The siding joint won't affect flame spread up the wall, but it will affect the ease with which fire can penetrate the joint and enter the stud cavity. "Complicated" lap joints in combustible siding (e.g., tongue and groove and ship lap) can resist penetration better than simple joints (e.g., plain bevel). Noncombustible siding products (e.g., fiber cement products) aren't sensitive to type of lap joint.
FAQ #39257
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Does the siding joint change the fire resistance?
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