LOS ANGELES — The cabinet and vanity manufacturing industry is projecting an 8.6% growth in 2012 based on increases in consumer spending and a stabilization in the housing market, according to a recent study by IBISWorld. The study also forecasts steady growth for the next five years.
According to IBISWorld, "demographics will play a key role in the demand for housing, as a large segment of the population is gearing up to enter the homeowners market and will encounter a limited inventory of new homes. As more people buy homes, housing starts will accelerate and demand for industry products will increase."
According to IBISWorld industry analyst Sean Windle, in the five years leading up to 2012, the number of kitchen cabinetry and vanity manufacturers declined at an estimated average annual rate of 3.2% to 8,347 enterprises, with employment at approximately 95,593 workers.
IBISWorld estimates the largest industry manufacturers include Fortune Brands & Home Security and the Masco Corporation. The remainder of the market is captured by a large number of small and privately owned businesses that serve local retail markets.
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