Insulation

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Insulation

Demand for insulation in the US is forecast to increase 1.9% annually to 10.4 billion pounds in 2025 from a high 2020 base, which resulted from an increase in home renovation and new home construction during the pandemic. While demand will expand more quickly in value terms – boosted by price increases for key raw materials such as plastic and mineral wool – moderating residential building construction beginning in 2022 will dampen the outlook.

Key factors that will support insulation market demand through 2025 include:

  • rebounding commercial construction activity, which fell sharply during the COVID-19 pandemic
  • stringent fire safety policies and increasing energy efficiency codes throughout the country, which often call for greater use of insulation in buildings
  • strong rebounds in transportation equipment production
  • increasing production of HVAC equipment, industrial equipment, and appliances, particularly refrigerators and freezers

Plastic Foam & Mineral Wool Insulation Materials Continue to Gain Share from Fiberglass

Fiberglass will continue to account for the largest share of insulation demand by volume because of its relative ease of installation and cost effectiveness (i.e., it provides good R-values at a relatively low cost). However, its market share will decline through 2025, primarily due to increased competition from foamed plastic and mineral wool caused by the drive toward increasing insulation and improving air sealing in new residential buildings:

  • Foamed plastic offers more R-value per inch than fiberglass.
  • Both foamed plastic and mineral wool products can be used between the framing and cladding to provide an air barrier.

Sharp Polystyrene Price Increases Boost Market Value of Plastic Foam

Prices for plastic foam insulation are expected to expand more quickly than those of any other material. Polystyrene prices have risen above the average rate of inflation due to government regulations aimed at eliminating the use of HFC-134a in XPS blowing agents and plant closures that have constricted supply. Though prices for foamed plastic are expected to remain elevated, the material will remain competitive against other insulation due to its ease of installation, which is important in a tight labor market.

Rebounds in Commercial Construction & Manufacturing to Boost Nonresidential Markets

While the residential market will continue to account for the largest share of demand gains through 2025, faster growth is expected in other markets, such as commercial construction and industrial and plant equipment. These markets will be boosted by rebounding commercial building construction and manufacturing activity as the economic effects of the COVID-19 pandemic lessen and businesses increase investment in new facilities and capacity expansions. Additionally, resumption of travel will boost insulation demand growth in transportation equipment.

Historical Trends

The US insulation market is cyclical due to its relationship with building construction, although the retrofit market is less volatile than the new construction market:

  • The new construction market generally tracks the cyclical growth pattern of new housing activity, though trends in the smaller new commercial construction market also impact insulation sales.
  • Growth in the retrofit market is fairly consistent year over year, as retrofit of attics, ceilings, exterior walls, and other areas is often necessary for a number of reasons, such as:
    • updated building codes requiring use of more or a different type of insulation
    • mold
    • weather damage
    • products reaching the end of their useful lifespans (while many insulation products can last for several decades if undamaged, fiberglass batts typically begin to break down after 15 years)
  • Additionally, the US’ robust home improvement culture supports retrofit sales, as large-scale projects such as room additions often require insulation.
  • In both new and retrofit markets, gains in recent years have been boosted by increasingly strict building codes requiring greater use of insulation to improve energy efficiency.

In other insulation markets – including industrial and plant equipment, HVAC/air distribution, appliances, and transportation equipment – growth follows that of the domestic manufacturing output of these products, which often involve use of thermal and/or acoustic insulation. Increasing industry standards for quieter appliances and HVAC equipment continue to support demand for acoustic insulation in these markets, while rising worker safety standards in the industrial sector promote use of insulation in plant equipment. The ongoing expansion of the aerospace sector is a key driver of insulation demand growth in the transportation equipment market.

Insulation Product

Foreign trade does not account for a major share of either US demand or US production of insulation, a result of relatively high transportation costs for bulky, low-value materials. Through 2025, insulation production is projected to rise 4.6% annually to $12.7 billion, in line with demand. While sustained growth in domestic insulation demand will continue to restrict the need for US suppliers to find overseas markets for their products, the trade surplus in insulation products is expected to widen through 2025, boosting export sales opportunities.

The US exports insulation to a number of countries, with Canada accounting for the largest share. Other markets include Australia, Brazil, China, Germany, Mexico, South Korea, and the United Kingdom.

As most of the raw materials for insulation are available domestically and with the commodity-like pricing in the industry, it is difficult for foreign producers to make a substantial impact on the US market because of the cost involved in shipping insulation great distances. However, the US does import insulation from a number of countries:

  • Canada is the leading exporter of insulation to the US, with fiberglass accounting for the largest share of these exports.
  • Mexico is the second largest exporter of fiberglass insulation to the US, taking advantage of Mexico’s lower labor costs to inexpensively manufacture loose fill fiberglass and fiberglass batts and blankets.
  • Other countries that supply insulation to the US include China, Germany, Japan, the Netherlands, and the United Kingdom.

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Purchase Insulation by the Section

  1. Insulation

    $5,800.00

    1. 1 Executive Summary

      $323.00

      1. Figure 1-1 | US Insulation Market Overview

    2. 2 COVID-19 Pandemic

      $967.00

      1. 2.1 Overview

        $323.00

      2. 2.2 Impact on the Economy

        $343.00

        1. Table | Macroeconomic Indicators, 2019 – 2023

        2. Figure 2-1 | Real GDP by Economic Sector, 2020 – 2023

      3. 2.3 Impact on the Construction Industry

        $323.00

        1. Table | Construction Expenditures, 2019 – 2023

      4. 2.4 Impact on the Insulation Industry

        $388.00

        1. Table | Annual Insulation Demand by Market, 2019 – 2022

        2. Table | Annual Insulation Demand by Market, 2019 – 2022

        3. Figure 2-2 | Annual Insulation Volume Demand by Market, 2019 – 2022

    3. 3 Overview

      $2,094.00

      1. 3.1 Study Scope

        $323.00

        1. Figure 3-1 | Insulation: Product Examples

      2. 3.2 Historical Trends

        $323.00

        1. Table | US Insulation Demand, 2010 – 2021

        2. Figure 3-2 | US Insulation Demand, 2000 – 2021

      3. 3.3 Supply & Demand

        $323.00

        1. Table | US Insulation Supply & Demand, 2010 – 2030

      4. 3.4 Demand by Material

        $489.00

        1. 3.4.1 Pounds, Area, &R1-Value

          $364.00

          1. Table | Insulation Demand by Material, 2010 – 2030

          2. Table | Insulation Demand by Material, 2010 – 2030

          3. Table | Insulation Demand by Material, 2010 – 2030

        2. 3.4.2 Market Value

          $323.00

          1. Table | Insulation Demand by Material, 2010 – 2030

      5. 3.5 Demand by Market

        $458.00

        1. 3.5.1 Pounds & R1-Value

          $323.00

          1. Table | Insulation Demand by Market, 2010 – 2030

          2. Table | Insulation Demand by Market, 2010 – 2030

        2. 3.5.2 Market Value

          $323.00

          1. Table | Insulation Demand by Market, 2010 – 2030

      6. 3.6 Demand by Function

        $530.00

        1. 3.6.1 Pounds & Market Value

          $323.00

          1. Table | Insulation Demand by Function, 2010 – 2030

        2. 3.6.2 Thermal

          $323.00

          1. Table | Thermal Insulation Demand by Material, 2010 – 2030

        3. 3.6.3 Acoustic

          $323.00

          1. Table | Acoustic Insulation Demand by Material, 2010 – 2030

      7. 3.7 Pricing Trends

        $323.00

        1. Table | Average Insulation Prices by Material, 2010 – 2030

        2. Figure 3-3 | Average Insulation Price by Material, 2010 – 2030

    4. 4 Factors Impacting Insulation Demand

      $477.00

      1. 4.1 Construction Industry Outlook

        $323.00

        1. Figure 4-1 | Building Construction Expenditures by Type, 2018 – 2025

      2. 4.2 Building Codes & Regulations

        $323.00

      3. 4.3 Health Concerns

        $323.00

        1. 4.3.1 Indoor Air Quality

          $323.00

        2. 4.3.2 Potential Lung & Skin Irritation

          $323.00

      4. 4.4 Sustainability Initiatives

        $323.00

        1. 4.4.1 Recycling & Recycled Content

          $323.00

        2. 4.4.2 Energy Efficiency

          $323.00

          1. Table | Insulation R-Values by Material

        3. 4.4.3 Blowing Agents & Ozone Depletion

          $323.00

    5. 5 Fiberglass Insulation

      $814.00

      1. 5.1 Scope & Product Description

        $323.00

        1. Figure 5-1 | Fiberglass Insulation: Product Examples

        2. Figure 5-2 | Fiberglass Insulation: Key Competitive Factors

      2. 5.2 Demand by Product Form

        $323.00

        1. Table | Fiberglass Insulation Demand by Product Form, 2010 – 2030

      3. 5.3 Demand by Market

        $323.00

        1. Table | Fiberglass Insulation Demand by Market, 2010 – 2030

        2. Figure 5-3 | Fiberglass Share of Insulation Market, 2020

      4. 5.4 Market Share & Key Suppliers

        $323.00

        1. Figure 5-4 | Fiberglass Insulation Market Share by Company, 2020

        2. Figure 5-5 | US Fiberglass Insulation Market: Leading Supplier, 2020

        3. Figure 5-6 | Fiberglass Insulation Market: Second Leading Supplier, 2020

        4. Figure 5-7 | Fiberglass Insulation Market: Third Leading Supplier, 2020

        5. Figure 5-8 | Fiberglass Insulation Market: Fourth Leading Supplier, 2020

    6. 6 Foamed Plastic Insulation

      $2,224.00

      1. 6.1 Scope & Product Description

        $323.00

        1. Figure 6-1 | Foamed Plastic Insulation: Product Examples

        2. Figure 6-2 | Foamed Plastic Insulation: Key Competitive Factors

      2. 6.2 Plastic Products

        $1,433.00

        1. 6.2.1 Demand by Plastic Resin & Format

          $323.00

          1. Table | Foamed Plastic Insulation Demand by Resin, 2010 – 2030

          2. Figure 6-3 | Foamed Plastic Insulation Demand by Resin, 2010 – 2030

        2. 6.2.2 Rigid Polyurethane (PUR/PIR) Board

          $323.00

          1. Table | Rigid PUR/PIR Board Insulation Demand by Market, 2010 – 2030

        3. 6.2.3 Spray Polyurethane Foam (SPF)

          $323.00

          1. Table | Spray Polyurethane Foam

        4. 6.2.4 Extruded Polystyrene (XPS)

          $323.00

          1. Table | XPS Foam Insulation Demand by Market, 2010 – 2030

        5. 6.2.5 Expanded Polystyrene (EPS)

          $323.00

          1. Table | EPS Foam Insulation Demand by Market, 2010 – 2030

        6. 6.2.6 Other Foamed Plastics

          $323.00

          1. Table | Other Foamed Plastic Insulation Demand by Market, 2010 – 2030

      3. 6.3 Demand by Market

        $340.00

        1. Table | Foamed Plastic Insulation Demand by Market, 2010 – 2030

        2. Figure 6-4 | Foamed Plastic Share of Insulation Market, 2020

      4. 6.4 Market Share & Key Suppliers

        $340.00

        1. Figure 6-5 | Foamed Plastic Insulation Market Share by Company, 2020

        2. Figure 6-6 | Foamed Plastic Insulation Market: Leading Supplier, 2020

        3. Figure 6-7 | Foamed Plastic Insulation Market: Second Leading Supplier, 2020

        4. Figure 6-8 | Foamed Plastic Insulation Market: Third Leading Supplier, 2020

        5. Figure 6-9 | Foamed Plastic Insulation Market: Fourth Leading Supplier, 2020

        6. Figure 6-10 | Foamed Plastic Insulation Market: Fifth Leading Supplier, 2020

    7. 7 Mineral Wool Insulation

      $648.00

      1. 7.1 Scope & Product Description

        $323.00

        1. Figure 7-1 | Mineral Wool Insulation: Product Examples

        2. Figure 7-2 | Mineral Wool Insulation: Key Competitive Factors

      2. 7.2 Demand by Product Form & Material

        $323.00

        1. Table | Mineral Wool Insulation Demand by Product Form & Material, 2010 – 2030

      3. 7.3 Demand by Market

        $323.00

        1. Table | Mineral Wool Insulation Demand by Market, 2010 – 2030

        2. Figure 7-3 | Mineral Wool Share of Insulation Market, 2020

      4. 7.4 Market Share & Key Suppliers

        $323.00

        1. Figure 7-4 | Mineral Wool Insulation Market Share by Company, 2020

    8. 8 Cellulose Insulation

      $537.00

      1. 8.1 Scope & Product Description

        $323.00

        1. Figure 8-1 | Cellulose Insulation: Product Examples

        2. Figure 8-2 | Cellulose Insulation: Key Competitive Factors

      2. 8.2 Demand by Product Form

        $323.00

        1. Table | Cellulose Insulation Demand by Product Form, 2010 – 2030

      3. 8.3 Demand by Market

        $323.00

        1. Table | Cellulose Insulation Demand by Market, 2010 – 2030

        2. Figure 8-3 | Cellulose Share of Insulation Market, 2020

      4. 8.4 Market Share & Key Suppliers

        $323.00

        1. Figure 8-4 | Cellulose Insulation Market Share by Company, 2020

    9. 9 Reflective Insulation & Radiant Barriers

      $443.00

      1. 9.1 Scope & Product Description

        $323.00

        1. Figure 9-1 | Reflective Insulation & Radiant Barriers: Product Examples

        2. Figure 9-2 | Reflective Insulation & Radiant Barriers: Key Competitive Factors

      2. 9.2 Demand by Market

        $323.00

        1. Table | Reflective Insulation & Radiant Barrier Demand by Market, 2010 – 2030

        2. Figure 9-3 | Reflective Insulation & Radiant Barrier Share of Insulation Market, 2020

      3. 9.3 Market Share & Key Suppliers

        $323.00

        1. Figure 9-4 | Reflective Insulation & Radiant Barrier Market Share by Company, 2020

    10. 10 Small Volume Insulation Materials

      $490.00

      1. 10.1 Scope & Product Description

        $323.00

        1. Figure 10-1 | Small Volume Insulation Materials: Product Examples

        2. Figure 10-2 | Small Volume Insulation Materials: Key Competitive Factors

      2. 10.2 Demand by Market

        $323.00

        1. Table | Small Volume Insulation Demand by Market, 2010 – 2030

        2. Figure 10-3 | Small Volume Insulation Material Share of Insulation Market, 2020

      3. 10.3 Key Suppliers

        $323.00

    11. 11 Residential Building Insulation

      $1,572.00

      1. 11.1 Market Scope

        $323.00

      2. 11.2 Demand by Material

        $592.00

        1. 11.2.1 R-1 Value

          $323.00

          1. Table | Residential Building Insulation Demand by Material, 2010 – 2030

        2. 11.2.2 Square Feet

          $323.00

          1. Table | Residential Building Insulation Demand by Material, 2010 – 2030

        3. 11.2.3 Pounds

          $323.00

          1. Table | Residential Building Insulation Demand by Material, 2010 – 2030

        4. 11.2.4 Market Value

          $323.00

          1. Table | Residential Building Insulation Demand by Material, 2010 – 2030

      3. 11.3 Demand by Function (Thermal & Acoustic)

        $323.00

        1. Table | Residential Building Insulation Demand by Function, 2010 – 2030

      4. 11.4 Demand by Housing Type (Single-Family, Multifamily, Manufactured Housing)

        $323.00

        1. Table | Residential Building Insulation Demand by Housing Type, 2010 – 2030

      5. 11.5 Project Types

        $516.00

        1. 11.5.1 Demand by Project Type

          $323.00

          1. Table | Residential Building Insulation Demand by Project Type, 2010 – 2030

        2. 11.5.2 New Housing

          $323.00

          1. Table | New Residential Building Insulation Demand by Material, 2010 – 2030

          2. Figure 11-1 | New Residential Building Insulation Demand & Conventional Housing Starts, 2010 – 2025

        3. 11.5.3 Retrofit Projects

          $323.00

          1. Table | Residential Retrofit Insulation Demand by Material, 2010 – 2030

      6. 11.6 Residential Insulation Cost Comparison

        $323.00

        1. Figure 11-2 | Residential Building Insulation Cost Comparison, 2020

    12. 12 Commercial Building Insulation

      $1,294.00

      1. 12.1 Market Scope

        $323.00

      2. 12.2 Demand by Material

        $624.00

        1. 12.2.1 R-1 Value

          $323.00

          1. Table | Commercial Building Insulation Demand by Material, 2010 – 2030

        2. 12.2.2 Square Feet

          $323.00

          1. Table | Commercial Building Insulation Demand by Material, 2010 – 2030

        3. 12.2.3 Pounds

          $323.00

          1. Table | Commercial Building Insulation Demand by Material, 2010 – 2030

        4. 12.2.4 Market Value

          $323.00

          1. Table | Commercial Building Insulation Demand by Material, 2010 – 2030

          2. Figure 12-1 | Commercial Building Insulation Demand & Commercial Building Construction Expenditures, 2010 – 2025

      3. 12.3 Demand by Function (Thermal & Acoustic)

        $323.00

        1. Table | Commercial Building Insulation Demand by Function, 2010 – 2030

      4. 12.4 Demand by Building Type (Office, Retail/Lodging, Industrial, Institutional, Other)

        $323.00

        1. Table | Commercial Building Insulation Demand by Building Type, 2010 – 2030

      5. 12.5 Demand by Project Type (New vs. Retrofit)

        $323.00

        1. Table | Commercial Building Insulation Demand by Project Type, 2010 – 2030

      6. 12.6 Commercial Insulation Cost Comparison

        $323.00

        1. Figure 12-2 | Commercial Building Insulation Cost Comparison, 2020

    13. 13 Other Insulation Markets

      $1,084.00

      1. 13.1 Industrial & Plant Equipment

        $323.00

        1. Table | Industrial & Plant Equipment Insulation Demand by Material & Function, 2010 – 2030

      2. 13.2 HVAC & Air Distribution Systems

        $323.00

        1. Table | HVAC & Air Distribution Insulation Demand by Material & Function, 2010 – 2030

      3. 13.3 Appliances

        $323.00

        1. Table | Appliance Insulation Demand by Material & Function, 2010 – 2030

      4. 13.4 Transportation Equipment

        $323.00

        1. Table | Transportation Equipment Insulation Demand by Material & Function, 2010 – 2030

      5. 13.5 All Other Markets

        $323.00

        1. Table | Other Markets Insulation Demand by Material & Function, 2010 – 2030

    14. 14 Regional Trends

      $991.00

      1. 14.1 Demand by Region

        $323.00

        1. Table | Insulation Demand by Region, 2010 – 2030

      2. 14.2 Northeast

        $323.00

        1. 14.2.1 Northeast: Demand by Subregion & Market

          $323.00

          1. Table | Northeast: Insulation Demand by Subregion & Market, 2010 – 2030

        2. 14.2.2 New England

          $323.00

        3. 14.2.3 Middle Atlantic

          $323.00

      3. 14.3 Midwest

        $323.00

        1. 14.3.1 Midwest: Demand by Subregion & Market

          $323.00

          1. Table | Midwest: Insulation Demand by Subregion & Market, 2010 – 2030

        2. 14.3.2 East North Central

          $323.00

        3. 14.3.3 West North Central

          $323.00

      4. 14.4 South

        $323.00

        1. 14.4.1 South: Demand by Subregion & Market

          $323.00

          1. Table | South: Insulation Demand by Subregion & Market, 2010 – 2030

        2. 14.4.2 South Atlantic

          $323.00

        3. 14.4.3 East South Central

          $323.00

        4. 14.4.4 West South Central

          $323.00

      5. 14.5 West

        $323.00

        1. 14.5.1 West: Demand by Subregion & Market

          $323.00

          1. Table | West: Insulation Demand by Subregion & Market, 2010 – 2030

        2. 14.5.2 Mountain

          $323.00

        3. 14.5.3 Pacific

          $323.00

    15. 15 Industry Structure

      $2,438.00

      1. 15.1 Key Findings & Industry Composition

        $323.00

        1. Table | US Insulation Sales by Company, 2020

      2. 15.2 Market Share

        $373.00

        1. Figure 15-1 | US Insulation Market Share by Company, 2020

        2. Figure 15-2 | US Insulation Market, 2020: Leading Supplier

        3. Figure 15-3 | US Insulation Market, 2020: Second Leading Supplier

        4. Figure 15-4 | US Insulation Market, 2020: Third Leading Supplier

        5. Figure 15-5 | US Insulation Market, 2020: Fourth Leading Supplier

        6. Figure 15-6 | US Insulation Market, 2020: Fifth Leading Supplier

      3. 15.3 Mergers & Acquisitions

        $323.00

        1. Table | Selected Mergers & Acquisitions

      4. 15.4 List of Industry Participants

        $1,461.00

        1. Table | Selected Industry Participants

    16. 16 Appendix

      $4,649.00

      1. 16.1 Report Details

        $554.00

        1. Table | Study Scope: US Geographic Regions & Subregions

        2. Table | Relevant NAICS & SIC Industry Codes

        3. Table | Relevant HS Codes

      2. 16.2 Definitions

        $323.00

      3. 16.3 Abbreviations & Acronyms

        $323.00

        1. Table | Abbreviations & Acronyms Used in Study

      4. 16.4 Freedonia Methodology

        $610.00

      5. 16.5 Study-Specific Methodology

        $323.00

      6. 16.6 Sources

        $323.00

      7. 16.7 Associations & Agencies

        $323.00

      8. 16.8 Related Studies & Reports

        $323.00

      9. 16.9 Macroeconomic Assumptions

        $2,672.00

        1. 16.9.1 Economic Environment

          $323.00

          1. Table | Macroeconomic Indicators, 2010 – 2030

        2. 16.9.2 Demographic Trends

          $323.00

          1. Table | Population & Households, 2010 – 2030

        3. 16.9.3 Building Construction

          $323.00

          1. Table | Building Construction Expenditures, 2010 – 2030

        4. 16.9.4 Residential Building Construction

          $323.00

          1. Table | Residential Building Construction Expenditures, 2010 – 2030

        5. 16.9.5 Residential Improvements & Repairs

          $323.00

          1. Table | Residential Improvement & Repair Expenditures, 2010 – 2030

        6. 16.9.6 Commercial Building Construction

          $323.00

          1. Table | Commercial Building Construction Expenditures, 2010 – 2030

        7. 16.9.7 Commercial Building Improvements & Repairs

          $323.00

          1. Table | Commercial Building Improvement & Repair Expenditures, 2010 – 2030

        8. 16.9.8 Nonbuilding Construction

          $323.00

          1. Table | Nonbuilding Construction Expenditures, 2010 – 2030

        9. 16.9.9 Housing Starts

          $323.00

          1. Table | New Housing Indicators, 2010 – 2030

          2. Figure 16-1 | New Housing Square Footage by Housing Type, 2005 – 2020

        10. 16.9.10 Housing Stock

          $323.00

          1. Table | Housing Stock by Type, 2010 – 2030

          2. Figure 16-2 | Housing Stock: Share by Year of Construction, 2020

        11. 16.9.11 Manufacturers' Shipments

          $989.00

          1. Table | Manufacturers' Shipments, 2010 – 2030

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