Electrical Insulation Materials Market Report 2024

This Electrical Insulation Materials market report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The electrical insulation materials market size has grown strongly in recent years. It will grow from $10.2 billion in 2023 to $10.94 billion in 2024 at a compound annual growth rate (CAGR) of 7.2%. The growth during the historic period can be attributed to factors such as industrial expansion, the rise of traditional power generation, growth in the construction and building sector, the expansion of the telecommunications sector, and increased government investment.

The electrical insulation materials market size is expected to see strong growth in the next few years. It will grow to $14.53 billion in 2028 at a compound annual growth rate (CAGR) of 7.4%. The growth in the forecast period is expected to be driven by increased demand for electric vehicles (EVs), the expansion of renewable energy, a rise in smart grid projects, growth in the automotive industry, and increasing industrial automation. Key trends during this period include the expansion of production facilities, strategic collaborations, technological advancements, product innovation, and the introduction of AI.

The rising demand for electricity is projected to drive the growth of the electrical insulation materials market in the future. The extensive use of electronic devices such as smartphones, computers, and televisions necessitates significant electricity consumption. As technology progresses, both households and businesses are increasingly dependent on multiple electronic devices, leading to greater electricity usage. Electrical insulation materials play a critical role in controlling the flow of electricity, ensuring that current remains on the designated path and protecting devices and users from electric shock or short circuits. For example, the International Energy Agency (IEA), a France-based intergovernmental organization, reported in January 2024 that global electricity demand grew by 2.2% in 2023, following a 2.6% increase in the United States in 2022. Thus, the growing demand for electricity is fueling the expansion of the electrical insulation materials market.

Key players in the electrical insulation material sector are innovating with compounds such as polyetheretherketone (PEEK) extrusion compounds to enhance the performance, durability, and safety of electrical components. Polyetheretherketone (PEEK) extrusion compounds are high-strength, heat-resistant plastics used to manufacture parts requiring superior strength and electrical insulation. For instance, in May 2023, Solvay, a Belgium-based specialty materials company, introduced KetaSpire KT-857, a polyetheretherketone (PEEK) extrusion compound designed to insulate copper magnet wires in electric motors. This advanced material is aimed at improving the performance and safety of electrical components, particularly in high-density battery systems and electric powertrains operating at voltages of 800 or higher.

In August 2023, Altana AG, a German chemical company, acquired a majority stake in Von Roll Holding AG for an undisclosed amount. This acquisition is intended to enhance Altana's strategic position by integrating complementary products, activities, and global reach. The move aims to capitalize on the innovative strengths of both companies, accelerating technological progress and expanding business opportunities. Von Roll Holding AG, a Switzerland-based industrial company, specializes in insulation systems, including resin and electrical insulation coating materials.

Major companies operating in the electrical insulation materials market are BASF SE, Dow Chemical Company, Mitsubishi Chemical Corporation, 3M Company, ABB Ltd, Toray Industries Inc., Evonik Industries AG, DuPont de Nemours Inc., Sika AG, Olin Corporation, Nan Ya Plastics Corporation, Huntsman Corporation, Nitto Denko Corporation, Wacker Chemie AG, Solvay S.A., Axalta Coating Systems Ltd, Momentive Performance Materials Inc., Sumitomo Bakelite Co. Ltd., Gurit Holding AG, Sichuan EM Technology Co Ltd, Aditya Birla Chemicals Limited, Krempel GmbH.

Asia-Pacific was the largest region in the electrical insulation materials market in 2023, and is expected to be the fastest-growing region in the forecast period. The regions covered in the electrical insulation materials market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the electrical insulation materials market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Electrical insulation materials are substances designed to prevent the flow of electrical current by serving as barriers between conductive components in electrical devices, systems, or equipment. These materials possess high resistance to electrical conductivity, making them crucial for ensuring safety, preventing electrical leakage, and improving the efficiency of electrical systems.

The primary types of electrical insulation materials include thermoplastics, thermosets, epoxy resin, silicone rubber, polyimide, ceramics, fiberglass, mica, among others. Thermoplastics are a type of plastic that softens when heated, becoming moldable, and solidifies upon cooling. These materials are used across various voltage levels, including low and high voltage, and have applications in power transformers, distribution transformers, electrical motors and generators, wires and cables, switchgear, batteries, circuit breakers, and more.

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

The electrical insulation materials market consists of sales of plastics, rubber, composite materials, and oil-impregnated paper. 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 value of goods in this market includes related services sold by the creators of the goods.

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.

This product will be delivered within 3-5 business days.