For the first time in four years, waterproofing material monthly output shows growth!

After years of adjustment in the waterproofing construction materials industry, a key signal has emerged in November 2025 — the monthly output of asphalt and modified asphalt waterproofing materials has recorded its first year-on-year increase in four years. This significant shift preliminarily indicates that the industry's supply-demand relationship is gradually moving toward balance, offering renewed confidence amid ongoing market recovery.Sunlight.

Looking at production data, in November 2025, national monthly output of asphalt and modified asphalt waterproofing materials showed a positive year-on-year growth trend, up by 1.4% compared to the same period last year — marking the first reversal from year-on-year decline in the past four years. Although cumulative output through November still saw a 6.2% year-on-year drop, the rebound in monthly figures has broken the prolonged downward trend, signaling a crucial turning point in industry operations.

Regionally, some areas stood out notably, with multiple provinces recording high year-on-year growth rates, the highest exceeding 60%. While certain provinces remain in negative growth territory, the overall regional pattern has shown clear signs of improvement, reflecting increasing vitality in local market demand.

Notably, this production rebound has not yet synchronized with improved industry performance. Current sales revenue and total profit remain under downward pressure, with both year-on-year and month-over-month data still showing no clear turnaround. This reflects that market demand has not fully recovered, and challenges such as inventory buildup and pricing competition persist within the sector. The divergence between rising output and stagnant profitability indicates that adjustments in cost control and capacity optimization have begun to yield results on the supply side, while demand-side recovery remains lagging — the two sides are still not fully aligned.

Based on national statistical data over the past four years, the output of waterproofing materials had consistently followed a volatile downward trend, facing multiple challenges including overcapacity and slackened demand. The market supply-demand relationship has remained in a restructuring phase. The first monthly output growth in November 2025 is not a random event but rather a clear manifestation of the long-term industry adjustment leading toward a more balanced supply-demand structure.

From an industry development perspective, the stabilization and rebound in output have traditionally served as early indicators of market recovery. Although current profitability remains under pressure, as supply-demand balance continues to strengthen, there is growing optimism that demand will gradually recover and eventually translate into tangible performance improvements, driving the industry into a virtuous cycle.

Looking ahead, the first monthly output growth marks a milestone in restoring confidence in the industry’s future. However, full recovery will require a lengthy process. In the short term, the industry must continue to reduce excess capacity, optimize product structure, and enhance high-end product supply. In the long run, sustained progress in infrastructure construction, old district renovation, building repairs, and the 'good housing' initiative will gradually release pent-up demand, supporting a rebound in sales revenue and total profits. This output growth, as an early sign of supply-demand equilibrium, will serve as a critical reference for enterprise strategy and market positioning, signaling that the waterproofing construction materials sector is steadily advancing into a new stage of high-quality development following deep structural reforms.

Source: China Building Waterproofing Association