Active Insulation Market

Active Insulation Market Growth Outlook for 2023-2033

The global active insulation market currently enjoys a valuation of US$ 298.4 million and is forecasted to exhibit expansion at 5.8% CAGR from 2023 to 2033. By the end of the forecast period, global demand for active insulation is predicted to reach a market value of US$ 528.9 million.

• Active insulation systems are those with insulation materials that are capable of changing their thermal conductivity and improving the insulation experience for users.
• Active insulation is extensively used in textiles and building and construction applications.

Increasing focus on sustainability around the world has resulted in high demand for building materials that are eco-friendly and provide good insulation for new construction projects around the world. The aforementioned factor along with surging demand for infrastructure development especially in developing economies are projected to benefit sales of active insulation products over the next ten years.

• As per the Union Budget for the financial year 2022 to 2023, the government of India allocated a budget of US$ 130.57 million to enhance and grow the country’s infrastructure sector.

Building and construction applications are predicted to bolster the demand for products such as active tiles, active drywalls, active paints, and active flooring throughout the forecast period. Meanwhile, textile applications are estimated to augment sales of active insulation jackets, hiking insulation jackets, and other performance apparel with active insulation layers.

Active insulation is also used in the textile industry and is projected to contribute to a notable amount of revenue owing to rising sales of activewear and sportswear products around the world. Surging awareness regarding the mental and physical health benefits associated with outdoor activities and adventure sports is pushing more and more people to engage in outdoor sports and thus, resulting in high demand for sportswear.

• Demand for active insulation in textile applications is extrapolated to rise at 4.5% CAGR over the next ten years.

Rapid urbanization, growing focus on sustainability, advancements in thermal insulation technologies, the launch of new industrial insulation products and solutions, rising construction activity around the world, increasing per capita disposable income, and increasing investments in research and development of advanced building materials are other factors that could augment active insulation demand through 2033.

On the contrary, the high costs of advanced active insulation products and volatility in raw material pricing due to changing trade conditions are forecasted to be major restraints impeding demand for active insulation across the forecast period.

An all-inclusive assessment of industry-altering aspects such as local supply, supply chain management, pricing trends, and restraints has been listed exclusively in this latest active insulation market research report by skilled analysts at Fact.MR, a market research and competitive intelligence provider.

Report Attributes	Details
Active Insulation Market Size in 2023	US$ 298.4 Million
Projected Market Value (2033F)	US$ 528.9 Million
Global Market Growth Rate (2023 to 2033)	5.8% CAGR
Market Share of Building & Construction Applications (2022)	>75%
Growth Rate of Textile Applications (2023 to 2033)	4.5% CAGR
North America Market Share (2022)	30%
Key Companies Profiled	Polartec PrimaLoft Inc. Unger Diffutherm GmbH W.L. Gore & Associates Inc. INVISTA Ecological Building Systems Viridian BASF Remmers UK Ltd. Unger Diffutherm GmbH HDWool Armacell GmbH Knauf Insulation

How Can Start-ups Change the Path of the Active Insulation Space?

“Material Innovation – Focal Point for New Companies”

New active insulation providers are focusing on the development of novel insulation materials that enhance insulation capabilities while adhering to modern norms of sustainability.

Active insulation start-ups are expected to extensively invest in the research and development of novel active insulation solutions and products as demand for active insulation in different industry verticals around the world increases in the future.

• EverUse, a Dutch start-up is focusing on creating upcycled building materials from cellulosic waste. The company offers an EverUse Insulation System that utilizes plasterboard and cellulose insulation to provide thermal as well as acoustic insulation.
• KrossLinker, a new company based in Singapore focused on energy efficiency, is designing and developing a new aerogel that is expected to be a highly efficient insulating material. Cryar® Aerogel Board is a product from KrossLinker that is targeted towards insulation in the cold-chain industry and this start-up’s aerogel is expected to find a wider scope of application in other industries over the coming years.

Aspiring active insulation companies are also anticipated to focus on raising new capital to advance their business potential, which would allow them to compete with the established players in the global landscape.

• In September 2021, Thermulon, a start-up based in London, revealed that it had raised over US$ 807,933 on CrowdCube. The company had plans to utilize this capital to develop its production process and capitalize on its innovative nanoporous building insulation materials.

This recently updated Fact.MR active insulation market research analysis provides a complete overview of how new developments by start-ups are changing product standards and pricing trends on a global and local level.

Country-wise Insights

What Makes Asian Countries Attractive Markets for Active Insulation Providers?

“Surging Investments in Infrastructure Development and Rising Disposable Income”

A majority of Asian countries are projected to be highly attractive and opportune markets for active insulation companies over the coming years. Increasing investments in infrastructure development by governments of various Asian countries and the launch of new construction projects are estimated to primarily boost sales of active insulation products throughout the forecast period.

Increasing per capita disposable income of people in Asian economies is bolstering the demand for sportswear and activewear as people are getting involved more in outdoor adventure activities. India, China, Japan, and Malaysia are predicted to emerge as some of the most important markets in the Asia Pacific region in the long run.

Why are Active Insulation Companies Set to Target Europe?

“Stringent Mandates Necessitating Use of Insulation in Construction”

European countries have been focusing on improving energy efficiency and conserving the environment to effectively battle climate change and global warming. European countries such as Germany, Spain, and Norway have some of the best-insulated homes in the world. Governments of European countries are implementing laws to necessitate the use of insulation in buildings to reduce their energy consumption and help in conserving the environment.

• The United Kingdom, Belgium, and France are anticipated to witness high demand for active insulation over the coming years as houses in these countries have a higher than average heat loss of all the countries evaluated and listed in an article published on Euronews.

Increasing adoption of sustainable building materials and growing awareness among the general population regarding the environmental impact of insulation are also expected to contribute to the high demand for active insulation in the European region throughout the forecast period.

Is the United States an Investment-worthy Market?

“Rising Mortgage Rates Make the United States a High Risk, High Reward Space”

The United States has been witnessing a housing shortage issue for quite a while now and this is a major factor that was driving demand for residential construction in the country. However, the recent efforts of the Federal Reserve to battle a looming recession resulted in historic hikes in mortgage rates, which has hurt the residential construction sector in the United States.

• As per an article published on CNN Business, in the week ending on 9th March 2023, the 30-year fixed-rate mortgage rate averaged 6.73%, which was 3.85% a year ago in 2022. The rates were expected to further fluctuate and reach new benchmarks as the Federal Reserve tries to save the economy of the United States.

The economic future of the country is becoming more uncertain than ever, while this could be devastating for many industry verticals, there is also a possibility that unexpected new opportunities could create a highly lucrative business scope that active insulation companies could benefit from. Since building and construction is a major application for active insulation, the aforementioned factors could create major challenges for active insulation product manufacturers in the United States in the future.

Considering all of the aforementioned factors, it is safe to say that investing in the United States for active insulation providers would be a tricky decision to make as the economic situation of the country deteriorates over the coming years.

Category-wise Insights

Which is the Preferred Material for Active Insulation?

“Polyester Material Accounts for Dominant Market Share”

Based on material, the active insulation market is segmented into polyester, cotton, wool, nylon, glass wool, mineral wool, EPS, and others.

Quick-drying and stretching and shrinking resistance are the two main characteristic properties of polyester, which make it a preferred material in the active insulation industry landscape. Low cost and high performance are other factors that are projected to bolster demand for polyester in active insulation applications over the next ten years.

• In 2022, the use of polyester in active insulation accounted for 40% of the global market share.

Competitive Landscape

Top active insulation companies are focusing on expanding their business scope by increasing their production capacity to meet the skyrocketing active insulation demand in various regions around the world.

• Knauf Insulation, a renowned manufacturer of insulation products, signed a contract to acquire a Glass Mineral Wool plant located in Central Romania in January 2022. This was part of Knauf’s growth ambitions and this acquisition also allowed it to fulfil surging demand for insulation products in the Eastern European region.

Key Segments of Active Insulation Industry Research

• By Material :

  • Polyester
  • Cotton
  • Wool
  • Nylon
  • Glass Wool
  • Mineral Wool
  • EPS
  • Others

• By Application :

  • Textile
    • Activewear
    • Sportswear
    • Others
  • Building & Construction
    • Residential
    • Commercial

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA