2025 South East Asphalt User / Producer Group Outlook (AL, AR, FL, GA, KY, LA, MS, NC, OK, SC, TN, TX, VA, WV)

We’re headquartered in Union, New Jersey but over 10% of our construction customers come from the South East Asphalt User Producer Group. It is our third largest of the regions, behind our top area – the North East Asphalt User / Producer Group NEAUPG, and our second largest region, the NCAUPG. The Southeast US is home to nearly 40% of the nation’s 4,000 asphalt plants and over 30% of annual production. Without the cold weather of northern states, the South has longer production windows and it’s growing population leads to more investment in roads.

Filter Holdings has dozens of customers in the Southeast.

The South East Asphalt User Producer Group (SEAUPG) Annual Conference, held November 19-21, 2024, in Mobile, Alabama, (link) focused on several key topics pertinent to the asphalt industry:

• Workforce Challenges: The industry is grappling with mental health concerns and difficulties in recruiting new talent, impacting overall productivity and safety.
• Sustainability Pressures: There’s a growing need to adopt environmentally friendly practices, such as integrating reclaimed asphalt pavement (RAP) and developing low-carbon materials, to meet sustainability goals. seaupg.net
• Evolving Technical Standards: Continuous updates in binder and aggregate specifications, alongside advancements from traditional to balanced mix designs, require ongoing adaptation and training within the industry.

In addition, FHI saw the same common trends present for the NCAUPG group as we saw elsewhere in the US for 2024:

• Higher asphalt pricing led to fewer jobs.
• A warm winter led to longer production – seasonal shutdowns and maintenance cycles started later than usual.
• Federal spending initiatives continue to drive the volume of work.
• New technologies and continued focus on clean air keep demand for filter bags – like FHI’s StackPro product line.

One of the great things about the asphalt industry is the strong national coordination provided by groups like the State Asphalt Pavement Association (SAPA), the National Asphalt Pavement Association (NAPA) and events like World of Asphalt.

The South East Asphalt User / Producer Group is supported by strong regional and state-based groups, including:

• West Subgroup (5 states):
  • Arkansas (AR) Arkansas Asphalt Pavement Assn. www.arasphalt.com
    • Arkansas plays a big role in the Southeast asphalt world because Arkadelphia has been the home to the SEAUPG since its founding in 1993.
  • Louisianna (LA) – LA Asphalt Pavement Assn. www.lahotmix.org
  • Mississippi (MS) – Mississippi Asphalt Pavement Association www.msasphalt.com
  • Texas (TX) TX Asphalt Pavement Assn. www.txhotmix.org
  • Oklahoma (OK) – Oklahoma Asphalt Pavement Association www.okhotmix.com
• Central Subgroup (5 states):
  • Alabama (AL) – AL Asphalt Pavement Association www.alasphalt.com
  • Florida (FL) – Asphalt Contractors Association of Florida www.acaf.org
  • Georgia (GA) – GA Asphalt Pavement Association www.gahotmix.com
  • Kentucky (KY) – Plantmix Asphalt Industry of Kentucky www.paiky.org
  • Tennessee (TN) – Tennessee Road Builders Association www.trba.org
• East Subgroup (4 states):
  • North Carolina (NC) – Carolina Asphalt Paving Association www.capa.org
  • South Carolina (SC) – South Carolina Industry Rep. www.scasphalt.org
  • Virginia (VA) – VA Asphalt Pavement Assn. www.vaasphalt.com
  • West Virginia (WV) – West Virginia Asphalt Pavement Association www.asphaltwv.com