U.S. Carpet & Rug Market: The Impact of Hybrid Work on Flooring

The U.S. carpet and rug market was valued at USD 12,663.3 million in 2024 and is projected to reach USD 19,718.0 million by 2030, growing at a CAGR of 7.7% from 2025 to 2030. This growth is primarily driven by increasing activity in residential remodeling and home renovation. With more Americans adopting hybrid work models and spending more time at home, home improvement—including upgrades to carpet and rug flooring—has gained priority.

According to the Joint Center for Housing Studies at Harvard, remodeling expenditures in the U.S. have continued to rise, especially among middle- and upper-income households. Annual home remodeling spending increased from USD 404 billion in 2019 to USD 611 billion in 2022, and is expected to stay above USD 600 billion through 2025. Additionally, the average homeowner project spending reached approximately USD 4,700 in 2023.

Carpets and rugs are commonly replaced during flooring upgrades due to their advantages in comfort, sound insulation, and aesthetic appeal. For instance, Mohawk Industries, a leading U.S. flooring manufacturer, has reported strong demand in its residential soft flooring segment, largely driven by this remodeling trend. Environmentally friendly carpet options are also gaining popularity, further supporting market growth. Innovations like Mohawk's Airo Carpet, which simplifies installation, are well aligned with consumer preferences for ease and convenience in remodeling.

A major trend shaping the market is the shift toward sustainable and eco-friendly carpet products, often made from recycled or biodegradable materials. Consumers are increasingly environmentally conscious, seeking home décor that reflects their values. Examples of such innovation include Interface’s “Carbon Neutral Floors” and Mohawk’s “EverStrand” carpets, made from recycled PET bottles and free from PVC, highlighting the market's growing commitment to sustainability.

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Key Market Trends & Insights

• By Type: Tufted carpets and rugs accounted for 30.32% of the U.S. carpet and rug market revenue in 2024. Their popularity stems from efficient, high-volume manufacturing processes that make them ideal for both residential and commercial applications.
• By Material: Polyester carpets and rugs represented 30.22% of the market in 2024, favored for their cost-effectiveness and stain resistance. Additionally, polyester made from recycled PET appeals to eco-conscious buyers, helping brands align with sustainability initiatives.
• By End Use: The residential segment held a dominant 60.72% share of the market in 2024, supported by homeowners’ growing preference for comfort, warmth, and sound insulation. Soft flooring like carpets and rugs are increasingly selected for bedrooms and living areas, a trend boosted by rising single-family housing construction and renovation efforts.

Market Size & Forecast

• 2024 Market Size: USD 12,663.3 Million
• 2030 Projected Market Size: USD 19,718.0 Million
• CAGR (2025-2030): 7.7%

Key Companies & Market Share Insights

The U.S. carpet and rug market is highly competitive, with a mix of established leaders and emerging innovators. Major players like Mohawk Industries and Shaw Industries Group dominate the landscape by adopting strategies such as product diversification, mergers and acquisitions, and a strong focus on sustainability.

Sustainability remains a central focus for companies like Interface and Tarkett, which emphasize the use of recycled materials and carbon-neutral product lines. Additionally, the rise of direct-to-consumer brands using e-commerce and customization is reshaping the consumer experience, driving competition and innovation.

• Shaw Industries, a subsidiary of Berkshire Hathaway, is one of the world’s largest flooring manufacturers. The company operates globally and focuses on innovation, customer service, and sustainable design through initiatives like cradle-to-cradle certified products.
• Mohawk Industries, headquartered in Georgia, offers a broad range of flooring products including carpets, rugs, tiles, and luxury vinyl. With manufacturing hubs across North America, Europe, and Asia, the company focuses on durability, eco-friendly practices, and global market reach through well-known brands such as Mohawk, Karastan, and Pergo.

Key Players

• Shaw Industries Group, Inc.
• Mohawk Industries, Inc.
• Interface, Inc.
• Engineered Floors, LLC
• Milliken & Company (Flooring Division)
• Tarkett North America
• J+J Flooring Group (Division of Engineered Floors)
• The Dixie Group, Inc.
• Nourison
• Stanton Carpet Corporation

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Conclusion

The U.S. carpet and rug market is experiencing robust growth, fueled by sustained investment in home renovation, rising consumer demand for comfort and aesthetics, and a strong shift toward eco-friendly products. As remodeling expenditures remain high and hybrid work lifestyles continue, the market is set to maintain its upward trajectory, with a projected size of USD 19,718.0 million by 2030. Key players are leveraging innovation and sustainability to remain competitive, while consumer preferences continue to shape product development and distribution strategies. The market’s focus on quality, environmental responsibility, and convenience ensures that it remains dynamic and well-positioned for continued expansion through 2030.