North America Industrial Insulation Market Size, Share & Trends Analysis Report By Product (Board, Pipe), By Material (Glass Wool, Calcium Silicate), By Application (Power Generation, LNG/LPG)- Industry Analysis, Share, Growth, Regional Outlook and Forecasts, 2022-2030

The North America Industrial Insulation market size was valued at US$ 2.18 billion in 2021 and is expected to hit US$ 4.57 billion by 2030, growing at a compound annual growth rate (CAGR) of 3.45% from 2022 to 2030.

Key Takeaways:

• The glass wool material segment accounted for the maximum revenue share of 22% in 2021 and is estimated to grow at a steady CAGR from 2022 to 2030
• The material offers energy-efficient thermal and acoustic insulation, as well as fire safety, which further propels the segment growth
• Pipe insulation was the largest product segment in 2021 and is expected to expand further at the fastest CAGR from 2022 to 2030
• The growth can be credited to the ability of pipe insulation to increase the energy efficiency of the process or plant, thereby reducing the operating expenses
• The power generation application segment is estimated to register the fastest CAGR from 2022 to 2030 due to the rising demand for insulation materials in the thermal power generation industry to minimize the energy losses
• The U.S. led the market in 2021 owing to the presence of advanced manufacturing industries coupled with high energy conservation requirements
• Major companies in the market focus on extending their product portfolio through the development of more cost-efficient materials

Growth Factors:

Rising awareness about energy conservation and increasing energy costs in the North American region are anticipated to propel the demand for industrial insulation. The market plummeted due to the COVID-19 pandemic, leading to a decline in the purchasing power of the industries. Pandemic has severely impacted the end-use industries, such as oil & gas, power, chemicals, food & beverage cement, and others. However, there has been a revival in demand in 2021, mainly due to the ease of lockdowns and financial packages announced by governments to jumpstart the economies.

The market in U.S. is expected to exhibit growth owing to the high demand for insulation for industrial applications, such as machinery, boilers, pipes, and storage tanks; and in linings of cooling towers, heat exchangers, and air conditioning systems and ventilation, among others. In addition, the presence of key players in the country is likely to fuel the market growth.

The insulation products improve the product performance by making manufacturing processes more efficient and offering the exposed equipment and piping a finished and durable appearance. Industrial insulation offers frost protection of pipes at low ambient temperatures. It is one of the economic and secure techniques of energy conservation.

Adequate insulation and thermal mass provide an energy-efficient and economical design to industrial equipment and construction, nullifying the need for a heating system and curbing the operating costs. Manufacturers are striving to provide insulation materials that improve the life cycle and, thereby, the efficiency of a product. This, in turn, is likely to boost the market growth.

Benefits of industrial insulation include acoustic insulation in large-scale factories to curb high-frequency noises made by machines and reduction of mechanical damage to pipework & other components. Insulation can protect equipment and help achieve extremely high or low temperatures with reduced accident risks.

The raw materials used in the production of insulation include sand, rock, petrochemical materials, timber & natural fiber, elastomers, polyethylene, and EPS. The majority of the aforementioned raw materials are derivatives of crude oil. Hence, the fluctuation in crude oil prices is anticipated to be the key factor hampering the market growth.

Report Scope of the North America Industrial Insulation Market

 Material Insights

The glass wool material segment led the market with a revenue share of more than 22.4% in 2021. The use of glass wool for piping applications across industries is to carry chemicals. In addition, it is used for insulation of heat exchangers, cover flanges, pumps, turbines, and any irregular surface in industrial application. Stone wool is one of the most environmentally robust insulation materials that is widely used for thermal insulation in various industries. Stone wool helps in maintaining energy efficiency and provides fire protection, with good acoustics. It is generally available in various forms with different properties to suit a wide range of applications including ovens, boilers, and others.

Foamed plastics exhibit excellent dielectric strength, and resistance to chemicals, heat, and moisture; making them a preferred material for insulation of electric components in industrial applications. Foamed plastics are expected to witness significant demand for industrial insulation applications owing to the energy efficiency regulations imposed by the governments. Calcium silicate is granular thermal insulation, produced using amorphous silica, lime, reinforcing fibers, and other additives. It is used as an alternative to asbestos for high-temperature insulation materials. In addition, high-temperature piping and industrial-grade equipment are the common applications of calcium silicate insulation.

Product Insights

The pipe segment led the market and accounted for more than 47.2% share of the global revenue in 2021. Pipe insulation aids in controlling & stabilizing the process temperatures and prevents the formation of condensation & limits pipe corrosion. In addition, it offers acoustic protection by lowering the noise and vibration along the pipeline.

Board or block insulation is lightweight insulation, which is typically used to insulate irregular surfaces, where an exterior finish will be supported mechanically. Board insulation is used on vessels, equipment, chillers, heat, and air conditioning duct and acoustical wall panels, hot and cold equipment, power and process equipment, and specialized ceiling applications.

Blanket insulation is designed to provide excellent handling characteristics, dimensional stability, and thermal performance in industrial applications. These products are specifically used in high-temperature applications, such as storage tanks, stack installations, air conditioning ductwork, heat exchanger, cooling towers, and large diameter piping, among others.

Spray foam insulation and milled fiber are also used for industrial insulation applications. However, these products contribute a small share to the overall market. Spray foam insulation is a sealant, designed to seal cracks, seams, and smaller gaps and to eliminate drafts, block insects, and repel moisture.

Application Insights

The LNG/LPG application segment led the market and accounted for more than 30.1% of the global revenue share in 2021 owing to the high risk involved in the transportation and storage of the aforementioned products. In addition, proper insulation of the transportation pipes in the LNG and LPG industries also results in a heightened demand for insulation, which leads to market growth. Power generation is one of the leading applications for the market. The demand for insulation materials in the thermal power generation industry to minimize energy losses is likely to drive market growth. In addition, growing concerns regarding energy management are expected to drive the market further.

The EIP industries are involved in the production of a wide range of products that require insulation for thermal energy conservation. In addition, the growth of the manufacturing sector coupled with the presence of stringent regulatory norms by the governing agencies in North America is expected to drive the market over the forecast period. The petrochemical and refinery segment is one of the major consumers in the industrial sector. The oil & gas industry is involved in the continuous high-volume production of crude oil and natural gas, which calls for a high demand for insulation products.

Regional Insights

The U.S. dominated the market and accounted for more than90% of the overall revenue in 2021 owing to its extremely advanced industrial sector, which accounts for the largest energy consumption in the region. In addition, stringent regulations regarding the reduction in energy consumption and Greenhouse Gas (GHG) emission are expected to boost the market growth.

The rising awareness regarding environmentally friendly construction practices is expected to propel insulation use with an aim to reduce energy consumption. Rising industrial construction is anticipated to boost the demand for industrial insulation. A key challenge in forecasting energy demand change in the industrial sector arises from the extent of environmental legislation.

The trend towards reduction of carbon footprint and improvement of resource efficiency is driving the demand for lightweight material, such as foamed plastic insulation. In addition, properties, such as mechanical rigidity, stiffness, high-temperature insulation, chemical & fatigue resistance, exhibited by foamed plastic insulation material are expected to increase its demand.

The market in Canada is expected to benefit from the burgeoning industrial construction expenditures. Rising awareness regarding environmentally friendly construction practices is expected to propel insulation use with an aim to reduce energy consumption. Industrial insulation demand is also expected to be aided by the rapid industrial expansion in the country.

Key Companies & Market Share Insights

The market is highly competitive owing to the presence of a large number of major companies in the region. Companies, such as Rockwool Technical Insulation, Paroc Group, and Knauf Gips KG, hold the majority of market share due to their vast product portfolio and wider geographical reach. Unlike other markets, the companies in this market focus on increasing their market share through organic growth, rather than mergers and acquisitions. Market participants are focusing on enhancing their product portfolio by developing cost-effective insulation products with enhanced properties. Some prominent players in the North America industrial insulation market include:

• Rockwool Insulation A/S
• Knauf Insulation
• TechnoNICOL Corp.
• Anco Products, Inc.
• Aspen Aerogels, Inc.
• Cabot Corporation
• Morgan Advanced Materials plc
• Unifrax LLC
• Rath Group
• Ibiden Co., Ltd.
• Armacell International Holding GmbH
• L'Isolante K-Flex S.p.A.
• NMC Insulation
• Glapor Werk Mitterteich
• Duna-Corradini S.p.A.
• Owens Corning
• Johns Manville
• Rockwool Manufacturing Company
• Saint-Gobain S.A.
• American Rockwool Manufacturing, LLC

Segments Covered in the Report

This research report offers market revenue, sales volume, production assessment and prognoses by classifying it on the basis of various aspects. Further, this research study investigates market size, production, consumption and its development trends at North America for the period of 2017 to 2030

• By Material Outlook
• Stone Wool
• Glass Wool
• CMS Fibers
• Calcium Silicate
• Cellular Glass
• Foamed Plastic
• Elastomeric Foam
• Perlite
• Aerogel
• Cellulose
• Micro Silica
• Others
• By Product Outlook
• Pipe
• Board
• Blanket
• Others
• By Application Outlook
• Power Generation
• Petrochemical & Refineries
• EIP Industries
• LNG/LPG
• Others
• Regional Outlook
• U.S.
• Canada
• Mexico

Key Points Covered in North America Industrial Insulation Market Study:

• Growth of North America Industrial Insulation in 2022
• Market Estimates and Forecasts (2017-2030)
• Brand Share and Market Share Analysis
• Key Drivers and Restraints Shaping Market Growth
• Segment-wise
• Competition Mapping and Benchmarking
• Recommendation on Key Winning Strategies
• COVID-19 Impact on Demand for North America Industrial Insulation and How to Navigate
• Key Product Innovations and Regulatory Climate
• North America Industrial Insulation Consumption Analysis
• North America Industrial Insulation Production Analysis
• North America Industrial Insulation and Management