Demand to increase 6.5% per year through 2015
The market for residential kitchen and bathroom countertops in China is forecast to increase 6.5 percent per year to 82.1 million square meters in 2015. Advances will be driven by continuing growth in new housing completions and rising improvement and repair expenditures. The expanding average floor space of kitchens and bathrooms in new residential structures, a greater penetration of countertops in bathrooms, and rising personal income levels across the country will fuel demand for countertops.
Bathroom countertops to outpace kitchen types through 2015
Demand for both kitchen and bathroom countertops will benefit from the growing average size of kitchens and bathrooms, as well as the more extensive usage of countertops, especially in rural housing. Although kitchen countertops will remain dominant, sales of bathroom countertops will see more rapid growth through 2015. Gains will be supported by the higher penetration rate of countertops in bathrooms, especially in new construction. Demand in new construction will account for 62 percent of residential countertop demand in volume terms in China in 2015, as new housing completions rise and kitchen and bathroom sizes in new structures continue to grow. However, remodeling demand will see faster growth through 2015. An aging housing stock, plus higher personal income levels, will help to spur remodeling expenditures and associated demand for countertops.
Engineered stone to remain fastest growing material
Solid surface countertops account for the largest share of the overall residential countertop market. However, solid surface countertops face competition from engineered stone, which saw its share of the market leap from one percent in 2005 to more than 15 percent in 2010. Engineered stone will continue to see the fastest growth of all materials, with demand increasing 20 percent per year through 2015. Gains will be fueled by engineered stone’s natural appearance combined with its durability and reputation as a high-end product. Demand for natural stone will exhibit modest gains through 2015, while tile and laminates will continue to post declines in demand. The market for other materials, including stainless steel and wood, will be stimulated by increasing consumer interest in specialized countertop surfaces.
Central-East to remain largest regional market
The Central-East will remain the largest regional market for residential countertops in China through 2015. Gains will be supported by the region’s higher penetration rate of countertops in both kitchens and bathrooms, higher disposable income levels, and large population base. Developing regions such as the Northwest, Southwest, and Northeast will post the fastest growth through 2015, due mostly to the previously low penetration rate of countertops in these regions.