Building and construction activity is booming in China as well as in other parts of Asia. Building and construction activity in North America has slowed down and is stagnant in Europe.
One of the major plastic applications in this sector - Plastic pipes are expected to grow at least by 2.5-3% in North America through the remaining part of this decade, with strongest growth expected in Asia.
PVC will remain the dominant raw material for pipe plastics with its best opportunities expected in large-diameter drain and sewer applications. HDPE will experience the fastest growth due to its flexibility, sturdiness, joint integrity and trench-laying capabilities, with corrugated drain, gas and potable water pipes representing the growth areas.
Cross-linked PE (PE-X) represents a rapidly growing niche product in markets such as under floor radiant heating. Composite pipes made out of PE-X and Aluminum is expected to grow well in sanitary application, and is currently growing quite well in Europe.
Home building and home remodeling triggers demand for vinyl windows and doors. According to The Freedonia Group the US$100 billion worldwide window and door market is anticipated to rise 4.7% annually through 2010. Mature markets, such as the U.S., remain dominant. Vinyl, fiberglass, and other plastic doors will grow fastest, followed by plastic and metal windows.
The use of more wood flour plastic composite (WPC) in building and construction is opening new opportunities for processors in a number of new areas such as stair spindles, kitchen cabinets and other alternatives to pure-wood products for these have become increasingly costly. Processors of WPCs have begun to explore structural foam moulding as a method of replacing some of the building products that have traditionally been manufactured using wood because one of the of the reason is that structural foam products deliver physical property characteristics that are more like real wood than unfoamed products.
Thanks to rising demand in world construction activity, demand for extruded building and construction products such as pipe and siding, and windows and trim will grow in the next few years.
