The clay tile market - France (2024)

1.2 Global market

Global clay roof tiles market World, ****, in $ billions Source: ****

The global clay roof tiles market is showing steady growth, with sales forecast to increase every year until ****. In ****, sales were $*.*** billion, and are expected to reach $**.** billion by ****. This trend suggests continued strong demand for clay roof tiles in the construction and renovation sectors worldwide.

Top ** clay tile exporters worldwide World, ****, % of total Source: ****

The table of clay tile exporters in **** reveals a strong presence forGermany, accounting for **% of global exports, followed by China with **%. France andSpain are also in the lead, with **% and **% respectively. This breakdown highlights the dominance of European players in the global clay tile market.

Top ** importers of clay roof tiles worldwide World, ****, % of total Source: ****

The table of importers of clay roof tiles in **** highlights strong demand in Europe, with Belgium in the lead at **%, closely followed by the UK at **%. The Netherlands,Germany and France also show significant shares at *-**%. This European concentration underlines the region's importance in global clay tile trade.

1.3 Domestic demand for roof tiles remains strong

The market considered here is the terracotta market, which includes:

roof tiles (***) structural bricks andexposed bricks other clay-based products (***)

French clay roof tiles market France, ****-****, in billions of € excl. tax Source: ****

In ****, the roof tiles and bricks industry saw moderate year-on-year growth, with production up *.*% on ****, totaling *.** million tons. Deliveries, although slightly down by *.*% on ****, remain robust at *.* million tonnes.

This year also saw a slight deceleration in deliveries of roof tiles after strong growth of **% in ****. Despite challenges such as rising energy prices, the industry closed **** with sales of €*,*** million. Strong demand, particularly in the roofing sector, kept pressure on stock levels and led to tight deliveries throughout the year[***].

However, in ****, deliveries of tiles and bricks fell by almost **% compared with ****, marking a continuing deterioration in construction activity in France, exacerbated by the crisis in the new housing market and the sluggishness of the renovation market. Bricks, widely used in new housing, recorded a **% drop in deliveries, while deliveries of roof tiles fell by **%. Despite rebuilding stocks to pre-pandemic levels, production has slowed significantly, with bricks down **.*% and roof tiles down *% compared with ****.

Breakdown of deliveries of French clay roof tiles & accessories for the domestic market France, ****, in Source: ...

1.4 French trade balance

The French trade balance for clay roof tiles from **** to **** shows a general trend of growth in exports and imports, with significant variations from one year to the next.

French trade balance (***) France, ****-****, in millions of euros Source: ****

Exports have risen steadily, from **,*** million euros in **** to ***,*** million euros in ****, highlighting the international competitiveness of the French industry in this field.

Imports, on the other hand, have also increased over the years, but more irregularly, rising from **,*** million euros in **** to **,*** million euros in ****. This faster growth in imports compared to exports has led to a reduction in the trade balance, although it remains generally positive, indicating that France exports more clay roof tiles than it imports.

Exports

Main countries of destination for French clay tile exports France, ****, in Source: ****

The breakdown of French clay tile exports in **** reveals a significant concentration of shipments to a few specific countries. Belgium remains the main destination, accounting for **.*% of total exports, followed by the UK with **.*% and the Netherlands with **.*%. This concentration may indicate strong, established partnerships in these countries, but it may also pose a risk if the economy of one of these main partners experiences difficulties.

Imports

Main countries of ...

2.1 Typology of demand

Four main types of customer and indirect customers. It's important to note that the importance of a customer type to a manufacturer depends on the segment in which it operates.

2.2 Current demand for clay roof tiles

Which roof for which home?

Roofing materials used for single-family homes in France France, ****, in Source: ****

In France in ****, **% of single-family homes will have tile roofs, while other materials such as slate, sheet metal or concrete will be used in **% of cases.

Roofing materials used for multi-family housing in France France, ****, as % of total Source: ****

In France in ****, **% of multi-family housing units will use a roofing material other than tile, while **% will opt for tile.

The main determinants of demand

The type of roof covering used depends mainly on * criteria, in order of importance:

Home location

Roof cladding must be installed in accordance with the local town planning scheme (***), and thus respect the aesthetic and cultural harmony of the region in which the dwelling is located. Tiles are more widely used traditionally throughout France, guaranteeing their use in the regions concerned, in accordance with the current PLU. On the other hand, the earth-based composition of clay tiles makes them more sensitive to frost, making them less suitable for mountainous regions where frost persists for long periods. On the other hand, unlike slate, clay tiles are not held in place by a fastening system, which can cause them to blow away in ...

2.3 Demand penalized by the slowdown in new and existing real estate

After a good year in ****, demand for roof tiles will come under downward pressure in ****. In fact, the construction and real estate markets are themselves trending downwards, impacting tile requirements for both purchase and renovation.

Trend in the number of housing construction sites France, ****, in units Source: ****

Data on the number of housing starts in France up to October **** show a downward trend in both building permits and housing starts. This situation can be interpreted as a negative indicator of the overall health of the real estate construction sector in France.

Between **** and ****, the number of building permits fluctuated, reaching a peak in **** with ***,*** permits, but dropping significantly to ***,*** in October ****. Similarly, the number of housing starts has also seen a decline, from ***,*** in **** to ***,*** in October ****.

This instability in the real estate construction market may be associated with unfavorable conditions in the roofing sector. The decline in the number of building sites, particularly in **** and ****, indicates a slowdown in construction activity, directly impacting demand for roofing products. The drop in permits and housing starts suggests uncertainty in the real estate market, leading to a reduced need for roof tiles for new housing. However, this demand remains strong enough to drive ...

2.4 Focus on the maintenance-renovation market

Despite the stagnation that has set in, over the long term, themaintenance-renovation sector remains a fertile source of demand for roof tiles, accounting for **% of total demand[***]. In addition, growing demand from private individuals, fuelled by demographic growth, is also contributing to this positive trend.

Home maintenance-renovation market France, ****-****, billions of euros Source: ****

The housing maintenance-renovation market, which includes energy renovation, recorded steady growth from **** to ****. The average annual growth rates for large-scale home improvement work and small-scale work are *.**% and *.**% respectively in terms of value.

Given that **% of renovation work concerns floor and roof insulation, which often involves replacing existing tiles, the maintenance sector appears to be a buoyant one for the installation of roof coverings[***].

It should be noted that this sector was one of the few to benefit from the health crisis, as part of the spending was redirected towards home improvements.

As previously mentioned, growth in this sector is mainly due to the impact of inflation and rising prices in the industry, as well as new regulations encouraging private individuals to invest in home renovation. It should be noted, however, that this growth remains relatively weak, and is currently conditioned by a number of subsidy mechanisms ...

2.5 Demand boosted by worsening weather conditions

During ****, exceptionally violent and damaging weather conditions generated an urgent demand for roof tiles in the locality, a phenomenon which was amplified during ****.

More generally, Europe as a whole has become increasingly prone to extreme weather events over the past century.

Trend in the number of extreme weather events/natural disasters in Europe Europe, ****-**** Source: ****

The frequency of extreme weather events and natural disasters in Europe has risen considerably over the decades, from ** events in **** to **** in ****. Floods (***) have also been on the increase since the ****s.

The Ciaràn storm in France was particularly hard on roofs in western France. With the strongest winds recorded since ****, the storm was a boon for roofers and tile manufacturers. During the night of Wednesday to Thursday, winds reached speeds of up to *** km/h in Saint-Brieuc (***), causing significant damage to roofs. The ridge tiles at the top of the roof were particularly badly damaged. Most of the roofers' work was therefore focused on this specific part of the roof[***].

3.1 Value chain

3.2 Workforce and production process

3.3 Roofing: still a healthy source of business, despite rising costs

Roofers play an essential role in the construction industry, installing and maintaining roofs, making them a strategic outlet for tile manufacturers seeking lasting partnerships and stable commercial outlets.

French roofing market France, ****-****, in billions of € excl. tax Source: ****

The French roofing market has grown steadily in recent years, with sales rising from €*.** billion in **** to €*.*** billion in ****, marking a significant increase. This upward trend underlines the continuing importance of roofmaintenance and renovation in the French construction sector (***).

Cost of roofing work per element France, ****, Base *** in **** Source: ****

Roofing cost data reveal a steady rise in clay tile prices since ****, with a significant increase in ****, reaching ***.* on a base of ***. This pessimistic trend could put increased financial pressure on consumers, potentially reducing demand and affecting profit margins for roofing companies. Despite this, clay roof tiles remain relatively affordable compared with other materials, which could mitigate some of the potential negative impacts on outlets for roofers, and therefore for manufacturers.

3.4 A mismatch between supply and demand revealing a logistical problem

Annual stocks of roof tiles & bricks France, ****-****, in months of delivery Source: ****

In ****, deliveries of roof tiles and bricks fell by almost **% compared with the previous year, which had already recorded a slight decline of *% compared with ****. This downward trend, which began in the last quarter of ****, bears witness to the continuing and accelerating deterioration of housing construction activity in France.

At the same time, inventories have been rebuilt to pre-Pandemic COVID-** levels, with production maintained at levels that almost doubled stocks, particularly for roof tiles. However, despite this rebuilding of stocks, production of structural bricks fell by **.*% and that of roof tiles by *% compared with the previous year[***].

4.1 Offer typology

The prices charged by * of the biggest competitors are based on the Point P purchasing platform:

4.2 Sustained supply despite steadily rising raw material prices

French market for gravel and sand pits, clay and kaolin extraction France, ****-****, in billions of € excl. tax Source: ****

The French market for gravel pits, sand pits and clay and kaolin extraction is showing modest growth, reaching €*.*** billion in ****. However, this growth is marked by stagnation and persistent uncertainty, suggesting future challenges for the industry.

Production price index for clay bricks and tiles France, ****-****, index base *** in **** Source: ****

The production price index for clay bricks and tiles in France shows a pessimistic upward trend from ****, marking a steady increase in costs. from January **** onwards, prices rose significantly, from ***.* to ***.* in September ****, an increase of over ** percentage points over this period. This steady increase reflects growing financial pressure on manufacturers, who have to cope with constantly rising production costs.

This sustained rise in prices represents a major challenge for clay brick and tile manufacturers, as it can lead to a reduction in market competitiveness and lower consumer demand. In addition, this upward price trend could also have a negative impact on the profit margins of companies in the sector, forcing them to pass on these cost increases in selling prices, which in turn could deter potential customers and reduce the industry's ...

4.3 Soaring energy prices hurt producers

Particularly energy-intensive, accounting for between **% and **% of the total production cost of clay bricks and roof tiles on a European scale, the French clay industry was hit by soaring energy prices in ****. After a moderate increase in **** (***) and continue to climb in **** despite a stabilization in gas prices.

The obligation to keep kilns running continuously and to supply plants with gas or electricity has led to a significant rise in production costs for companies in the sector. With a supply made up of **% gas and **% electricity, the Phalempin (***) plant of market leader Edilians is a perfect illustration of the challenges faced by industries in this sector, forced to pass on a large part of these cost increases to buyers[***].

Below is a summary of the events that have pushed up electricity prices and are indirectly boosting the genset market:

Winter ****: With the end of the health crisis, the winter period is experiencing energy tensions. Rising demand from northern hemisphere countries is combined with a shortage of gas in Europe. As a result, gas prices have risen sharply. This in turn pushed up the price of electricity, which is indexed to the price of gas. February ****: Following Russia's invasion of Ukraine, Europe ...

5.1 Regulatory framework

Tile manufacturing regulations

Clay roof tiles must comply with standard NF EN****, which lays down technical criteria in terms of bending strength, impermeability and frost resistance. Manufacturers are responsible for ensuring that their products comply with this standard, by carrying out tests before they are placed on the market. For additional assurance, consumers can turn to certifications such as CE marking, the NF mark, or specific certifications such as NF Faible Pente or NF Montagne[***].

Tile installation regulations

Roof pitch

The construction of a pitched roof is governed by town-planning standards and regulations, just like any other aspect of construction, imposing certain constraints. The degree of slope is determined by calculation rules and implementation clauses concerning the number of slopes, width, openings, etc. Depending on the roofing material and region, regulations impose a minimum slope for the roof.

The use of certain roofing materials requires a minimum roof pitch, in accordance with the Unified Technical Documents (***).

There are three specific DTUs for pitched roofs, covering aspects such as the distribution of vertical downpipes(***)[***].

Urban planning

Roofing must comply with local town planning regulations (***) is required, their opinion taking precedence over that of the commune.

Other geographical regulations

France is divided into ...

6.1 Positioning the players

• Edilians
• Monier (Groupe BMI)
• Wienerberger 1
• Storme Pruvost
• Terreal Groupe (Wienerberger Group)
• Bouyer Leroux Groupe
• Briqueterie Chimot
• Tuilerie Joyat
• Cobert (Groupe BMI Monier)
• Tuilerie Blache
• VM Building Solutions France (Etex Group)
• Barthe
• Bouyer Leroux
• Briqueterie Bouisset (Terres Cuites d'Occitanie)
• Briqueterie de Nagen Anciens Ets Grimaud
• Briqueterie Lagrive
• Briqueterie Lamour
• Briqueterie STE Marcelle Fite Colomines
• Briqueteries Chimot
• Briqueteries de l'Entr Roubaix & Environ
• Briqueteries du Nord
• Monier
• Poterie des Trois Ilets
• Terre Cuite Saget
• Terreal
• Terres Cuites des Rairies
• Terres Cuites du Saves
• Tuilerie de la Breteche
• Tuilerie Lambert Baluteau Lascoux
• Wienerberger