Extruded Polystyrene Market To Reach $11.25 Billion By 2033

Extruded Polystyrene Market Growth & Trends

The global extruded polystyrene market is projected to reach USD 11.25 billion by 2033 and is expected to grow at a CAGR of 5.8% from 2025 to 2033, according to a new report by Grand View Research, Inc. The XPS market is a key part of the global insulation industry and is characterized by its excellent thermal resistance, low water absorption, and structural durability. Extruded Polystyrene (XPS) boards are widely used in building envelopes, refrigerated transportation, and specialized industrial applications where consistent performance under load is crucial. Their closed-cell structure ensures long-term R-value retention, making them a preferred choice for projects that require reliability. As sustainability and energy efficiency become more important in construction, XPS continues to strengthen its role in modern thermal management solutions.

A primary growth driver for the extruded polystyrene (XPS) market comes from increasingly strict energy codes and green building standards worldwide. Compared to alternative materials like expanded polystyrene and mineral wool, XPS offers better compressive strength and moisture resistance, which lowers long-term costs. This benefit is especially important in environments with freeze-thaw cycles or high humidity, where maintaining insulation quality over time is crucial. As a result, architects and specifiers are more frequently choosing XPS to meet both regulatory requirements and client needs.

Advances in formulation and facing technologies are creating new opportunities for XPS adoption in specific markets. Graphite-enhanced and foil-laminated boards are now customized for high-performance roofing, refrigerated buildings, and zero-energy homes, offering thinner profiles without sacrificing R-value. Incorporating recycled polystyrene and developing closed-loop recycling programs further enhance the material’s sustainability credentials. These innovations allow XPS suppliers to target premium markets in retrofit projects and emerging infrastructure developments.

Market players are engaging in various strategic initiatives, such as mergers, acquisitions, and collaborations. For example, in February 2025, Carlisle Companies Incorporated finalized the acquisition of ThermaFoam, a Texas-based expanded polystyrene insulation manufacturer, for USD 52.9 million.

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Extruded Polystyrene Market Report Highlights

• Based on the application, the foundation had the largest share, 38.05% of the market in 2024.

• Based on end-use, residential construction accounted for the largest share of 51.80% of the market size in 2024.

• North America dominated the market in 2024. Rising investment in transportation infrastructure upgrades is boosting demand for XPS as a lightweight, durable insulation in bridge decks and tunnel linings.

• The U.S. was the leading extruded polystyrene (XPS) market in the North America region and captured around 65% of the revenue market share in 2024 in this region.

Extruded Polystyrene Market Segmentation

Grand View Research has segmented the global extruded polystyrene market on the basis of applications, end-use, and region:

Extruded Polystyrene Application Outlook (Revenue, USD Million; Volume, Kilotons; 2021 - 2033)

• Foundation

• Roof

• Wall

• Floor & Ceiling

• Other Applications

Extruded Polystyrene End-use Outlook (Revenue, USD Million; Volume, Kilotons; 2021 - 2033)

• Residential Construction

• Commercial Construction

• Infrastructural Construction

• Industrial Construction

Extruded Polystyrene Regional Outlook (Revenue, USD Million; Volume, Kilotons; 2021 - 2033)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • Germany

  • UK

  • France

  • Italy

  • Spain

• Asia Pacific

  • China

  • India

  • Japan

  • South Korea

  • Australia

• Latin America

  • Brazil

  • Argentina

• Middle East & Africa

  • Saudi Arabia

  • South Africa

  • UAE

List of Key Players in the Extruded Polystyrene Market

• Owens Corning

• DuPont de Nemours, Inc.

• Kingspan Group

• BASF SE

• Carlisle Construction Materials (CCM)

• Knauf Insulation

• Austrotherm

• Rmax

• URSA