Carpet and Rug Market Size - By Product Type, By Type, By Size, By Material, By Price, By Application, By Distribution Channel & Forecast 2025 - 2034

Carpet and Rug Market Size

The global carpet and rug market was estimated at USD 51.7 billion in 2024. The market is expected to grow from USD 53.8 billion in 2025 to USD 84.7 billion in 2034, at a CAGR of 5.2% according to latest report published by Global Market Insights Inc. The carpet and rug industry is witnessing strong growth due to growing demand in the residential and commercial segments.

Urbanization rates are likely to increase 68% worldwide by 2050, with emerging economies such as India and China spearheading this, as per the World Bank. This urbanization combined with growing disposable incomes is driving the investments of consumers into interior design and home décor. Carpets and rugs are in high demand due to their comfort, insulation features, and capacity to add aesthetic value to areas. In the commercial sector such offices, hotels, and shops, the products are prized not just for their style but also for their sound reduction and safety features. Post-pandemic growth in the hospitality and tourism sectors has further increased demand for luxury and bespoke floor coverings, especially in luxury resorts and hotels.
 

Materials innovation, design innovation, and sustainability are leading the way in molding the market. Eco-friendly and performance materials like recycled PET, nylon 6, and wool blends are being widely used by manufacturers due to their improved stain resistance, antimicrobial properties, and durability. As per the Carpet and Rug Institute (CRI), recycled material-based carpets covered around 25% of overall production in 2023, reflecting the direction the industry is taking toward sustainability. Advanced technologies such as digital printing and modular carpet tiles take short production cycles which increase custom design capability, and easier installation and maintenance.
 

In addition, increasing awareness among eco-aware consumers is fueling the desire for environmentally friendly solutions. As a result, organizations are reacting by investing in recyclable carpets, seeking green certification such as LEED (Leadership in Energy and Environmental Design), and adopting closed-loop manufacturing systems. These efforts not only address the strict environmental laws but also create new opportunities for market growth.
 

The growth of e-commerce and omnichannel retailing is changing the marketing and distribution of carpets and rugs. E-commerce platforms offer customers the ease of shopping, comparing, and buying goods from home. Technology such as virtual room visualizers and augmented reality is upgrading the shopping experience so that customers can now see how products will fit into their environments. This is especially significant in tier-2 and tier-3 cities, where physical retail infrastructure is scarce. E-commerce transactions around the world were valued at USD 5.7 trillion in 2023, according to a report prepared by the United Nations Conference on Trade and Development (UNCTAD), where home decor products are among the main drivers.
 

In addition, increased globalization of manufacturing centers in India, Turkey, and China is enhancing supply chains. Backed by government schemes like India's Production Linked Incentive (PLI) program and export-oriented policies, the nations are becoming major players in the international market. For instance, India shipped USD 1.37 billion worth of carpets during FY 2023, as per the Carpet Export Promotion Council (CEPC). This strong manufacturing platform is facilitating competitive pricing and further fueling market expansion.
 

Carpet and Rug Market Trends

One of the most prominent trends in the market is the growing demand for sustainable & eco-friendly products and modular and functional flooring solutions.
 

• Consumers are increasingly conscious of the environmental impact of their purchases, prompting a shift toward carpets made from natural fibers like wool, jute, and sisal, as well as recycled synthetic materials such as PET and nylon. Manufacturers are responding by adopting green manufacturing practices, reducing water and energy usage, and obtaining eco-certifications like Cradle to Cradle, Green Label Plus, and GUT. This trend is particularly strong in regions with stringent environmental regulations, such as Europe and North America, but is also gaining traction in Asia-Pacific as awareness spreads. The push for sustainability is not only reshaping product development but also influencing marketing strategies and brand positioning.
   
• Another key trend is the rising popularity of modular and functional flooring solutions, especially in commercial and institutional settings. Carpet tiles and area rugs are gaining favor due to their ease of installation, maintenance, and replacement, making them ideal for high-traffic environments like offices, schools, and healthcare facilities. These products are also being designed with multi-functional features such as sound absorption, anti-slip surfaces, and thermal insulation, aligning with the broader demand for performance-driven interiors. The modular format allows for creative layouts and quick updates, which is appealing to businesses seeking flexibility and cost-efficiency. This trend reflects a shift from purely aesthetic considerations to practical, adaptable, and sustainable flooring solutions.
   

Carpet and Rug Market Analysis

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Based on product type, the carpet and rug market can be segmented into woven, tufted, knotted, needle-punched, flat-weave and others (hooked). The tufted accounted for revenue of around USD 32.2 billion in the year 2024 and is estimated to grow at a CAGR of 5.1% from 2025 to 2034.
 

• Tufted carpets are manufactured using a relatively simple and quick process, which allows for mass production at lower costs compared to woven or knotted alternatives. This makes them highly attractive for both residential and commercial applications, especially in price-sensitive markets.
   
• Additionally, tufted carpets offer a wide range of textures, colors, and pile heights, catering to diverse consumer preferences and interior design trends. Their ease of installation and maintenance further enhances their appeal, particularly in high-traffic areas like offices, hotels, and retail spaces where frequent replacement or cleaning is required.
   

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Based on application, the carpet and rug market is segmented as residential and commercial. The residential held around 71.9% of the total market share in 2024 and is anticipated to grow at a CAGR of 5.2% during the forecast period.
 

• Rising urbanization, increasing disposable incomes, and a growing focus on home aesthetics are driving homeowners to invest in carpets and rugs as both functional and decorative elements. These products offer comfort, insulation, and noise reduction, making them ideal for bedrooms, living rooms, and hallways. Additionally, the surge in home renovation and remodeling activities especially post-pandemic has further fuelled demand, as consumers seek to enhance their living spaces with stylish and cozy flooring solutions.
   
• Moreover, the availability of a wide range of affordable, easy-to-maintain, and customizable carpet options such as tufted and modular rugs has made them more accessible to a broader consumer base. The rise of e-commerce and online interior design platforms has also played a significant role in boosting residential sales, allowing consumers to explore and purchase carpets conveniently.
   

Based on distribution channel, the carpet and rug market is segmented as online and offline. The offline distribution channel held around 76.3% of the total market share in 2024 and is anticipated to grow at a CAGR of 5.1% during the forecast period.
 

• Consumers often prefer to physically inspect texture, colour, and quality before planning, especially for high-value or customized products. Additionally, offline channels such as specialty flooring stores, home improvement retailers, and interior design showrooms offer personalized service, professional installation, and after-sales support, which enhances customer confidence and satisfaction. These factors continue to make offline shopping the preferred choice, particularly in regions where digital adoption is still growing.
   
• The carpet and rug market is the strong presence of established retail networks and brand showrooms, which offer consumers a trusted environment for purchasing high-value flooring products. Offline stores often provide expert guidance, physical samples, and bundled services like installation and maintenance, which are especially important for buyers seeking long-term durability and aesthetic alignment with their interiors.
   

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North America Carpet and Rug Market
 

The U.S. dominates an overall North America market and valued at USD 12.7 billion in 2024 and is expected to grow at a CAGR of 5.2% during the forecast period from 2025 to 2034.
 

• This dominance is driven by a combination of factors, including a strong housing market, high consumer spending on home improvement, and a well-established infrastructure for manufacturing and distribution. The U.S. also benefits from a mature commercial real estate sector, where carpets and rugs are widely used in offices, hotels, and retail spaces for their aesthetic appeal, acoustic benefits, and comfort.
   
• Additionally, the growing trend of home renovation and remodeling, fuelled by changing lifestyle preferences and increased time spent at home, has significantly boosted residential demand. The presence of major industry players further strengthens the U.S. market, as these companies continue to innovate in terms of product design, sustainability, and digital retail strategies.
   

Europe Carpet and Rug Market
 

The market in Europe, Germany is expected to experience significant and promising growth from 2025 to 2034.
 

• Germany’s robust construction and real estate sectors particularly in residential renovations and commercial infrastructure are fueling demand for high-quality flooring solutions. Additionally, the country’s emphasis on sustainability and eco-conscious living is encouraging the adoption of carpets made from natural fibers and recycled materials, aligning with broader EU environmental goals.
   
• Moreover, Germany’s position as a design and manufacturing hub in Europe supports innovation in carpet production, including digitally printed, modular, and functional rugs that cater to modern interior design trends. The growing popularity of online retail channels and home improvement platforms is also making carpets more accessible to a wider consumer base.
   

Asia Pacific Carpet and Rug Market
 

The Asia Pacific market, China held 37.6% market share in 2024 and is expected to grow during the forecast period from 2025 to 2034.
 

• The expansion of residential construction and real estate development across urban and semi-urban areas is also fueling demand for both functional and decorative floor coverings. Moreover, China’s strong manufacturing base, competitive pricing, and increasing focus on sustainable materials are positioning it as a major player in both domestic and export markets. The popularity of tufted carpets, which accounted for a significant portion of the market in 2024, reflects consumer preference for affordable, easy-to-install, and low-maintenance flooring solutions.
   

Middle East and Africa Carpet and Rug Market
 

In the Middle East and Africa market, Saudi Arabia held 29.4% market share in 2024 and is expected to grow at a CAGR of 4.5% during the forecast period from 2025 to 2034.
 

• This growth is largely driven by the country’s ambitious Vision 2030 initiative, which is fueling massive investments in residential, commercial, and hospitality infrastructure. Projects like NEOM and Red Sea Development are creating substantial demand for high-quality floor coverings in both luxury and functional segments.
   
• Additionally, rising disposable incomes, a growing young population, and increasing interest in modern interior design are boosting consumer demand for stylish and comfortable carpets and rugs. The market is also benefiting from the expanding retail and e-commerce landscape, which is making a wide variety of products more accessible.
   

Carpet and Rug Market Share

• In 2024, the prominent manufacturers in market are Mohawk Industries, Inc., Shaw Industries Group Inc., Genie Carpet Manufacturers, Royalty Carpet Cleaning & Flooring, and Inter IKEA Systems together these companies hold the market share of ~15-20%.
   
• Mohawk Industries leads the industry with a focus on sustainability and vertical integration. The company has made significant investments in recycled materials, notably using recycled plastic bottles to create PET carpets. Mohawk is at the forefront of smart manufacturing, harnessing automation, and data analytics to boost production efficiency. Their Air.o line of hypoallergenic, VOC-free carpets is a groundbreaking innovation, appealing to health-conscious consumers. Moreover, robust retail partnerships and a global distribution network amplify Mohawk's market presence and accessibility.
   
• Shaw Industries prioritizes design innovation, sustainability, and digital evolution. They have introduced advanced flooring products designed with environmental responsibility in mind and champion closed-loop recycling systems. Shaw's LifeGuard waterproof backing and R2X stain and soil resistance technology are significant differentiators in performance and durability. Furthermore, the company invests in digital visualization and customization tools, significantly enhancing the experience for both residential and commercial clients.
   

Carpet and Rug Market Companies

Major players operating in the carpet and rug industry include:
 

• Beaulieu International Group
• Dixie Group
• Engineered Floors
• Genie Carpet Manufactures
• Home Depot
• Inter IKEA Systems
• Interface
• KarpetsbyRKS
• Lowe's
• Marwar Carpets International
• Milliken & Company
• Mohawk Industries
• Orientals Weavers
• Royalty Carpet Cleaning & Flooring
• Saif Carpets
• Shaw Industries Group
• Taekett
• Tai Ping
• Victoria
   

Genie Carpet Manufacturers remains competitive by providing tailored solutions, attractive pricing, and a keen focus on export markets. The company adeptly balances hand-tufted and machine-made offerings, serving both luxury and mass-market clientele. Its agility in embracing global design trends and crafting bespoke carpets for hospitality and commercial ventures, particularly in the Middle East, Europe, and North America, gives it a distinct advantage and strengthens its global footprint.
 

Royalty Carpet Cleaning & Flooring stands out with its holistic service model, merging flooring sales, installation, and maintenance. This comprehensive approach resonates with residential and commercial clients prioritizing convenience and trust. The company is also at the forefront of green cleaning technologies and eco-friendly flooring solutions, addressing the rising demand for sustainable interiors. Coupled with local market expertise and a customer-first service ethos, Royalty has cultivated a dedicated and loyal clientele.
 

Carpet and Rug Industry News

• In early 2025, Mohawk Industries launched new product lines at the Mohawk Edge Summit, including the SolidTech R collection. Designed for unconditioned spaces like three-season rooms, this sustainable flooring solution combines durability, water resistance, and eco-friendliness to meet growing demand for versatile, renewable options. Mohawk also expanded its Pergo Extreme Ultra line, a WPC product with a waterproof core and realistic wood visuals, catering to both residential and commercial needs.
   
• In December 2024, Benuta, Europe’s largest online rug retailer, adopted Constructor's AI-powered e-commerce platform to enhance and personalize shopping experiences. With over 20,000 products, the platform streamlines product discovery, saving time for both shoppers and merchandisers. It operates across European domains, offering localized, seamless, and engaging searches.
   
• In August 2024, STARK and Missoni extended their partnership, unveiling a new rug collection. The lineup includes nine stocked styles, five custom designs, and a signature SPA rug made with STARK’s durable Performance Acrylic fibre. Additionally, it features 10 carpet styles and 100 custom colours in wool, silk, and silky nylon, delivering tailored luxury.
   

The carpet and rug market research report includes in-depth coverage of the industry, with estimates & forecasts in terms of revenue (USD Billion) and volume (Million Units) from 2021 to 2034, for the following segments:

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Market, By Product type

• Woven
• Tufted
• Knotted
• Needle-punched
• Flat weave
• Others

Market, By Type

• Accent rugs
• Area rugs
• Runner rugs
• Bath rugs
• Others

Market, By Size

• Small (2x3, 3x5, 4x6)
• Medium (5x7, 5x8, 6x9)
• Large (8x10, 9x12)

Market, By Material

• Nylon
• Wool
• Silk
• Polyester
• Acrylic
• Others

Market, By Price

• Low
• Medium
• High

Market, By Application

• Residential
• Commercial

Market, By Distribution Channel

• Online
  • E-commerce websites
  • Company-owned websites 
• Offline
  • Supermarkets and hypermarkets
  • Specialty stores
  • Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Malaysia 
• Latin America
  • Brazil
  • Mexico
  • Argentina 
• MEA
  • Saudi Arabia
  • UAE
  • South Africa