Sealants & Caulks

SUMMARY

Demand to reach 2.5 billion pounds in 2006

Demand for sealants and caulks in the US is forecast to increase 3.5 percent per year to 2.5 billion pounds in 2006. The market will benefit from a moderately favorable outlook in the key durable goods sector, where shipments are forecast to recover from their recessionary 2001 base, offset by a slower outlook for the US construction industry. Gains in value demand will benefit from solid volume demand, as well as a continued shift in product mix to higher performance sealants and caulks, such as silicones, polyurethanes and urethane acrylic formulations.

Construction markets to remain dominant

In the motor vehicle market, sealant usage will get a boost from an acceleration in passenger car production, as well as design trends featuring more glass per vehicle, since sealants are an integral component of glass installation.

Accelerated defense spending will provide opportunities for sealants and caulks in the manufacture of military equipment. Demand for sealants and caulks in the industrial sector will benefit from a stronger capital spending environment as companies invest more heavily in new plants and equipment. Although durable goods markets will see the most rapid gains, the construction industry will remain the largest outlet for sealants and caulks, accounting for more than half of total demand in 2006. Though a slowdown is expected in new building construction activity, continuing architectural trends toward more luxurious and energy efficient homes will partially offset a deceleration in the number of new homes built by raising per unit consumption of sealants.

In addition, nonbuilding construction markets, which were quite weak for most of the 1990s, will be boosted by the Transportation Equity Act for the 21st Century (TEA-21), which authorizes federal spending programs for highways, bridges and mass transit projects through 2003. This piece of legislation should provide opportu- nities for sealants and caulks in the short-term, primarily in applications such as sealing expansion and horizontal joints in bridges, parking garages, playgrounds, sidewalks and aircraft terminals, plus sealing cracks in pavement and asphalt.

Study coverage

Details on these and other findings are available in Sealants & Caulks, a new Freedonia study. It presents historical data through 2001 plus forecasts to 2006 and 2011 for demand in pounds and current US dollars by major type and market. Market share is also presented for key suppliers, and profiles are provided for 33 producers and raw material suppliers.

TABLE OF CONTENTS

Introduction

EXECUTIVE SUMMARY

MARKET ENVIRONMENT

• Macroeconomic Outlook
• Demographic Trends
  • Demographic Trends
  • Household Formations
• Personal Consumption Expenditures
• Construction Industry Outlook
  • Residential Building Construction
  • Housing Starts
  • Residential Repairs & Improvements
  • Nonresidential Building Construction
  • Nonbuilding Construction
• Motor Vehicle Industry Outlook
• Manufacturing Sector Outlook
• Environmental & Regulatory Considerations

RAW MATERIALS

• Base Materials & Binders
• Carriers
• Fillers
• Other Additives

SUPPLY & DEMAND

• Historical Market Trends
• Pricing Trends
• Foreign Trade
• Exports
• Imports
• World Sealant & Caulk Demand

DEMAND BY TYPE

• Polyurethanes
  • Markets
  • Products & Technology
  • Suppliers
• Silicones
  • Markets
  • Products & Technology
  • Suppliers
• Bituminous
  • Markets
  • Products & Technology
  • Suppliers
• Synthetic Elastomers
  • Markets
  • Products & Technology
  • Butyl Rubber Sealants
  • Styrenic Block Copolymer Sealants
  • Styrenic-Butadiene Rubber Sealants
  • Polychloroprene Sealants
  • Other Elastomeric Sealants
  • Suppliers
• Acrylics
  • Markets
  • Products & Technology
  • Suppliers
• Polysulfides
  • Markets
  • Products & Technology
  • Suppliers
• Other Sealants & Caulks

DEMAND BY MARKET

• Construction
  • Sealant & Caulk Demand
  • Residential Construction
  • Nonresidential Construction
  • Suppliers of Construction Sealants & Caulks
• Motor Vehicles
  • Sealant & Caulk Demand
  • OEM Markets
  • Aftermarket
  • Suppliers of Motor Vehicle Sealants & Caulks
• Aerospace & Other Transportation Equipment
  • Industry Outlook
  • Sealant & Caulk Demand
  • Aerospace Equipment
  • Marine/Railroad/Other Transport Equipment
  • Aerospace/Other Transport Sealants Suppliers
• Industrial Machinery & Equipment
  • Industry Outlook
  • Sealant & Caulk Demand
  • Industrial Machinery Sealants/Caulks Suppliers
• Other Markets

INDUSTRY STRUCTURE

• Market Share & Industry Concentration
• Overview of Leading Suppliers
• Competitive Strategies
• Acquisitions/Divestitures/Industry Restructuring
• Manufacturing & Technology
• Marketing & Distribution
• Company Profiles

List of Tables & Charts

EXECUTIVE SUMMARY

1 Summary Table

MARKET ENVIRONMENT

1 Macroeconomic Indicators

2 Population Trends

3 Household Formation

4 Consumer Spending

5 Construction Expenditures

6 Residential Building Construction Expenditures

7 Housing Starts

8 Residential Repair & Improvement Construction Expenditures

9 Nonresidential Building Construction Expenditures

10 Nonbuilding Construction Expenditures

11 Motor Vehicles in Use & Production

12 Manufacturers\' Shipments

RAW MATERIALS

1 Raw Material Demand in Sealants & Caulks

2 Base Material & Binder Demand in Sealants & Caulks

3 Carrier Demand in Sealants & Caulks

4 Filler Demand in Sealants & Caulks

5 Other Additives Demand in Sealants & Caulks

SUPPLY & DEMAND

1 Sealant & Caulk Supply & Demand

2 Sealant & Caulk Historical Market Trends, 1992-2001

Chart Sealant & Caulk Historical Market Trends, 1992-2001

3 Sealants & Caulks Pricing

4 Foreign Trade in Sealants & Caulks

5 Sealant & Caulk Exports from the US

6 Sealant & Caulk Imports to the US

Chart World Sealant & Caulk Demand by Region, 2001

DEMAND BY TYPE

1 Sealant & Caulk Demand by Type

2 Polyurethane Sealant & Caulk Demand by Market

3 Silicone Sealant & Caulk Demand by Market

4 Bituminous Sealant & Caulk Demand by Market

5 Synthetic Elastomer Sealant & Caulk Demand by Market

6 Synthetic Elastomer Sealant & Caulk Demand by Type

7 Acrylic Sealant & Caulk Demand by Market

8 Polysulfide Sealant & Caulk Demand by Market

9 Other Sealant & Caulk Demand by Type & Market

DEMAND BY MARKET

1 Sealant & Caulk Demand by Market

2 Sealant & Caulk Demand in Construction Markets

Chart US Construction Sealant & Caulk Sales by Company, 2001

3 Sealant & Caulk Demand in Residential Construction Markets

4 Sealant & Caulk Demand in Nonresidental Construction Markets

5 Sealant & Caulk Demand in Motor Vehicle Markets

Chart US Motor Vehicle Sealant & Caulk Sales by Company, 2001

6 Sealant & Caulk Demand in OEM Motor Vehicle Markets

7 Sealant & Caulk Demand in Aftermarket Motor Vehicle Markets

8 Aerospace & Other Transportation Equipment Shipments

9 Sealant & Caulk Demand in Aerospace & Other Transport Equipment Markets

Chart US Aerospace & Other Transportation Equipment Sealant & Caulk Sales by Company, 2001

10 Industrial Machinery & Equipment Shipments

11 Sealant & Caulk Demand in Industrial Machinery & Equipment Markets

Chart US Industrial Machinery Sealant & Caulk Sales by Company, 2001

12 Sealant/Caulk Demand in Other Markets

INDUSTRY STRUCTURE

1 Estimated US Sales of Sealants & Caulks by Company, 2001

Chart US Sealants & Caulks Market Share, 2001

Chart Sealants Industry Flowchart

2 Selected Acquisitions & Divestitures

3 Selected Cooperative Agreements