Building Insulation Materials Market Report 2025

The building insulation materials market size has grown steadily in recent years. It will grow from $26.06 billion in 2024 to $26.8 billion in 2025 at a compound annual growth rate (CAGR) of 2.8%. The growth in the historic period can be attributed to emerging markets growth, the rise in demand for energy-efficient buildings, the increased focus towards sustainability, and rapid industrialization.

The building insulation materials market size is expected to see steady growth in the next few years. It will grow to $31.94 billion in 2029 at a compound annual growth rate (CAGR) of 4.5%. The growth in the forecast period can be attributed to rising construction activities, increasing urbanization, and increasing disposable income. Major trends in the forecast period include focusing on eco-friendly insulation materials, focusing on product innovations and developing new product solutions, focusing on new technologies and developing advanced product solutions, focusing on collaborations and acquisitions to improve financial strength, and focusing on new plant expansions to serve the increasing demand.

The rise in construction activities is anticipated to drive the growth of the building insulation materials market in the future. Construction activities encompass any tasks essential for the construction, demolition, assembly, alteration, installation, or equipping of buildings or structures. There has been an uptick in construction activities due to rapid industrialization and urbanization. This surge in construction is generating a significant demand for insulation materials used in the development of residential and commercial buildings, as insulation serves as an energy-saving solution that reduces heat accumulation in warmer climates and minimizes heat loss in colder ones. For example, in November 2023, the Office of National Statistics, a UK-based statistics authority, reported a remarkable 15.8% increase in total new work construction output, reaching a historic value of £132.98 billion in 2023. Furthermore, total new work rose by £18.16 billion in 2022, with private sector growth at 16.8% and public sector growth at 13.1%. Thus, the increasing building and construction activities globally will propel the thermoplastic elastomer market.

The building insulation materials market is set to experience a boost due to augmented investment in infrastructure development. Infrastructure development involves constructing fundamental services that stimulate economic growth and enhance the quality of life. This surge in infrastructural development is anticipated to drive the demand for building materials, particularly exterior and interior insulation materials. Notably, in June 2022, the Government of Canada allocated funds for climate-resilient infrastructure initiatives, channeling $46.7 million into two vital climate resilience initiatives - the Climate Resilient Built Environment initiative and the Standards to Support Resilience in Infrastructure Program. Furthermore, in February 2022, the Brazilian government announced a strategic investment of BRL866 million ($51.36 million) in 762 infrastructure projects focused on tourism enhancement. These initiatives aim to improve the conditions of Brazilian tourist cities, enhancing the sector's potential to attract more visitors with increased comfort. The improvements encompass renovations, construction of event spaces, public squares, waterfronts, asphalt paving, and viewpoints, among other interventions. Consequently, the heightened investment in infrastructure development is poised to fuel the growth of housing and commercial projects, subsequently boosting the building insulation materials market.

Technological innovations have become a significant trend gaining traction in the building insulation materials market. Leading companies in this sector are concentrating on developing new technologies to maintain their competitive edge. For example, in March 2023, Atlas Roofing Corporation, a US-based manufacturer in the building materials sector, introduced EnergyShield XR, a new polyiso insulation product intended for continuous insulation applications. This cutting-edge product features a closed-cell foam core that delivers excellent thermal performance, moisture resistance, and durability. EnergyShield XR is designed to improve energy efficiency in buildings by reducing heat transfer, making it suitable for both residential and commercial construction. Its lightweight design allows for easier handling and installation, leading to quicker project completion while providing long-lasting insulation solutions that comply with modern building codes and standards.

Building insulation materials companies are strategically focusing on product innovations, introducing new solutions to fortify their market positions. A case in point is ACC Ltd., an India-based cement producer, which unveiled the 'ACC Airium' thermal insulating climate control concrete system in March 2022. This introduction aligns with ACC's strategic commitment to advancing the transition toward low-carbon and circular construction. The company has consistently emphasized expanding its portfolio of sustainable solutions.

In June 2022, Holcim, a building materials and aggregates company based in Switzerland, acquired SES Foam LLC for an undisclosed sum. This acquisition is intended to bolster Holcim's Solutions & Products portfolio, significantly increasing its footprint in the insulation market and aligning with its Strategy 2025: Accelerating Green Growth. By integrating SES Foam's innovative and sustainable insulation solutions, Holcim aims to drive profitable growth and enhance energy efficiency in building projects. SES Foam LLC is a US-based manufacturer specializing in spray foam insulation products, concentrating on energy-efficient insulation solutions for both residential and commercial buildings.

Major companies operating in the building insulation materials market include Owens Corning, Rockwool International A/S, Knauf Gips KG, Saint-Gobain S.A., BASF SE, Dow Inc, Berkshire Hathaway Inc., Huntsman Corporation, Covestro AG, DuPont de Nemours Inc, Anhui Sunval International Co. Ltd, Hangzhou Qiyao New Material Co. Ltd, Hainan Fuwang Industrial Co. Ltd, Xuchang Zhufeng Insulation Material Co. Ltd, Yuyao Tongchuang Thermal Insulation & Sealing Factory, Resistant Building Products Ltd, FibreGrid, Gyvlon Limited, Keith Builders Merchants Limited, AluMate Limited, Wetherby Laroc Group, Plasson UK Ltd, Surface Heating & Cooling, Roofbase, Celotex Ltd, IKO Enertherm, Kingspan, Gambit Lubawka Sp. z o.o., Global Mineral Group Sp. z o.o., TechnoNICOL Corporation, Steklonit JSC, Guardian Industries, Nippon Electric Glass America, Fiberglass Canada Inc., Holcim, Armacell, Isover, Texsa, Arabian Fiberglass Insulation Company Ltd, Ashtrom Group, Pearl Polyurethane Systems, Redcon Construction Company, Eco-Beam, Ecomo.

North America was the largest region in the building insulation materials market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the building insulation materials market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the building insulation materials market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

Building insulation materials are substances designed to impede the transfer of heat or sound between spaces, serving to contain and regulate thermal or acoustic conditions within a structure.

These materials encompass a range of elements such as fiberglass, mineral wool, expanded and extruded polystyrene, cellulose, among others. Fiberglass, composed of fine glass fibers, stands out for its lightweight and durable properties, adaptable for reinforcement or weaving. Insulation comes in bulk or reflective forms, utilized in various applications such as wall, underfloor, ceiling or roof, and window insulation. These insulation materials cater to different sectors including residential, commercial, and industrial settings.

The building insulation materials market research report is one of a series of new reports that provides building insulation materials market statistics, including the building insulation materials industry global market size, regional shares, competitors with building insulation materials market share, detailed building insulation materials market segments, market trends, and opportunities, and any further data you may need to thrive in the building insulation materials industry. This building insulation materials market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The building insulation materials market consists of sales of vermiculite, cementitious foam insulation, extruded polystyrene (Xps), and phenol formaldehyde resin. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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