ASEAN Ceramics Market Analysis Report By Product, By Application, By End-Use And Segment Forecasts From 2017 To 2025

Industry Insights

The ASEAN ceramics market size was worth USD 33.98 billion in the year 2016. Rapid growth in infrastructure development and construction activities, especially in the developing countries of the ASEAN region including Malaysia and Indonesia is poised to accelerate the product demand from 2017 to 2025.

The development in the sanitary ware segment is expected to drive the product demand in the upcoming years. Ceramic materials provide the durability of products and adhere to the hygienic requirements in applications like bathrooms. Additionally, they need minimal maintenance, are cost-effective, and have high resistance to environmental situations. These segments primarily contribute to the product demand and are expected to continue the trend over the projected period.

The regional market of Indonesia was worth USD 9.25 billion in 2016 and is expected to register a CAGR of 8.9% by 2025. Ceramics are largely being used for industrial and construction purposes in the country. These are mainly employed in the manufacturing of wall and floor tiles and roofing. In emerging nations, these products have been substitutes for metal products in roofing due to their high-strength features.

Thailand and Indonesian markets are anticipated to register considerable growth in the construction industry due to increasing government investments in large-scale infrastructural projects and disposable incomes. Indonesia’s constant demand for residential, infrastructural, and industrial expansion has stimulated the need for new construction projects. Robust economic growth is predicted to further stimulate the construction demand in the next eight years.

Additionally, ceramic coatings are extensively being adopted for drug release purposes. Furthermore, there has been a significant rise in the use of ceramic inputs for deploying implant devices. Advance characteristics like strength and toughness of zirconium-based products, along with bio-inert properties and low wear rates, will stimulate their demand in applications like femoral heads for total hip replacement.

The ceramics industry is regulated by stringent laws for its use in the medical, construction, automobile, and food & beverage industries. The U.S. Clean Water Act and few other agencies constantly track mining operations, adhering to the guidelines assigned by CWA Section 404 and 402. The Land Protection Branch has announced the Surface Mining Act in Georgia, the bearer of the world’s largest kaolin and silica deposits. As per the act, a limited amount of mining activities can be held every year.

Product Insights

The traditional segment has observed substantial growth due to the rising application in the manufacturing of tableware, porcelain tiles, and clay bricks. The segment is anticipated to register a CAGR of 8.0% from 2017 to 2025 and maintain its lead in the industry.

The advanced segment is poised to register a higher CAGR of above 8.5% from 2017to 2025 due to their ability to work in extreme situations. These materials showcase a higher level of industrial efficiency which has led to the increasing demand from different industries including automotive, heavy machinery, defense, and energy cutting tools. Materials like aluminum nitride, alumina, silicon carbide, zirconia, and titania are a few major ceramic materials adopted for these purposes.

Application Insights

Ceramic tiles held the largest share exceeding 25% in terms of revenue in 2016. The developments in construction activities in countries like Malaysia and Indonesia are anticipated to be the major factors boosting industry growth in the near future. These products are mainly used in facilities like restaurants, commercial offices, shopping malls, and tourist resorts to suffice the requirements of areas like bathroom walls, kitchen floors, and many more.

The growth in the number of construction projects due to the demand for renovation of conventional buildings and residential facilities is resulting to be a key driver for ceramic tile manufacturers. Environmental regulations, technological advancements, developing economies like China, Indonesia, Malaysia, and research and development initiatives to create advanced products that are environmentally friendly are poised to surge the demand for this product.

Ceramic roof tiles, pipes, and bricks held the second-leading share of above 17% based on revenue in 2016. Consumers are largely inclined towards substituting paints and metal slabs with natural and ceramic stone tiles, which are anticipated to stimulate the product demand from 2017 to 2025. The product availability involves based on designs, shapes, and sizes, and enhances the aesthetic features of the space of the installation. Improved living standards in the urban areas have led to a trend of installing decorative tiles as a part of the exterior and interior design.

End-use Insights

Housing & construction accounted for the largest end-use segment with a share of 45% in terms of revenue in 2016. The region is poised to observe a rise in its construction expenditure in the upcoming years due to an increase in population and urbanization.

The housing & construction segment was followed by the medical segment which held a revenue share above 25% in 2016. Key medical applications of ceramics consist of consumable medical devices, diagnostic imaging equipment, implantable medical devices, and few others. Countries like Indonesia and others are further emphasizing manufacturing cost-effective medical devices fulfilling the needs of patients with minimum disposable income. This is also poised to positively impact the growth of the ASEAN ceramics market.

Country Insights

Indonesia was at the forefront of the overall market based on revenue in 2016 and is expected to maintain its dominance from 2017 to 2025. The regional market of Indonesia was worth USD 9.25 billion in 2016 and is expected to register a CAGR of around 9% over the projected period.

The growth can be imputed to the large-scale adoption of the products for the production of sanitary ware, bricks, pipes, and tiles. The extensive use of conventional products in the housing & construction sector is predicted to boost the market demand in the near future.

Malaysia held the second-largest market in terms of revenue in 2016 and is projected to register a CAGR of above 8.5% from 2017 to 2025. The widespread use of the products in industrial and medical sectors due to easy availability and high durability is anticipated to boost the product demand in the country in the upcoming years.

ASEAN Ceramics Market Share Insights

 The major market participants include CARBO Ceramics, Coop., Cemex, Ceramiche Caesar, CeramicaImola Group, SCHOTT, Ceradyne, Saint-Gobain, and IndustrieCeramichePiemme, among others. The companies have opted for inorganic growth strategies like acquisitions, partnerships, and product development with key players to enhance their position and gain a competitive edge in the industry.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Million Insights has segmented the ASEAN ceramics market on the basis of product, application, end-use, and country:

• Product Outlook (Volume, Million Tons; Revenue, USD Billion; 2014 - 2025)
    • Traditional
    • Advanced

• Application Outlook (Volume, Million Tons; Revenue, USD Billion; 2014 - 2025)
    • Sanitary ware
    • Table & ornamental ware
    • Abrasives
    • Bricks, roof tiles, and pipes
    • Refractories
    • Ceramic tiles
    • Decorative ceramic tiles
    • Packaging
    • Fine art ceramics
    • Others

• End-Use Outlook (Volume, Million Tons; Revenue, USD Billion; 2014 - 2025)
    • Housing & construction
    • Industrial
    • Medical
    • Others

• Country Outlook (Volume, Million Tons; Revenue, USD Billion; 2014 - 2025)
    • Indonesia
    • Malaysia
    • Singapore
    • Thailand
    • Vietnam