The market for flat roof sealings in Europe increased by 2.3% in volume in 2022. The market is expected to stagnate in 2023. The renovation sector in particular provides stable demand even in difficult times, according to a study by Interconnection Consulting.

While sales volumes rose only slightly last year, industry turnover increased by 13%. The strong price increases in this segment are also due to the fact that most waterproofing materials are by-products of petroleum, one of the biggest price drivers of inflation. Germany has the largest sales volume with 118 million square meters (as of 2022), followed by France with 84 and the Nordic countries (Denmark, Norway, Sweden, Finland) with 73 million square meters. Italy, however, is the fastest growing market in Europe, mainly due to the generous subsidies in the renovation sector.

Renovation During the Crisis

The renovation sector will be the driving force for further stable demand in the coming years, not least due to the EU’s subsidy programs in this area. This trend toward renovation will continue for the next two years. Overall, the share of the renovation sector is 55.5%. By 2024, the renovation sector will increase its share to 57.4%. The renovation sector is most pronounced in Italy, where it accounts for 64.6% of total business. In Germany and the Nordics, the renovation share also exceeds 60%. “The strengthening of the renovation segment is also a sign of an economic crisis,” explains Mario Cunha, the author of the study. From 2025, the study expects demand in the new construction segment to rise again. The residential and non-residential customer segments almost balance each other out. The residential construction segment makes up 51.4%, and non-residential construction 48%.

Bitumen Dominates

Among the product groups, bitumen is clearly in the lead with a Europe-wide share of 77.1%. This is followed by plastics, at 16.5% and elastomers at 6.4%. There are hardly any major differences between the countries. The bitumen share is highest in Italy, at 80.7%, and lowest in Austria, where it is 73.1%. However, it is expected that the market share of bitumen will decrease by about one percent in the next few years. The main companies are: Bauder, Bitbau Dorr, BMI Group, Danosa, Nordic Waterproofing, Sika, Soprema Group, Technonicol, etc.

The study examined the markets: Germany, Austria, Switzerland, Italy, Spain, France, Belgium, Nordic countries (Denmark, Norway, Sweden, Finland), Poland, Romania.

Link to the report

16/01/2023

Copyright: Interconnection, Publication free of charge for coverage regarding the study and InterConnection Consulting.