Expanding Thermal Insulation Industry Valued at USD 43.7 Billion by 2034
Global Building Thermal Insulation Market Poised for Strong Growth
The global building thermal insulation market is forecasted to expand significantly over the next decade, with a compound annual growth rate (CAGR) of between 4.3% and 8.9% from 2025 to 2034, depending on the specific insulation segment considered.
One of the segments experiencing robust growth is the natural bio-based insulation materials market, which is expected to reach approximately USD 114.27 billion by 2034, growing at a CAGR of 6.2% from 2024 to 2034.
Another key player in the market is the sandwich panel market, valued at USD 2.32 billion in 2024 and projected to grow to USD 5.42 billion by 2034, at a CAGR of 8.9% from 2025 to 2034. However, the more specialized vacuum insulation panel market is expected to rise from USD 8.60 billion in 2024 to about USD 12.05 billion in 2034, with a lower CAGR of 4.3% from 2025 to 2034.
Despite a lack of explicit data on the overall total thermal insulation market value and CAGR combining all materials globally, these figures illustrate strong growth trends in different segments within building thermal insulation. The broad market expansion is driven by sustainability trends, stricter energy codes, and innovations in insulation technologies.
In the competitive landscape, Dow Inc. has launched a next-generation PU foam insulation called "V PLUS Perform" and is collaborating with builders to enhance energy-efficient housing projects in Europe and Asia. Similarly, CNBM Group Co. Ltd. is expanding its glass wool and rock wool production in China and investing in recyclable insulation materials to reduce waste.
Meanwhile, Kingspan Group PLC has launched a low-carbon insulation board called "QuadCore LEC" and is expanding its recycled content insulation range. Rockwool A/S has introduced a carbon-negative stone wool insulation product called "Rockwool Carbon Sink" and is investing in a new North American factory.
The market is also witnessing growth in regions like Asia Pacific, due to expanding construction in countries like China and India. North America leads the market with a 46.2% share and a value of USD 13.1 billion in 2024. Europe follows closely, supported by extensive retrofitting and strict building codes aimed at reducing energy use.
The residential sector leads the market with a 59.3% share in the By End-Use category in 2024. The roof segment dominates the By Application category, largely due to the focus on improving thermal efficiency in residential and commercial buildings.
As the market continues to evolve, businesses in the building thermal insulation industry should focus on innovation, developing eco-friendly materials, and expanding product portfolios to include high-performance options. This will not only contribute to energy efficiency and sustainable construction but also foster economic growth.
The market is expected to reach USD 43.7 billion by 2034, growing at a CAGR of 4.4% from 2025 to 2034. Regions like the Middle East & Africa and Latin America show strong potential due to increasing infrastructure development and urbanization.
In conclusion, the global building thermal insulation market presents a promising future, with significant growth opportunities across various segments and regions. The focus on sustainability, energy efficiency, and innovation will continue to shape the market's trajectory in the years to come.
References: 1. [1] MarketWatch, "Natural Bio-Based Insulation Materials Market – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2024–2034", 2024 2. [2] Grand View Research, "Sandwich Panel Market Size, Share & Trends Analysis Report By Material (Metal, Plastic, Others), By Application (Building & Construction, Transportation, Others), By Region, And Segment Forecasts, 2021 - 2028", 2024 3. [3] Grand View Research, "Vacuum Insulation Panel Market Size, Share & Trends Analysis Report By Material (Glass, Plastic, Others), By Application (Building & Construction, Transportation, Others), By Region, And Segment Forecasts, 2021 - 2028", 2024 4. [4] Transparency Market Research, "Building Thermal Insulation Market – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2020–2030", 2024 5. [5] Persistence Market Research, "Building Thermal Insulation Market: Global Industry Analysis, Trends, Market Size, and Forecasts up to 2025", 2024 6. [6] Allied Market Research, "Building Thermal Insulation Market by Material Type (Mineral Wool, Polyurethane, Expanded Polystyrene, Others), by Application (Roof, Wall, Floor, Others), by End-Use Industry (Residential, Commercial, Industrial), and by Region: Global Opportunity Analysis and Industry Forecast, 2020–2030", 2024 7. [7] MarketsandMarkets, "Building Insulation Materials Market by Type (Fiberglass, Mineral Wool, Polyurethane Foam, Polystyrene Foam, Others), by Application (Roof, Wall, Floor), by End-Use Industry (Residential, Commercial, Industrial), and by Region - Global Forecast to 2025", 2024
The global building thermal insulation market is not limited to traditional materials, as the natural bio-based insulation materials segment is expected to reach USD 114.27 billion by 2034, largely due to the focus on sustainability. Innovation in the finance sector, such as investments in renewable energy or recyclable insulation materials, could further boost the growth of the building thermal insulation industry.
