to rise with increasing demand for acoustic and thermal insulation, rising disposable income in developing countries, and changing consumer preferences towards aesthetics of the home and office buildings.
However, the high raw material costs associated with the product, availability of substitutes in the market is limiting the market demand of ceiling tiles.
Despite the current pandemic situation, the ceiling tiles manufacturers are recovering their operations in full capacities from 2021 beginning. Along with this, the recovering construction activities across the globe are expected to mitigate to numerous potential negative impacts caused during COVID-19 and maximize their opportunities in future.
Table of Contents
Market Overview
The Global ceiling tiles is expected to grow to $8,937.10 million by 2025.
Growth momentum is expected to accelerate during the forecast period with 8.92% CAGR.
The usage of sustainable and innovative construction solutions involving the usage of eco-friendly materials for making ceilings, floors, and walls, is expected drive the market demand.
North America is dominating the market due to increased demand from the construction sector, developed manufacturing industry, and government initiatives favoring the development of social infrastructure.
Key Trends
Innovation in gypsum tiles for its biodegradable properties is likely to provide opportunities for the market growth.
Increasing healthcare infrastructure development across globe amid COVID-19 is expected drive the demand.
The increasing number of renovation and refurbishment projects in the developed countries is anticipated to boost the demand for materials, thereby propelling the industry growth.
Key Market Players
Some of the key players in the market are Rockwool International, AWI Licensing, USG Corporation, Knauf Gips, Odenwald Faserplattenwerk, SAS International.
The players have a strong presence in Europe and North America, as well as in developing countries in the Asia Pacific such as China, India, South Korea, and Thailand. The market has been witnessing an increasing trend of organic growth. They are also adopting certain strategic initiatives, M&A activities to increase their production capacity and to enhance their product portfolio to cater to the growing demand.
Growth Drivers and Challenges
The rising investment in various construction and infrastructure projects across the globe is driving the market. Global construction industry is growing at a faster pace with a major contribution from emerging countries. The revenue is expected to reach approximately $14.98 trillion by 2025.
Growth in the construction of green buildings in developed nations is driving the demand.
The market growth is hampered by high raw material costs associated with the product.
Availability of various substitutes in the market for ceiling tiles is another factor restricting market growth.
Environmentally friendly raw materials restricting the demand for traditionally used raw materials to ceiling tiles which is challenging industry players in the market.