Global Cold Insulation market is estimated to hit USD 9.46 billion by 2027. Due to the growing demand for energy conservation, the global cold insulation market is likely to be experiencing rapid gains over the forecast period. Greenhouse gas-emissions issues are projected to continue to increase demand growth over the estimated time span by extending the use of fossil fuels for power production.
Government funding for increasing the energy efficiency of public infrastructure further strengthens the sector. Better cold insulation ensures reduced cost on building ventilation. Increased investment on infrastructure, combined with a growing understanding of energy losses and prices, is projected to have a substantial effect on the global cold insulation industry in many emerging countries such as the United States, Japan and other Western Europe countries.
The growth in the disposable income is expected to generate more demand for cold insulation materials such as foams of polyurethane, fibres, polystyrene and phenolic foams. The demand for air conditioning and cooling equipment in emerged economies is increasing. Rising demand for cryogenic equipment is expected to fuel the demand for cryogenic insulation products in the oil and gas industry, which could lead to a cold insulation market in turn.
Increased research and production of insulation material by companies from sources of renewable raw materials can provide market players with opportunities over the prediction period. Volatile TDI, benzene and MDI rates, which require polyurethane and polystyrene separation products, are likely to interfere with market growth.
The demand of cold insulation products in Asia-Pacific is currently the largest. Rapid development of end-use industries, including chemical materials, coal, coal, HVAC and cryogenic equipment, is driving substantial demand growth in Asia-Pacific. In addition, the low costs of building production facilities in the area fuel business development.
The effect of COVID-19:
Supply chain disruptions and shut-downs have resulted in a lower prospect of home cooling applications that account for a substantial proportion of the demand in cold insulation, and this could have permanent effects for short-term sales. Although the industry expects things to return to usual by the end of 2020, a shock to the demand could be a consequence of the crisis.
Key participants in cold insulation market include:
- BASF SE
- Armacell International Holding Gmbh
- The DOW Chemical Company
- Owens Corning
- Bayer Material Science
- Knauf Insulation
- Aspen Aerogels Inc.
- Huntsman Corporation