In the construction industry, few factors influence product demand as directly — or as measurably — as building regulations. Whether driven by safety, energy efficiency, environmental mandates, or zoning changes, regulatory updates are reshaping what materials are specified, approved, and stocked across every category.
And while these changes might seem incremental, the data tells a different story: new codes and policies are dramatically impacting demand for specific products, installation methods, and even entire material categories.
Here’s a look at what the latest data reveals about how new building regulations are influencing product demand, and what it means for suppliers and distributors planning ahead.
1. Energy Efficiency Codes Are Driving Insulation and Envelope Upgrades
Updates to the International Energy Conservation Code (IECC) and state-level equivalents are pushing builders to exceed prior thermal performance standards.
Key Data Points:
45+ states have adopted a version of the IECC 2018 or newer, raising insulation and air sealing requirements
Demand for continuous insulation products (e.g., rigid foam, mineral wool panels) has risen by 18% YoY in markets with code updates
Sales of air and vapor barrier systems have surged in regions enforcing tighter building envelopes
What It Means:
Energy code adoption directly correlates with increased volume in high-performance envelope products, especially in the residential and light commercial sectors.
2. Wildfire and Wind Codes Are Shifting Exterior Product Mix
Regions facing higher risk of natural disasters are seeing tighter building envelope regulations — driving growth in resilient, code-compliant materials.
Key Data Points:
In California, new WUI (Wildland Urban Interface) codes have contributed to a 25% increase in demand for fire-rated siding and roofing
Florida and Gulf Coast regions saw wind-rated window and door sales rise 20% after local hurricane code updates
Nationwide, sales of Class A fire-rated roofing systems have steadily increased in wildfire-prone markets
What It Means:
Distributors in affected regions must adjust stocking strategies and support sales teams in navigating product compliance documentation.
3. Accessibility and Inclusive Design Standards Are Expanding Product Scope
ADA compliance and universal design regulations are increasing demand for products that support accessible spaces — especially in public and multi-family construction.
Key Data Points:
Products labeled ADA-compliant saw a 14% increase in bid requests in 2023
Demand for low-threshold doors, grab bars, and accessible plumbing fixtures is rising with federal funding of housing and healthcare infrastructure
Cities with updated zoning requirements for universal design (e.g., Austin, Boston) are influencing material selection in private developments
What It Means:
Inclusive design is no longer limited to public projects — it’s now influencing private sector demand and product planning.
4. Carbon Emissions Regulations Are Influencing Core Material Substitution
Sustainability-focused regulations like Buy Clean California, embodied carbon targets, and ESG mandates are shifting how materials are selected — especially in public works.
Key Data Points:
Projects requiring Environmental Product Declarations (EPDs) increased by over 30% in 2023
Builders are substituting traditional concrete mixes with low-carbon alternatives, affecting cement and admixture demand
Steel producers with third-party emissions certifications are gaining share in government procurement projects
What It Means:
Carbon regulation is creating measurable shifts in which manufacturers and material formulas are preferred — especially in high-profile or public-funded construction.
5. Indoor Air Quality and VOC Rules Are Changing Interior Product Selection
Health and wellness codes related to volatile organic compounds (VOCs) are shaping choices for adhesives, coatings, and finish materials.
Key Data Points:
Markets like New York, California, and Washington saw VOC-compliant paint sales grow 22% YoY
Formaldehyde-free insulation products increased in both commercial and residential specs
Low-emission adhesives, caulks, and sealants are now standard requirements in LEED and WELL projects
What It Means:
Distributors are stocking more low-emission SKUs, and sales teams are fielding more compliance-related documentation requests from builders and architects.
6. Building Electrification and Decarbonization Are Reshaping MEP Systems
Codes promoting all-electric buildings, energy metering, and net-zero-ready design are fueling changes in mechanical, electrical, and plumbing (MEP) product demand.
Key Data Points:
Electric HVAC unit sales grew 15% in areas phasing out gas in new construction (e.g., parts of California and Massachusetts)
Smart electrical panel and submetering system demand has spiked in commercial retrofits
EV charger-ready infrastructure requirements are increasing conduit, panel, and transformer sizing needs
What It Means:
Product categories once considered niche are moving mainstream as regulations accelerate electrification trends.
7. Documentation Requirements Are Driving Product Choice
New codes often come with strict documentation needs — requiring builders to choose products that offer clear, accessible proof of compliance.
Key Data Points:
Distributors report a 30–40% increase in requests for submittals, EPDs, and spec sheets tied to code updates
Products without third-party certification or digital documentation are being excluded from bid packages
Contractors prefer suppliers that can deliver compliant product info on demand and in digital formats
What It Means:
Ease of documentation is becoming a key purchasing factor — even for commodity products.
Conclusion
The data is clear: new building regulations aren’t just changing how buildings are designed — they’re redefining what products distributors need to carry, promote, and support.
From energy codes and carbon targets to fire safety and indoor air quality standards, every regulatory shift has a measurable impact on material demand, inventory planning, and customer engagement.
Distributors who proactively track code adoption and align with evolving specs will be better positioned to win projects, retain builder trust, and capture emerging product growth.
