Tar Paper Market By Type (Organic Tar Paper, Fiberglass-Based Tar Paper); By Application (Residential Roofing, Commercial Roofing, Siding Underlayment, Temporary Weatherproofing, Others); By Distribution Channel (Direct Sales, Retail Stores, Online Platforms); By Geography, Segment revenue estimation, Forecast, 2024–2032.

The tar paper market was around USD 2.3 billion in 2023 and was estimated to reach USD 3.4 billion by 2030, extending at a compound annual growth rate of 5.7% throughout the projection period. Ongoing construction projects, gradual urbanization, and growing affordable and efficient building materials consumption are key to market development.

 

The Tar Paper Market comprises products mainly utilized solely in the construction and roofing industries as waterproofing and protective coating barriers. Roofing felt or tar paper is made from paper or fiberglass impregnated with tar to make it strong and resistant to water. It is used extensively in the construction of residences and business premises as roof underlayment, as a protector for sidings, and for general purposes waterproofing.

 

Market Drivers

Surging Construction Activities Globally: The construction business is expanding rapidly due to overall globalization and the increased globalization and industrialization of construction, particularly in developing economies. It is the most affordable waterproofing solution; thus, it is a crucial material to consider while constructing. Example: The construction industry globally reached USD 12 trillion in 2020, and its progress inevitably triggered a need for roofing and insulation materials like tar paper.

 

Demand for Cost-Effective Waterproofing Solutions: Another common type of waterproofing material is referred to as tar paper because it is cost-effective and more durable than synthetic types. It is used mostly in residential construction and any project with a low budget that does not require a high-end touch. Tar paper’s market share of roofing underlayment is relatively high at 40%, accruing from affordable prices and installation ease.

 

Renovation and Retrofitting Projects: Renovation activities, especially in developed countries, are an important determinant of total market demand. Newer buildings and houses may involve replacing or adding support to roofing underlayment and increasing the use of tar paper. Example: In 2023, the industry reached USD 450 billion in the United States, and roofing was one of the most common remodeling activities.

 

Market Opportunities

Growing Demand in Emerging Economies: Asia-Pacific, Latin America, and African markets have more opportunities due to the growing population and housing in urban areas. Such governments are aiming at developing an affordable housing sector, which in turn is likely to create demand for low-cost building materials such as tar paper. Example: Affordable housing schemes like the Pradhan Mantri Awas Yojana, where India plans to build 20 million homes by 2024, will significantly demand tar paper.

 

Focus on Sustainable and Eco-Friendly Materials: There is a growing global concern for construction materials with minimal negative environmental impacts. There are new ways of producing tar paper through recycled materials and minimizing carbon emissions during production among manufacturing firms.

 

Market Restraints

Competition from Synthetic Alternatives: The market competition comes from synthetic roofing underlayments as they are more durable, have better UV protection and are easier to install. Example: Synthetic underlayments hold a 30% market share in the roofing underlayment market in 2023 and threaten tar paper usage.

 

Environmental Concerns and Regulations: Asphalt is the final product in the production of tar paper, and it is an environmentally sensitive material. New and additional rules and regulations for asphalt production and utilization could impact market growth.

 

Market Segmentation

By Type

• Organic Tar Paper

• Fiberglass-Based Tar Paper

 

By Application

• Residential Roofing

• Commercial Roofing

• Siding Underlayment

• Temporary Weatherproofing

• Others

 

By Distribution Channel

• Direct Sales

• Retail Stores

• Online Platforms

 

By Region

• North America

• Europe

• Asia-Pacific

• Latin America

• Middle East & Africa

 

Segment Analysis

Leading Type: Organic Tar Paper

Organic tar paper is most commonly used worldwide and is quite inexpensive compared to synthetic tar paper. It is well-loved because of its affordability, specifically in home-building projects. Example: Organic tar paper occupies the largest proportion, and its market share in 2023 was about 65% because of the extensive application of low-price housing.

 

Leading Application: Residential Roofing

Tar paper is primarily used in residential roofing, making it the largest application segment. A better choice for homeowners and contractors is because the material is cheap and relatively easy to install. The construction industry accounted for an industry share of more than 50% of its market revenue in the year 2023 due to increasing residential roof installations because of increasing construction and home improvement activities.

 

Leading Distribution Channel: Retail Stores

Tar paper is mostly sold through retail outlets to users, including professional contractors and homeowners who undertake their own construction projects. Example: Retail sales were the largest market, with 55 % of the market revenue in 2023, and key players included Home Depot and Lowe’s.

 

Regional Analysis

North America had the largest share, over 35% of the overall market revenues in 2023. The favorable construction industry and high house replacement rates in the region led to the demand for tar paper. Example: The construction industry expanded by 4.5 percent in 2023, with roofing material being one of the leading growth areas.

 

The European market remains large due to the strict guidelines for constructing structures and using energy-efficient products. German construction reforms and those of the United Kingdom have contributed to focusing on environmental concerns, thereby creating an increased market for sustainable products such as tar paper. Europe generated a 25% market revenue and is widely used in residential and commercial roofing applications.

 

Newly industrialized economies are the largest market in Asia, largely attributed to accelerated urbanization rates, an increasing population, and government support for affordable housing. Example: Large-scale construction projects in the Asia Pacific generally featured China and India as the leading source, accounting for more than 50% of the region’s revenue in 2023.

 

Key Players

• GAF Materials Corporation

• Johns Manville

• Owens Corning

• CertainTeed Corporation

• TAMKO Building Products LLC

• Atlas Roofing Corporation

• IKO Industries Ltd.

• Malarkey Roofing Products

• Henry Company

• Polyglass U.S.A., Inc.

 

Future Outlook

The Global Tar Paper Market is expected to grow gradually, primarily due to growing construction trends, the greater utilization of easily preferred cheap roofing material, and a broadening number of industrial development applications, especially in emerging markets. The future market significantly involves the decision to adopt sustainable manufacturing practices and new generations of tar paper products.

 

Currently, Asia-Pacific and Latin America are becoming the ideal markets due to the growth of urbanization and infrastructure. Certainly, Mobile and Other regions will grow at a healthy pace, but North America and Europe will remain the most innovative and fastest-adopting regions, mainly because of the development level of their Construction industries and their superior concerns for energy-efficient appliances.

 

Over the years, manufacturers will increase their efforts to produce long-lasting and environmentally friendly tar paper to help solve environmental problems and meet regulatory compliance needs. As an essential part of construction activity, the Tar Paper Market is expected to remain a major segment to meet the growing housing and infrastructure needs across the world in the years to come.