by The external wall insulation board market is primarily driven by the rising need for energy-efficient and cost-effective construction materials. External wall insulation boards help reduce heating and cooling costs and can potentially cut energy consumption by up to 40%. These boards also provide insulation against noise pollution, improve wall durability, and add aesthetic appeal to buildings.
The global external wall insulation board market is estimated to be valued at US$ 7.87 BN in 2024 and is expected to exhibit a CAGR of 24% over the forecast period from 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.
The key opportunities in the market include expansion in sustainable construction practices across the world due to rising environmental concerns. Several government initiatives to promote energy-efficient buildings will also create new revenue streams for market players.
The market is witnessing strong growth in Europe and North America due to stringent energy-saving regulations. However, Asia Pacific is emerging as a highly lucrative region with India and China showing high demand for external wall insulation boards. Leading players are actively investing in these developing economies.
Market Drivers
The increasing need for energy-efficient construction materials is one of the major drivers of the external wall insulation board market. These boards significantly reduce heating and cooling costs for buildings throughout their lifecycle. With growing environmental consciousness, sustainable insulation solutions for walls are gaining widespread adoption globally. Significant cost savings through improved energy efficiency will continue driving the demand for external wall insulation boards over the forecast period.
PEST Analysis
Political: Regulations to reduce greenhouse gas emissions by improving building insulation has positively impacted demand. Subsidies and tax benefits provided by governments for using such boards has also supported growth.
Economic: High installation and material costs act as a restraint. However, popularity due to energy saving benefits over long run and increasing construction spending has propelled the market.
Social: Growing environmental concerns and need for sustainability have accelerated adoption. Consumers favor eco-friendly insulation solutions for new as well as retrofit construction projects.
Technological: Development of lightweight, durable and cost-effective boards incorporating phase change materials that provide insulation based on temperature has expanded application scope. Advances in bonding technologies have enhanced installation efficiency.
Geographical Regions with High Market Concentration
The market is primarily concentrated in Europe and North America owing to stringent energy efficiency regulations and widespread retrofitting activities in these regions. Germany, UK, France, United States and Canada collectively account for over 50% of worldwide demand in terms of value.
Fastest Growing Regional Market
The Asia Pacific market is projected to expand at the fastest pace during the forecast period driven by rapid infrastructure growth, implementation of green building codes and rising living standards in China, India and other developing nations of the region. Government incentives for green construction coupled with increasing awareness about energy savings will further stimulate the Asia Pacific external wall insulation boards market.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research.
2. We have leveraged AI tools to mine information and compile it.
