Insulation Market Size, Share & Trends Analysis Report By Product (Glass Wool, Mineral Wool, EPS), By End Use (Construction, Industrial, HVAC & OEM), By Region (APAC, EU), And Segment Forecasts, 2022 - 2030

Report Overview

The global insulation market size was estimated at USD 57.95 billion in 2021 and is projected to grow at a compound annual growth rate (CAGR) of 6.5% over the forecast period. Increasing consumer awareness regarding energy conservation is estimated to have a positive impact on the market over the forecast period. The global insulation industry has experienced limited growth as a consequence of the economic recession caused by the COVID-19 crisis, which has resulted in low investor confidence and a decline in construction activities, as a result, the insulation materials market has also experienced a catastrophic setback. The COVID-19 pandemic in the U.S. affected the growth of the engineering and construction industries. The stay-at-home instructions and social distancing mandates have slowed both new and retrofit project sites in both the residential and commercial fields. In the U.S., the glass wool sector accounted for the largest share in 2021 and is estimated to grow at a steady CAGR over the forecast period. 

Glass wool is a thermal insulator consisting of flexible and knotted glass fibers, which traps air inside resulting in low density. The segment was followed by mineral wool and EPS respectively. Rapid industrialization and urbanization in the emerging markets of China, India, Philippines, Malaysia, Thailand, and Indonesia have driven the need for better infrastructure. Moreover, increasing regulatory support and rising demand for residential and industrial insulation are the factors estimated to fuel market growth over the projected period.

However, fluctuating raw material prices and strict environmental regulations are estimated to hamper the overall market growth in the years to come. The strong presence of manufacturing industries in China, India, Brazil, and Mexico is estimated to boost the demand for fiberglass insulation in industrial buildings. This trend is anticipated to further boost the market growth. The rising demand for sustainable residential buildings on account of the growing population and rapid urbanization is a recent end-use trend estimated to drive industrial growth. Furthermore, technological enhancements in thermal insulation like vacuum insulation panels and R&D activities to advance transparent thermal insulation are the factors estimated to create new opportunities for industrial development.

Product Insights

The EPS insulation product segment led the market and accounted for more than 27% share of the global revenue in 2021. Expanded polystyrene is a lightweight and high-tensile plastic foam insulation made out of rigid pellets of polystyrene. The product is estimated to continue its dominance over the forecast period. Glass wool product segment is expected to grow at a steady CAGR over the forecast period. Glass wool is made up of sand and has thermal and acoustic insulation properties, such as low weight and high tensile strength. Removable blankets are a byproduct of glass wool and make a great cover for turbines, pumps, heat exchangers, tanks, expansion joints, valves, flanges, and other irregular surfaces generating heat in industrial environments. In 2021, extruded polystyrene foam insulation (XPS) segment held a significant share of the total market revenue.

The product is potentially an environmentally responsible alternative to other building insulation materials. Moreover, stone wool occurs naturally as a byproduct of volcanic eruptions. It is highly resistant to heat transfer as it combines the capabilities of thermal insulation characteristics inherent to wool and the strength of stone. The aerogel segment is projected to register a considerable CAGR, in terms of value, over the forecast period. The product is a solid, open-celled, mesoporous foam of nanostructures interconnected in a network. Aerogel is claimed as the lightest solid material as compared to other insulation materials. Aerogel bears many advantages, such as optimized thermal conductivity in high-temperature service, faster application on large-bore piping and vessels, quick application on large-bore piping and vessels, etc.

End-use Insights

The construction sector led the market in 2021 and accounted for the largest share of 34% of the overall revenue. The sector is expected to witness growth owing to the increasing number of insulation-intensive buildings in urban areas. The construction sector was followed by the transportation and residential construction sectors, which are estimated to grow at considerable CAGRs from 2022 to 2030. The petrochemical industries and refineries are insulated for benefits, such as energy conservation, heat gain/loss reduction, maintaining a uniform temperature, effective operation of equipment or chemical reaction, condensation prevention, etc.

Heating, ventilation, and cooling systems are usually insulated by employing a solution, which offers superior thermal insulation characteristics, other than noise reduction and fire protection. Appliances, such as refrigerators, microwaves, ovens, and water heaters require insulation to resist heat transfer and absorb sound. Dehumidifiers, air purifiers, refrigerators, washing machines, and dishwashers are some other major appliances that require insulation. The transportation segment includes the automotive, marine, and aerospace sectors. The segment held a significant market share of the global market in 2021. Automakers are constantly looking to enhance passenger safety and comfort, which is a major factor driving the demand for insulation in this sector.

Regional Insights

Asia Pacific region led the market and accounted for the largest market share of 41% in 2021 due to the increased oil production in the economies of China and India and concerns regarding significant energy wastage coupled with the demand for the materials in refurbishing and renovation application. The market in North America is highly influenced by the demand from the oil & gas, manufacturing, metal & mining, power, and other industries, where operating temperature is high. In addition, companies in this region are focusing on reducing the losses to improve their performance by practicing regular maintenance inspections.

Europe accounted for a significant revenue share in 2021. The regional market is projected to be an early adopter of the emerging insulation materials owing to the rapid industrialization and the presence of major insulation product manufacturers in Europe. The GDP of Central & South America has exhibited a slow growth rate on account of political and economic disturbances in Brazil, one of the leading users of industrial insulation products. The growth of the market in the Middle East & Africa region is expected to be driven by the expansion of the downstream petrochemical industry and the rising product demand for the maintenance & repair of existing infrastructure.

Key Companies & Market Share Insights

The industry is characterized by the presence of various small- and large-scale vendors, resulting in a moderate level of concentration in the market. Market players are concentrating on joint ventures, collaborations, agreements, and other strategies to advance their production facilities and gain a larger share in the market. Biesanz Stone Co. and Michigan Limestone & Chemical Company are the major limestone suppliers, while Alfa Aesar and American Borate Company supply borates. Raw material supply for foamed plastic insulation products is dominated by companies, such as BASF, Bayer, and Dow Chemical Company. Some prominent players in the global insulation market are:

• GAF Materials Corp.

• Huntsman International LLC

• Johns Manville

• Cellofoam North America, Inc.

• Rockwool International A/S

• DuPont

• Owens Corning

• Atlas Roofing Corp.

• Saint-Gobain S.A.

• Kingspan Group

• BASF

• Knauf Insulation

Insulation Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For the purpose of this study, Grand View Research has segmented the global insulation market report on the basis of product, end use, and region:

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2017 - 2030)

  • Glass Wool

  • Mineral Wool

  • EPS

  • XPS

  • CMS Fibers

  • Calcium Silicate

  • Aerogel

  • Cellulose

  • PIR

  • Phenolic Foam

  • Polyurethane

• End-use Outlook (Volume, Kilotons; Revenue, USD Million, 2017 - 2030)

  • Construction

    • Residential

    • Non-residential & Commercial

  • Industrial

  • HVAC & OEM

  • Transportation

    • Automotive

    • Marine

    • Aerospace

  • Appliances

  • Furniture/Bedding

  • Packaging

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • France

    • Italy

    • Spain

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

  • Central & South America

  • Middle East & Africa