by The external wall insulation board market comprises foam-based and cement-based boards that provide effective thermal insulation and weather resistance for exterior walls of residential and commercial buildings. These boards offer high energy efficiency by reducing heat transfer through walls, soundproofing, and protection against moisture, mold and mildew.
The global external wall insulation board market is estimated to be valued at US$ 7.87 billion in 2024 and is expected to exhibit a CAGR of 24% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the External Wall Insulation Board Market are Etex Group, Elementia Materials, Everest Industries Limited, James Hardie Industries PLC, Johns Manville, Knauf Gips KG, Saint-Gobain, BetonWood Srl, Cembrit Holding A/S, HIL Limited, GAF, and NICHIHA Co. Ltd. These players are focusing on developing innovative insulation solutions to meet rising demand.
The growing awareness about energy conservation and the need to reduce carbon footprint is driving the demand for external wall insulation boards globally. Various government initiatives toward green construction and rebates on energy efficient homes have boosted the board’s adoption.
The countries with cold climates have emerged as major markets for external wall insulation boards. Meanwhile, growth in residential and commercial construction in developing nations is fueling the board’s demand. Leading players are expanding their global footprint by collaborating with local manufacturers and suppliers.
Market Key Trends
One of the key trends gaining traction in the external wall insulation board market is the rising popularity of bio-based insulation materials. Manufacturers are developing insulation boards made from renewable and natural materials like hemp, sheep wool, flax, and wood fibers. These eco-friendly boards have high insulation efficiency and are gaining wider acceptance in green construction. Their growing demand is expected to support the market expansion over the coming years.
Porter’s Analysis
Threat of new entrants: High capital requirements and patents barriers restrict new entrants. Bargaining power of buyers: The industry is fragmented with many suppliers reducing buyer power. Bargaining power of suppliers: Large number of raw material suppliers with substitutes reduces supplier power. Threat of new substitutes: Potential threat from substitute products that can provide insulation like fiberglass. Competitive rivalry: Intense competition among established players to gain market share through product differentiation and price competition.
Geographical Regions
The Europe region accounts for the largest share in terms of value due to strict insulation regulations. Germany and United Kingdom being some of the major markets in Europe with over 40% combined share owing to high demand for energy efficient insulated buildings.
The Asia Pacific region is expected to grow the fastest during the forecast period at an estimated CAGR of 24% primarily driven by rapid growth in construction activities across China, India and other Southeast Asian countries. Rising energy costs are also prompting insulation usage for new as well as retrofit construction in Asia Pacific region especially in residential sector.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research.
2. We have leveraged AI tools to mine information and compile it.
