by The global External Wall Insulation Board Market is estimated to be valued at US$ 8.46 billion in 2023 and is expected to exhibit a CAGR of 8.4% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
External wall insulation boards are widely used in the construction industry to enhance the energy efficiency of buildings. These boards offer thermal insulation and protect the building structure against external elements. The need for energy-efficient construction solutions to meet sustainability requirements is driving the demand for external wall insulation boards.
Market Key Trends:
One key trend in the external wall insulation board market is the growing adoption of green building practices. As governments and organizations focus on reducing carbon emissions and promoting sustainable development, the demand for eco-friendly construction materials such as external wall insulation boards is increasing. These boards not only provide thermal insulation but also help in reducing energy consumption and greenhouse gas emissions. The rising awareness about the environmental benefits of green buildings is expected to drive the market growth of external wall insulation boards in the coming years.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the external wall insulation board market is low. The market is already dominated by well-established players who have strong brand recognition, extensive distribution networks, and significant financial resources. Additionally, the market requires a high level of capital investment and specialized knowledge, making it difficult for new entrants to compete.
Bargaining power of buyers: The bargaining power of buyers in the external wall insulation board market is moderate. Buyers have the option to choose from a variety of suppliers, which gives them some leverage in negotiating prices and terms. However, the market is dominated by a few key players, which limits the buyer’s power to a certain extent.
Bargaining power of suppliers: The bargaining power of suppliers in the external wall insulation board market is moderate. Suppliers of raw materials such as insulation materials, binders, and additives have some power to influence prices and terms. However, the number of suppliers is relatively large, which gives buyers some flexibility in choosing alternative suppliers.
Threat of new substitutes: The threat of new substitutes in the external wall insulation board market is low. External wall insulation boards provide unique benefits such as improved energy efficiency, thermal insulation, and soundproofing, which are not easily replaceable by other materials. Additionally, the market is already well-established, and there are limited alternative products available.
Competitive rivalry: The competitive rivalry in the external wall insulation board market is high. The market is dominated by a few major players who compete fiercely to gain market share. These companies invest heavily in research and development, product innovation, and marketing to differentiate their products and maintain a competitive edge. Additionally, the market is characterized by intense price competition, which further increases the rivalry among the key players.
Key Takeaways
The Global External Wall Insulation Board Market Size is expected to witness high growth, exhibiting a compound annual growth rate (CAGR) of 8.4% over the forecast period from 2023 to 2030. This growth can be attributed to the increasing demand for energy-efficient construction solutions in both residential and commercial buildings. The growing awareness about the benefits of external wall insulation boards in reducing energy consumption and lowering utility bills is driving the market growth.
In terms of regional analysis, North America is expected to be the fastest-growing and dominating region in the external wall insulation board market. This can be attributed to the increasing construction activities, stringent energy efficiency regulations, and the growing trend of sustainable construction practices in the region. Additionally, the availability of advanced building technologies and favorable government initiatives aimed at promoting energy-efficient construction are further propelling the market growth in North America.
Key players operating in the external wall insulation board market include Saint-Gobain, Kingspan, Rockwool, BASF, Johns Manville, Knauf Insulation, Owens Corning, Paroc, Dow Building Solutions, and GAF Materials. These key players are focusing on product innovation, strategic partnerships, and mergers and acquisitions to strengthen their market presence and gain a competitive advantage. They are also investing in research and development activities to develop advanced insulation board solutions that meet the evolving customer requirements for energy efficiency and sustainability.
In conclusion, the global external wall insulation board market is poised for significant growth in the coming years, driven by increasing demand for energy-efficient construction solutions and stringent regulations promoting sustainable building practices. The market is highly competitive, with key players investing in innovation and strategic partnerships to maintain their market positions. North America is expected to emerge as the fastest-growing region, driven by favorable government initiatives and growing construction activities.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
