Industrial Insulation Market Expected to Reach $12.7 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Industrial Insulation Market," The industrial insulation market was valued at $7.8 billion in 2021, and is estimated to reach $12.7 billion by 2031, growing at a CAGR of 5.1% from 2022 to 2031.

Industrial insulation is a layer of resistant material, which serves as a barrier to the targeted energy. It is widely used in power generation plants, refineries, and manufacturing facilities. Industrial insulation materials are non-conducting materials, which act as a barrier to the flow of sound, heat, and moisture. It is mainly used to make the system thermal resistant and leak-proof.

The growth of the global industrial insulation industry is majorly attributable to its wide applications in various industries owing to superior handling characteristics, dimensional stability, and thermal performance properties. Industrial insulation is extensively used in applications such as power, oil and gas, chemical and petrochemical, cement, food and beverage, and others. Industrial insulation is used to improve process quality and efficiency. It enhances administrative center safety, promotes system longevity, and reduces environmental footprint. Insulation in house resists heat flow and reduces heating and cooling bills. Fiberglass pipe insulation is most suitable for high-temperature pipes, whilst foam and rubber are better suited for cold water pipe lines and may also be utilized in hot pipes. Insulation blankets, on the other hand, are designed to help petrochemical, oil and gas, and industrial facilities deal with heat-related issues. The insulation blanket spray foam is a sealant used to plug cracks, seams, and small gaps, and to reduce draughts, repel insects, and repel moisture. These are also used to fill, insulate, and seal corner joints, exterior fissures, utility panels, pipes, and duct penetrations. Cement insulation materials, on the other hand, can be employed to give optimum protection for the steel shell, eliminating costly repairs and damage from acid assaults. Industrial insulation is also used in the food and beverage industry as pumps, heat exchangers, containers, and extensive refrigerant pipework. Thus, the wide application of industrial insulation is anticipated to drive the market growth during the forecast period.

However, the environmental and health hazards associated with insulation wool is projected to hinder the expansion of the market. On the contrary, upsurge in spending and industrial activities are expected to offer ample growth opportunities for the industrial insulation market. Infrastructural development in economies, such as India, China, Brazil, and South Korea, are anticipated to augment industrial activities and grow the consumption of insulation materials during the forecast period. For instance, as per China Banking News, China had scheduled $1.07 trillion as infrastructure spending in 2020. Further, India also launched diverse infrastructure projects, including the smart city initiative, new industrial estates, urban transformation schemes, and business parks, which are predicted to stimulate industrial insulation market growth during the forecast period.

Further, growing urbanization and modernization have increased building and industrial activities in many parts of the globe. As insulation is utilized in many industries, demand for it is expected to rise rapidly. Loose-fill insulation, such as cellulose, fibreglass, and mineral (rock or slag) wool, is the most prevalent form of insulation used in buildings. Building insulation has grown in popularity, owing mostly to increase in green activities and renovation activities. Plastics is one of most prominent category of petrochemical products that have surpassed all other bulk commodities in terms of demand, including steel and aluminum. The popularity of insulated packaging, which offers fresh food at the convenience of hot or cold meals, is increasing due to the COVID-19 situation. Consequently, growth in the building & construction industry is anticipated to create ample growth opportunities for the industrial insulation market in coming years.

The industrial insulation market is segmented into material, form, end-use industry, and region. Based on material, the market is segmented into mineral wool, plastic foam, and others. On the basis of form, the market is segmented into pipe, blanket, board, and others. On the basis of end-use industry, the market is categorized into power, oil and gas, chemical and petrochemical, cement, food and beverage, and others. Region wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA. The industrial insulation market share is analyzed across all significant regions and countries.

The major players operating in the global industrial insulation market include, Armacell International SA, BASF SE, Cabot Corporation, Johns Manville, Kingspan Group PLC, Knauf Insulation, Nichias Corporation, NMC Group, Owens Corning, Polyguard Materials Inc., Promat, Rockwool Group, Saint Gobain, Solvay, and Thomas Insulation Corporation.

COVID-19 Analysis:

The COVID-19 pandemic negatively impacted the demand for industrial insulation from a wide range of end-use sectors, including power, oil and gas, chemical, food & beverage, and cement. Owing to the needs for energy conservation, energy efficiency, and the reinforcement of pipelines, machinery, tanks, boilers, and other equipment, power is the greatest market for industrial insulation, favorably impacting the global industrial insulation market growth.

Key findings of the study:

• The report outlines the current industrial insulation market trends and future scenario of the market from 2022 to 2031 to understand the prevailing opportunities and potential investment pockets.
• The industrial insulation market size is provided in terms of revenue.
• The industrial insulation market analysis includes top players and regions operating in the market.
• By material, the mineral wool segment was the highest revenue contributor to the market in 2021 .
• On the basis of form, the pipe segment was the highest revenue contributor to the market in 2021.
• By end-use industry, the others and power segments are expected to witness considerable CAGRs of 6.4% and 5.8%, respectively, during the forecast period.
• Region-wise, Asia-Pacific is predicted to dominate the industrial insulation market during the forecast period. China was the highest revenue contributor in 2021 in Asia-Pacific, and is estimated to grow with a CAGR of 7.3%.