US asphalt market seeing future growth

Asphalt sales in the US look set to reach 27.6 million tonnes in 2021, according to the latest study from The 2821Freedonia Group. This Cleveland-based industry research firm predicts that demand for asphalt used in paving, roofing, and other products is forecast to rise 3% annually to 27.6 million tonnes in 2021. In terms of weight, asphalt used in paving products is projected to see the most rapid growth, reaching nearly 22 million tonnes in 2021. The report is titled Asphalt Market Forecasts.

It reveals that the increases in asphalt usage will be driven by factors such as a favourable federal highway funding environment combined with legislative pressure to repair the nation’s infrastructure. There will also be rising office and commercial construction spending and a strong growth in housing starts.

Demand for asphalt in paving applications is projected to rise 3.4% annually to 21.9 million tonnes in 2021.  This is a turnaround from the declines seen in the 2006-2011 period, when falling tax revenues caused government transportation departments to reduce or cancel road construction and maintenance projects. However, demand for asphalt paving products is not expected to reach the 2006 peak level according to the report.