North America Industrial Insulation Market Analysis Report By Material, By Product, By Application, By Region And Segment Forecasts From 2018 To 2025

Industry Insights

The North American industrial insulation market size was accounted for USD 1.86 billion in 2017. It is projected to grow at a significant CAGR of 4.0% over the forecast period, 2018 to 2025. The increasing demand for insulation materials in different industries with an emphasis on reducing thermal losses in heat transfer operations is boosting the market growth.

Manufacturers acquire the raw materials through direct & third-party agencies in the supply chain. In addition, the manufacturers enter into long-term partnerships with suppliers to remain competitive in the industry.

In the U.S., there is a huge demand from manufacturing, power generation and oil & gas industries that operates at high temperature. In addition, stiff safety regulations across the industrial sector are projected to positively impact market growth.  

Raw materials contribute to over 50.0% of overall production cost. Key raw materials used are crude oil, elastomeric foam, and foamed plastic. However, high price fluctuation in crude oil is expected to hinder market growth. 

The high entry barrier due to the presence of well-established players is causing a threat to new players. The top players in the industry are focusing on expanding their reach across Asian countries owing to low production costs is also limiting the growth of new market players.

Key players engaged in developing a novel manufacturing process for improved product efficiency is supporting North American industrial insulation market growth. Additionally, rising spending in R&D activities and technological development is projected to bolster market growth over the forecast period. 

Material Insights

Stone wool-based products are highly used as they offer greater strength including HVAC ducting is driving the segment growth. Moreover, these products do not emanate toxic gases and provide better protection at high temperatures. Glass wool material is used in pipes application for carrying hot fluids. The segment is anticipated to expand at the fastest CAGR of 3.8% over the forecast period, 2018 to 2025. The rising usage of heat exchangers, pumps, turbines, and cover flanges is contributing to the market growth. Foamed plastic has high dielectric strength and resistant properties to heat, chemicals, and moisture. Various benefits like cost-effectiveness and high resistance properties are expected to boost segment growth. 

Cellular glass material provides greater incombustibility, thermal insulation, and compressive strength. Thus, these products are highly used for avoiding corrosion and chemical impacts. 

Product Insights

Depending on the product, the North American industrial insulation market is segmented into blanket, board, pipe, and others. Pipe products are expected to have significant growth over the forecast period. These products are widely used for stabilization and control applications in temperature processes. This product also limits pipe corrosion and condensation. Board products are used for insulation in equipment, chillers, acoustic wall panels, and vessels. Additionally, these products are used in hot and cold equipment, ceiling applications, and power equipment. The blanket product segment is projected to reach USD 725.5 million by the end of 2025. Various factors like dimensional stability and high thermal resistance are boosting the segment growth. Blanket insulation is required in cooling towers, storage tanks, and heat exchangers.

A reusable and removable insulation blanket is used for HVAC applications, metal, and boiler applications. These blankets reduce operational costs and reduced downtime, which in turn is expected to foster the demand for this insulation over the forecast period. 

Application Insights

Applications segment is comprised of petrochemical & refineries, power generation, EIP Industries, LNG/LPG, and others. In the power generation sector, these products are highly used owing to cost-effectiveness. Thus, in the industrial sector, for high-temperature applications, these materials help in enhancing strength.

The transportation of LPG/LNG requires insulation material for ensuring low-temperature maintenance and avoiding re-gasification. In addition, rising energy consumption is expected to spur the growth of the market. 

The insulations are necessary for the LPG piping system and containment tanks. These products also help in improving the efficiency of maintenance operations. Additionally, rising energy generation projects are supporting North American industrial insulation market growth. 

Regional Insights

North America is a major market in the global industrial insulation industry. The rising power generation industry across the U.S. is driving the market growth. The growing number of private investments in industrial applications has reached new levels. In addition, favorable government policies in the manufacturing industry are boosting the growth of industrial insulation products. Furthermore, the growing oil & gas industry is also projected to proliferate the market growth in the next few years. Moreover, rising energy costs and environmental pollution is influencing companies to adopt energy-efficient products. This factor is projected to bolster market growth.

The developing power generation sector in Canada with a focus on decentralized systems is expected to offer growth opportunities for the market in the power generation sector. The Canadian market is estimated to grow at a CAGR of 4.6% from 2018 to 2025.

Impact of COVID-19

COVID-19 pandemic has negatively impacted the market. In the U.S., several construction projects, pipelines operation has been disrupted owing to lockdown. California, Texas, and Florida have been hit hard by the coronavirus which in turn is adversely impacting the demand for insulation products.

COVID-19 outbreak has posed a challenging situation for continuing manufacturing operations. Industries across Pennsylvania and New Jersey are re-opening which is projected to support the market growth. According to Elite Insulation & PolyPro LLC an insulation contractor company in Virginia. The market is estimated to grow at a significant rate as the construction industry is slowly getting back to normal operation.

North America Industrial Insulation Market Share Insights

The market is highly competitive in nature, with few players dominating the market with a sizable amount of share.  Leading players in the market focus on forming strategic partnerships with suppliers for raw materials. In addition, the companies engage in developing advanced products like Pyrogel HPS to increase their reach across the region.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2014 to 2025. For the purpose of this study, Million Insights has segmented the North America industrial insulation market report on the basis of material, product, application, and region:

• Material Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)
    • Stone Wool
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • Glass Wool
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • CMS Fibers
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • Calcium Silicate
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • Cellular Glass
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • Foamed Plastic
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • Perlite
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • Aerogel
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • Cellulose
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • Micro Silica
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others
    • Others
        • Power Generation
        • Petrochemical & Refineries
        • EIP Industries
        • LNG/LPG
        • Others

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)
    • Pipe
    • Board
    • Blanket
    • Others

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)
    • Power Generation
    • Petrochemical & Refineries
    • EIP Industries
    • LNG/LPG
    • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)
    • North America
        • U.S.
        • Canada