Development of American Factory-Prefabricated Housing (Modular Housing)

The development of American factory-prefabricated housing (modular housing) is as follows:

I. Key Enterprises and Market Position
Clayton Homes is a leading enterprise in the American prefabricated housing sector. Founded in 1956, its business covers manufacturing, sales, lending, and insurance services, with modular housing as its core product, primarily targeting middle- and low-income families and the essential housing market. Its product range includes traditionally built on-site homes and off-site built homes (such as modular housing, prefabricated housing, CrossMod™ housing, etc.). In 2014, the company sold 30,871 homes, accounting for 45% of the American prefabricated housing market, indicating a significant market share.

II. Market Development
In recent years, city governments and private developers in some American cities have shown increasing interest in modular housing to address issues of high housing demand, high costs, and limited loan resources. For example, the modular housing project jointly developed by Blokable and Compass Housing Alliance in the suburbs of Seattle plans to build 85 housing units for different communities. Additionally, with high housing prices and insufficient supply in the United States, residents in small and medium-sized cities and suburbs have a strong demand for affordable and fully functional prefabricated homes. Prefabricated homes priced at $20,000 and 30-square-meter “building block homes” exported from China are popular due to their cost-effectiveness.

III. Product Features and Advantages
Factory-prefabricated housing transforms “construction behavior” into “industrial product manufacturing.” Walls, plumbing, electrical systems, kitchens, and bathrooms are all standard modules that are pre-assembled before leaving the factory, requiring only assembly and connection of water and electricity interfaces on-site. Its advantages include:

• Low-carbon and environmentally friendly: No large-scale noise or construction waste during on-site assembly;
• Quality control: Factory production improves precision, and workers no longer need to work outdoors at high altitudes;
• Outstanding efficiency: For example, after adopting modular construction for an 18-story high-rise residential project in Hong Kong, the construction period was shortened by 60%-70%.

IV. Regulatory Restrictions and Market Acceptance
Prefabricated homes in the United States are subject to state-level legal restrictions. Some states allow placement but prohibit connection to the urban power grid and sewer systems, and banks do not recognize them as “real estate”. Nevertheless, high housing prices and shortages are driving demand growth. On TikTok, prefabricated homes exported from China are called “dream homes” by Americans due to their wind and snow resistance, corrosion resistance, and long design life.

V. Participation of Chinese Enterprises
China is the world's largest producer of prefabricated homes, and its enterprises are expanding into the American market through exports. For example, China Steel Structure Jiangsu Co., Ltd. has received orders for a full range of modular homes in North America. Its products are transported as independent modules to North America for on-site assembly and delivered as fully furnished homes. Its parent company, China Construction Science and Industry Group, has obtained three core Canadian building standard certifications (CSA W47.1, CSA A660, CSA A277), laying the foundation for its products to enter the North American market.