Riding the Wave of Urbanization,Charting a New Future for Market Development
With the acceleration of China’s urbanization process and the continuous improvement of residents’ consumption levels, the indoor decoration materials market is ushering in unprecedented development opportunities. Consumers’ requirements for home environments are becoming increasingly diversified, focusing not only on aesthetics but also on health, environmental protection and functionality. This trend has profoundly affected the market strategies and product layouts of China Interior Material Manufacturer.
In recent years, the scale of China’s indoor decoration materials market has continued to expand, and it is expected to exceed 2.5 trillion yuan by 2025, with a compound annual growth rate of about 8%. This growth is driven by multiple factors: the new housing demand brought by the urbanization rate exceeding 70%, the stock housing renovation market released by the renovation of old residential communities, and the pursuit of high-quality decoration materials under the background of consumption upgrading.According to industry data, the market share of environmentally friendly materials has jumped from 35% in 2023 to 48% in 2025, among which formaldehyde-free added plates, water-based coatings and recycled stone have become the three fastest-growing categories, with annual growth rates of 22%, 18% and 15% respectively.
With the popularization of environmental awareness, consumers have put forward higher requirements for the health performance of decoration materials. Environmental protection materials without formaldehyde and low VOC (volatile organic compounds) have become market favorites. For example, after the upgrading of testing standards for wall coatings with formaldehyde decomposition function, the product unit price has increased by 20% – 30%, forming an 80 billion yuan-level segmented market. Consumers show a strong interest in decoration materials with functions such as temperature control, self-cleaning and intelligent lighting. It is predicted that the penetration rate of smart home integrated wall systems in the hardcover housing channel will increase from 25% in 2025 to 45% in 2030, forming an incremental market of over 600 billion yuan. The research, development and application of new materials such as smart coatings and smart flooring are gradually changing the market pattern of traditional decoration materials. Modern consumers pursue personalized home styles and have higher requirements for the color, pattern and material matching of decoration materials. Customized services, unique design elements and materials that can reflect personal taste have become consumers’ first choice. This trend has prompted China Interior Material Manufacturer to increase investment in design and research and development, and launch more products that meet consumers’ personalized needs.
From the perspective of regional markets, the eastern coastal areas such as the Yangtze River Delta and the Pearl River Delta, relying on a developed economic system and abundant labor resources, have become the main markets for high-end customized decoration materials. Consumers in these areas have a higher pursuit of quality life and a higher acceptance of new products such as smart homes and environmental protection materials. Therefore, China Interior Material Manufacturer’s market strategies in these regions focus more on product innovation and brand building to meet consumers’ needs for high-quality life. With the advancement of the new urbanization process, the hardcover rate of county-level cities in the central and western regions has increased significantly. Consumers in these areas have a rapid growth in demand for mid-end standardized products such as ceramic tiles and system doors and windows, with an annual growth rate of 9% – 12%. China Interior Material Manufacturer’s market strategies in these regions focus more on cost performance and channel expansion, improving the market competitiveness of products by optimizing supply chain management and reducing costs. The implementation of the county economic revitalization strategy has brought new growth points to the indoor decoration materials market.China Interior Material Manufacturer needs to meet the needs of different consumer groups through precise positioning and market segmentation.
China Interior Material Manufacturer needs to increase investment in the research and development of environmental protection materials to improve the environmental performance and market competitiveness of products. At the same time, the popularization of smart homes will promote the development of decoration materials towards multi-functional and integrated directions. Manufacturers need to keep up with the development trend of smart homes, integrate intelligent elements into traditional decoration materials, improve the added value of products and user experience, and realize intelligent management of the production process and remote monitoring and maintenance of products through the application of technologies such as the Internet of Things and big data. In addition, with the advancement of the “the Belt and Road” initiative and the improvement of the international trade environment, China Interior Material Manufacturer will usher in more international opportunities. The infrastructure construction demand in regions such as Southeast Asia and the Middle East provides incremental space for the industry. Manufacturers need to strengthen brand building and market promotion to enhance the popularity and influence of products in the international market.