As Quoted In Equipment World's Better Roads

Paving asphalt gains will be driven by a more favorable funding environment, legislative pressure to improve the nation’s aging infrastructure, and healthy advances in nonbuilding construction activity, particularly in the highway and street segment.

Key Findings in the Paving Asphalt Market in the US Study:

Increases in Government Funding to Drive Demand

The passage of the FAST Act, which allocates $305 billion in funding for highway maintenance and other infrastructure projects, will boost short-term demand for paving products. In 2020, funding for this program will conclude; however it is expected that Congress will provide the highway funding program with a bailout to prevent a significant decline in funding for 2021.

Demand for Asphalt Emulsions Will Advance Well-Above the Market Average

Asphalt emulsions are expected to experience the most rapid gains of all paving products due to their cost effectiveness compared to asphalt cutbacks and efforts by manufacturers to reduce asphalt usage. Additionally, emulsions are better able to address environmental and worker safety concerns posed by other products such cutback asphalt and hot-mix asphalt cement.

Highway and Street Applications Will Continue to Dominate the Industry

Highway and street applications will continue to account for the majority of demand in the paving asphalt industry and grow at a pace similar to the market average. Gains will be driven by recent highway legislation and rising highway and street construction expenditures.

Study Coverage

This study presents historical demand data (2006, 2011, and 2016) and forecasts (2021) by product (asphalt cement, asphalt emulsions, and cutback asphalt), application (highways and streets, residential, and nonresidential), and region (Northeast, Midwest, South, West). The study also evaluates company market share and competitive analysis on industry competitors including Oldcastle Materials, Vulcan Materials, Summit Materials, Colas, Ergon, HollyFrontier, Alon USA, Calumet Specialty Products, and HeidelbergCement.