Decorative Laminates Market expansion during the forecast period 2021-2027 will be heavily influenced by the rapidly advancing and changing landscape of the home décor industry. Rise in disposable incomes of the consumers and their growing attraction towards aesthetic solutions is driving new developments in the home décor space. Globally, there is a robust demand for laminated engineered wood products, such as decorative laminates, in manufacturing of ready-to-assemble (RTA) furniture, cabinets, flooring and other solutions across both residential and commercial sectors.
Decorative laminates have continued to gain prominence as a popular surfacing material used to enhance the aesthetic appeal of residential and commercial spaces. These are generally used to decorate walls, floors, doors, and other interior structures. Decorative laminates are available in a wide range of aesthetically impressive options and allow home and business owners to achieve any look and feel they desire.
The demand for decorative laminates is predominantly driven by their cost-effectiveness and easy customization. Other benefits of these materials include lower maintenance and superior resistance to scratches and stains. Fast growing urbanization and subsequent rise in residential and commercial development will provide positive growth opportunities to the decorative laminates industry.
North America, where engineered paper and wood industries are highly developed, is expected to be a highly lucrative market for decorative laminates through 2027. The region is also home to numerous major product manufacturers. People in North America are widely using these laminates for renovation purposes. This can be attributed to increased household income levels and shifting preference towards the latest home interior design trends. Increasing investments in home renovation activities and the easy availability of raw materials will be key factors complementing the regional industry outlook.
Advanced Technology, Armstrong World Industries, Kronospan Holdings, Omnova Solutions(Synthomer plc), Sekisui Chemical, Timber Products, Wilsonart International, Tarkett SA (Société Investissement Deconinck), SierraPine, Roseburg Forest Products (RLC Industries Co.), FunderMax, Kingboard Holdings, Formica, Woodcraft Industries (Quanex Corporation), and Ronotex are among the key decorative laminates industry participants.
These companies along with numerous other new entrants are constantly exploring new growth and expansion strategies to expand their market share. Some key strategies adopted by manufacturers include acquisitions, partnerships, and mergers, among other approaches such as production capacity expansion and development of new production facilities.
In August 2020, for instance, Wilsonart Engineered Surfaces had acquired Columbia, South Carolina based Alpine Sales, Inc., a wholesale distributor of decorative surfaces to the building and remodeling industry.
Citing another instance, in May 2021, Wilsonart had completed the acquisition of Cincinnati based Flagg Inc. Flagg is a leading wholesale distributor of services and supplies for the cabinet making industry, including hardware, components, and engineered decorative services.
Impact of COVID-19 pandemic on decorative laminates market trends
The coronavirus pandemic and subsequent crisis has impacted just about every industry vertical, including the decorative laminates industry, to some extent. Home décor products continued to witness fluctuating demand throughout 2020 as home renovation projects witnessed a decline. Increased costs of home renovation amid the pandemic will be a key factor hampering the product demand. Home remodeling during the pandemic is expected to not only take longer but will be significantly costlier compared to pre-pandemic times.
However, decorative laminates manufacturers may witness new opportunities due to changing consumer needs amid the pandemic. A long-term consequence of COVID-19 is the fact that more people would prefer working from homes even if lockdown restrictions are lifted. Due to COVID-19, the interior design trends have witnessed shifting consumer inclination from open spaces to purposefully designed hubs that can offer the focus and privacy needed for work or schooling. Also, decorative laminates with self-cleaning capabilities which can prevent germs from spreading will be in demand in homes, hospitals, and schools and offices when they open.
The afore mentioned trends could provide considerable momentum to the decorative laminates industry over 2021-2027.