Carpets and Rugs Market Size, Share & Industry Analysis, By Product Type (Knotted Pile, Needle Punched, Woven, Tufted, and Others), By Material (Animal-made Yarn, Plant-made Yarn, and Synthetic Fibers), By Application (Residential and Commercial), By Price Range (Premium, Medium, and Economy), and Regional Forecast, 2025-2032

The global carpets and rugs market size was valued at USD 58.93 billion in 2024. The market is projected to grow from USD 64.19 billion in 2025 to USD 133.94 billion by 2032, exhibiting a CAGR of 11.08% during the forecast period.

The global market is experiencing steady growth driven by increasing consumer interest in home décor, rising urbanization, and expanding residential and commercial construction. Consumers increasingly seek aesthetically pleasing, comfortable, and sustainable floor coverings that enhance interior ambience. The market is also influenced by trends towards luxury and artisanal designs, as well as technological advancements allowing for customizable and intricate patterns. Sustainability is becoming a significant factor, with demand growing for eco-friendly materials and manufacturing processes.

Key players operating in the market include Tai Ping Carpets International Ltd., Mohawk Industries Inc., Tarkett Group, Shaw Industries Group Inc., and Lowe's Companies Inc. these players focus on producing innovative material-based products to provide a comfortable sleep solution to the consumers.

Carpets and Rugs Market Trends

Sustainable Product Shopping to Boost Market Development

Post-lockdown, environmental and social sustainability are the most significant trends globally. Consumers are shifting toward eco-friendly shopping and living behavior. Millennials and Gen Z consider themselves with more sustainable values than their older generation. This factor has enabled the rugs and carpets market to adopt sustainability actions such as eco-friendly raw materials and sustainable products. Various manufacturers are introducing a collection of eco-friendly rugs, made from sustainable materials such as jute, cotton, wool, sisal, and recycled polyester and are focusing on launching eco-friendly products to cater to the rising demand for sustainable products worldwide. For instance:

• In April 2023, Freudenberg Performance Materials (Freudenberg) revealed the introduction of its latest line of eco-friendly carpet backing products for the flooring These advanced sustainable backings assist clients in their move toward creating more environmentally friendly carpets.
• In September 2022, Jacaranda, a U.K.-based rugs and carpet brand, in collaboration with Tencel, launched Seoni, the world’s first collection of handwoven rugs and carpets made from 100% true carbon-zero Tencel lyocell fibers to boost the sustainability of home decorations and furnishings.
• In March 2022, FLOR, a design brand by Interface, launched its first-ever carbon-negative area rugs in its spring collection with three styles stratosphere, hemisphere, and peninsula. The newly launched rugs bring together beautiful designs, a negative carbon footprint, and durability.

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Market Dynamics

Market Drivers

Rising Number of Technologically Advanced Products to Favor Market Expansion

The availability of technologically advanced products has increased significantly owing to trends such as convenience, unique theme designs, and customizations in both residential and commercial sectors. With the advent of automatic home cleaning devices, carpets have begun to change as well. In today’s world of voice control, there are carpets available that feature automatic rolling technology to retract and extend. With one command, the carpet can roll out and position itself on the floor. Another innovative aspect of carpets is their integrated heating system. In the colder months, floors can become chilly. Carpets, in addition to their primary function of providing comfort, also offer warmth beneath your feet. The heating technology built into the carpet raises its temperature and warms the floor as well. Therefore, manufacturers focus on launching new innovative products, increasing product demand, and boosting market growth. For instance, in September 2024, DeSoto Floor Covering & Interiors launched carpet tiles featuring integrated sensors. These advanced carpets offer more than just visual appeal and comfort—they aim to improve the practicality of smart homes.

Governments across various countries are also taking initiatives and introducing modern technologies to boost market growth. For instance, in March 2022, the Governor of Jammu & Kashmir launched a geographical indication (GI) tag for the famed hand-knotted Kashmiri Carpets. The GI tag comes with a Quick Response code to preserve the genuineness and authenticity of the hand-knotted carpets. The GI tag is launched to help revive the Kashmiri carpets market. The first batch of GI-tagged hand-knotted carpets was exported on 11th March 2022 in Germany.

Increasing Renovations and Remodeling to Increase Product Demand

The rising product demand due to increasing renovation and remodeling drives the market growth. The products are utilized for their useful characteristics, such as floor heat insulation, slip prevention, and aesthetic appeal. These are gaining importance in the world of interior designing and growing consumer inclination toward interior aesthetics coupled with growth in e-commerce platforms and increasing standard of living. For instance, according to the U.S. Houzz & Home Study, in 2023, Americans invested a significant amount in home improvement projects, exceeding their spending from the previous year. The average expenditure on home renovations reached USD 24,000, marking a 60% rise compared to 2020.

Market Restraints

High Raw Material Prices Rules and Increasing Duties by Government to Restrain Market Growth

There are rapid fluctuations in raw material prices such as those of crude oil, the main ingredient for producing polyester staple fiber and nylon, is hampering the carpet and rugs market growth. The fluctuation in crude oil cost increases the cost of nylon and other fibers, elevating the prices of raw materials required for producing rugs and carpets. Furthermore, the dumping of rugs and carpets by several countries' governments and high duties on trade also limit market expansion. For instance, in July 2022, the Moroccan government announced intent to enforce anti-dumping duties on carpets imported from Egypt and China. The new anti-dumping customs on imported manufactured textile floor coverings and carpets increased in Egypt by 35.3% and in China by 144% for five years.

Market Opportunities

Rising Demand for Eco-friendly Material-based Rugs to Create Newer Market Growth Opportunities

Consumers are becoming increasingly aware of their environmental impact, leading to a strong preference for carpets made from natural fibers like wool, jute, and cotton, as well as recycled materials. Companies that offer eco-conscious products backed by sustainable manufacturing processes, such as the use of water-based dyes, biodegradable adhesives, and energy-efficient production technologies, can attract a growing segment of environmentally minded buyers. These products often command higher profit margins due to their perceived value and align well with global trends toward healthier, toxin-free home environments. This shift presents manufacturers with potential for differentiation, market expansion, and long-term revenue growth as demand for sustainable flooring solutions continues to accelerate worldwide.

Segmentation Analysis

By Product Type

Tufted Segment Held Dominant Market Share with Easy Availability of Numerous Designs

Based on product type, the market is segmented into knotted pile, needle punched, woven, tufted, and others.

The tufted segment held a dominant global carpets and rugs market share in 2024 due to the easy availability of various designs, fast product production time, durability, and cost-effectiveness. Consumers' preference is dynamically changing in the market and they prefer washable and affordable carpets. Tufted carpets are treated with stain-resistant chemicals to extend the carpet fibers' life. These carpets are ideal for wall-to-wall carpeting in rooms with heavy furniture and high foot traffic. Manufacturers are focusing on launching new products owing to the increasing demand. For instance, in April 2022, Gossamer, a carpet manufacturer, in collaboration with Alex Proba, an artist, launched a new collection of hand-tufted rugs, Volume Seven: Touch.

The woven segment is expected to grow significantly throughout the forecast period owing to the wide availability, long product life, and comfort. These are symbols of luxury for interior decoration as they are handmade with traditional design. These factors are driving the market demand.

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By Material

High Resilience and Stain Restraint Features to Drive the Demand for Synthetic-Yarn Fibers

Based on material, the market is segmented into animal-made yarn, plant-made yarn, and synthetic fibers.

The synthetic fibers segment holds a majority share of the market owing to the high preference among consumers as they are stain restraint, durable, and cost-efficient. The synthetic fibers include nylon, olefin, and polyester. These materials dry quicker, are relatively strong, and have less absorbency. Moreover, due to their resilience, nylon carpets are ideal for high-traffic areas such as hallways and stairwells.

The animal-made yarn segment is expected to grow steadily throughout the forecast period. The increasing demand for silk products is owing to their strength, durability, and mold resistance. Silk is considered a luxurious fiber and the availability of handmade silk products with ancient traditional designs drives the market growth. Manufacturers are launching new products to cater to the increasing demand for luxurious and unique products made from materials such as silk and wool. For instance, in March 2021, Hands Carpets, an India-based carpets and rugs manufacturer, launched a new extraordinary collection of Persian hand-knotted carpets made from wool, botanical silk, and pure silk.

By Application

Rising Number of New Residential Homes to Boost Market Growth

Based on application, the market is segmented into residential and commercial.

The residential segment held a major market share owing to the rising trend of carpeting in the household to enhance the décor with unique patterns and colors. The increasing interest in home renovation, such as removing out-of-style or worn rugs and carpets, is boosting the market expansion. The rising usage of carpets to prevent accidents and provide a comfortable play surface for children is driving the market growth.

The commercial segment is also expected to grow steadily over the coming years. The rising demand for the product in commercial spaces is due to providing thermal insulation, an attractive & flexible accent, reducing atmospheric pressure, and soundproofing abilities. These factors are driving the market expansion. Manufacturers also focus on launching new products for offices, hotels, and others. For instance, in October 2021, Carcus Flooring, a division of Beaulieu International Group, launched a new unique collection of commercial broadloom carpets, XL Insinia Chromo.

By Price Range

Rising Preference for Affordable Home Furnishing to Boost Economy Segmental Growth

By price range, the global market is segmented into premium, medium, and economy.

The economy segment held a majority market share during the forecast period. A growing number of individuals are looking for budget-friendly options to elevate their living environments. Budget carpets and rugs provide an economical way to enhance the appearance and comfort of residential and commercial spaces.

Premium segment is slated to grow at a fastest rate during the forecast period of 2025-2032. High-end, luxury carpets and rugs characterized by artisanal craftsmanship, exclusive designs, and premium natural materials such as hand-knotted wool and silk. Increasing number of buyers seeking uniqueness, superior aesthetics, and durability in the form of premium-based area rugs and carpets for upscale residential or commercial spaces is driving the premium segmental revenue growth.

CARPET AND RUGS MARKET REGIONAL OUTLOOK

Based on geography, the global market is categorized into North America, Europe, Asia Pacific, South America, and the Middle East & Africa.

North America

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North America dominated the market and was valued at USD 21.76 billion in 2024. The rapid expansion of housing and construction activities, especially in the U.S., is bolstering the market growth in this region. In addition, the increasing demand for new homes and the rising home decoration trend are increasing product demand over the coming years. For instance, according to the NAR (National Association of Realtors in the U.S.), there will be 4.71 million existing-home sales, representing a 13.5% rise from the 4.1 million expected in 2023.

Manufacturers in the market are focusing on launching new products to cater to the increasing demand from consumers for unique and sustainable products. For instance, in October 2022, Crate & Barrel, a U.S.-based home décor manufacturer, launched an artisan-crafted rug line with 90 new patterns that combine soft palettes, a wide range of sizes, and high-quality materials such as premium viscose.

Europe

Europe is expected to grow considerably owing to an increase in the demand for eco-friendly & sustainable carpets and a rising inclination toward contemporary surface rugs. Germany is one of the major contributors to this region's growth due to an increase in residential real estate and infrastructure improvements, such as production sites and commercial offices. The increasing demand for the usage of products as consumers rising inclination toward bold colors, non-geometrical, and attractive exclusive patterns are driving the market expansion in this region.

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COMPETITIVE LANDSCAPE

KEY INDUSTRY PLAYERS

Industry Players Focus on Marketing and Promotion Strategies to Gain Strong Industry Foothold

Prominent players such as Tai Ping Carpets International Ltd, Tarkett Group, and Shaw Industries Group Inc. are focused on store launches, partnerships, and expansions for a strong foothold in the market. Players focus on promotion and marketing strategies to create strong brand awareness. For instance, in September 2022, OBEETEE Carpets, a carpet manufacturer, launched its new collection in collaboration with JJ Valayaa and opened its new flagship store in New Delhi.

LIST OF TOP CARPETS AND RUGS COMPANIES

• Tai Ping Carpets International Ltd. (China)
• Mohawk Industries Inc. (U.S.)
• Lowe's Companies Inc. (U.S.)
• Tarkett Group (France)
• Victoria Carpets Ltd. (U.S.)
• Shaw Industries Group Inc. (U.S.)
• Inter Ikea Systems B.V. (Netherlands)
• Genie Carpet Manufacturers (India)
• Beaulieu International Group (Belgium)
• Royalty Carpet Mills Inc. (U.S.)
• Oriental Weavers Company (Egypt)

KEY INDUSTRY DEVELOPMENTS

• May 2025: Oriental Weavers launched a polyester yarn dyeing unit to boost in-house yarn capacity, reflecting vertical integration efforts that align with growth strategies. Interface has made a significant investment of USD 45 million to expand modular carpet tile production utilizing 100% recycled nylon, combining innovation and sustainability.
• July 2023:- The textile and carpet company Jaipur Rugs collaborated with the late jeweller and artist Jocelyn Burton to introduce a unique luxury collection. The brand has recently broadened its retail footprint in the UAE by inaugurating an exclusive brand outlet in Dubai.
• July 2022:- Obeetee Carpets, an India-based handwoven carpets manufacturer, launched a new collection, the Ajmer collection. The new collection of carpets is created entirely with patterns and motifs derived from the architecture of Ajmer Fort.
• September 2021:- Jaipur Rugs, a handmade carpets manufacturer, opened its new flagship store in Milan. The new store is over 160 sq. mt, home to a wide range of transitional, modern, contemporary, and traditional hand-knotted rugs.
• April 2021:- Jaipur Rugs, a hand-knotted rugs manufacturer in collaboration with Abin Chaudhari, launched its new range, Archetype. The new design is inspired by different epochs, such as vintage, contemporary, and modern architecture.

REPORT COVERAGE

The global carpets and rugs market report analyzes the market in-depth and highlights crucial aspects such as prominent companies, product types, and sizes. Besides this, the research report provides insights into the market trends and highlights significant industry developments. In addition to the aspects mentioned earlier, the report encompasses several factors contributing to the market's growth.

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Report Scope & Segmentation