The answer is...it depends...
You can replace damaged siding with matching cement siding from any number of local lumber yards that have it in stock or it can be ordered from Home Depot. You can paint it. I have gotten a removal quote from an asbestos company for a historical district project, the siding wasn’t an original material from the period of construction.
I would not typically remove it unless required, replacing bad pieces and painting is the first choice.
Feel free to contact me if you have additional questions. Bill@BillBuysHomes or 214-997-6565