Foam Blowing Agents Market

Foam Blowing Agents Market Outlook (2023 -2033)

The global foam blowing agents market is estimated to reach a valuation of US$ 1.1 billion in 2023 and it is expected to grow at a CAGR of 6.0% to reach US$ 2.0 billion by the end of 2033.

The growing consumption of foam blowing agents in various industries such as electrical and electronics, automotive, and building and construction will push sales in the market globally. Implementation of stringent regulations to reduce the emission of ozone-depleting gases such as chlorofluorocarbons (CFCs) and hydrochlorofluorocarbons (HFCs) is supporting the adoption of hydrocarbon (HC) blowing agents.

Report Attributes	Details
Foam Blowing Agents Market Size (2022A)	US$ 1.0 Billion
Estimated Market Value (2023E)	US$ 1.1 Billion
Forecasted Market Value (2033F)	US$ 2.0 Billion
Global Market Growth Rate (2023–2033)	6.0%
North America Market Share (2023)	24.9%
Japan Market Growth Rate (2023–2033)	6.2%
Key Companies Profiled	Arkema S.A E.I DuPont de Nemours (DuPont) Foam Supplies, Inc. Guangzhou Jiangyan Chemical Co., Ltd HCS Group GmbH Honeywell International Inc. Linde Group Marubeni Corporation Solvay S.A The Chemours Company

Market Buoyancy Analysis

Foam blowing agents produce cellular structure through the foaming process and enhance thermal & acoustic insulation and flexibility of final products. They are increasingly utilized for upgrading and improving certain properties of polymers. Foam blowing agents find their application in the construction, automotive, and healthcare industries.

It is widely used during the manufacturing process of foam. When injected into or sprayed upon the foam precursors, the blowing agent, which can be either a liquid or a gas, dissolves and expands to form the foam. Optimization is essential because the formulation has a significant impact on thermal efficiency and performance. Foam blowing agents that have low thermal conductivity enhance the insulation qualities of foam, allowing either better insulation performance or reducing the thickness required for the same insulation value.

• Short Term (2023–2026): Ever-increasing demand from the electrical and electronics industry along with increased usage of foams as insulators in various end-use industries is driving the market for foam blowing agents.
• Medium Term (2026–2029): Continuous demand from the construction industry and the growing trend in the healthcare sector is set to augment the foam-blowing agents market growth, especially in North America and Asia.
• Long Term (2029–2033): Increased investments in the development of energy-efficient and eco-friendly blowing agents and fourth-generation foam blowing agents having enhanced properties offering better results to drive foam blowing agents demand in the long run.

Over the 2018-2022 historical period, the global foam blowing agents market registered a CAGR of 4.6%, according to the Fact.MR, a market research and competitive intelligence provider, the market is projected to exhibit growth at 6.0% CAGR between 2023 and 2033.

Market Dynamics Outlook

“Surging Demand for Foam Polymers in Various Industries Creating Demand for Foam Blowing Agents”

Polystyrene, polyurethane, and phenolic foams are utilized as insulation in a variety of end-use sectors including construction, automotive, and electrical & electronics require foam blowing agents during the manufacturing process. The increased usage of such foams is due to the desire to reduce energy use and rapid urbanization around the world.

Foam blowing agents are utilized in the manufacturing of polymeric foam to enhance the necessary properties. Polymeric foams are in high demand due to their usage in the building and appliance industries. Polymeric foams are used in flooring and furniture to provide high-quality aesthetics while also offering shock absorption. Foam blowing agents will see significant growth in the flooring and furniture sectors as a result of the growing use of polymeric foams.

Polyurethane (PU), extruded polystyrene (XPS), expanded polystyrene (EPS) and phenolic foams contribute significantly to reducing energy consumption. The demand for thermal insulation has multiplied since the green building concept was introduced due to green buildings’ acknowledged ability to reduce energy use and greenhouse gas emissions (GHGs).

“Factors Affecting the Market Growth”

Governments all around the world enforce a number of laws and rules that require the use of environmentally friendly blowing agents in all sectors of industry. The execution of these regulations aids in reducing any environmental harm. Enterprises find it difficult to choose a blowing agent that complies with the ever-changing laws which are hindering the global market for foam blowing agents.

One of the main factors limiting the growth of the worldwide foam-blowing agents market is the high cost associated with the technologies utilized to make these blowing agents. Global market expansion is also hampered by fluctuating pricing and a scarcity of raw materials.

Country-wise Insights

What are the Factors Driving Foam Blowing Agents Market in the U.S.?

The United States has set an aggressive goal to phase out all HCFC manufacturing and consumption by the end of 2030, and as a result, demand for environmentally friendly blowing agents has multiplied. Additionally, changing consumer spending habits and growing public awareness of the negative impacts of using conventional blowing agents have altered market dynamics in the United States.

The U.S. government has implemented strict environmental rules to reduce greenhouse gas emissions in response to environmental concerns like Ozone layer depletion and significantly growing air pollution. As a result, the US market has a huge demand for blowing agents with low GWP and zero to low ODP. One of the main drivers of the expansion of the U.S. market is the sizeable base of end-user industries for polymer foams, including consumer goods, healthcare, and automotive.

Housing and Construction Industry to Drive Demand for Foam Blowing Agents in China

China continues to be a lucrative region for the blowing agents both in terms of value and volume. The demand for polyurethane foam and other blowing agents is anticipated to rise in the near future due to the growing population as well as increased housing and construction activity.

The need for insulation applications has expanded due to rapid urbanization and population growth, which has helped to boost the overall production and consumption of foam-blowing agents. In addition, China's construction industry has experienced tremendous expansion over the past ten years, which is due to an increase in real estate investment and significant infrastructural spending.

Category-wise Insights

Why are Blowing Agents in High Demand from Polyurethane Foam Manufacturers?

Low greenhouse gas emissions and other environmental advantages of polyurethane foam have increased its appeal. Additionally, crucial characteristics like improved flexibility make it a superb building insulator driving up its demand in the market.

Additionally, it is anticipated that demand from the oil and gas and automotive industries would play a significant role in driving the rise of polyurethane sales. For instance, polyurethane is used in the oil and gas industry to protect pipes and ensure their smooth operation. Owing to the aforementioned factors, it is expected to hold around 60.0% market share in the forecast period 2023-2033.

How is the Electrical and Electronics Industry Boosting Sales of Foam Blowing Agents?

The electrical & electronics segment dominates the market for foam blowing agents, attributed to its use in consumer appliances such as refrigerators, water heaters, and other domestic appliances.

Demand for energy-efficient blowing agents coupled with the introduction of low GWP alternatives has given a major boost to the foam blowing agent’s production over the past half-decade.

Owing to the above-mentioned factors, the foam blowing agents from the electrical and electronics industry is expected to possess 41.5% revenue in the foam blowing agents industry by 2023.

Competitive Landscape

Prominent foam blowing agents manufacturers are Arkema S.A, E.I DuPont de Nemours (DuPont), Honeywell International Inc., Linde Group, Marubeni Corporation, Solvay S.A, and The Chemours Company.

Market players are employing a combination of organic and inorganic techniques to increase their penetration into profitable areas. There has been a great focus on eco-friendly foam-blowing agents due to stringent government mandates and an inclination towards greener products. The rising demand from various industries has led manufacturers to expand their production capacity in order to meet the demand.

• In November 2021, the Chemours Company, a global chemistry company announced a new production line dedicated to the expansion of its non-ozone depleting, low global warming potential (GWP) hydrofluoroolefin (HFO) platform – Opteon™ 1150, chemically referred to as HFO-1336mzzE.
• In October 2021, Honeywell International Inc. announced the global adoption of Soltice low global warming potential refrigerants, blowing agents avoided the release of 250 million metric tons of carbon dioxide into the atmosphere. The company will continue to use soltice as it aims to reduce carbon emissions.
• In June 2021, Arkema announced plans to increase the production capacity of insulation foam blowing agent, hydro-fluoro olefin 1233zd in China and the U.S. Arkema’s partner Aofan has started the production process at their plant in China. The company’s US$ 60 Mn investment will add 15 kilotons per year of capacity for the HFO at its plant in Calvert City, Kentucky, the U.S. The project is expected to be completed by 2024.

Fact.MR has provided detailed information about the price points of key manufacturers of foam blowing agents positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published report.

Segmentation of Foam Blowing Agents Industry Research

• By Product Type :

  • HC
  • HFC & HCFC
  • Blends
  • HFO
  • Methylal and Methyl Formate
  • Others (Liquid CO2 and Water)

• By Application :

  • Polyurethane
  • Polystyrene
  • Phenolic
  • Others (PVC, Polyisocyanurate)

• By End-Use Industry :

  • Building and Construction
  • Electrical and Electronics
  • Furniture and Bedding
  • Automotive
  • Footwear
  • Others (Textiles, Medical, etc.)

• By Region :

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Oceania
  • MEA