Building Thermal Insulation Market

Building Thermal Insulation Market Snapshot (2022 to 2032)

In 2022, the global building thermal insulation market size is estimated to be worth USD 29,034 Million. The market is expected to grow at a CAGR of 4.3% during the forecast period. Furthermore, the market is expected to be worth USD 44,233.7 Million in 2032, due to:

• Rising business and residential use to lower total energy costs, as well as increased knowledge about energy saving, are expected to assist the industry.
• Thermal insulation in buildings is used to lower the amount of energy necessary to heat or cool a house, as well as to minimize the amount of heat that exists during the winter and to restrict the quantity of hot summer air that enters the house.
• It is the most cost-effective climate measure for areas with a large range of yearly average temperatures.
• Developing ecologically friendly constructions supplements traditional building design by emphasizing economy, usability, durability, and comfort.

Data Points	Key Statistics
Projected Growth Rate (2022 to 2032)	4.3% CAGR
Expected Market Value (2022)	USD 29,034 Million
Anticipated Forecast Value (2032)	USD 44,233.7 Million

The environmental impact of insulation materials is projected to change the industry’s focus on the advancement of environment-friendly products during the forecast period. Recyclable insulation is gaining traction owing to the strict regulations administering conventional products like plastic foams.

The rising preference for green, biodegradable, and recyclable products by architects, homeowners, and businesses, owing to growing environmental awareness is anticipated to augment the threat of substitutes in the market over the forecast period.

The USA to Witness High Growth in Building Thermal Insulation Market

In terms of value, North America is the second-largest market for thermal insulation for buildings in 2022. The demand for building thermal insulation is fueled by the region's strict building energy requirements, expansion of the housing market, and growing interest in green construction. Growing residential and commercial development in the USA is anticipated to support growth, as will the adoption of stringent green building regulations to lower energy use per structure.

It is anticipated that favorable government regulations for the use of the product in both residential and commercial constructions are likely to spur development throughout the projected period. The building thermal insulation market in the area is anticipated to be driven by the retrofit market, the growth of green buildings, and growing energy efficiency requirements and building specifications. Moreover, the region is more conscious of the demand for thermal insulation in buildings now that there is a greater emphasis on energy-efficient structures, stricter insulation standards, and updated building rules.

New Opportunities to Be Created Via Product Development Trends and Strategic Investments

Companies in the building thermal insulation market have created DIY insulation products for customers who cannot afford the services of professional insulation contractors. DIY products are offered as sprays or insulating panels that may be easily installed or sprayed, reducing the overall cost for the user.

For instance, DuPont offers a DIY kit for filling gaps and holes in roofs called Froth-Pak which is based on spray foam and contains quick-cure PU foam. Important companies including Knauf Insulation, Owens Corning, and Eco foam Insulation & Coatings are anticipated to manufacture comparable DIY goods in the upcoming years, supporting the building thermal insulation market expansion.

Key players are proactively investing in technology developments together with product innovation to strengthen their positions internationally. Additionally, businesses are forming strategic alliances to save operating expenses.

• With a USD 12.5 million investment in Vise, Belgium, Knauf Gips KG established a brand-new Glass Mineral Wool thermal insulation recycling facility in March 2022, setting the way for an exciting new recycling service for the construction and demolition sector.
• Kingspan Group announced the conclusion of its acquisition of Valencia's THU PERFIL SL, a company that specializes in metal ceiling profiles, in February 2022. THU has decades of expertise in manufacturing partition profiles, drywall, roofing, and ceilings.
• Kingspan and H2 Green Steel, a business that is developing cutting-edge green production techniques for steel manufacture utilizing hydrogen, come to an investment partnership agreement in April 2021.
• The JM Corbond IV closed-cell spray polyurethane foam was introduced to the Johns Manville Corporation's portfolio of building insulation products in January 2021.

What are the Factors Driving the Global Building Thermal Insulation Market?

Increasing Building and Construction Industry to Support Market Growth

The increasing demand for building thermal insulation has increased owing to the expansion of buildings and the construction sector. Thermal insulation systems help buildings in keeping the temperatures consistent by reducing heat transmission between the adjacent environments. Moreover, they also cut down carbon emissions by lessening heat transfer to the outside environment and demand lesser energy to maintain temperature.

Increasing industrialization supports installing thermal insulation systems in commercial buildings to save energy, which is expected to augment the market size in the forthcoming period. As per the USA Census Bureau and the USA Department of Housing and Urban Development, 1,295,000 housing projects were completed. The rising construction projects are anticipated to foster the building thermal insulation market in the forecast period.

According to Indian Green Building Council, building insulation at its best saves money and helps in protecting the environment. It reduces monthly expenditure and enhances general comfort. With the introduction of green technologies and practices, the potential for energy savings through design can be as high as 40% to 50%.

What are the Prevailing Opportunities in the Global Building Thermal Insulation Market?

Growing Adoption of Do it yourself (DIY) Insulation Products to Support Market Expansion

For consumers who cannot afford insulation services by professionals, companies in the market have produced DIY insulation products. DIY products are available as sprays or insulating panels that can be sprayed or installed, reducing the consumers’ overall expense.

DuPont sells a spray foam-based DIT package under the brand name Froth-Pak that comprises quick-cure PU foam for filling roof voids and gaps. Players such as Knauf Insulation, Eco foam Insulation & Coatings, and Owens Corning, are anticipated to offer similar DIY products, which will augment the market size in the coming time.

What are the Factors Hampering the Global Building Insulation Market?

Health Concerns Regarding the Adoption of a Few Thermal Insulation Products to Limit the Market

Associated health concerns regarding the application of insulation materials are expected to hamper the market growth in the forecast period. For example, glass wool can affect the eyes and respiratory system when used during the laying process.

Owing to the emission of styrene, carcinogen-expanded and extruded polystyrenes have been restricted during the manufacturing process. Such health-related risks and strict regulations are expected to affect the market negatively during the forecast period. Also, high prices of plastic foam are projected to hamper market growth, leading to the development of alternatives.

Segmentation Analysis

Why is the Residential Sector Gaining Maximum Traction in the Global Building Thermal Insulation Market?

Insulation of Residential Buildings to Gain Traction Due to its Architectural and Energy Efficiency Benefits

Residential construction across the globe has been experiencing significant expansion due to factors such as migration from rural areas to service sector clusters, population growth, and the rising trend of nuclear families. Insulation of residential buildings is gaining significant traction because of its architectural and energy efficiency benefits.

Promoting energy efficiency (EE) requirements for new residential buildings have been proven to be an effective mandatory policy instrument in regulating energy consumption in the residential building sector. On the other hand, the commercial segment is expected to develop in the forecast period. The rising importance of energy efficiency of commercial and public buildings on account of high energy costs that lead to increased maintenance costs is expected to support the segmental growth over the forecast period.

Regional Analysis

What is the Contribution of North America to Developing the Global Building Thermal Insulation Market?

Increasing Residential and Commercial Activities in the Region to Favor the Market in North America

According to the analysis, North America is expected to dominate the global building thermal insulation market during the forecast period. In 2022, the region is expected to secure 27.3% of global revenue. The USA is projected to account for the largest share in North America. Several initiatives like the Weatherization Assistance Program (WAP) which is focused on large-scale product adoption in low-income households are anticipated to play an important role in strengthening the growth.

Rising residential and commercial construction activities in North America, along with the implementation of stringent green building codes to lessen the energy consumption per structure are projected to support the market growth during the forecast period. Besides, favorable government regulations for the adoption of the product for commercial and residential structures are projected to augment the market size during the forecast period.

Favorable building codes in the USA and Canada, coupled with the establishment of energy certification agencies such as the Leadership in Energy and Environmental Design (LEED) and the USA Green Building Council (USGBC) are expected to have a positive impact on the demand for building thermal insulation.

What is the Role of Europe in Developing the Global Building Thermal Insulation Market?

Favorable Initiatives in the Region to Support the Market Growth

As per the study, Europe is anticipated to be the second-largest market during the forecast period. In 2022, the region is projected to secure 18.1% of the global revenue share. The growth of the regional market can be attributed to initiatives by the Registration, Evaluation, Authorization, and Restriction of Chemicals (REACH) and the European Commission to promote thermal insulation as a means of energy conservation.

Germany is projected to make the most significant contribution to developing the regional market during the forecast period. As per the Central Association of the German Building Industry and Main Association of the German Building Industry, the German Construction sector is likely to bring in sales of Euro 151 billion in 2022.

The top five office construction projects initiated in Germany include Mannesmann-Ufer Headquarters Building, Minden Headquarters Building, Markisches Zentrum Redevelopment, Kolbenhoefe Mixed-Use Complex, and Am Hirschgarten Office Complex.

How is Asia Pacific Strengthening the Global Building Thermal Insulation Market?

Growing Construction Activities to Favor the Market Growth

Asia Pacific is anticipated to be the most lucrative market during the forecast period. This can be attributed to the increasing construction activities in the region to meet the demands of the growing population. China is estimated to account for the largest share in the region, due to several government initiatives to improve its public infrastructure.

In addition, growing government expenses on infrastructure and rapid urbanization are expected to augment the market size in the forthcoming time. This is likely to enhance energy consumption and increased demand for eco-friendly building insulation products. Attributed to such factors, the market in Asia Pacific is anticipated to develop the market in Asia Pacific during the forecast period.

How are Start-ups Favoring the Expansion of the Global Building Thermal Insulation Market?

Alutix (India), Enerpaper (Italy), U-Map (Japan), Rovilus (USA), Thermulon (United Kingdom), and Inficold (India) are some of the emerging players in the global building thermal insulation market. New players in the market are adopting various novel technologies that are expected to widen the market growth scope in the coming time.

For instance, Thermulon, a British startup develops aerogels for building insulations. The aerogels are silica-based as well as lightweight, non-combustible, and have a very low thermal conductivity. The startup’s process enables the formulation of aerogel in end-user products like plasters and cladding panels to deliver excellent insulating properties without compromising on fire safety. Thermulon also optimizes its material and process to scale up its production while lowering the price.

Competition Analysis

Key players in the global building thermal insulation market include Rockwool International A/S, Owens Corning, BASF SE, Saint-Gobain, and Knauf Gips KG, among others. Recent developments in the market include:

• In July 2021, Owens Corning announced the acquisition of vliepa GmbH. This combination has strengthened the organization’s global nonwoven portfolio to boost growth and develop offerings to European building and construction markets.
• In February 2020, Rockwool announced the acquisition of Parco’s acoustic ceilings business, which operates under the sub-brand of Parafon. Paroc is a subsidiary of Owens Corning.

Report Scope

Report Attributes	Details
Growth Rate	CAGR of 4.3% from 2022 to 2032
Expected Market Value (2022)	USD 29,034 Million
Anticipated Forecast Value (2032)	USD 44,233.7 Million
Base Year for Estimation	2021
Historical Data	2016 to 2021
Forecast Period	2022 to 2032
Quantitative Units	Revenue in USD Million and CAGR from 2022 to 2032
Report Coverage	Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends, and Pricing Analysis
Segments Covered	Material, Building Type, Application, Region
Regions Covered	North America; Latin America; Europe; Asia Pacific; Middle East and Africa
Key Countries Profiled	United States of America, Canada, Brazil, Mexico, Germany, United Kingdom, France, Spain, Italy, China, Japan, South Korea, Malaysia, Singapore, Australia, New Zealand, GCC Countries, South Africa, Israel
Key Companies Profiled	Rockwool International A/S; Atlas Roofing Corporation; Dow Building Solutions; Principal Financial Group Inc.; Johns Manville; Huntsman Corporation; Kingspan Group; Owens Corning; BASF SE; Saint-Gobain; Knauf Gips KG; Atlanta AG; GAF Materials Corporation; CNBM Group
Customization	Available Upon Request

Key Segments Profiled in the Global Building Thermal Insulation Market

By Material:

• Wool Insulation/Open Cell
• Stone Wool
• Fiberglass Wool
• Plastic Foams/Closed Cell
• Extruded Polystyrene
• Polyurethanes

By Building Type:

• Residential
• Commercial
• Industrial

By Application:

• Building Roof Thermal Insulation
  • Pitch Roof
  • Flat Roof
• Building Wall Thermal Insulation
  • Air Cavity Wall
  • External Wall
  • Internal Wall
• Building Floor Thermal Insulation

By Region:

• North America
• Latin America
• Europe
• Asia Pacific
• Middle East and Africa

Frequently Asked Questions

What is the Expected Market Value of the Global Building Thermal Insulation Market during the forecast period?

The global building thermal insulation market is expected to secure USD 44233.7 Million by 2032

What is the Projected CAGR of the Global Building Thermal Insulation Market in the Assessment Period?

The global building thermal insulation market is projected to display a CAGR of 4.3% during the forecast period

Which are the Eminent Players in the Global Building Thermal Insulation Market?

Rockwool International A/S, Owens Corning, BASF SE, Saint-Gobain, and Knauf Gips KG, are some of the players in the global building thermal insulation market.