Demand for home and business insulation "is projected to rise by $1.9 billion" by 2014, to 13.7 billion sq. ft. worth $8.2 billion, from last year's 11.1B ft2 and $6.2 billion, Malvern-based Principia reports.
Principia also expects residential siding and trim sales will rise, with siding reaching 71.6 million units ("squares") worth $7.2 billion, from 58 million worth $9.1 billion, and similar increases in roofing material sales, says Lou Rossi, managing partner and cofounder of the 50-person, 17-year-old "strategic marketing" firm, which specializes in building materials and construction chemicals.
The firm surveyed 200 insulation contractors, architects and builders who gave online responses, and another 100 in interviews, Rossi told me; and a total of 150 for the siding data.
What's behind the increases? About one-quarter of projected insulation demand growth is due to stricter U.S. Department of Energy guidelines that encourage "continuous insulation with no thermal breaks and no air leakage."
That policy favors Dow Chemical's high-R Sytrofoam insulation and spray polyurethane foam. Sales of cellulose insulation, like the products made from recycled newspaper by a joint venture between Casella Waste and Louisiana Pacific, as well as fiberglass roles made by manufacturers like CertainTeed, are also expected higher, Rossi said.