The Business Research Company has updated its global market reports, featuring the latest data for 2024 and projections up to 2033.
The Business Research Company offers in-depth market insights through Exterior Insulation and Finish System Global Market Report 2024, providing businesses with a competitive advantage by thoroughly analyzing the market structure, including estimates for numerous segments and sub-segments.
Market Size and Growth Forecast
The size of the exterior insulation and finish system market has grown strongly in recent years. It is projected to grow from $91.42 billion in 2023 to $99.83 billion in 2024 at a compound annual growth rate of 9.2 percent. The growth in the historic period can be attributed to an increase in population, low interest rates, a rising demand for energy-efficient buildings and an increasing focus toward sustainability.
The size of the exterior insulation and finish system market is expected to see strong growth in the next few years. It will grow to $144.23 billion in 2028 at a compound annual growth rate of 9.6 percent. The growth in the forecast period can be attributed to stringent regulations to reduce greenhouse gas emissions, rising investment for infrastructure development, rapid industrialization and increasing construction projects. Major trends in the forecast period include developing solar façade systems, increasing acquisitions and partnerships, adopting AI technologies, the advent of media/digital façades, product innovations, advancements in EIFS cladding systems and new construction methods.
Market Segmentation
The report segments the exterior insulation and finish system market in many ways, including:
- By material (mineral wool, expanded polystyrene and other material).
- By application (residential and non-residential).
- By type (polymer-based and polymer-modified).
- By component (adhesive, insulation board, base coat, reinforcement and finish coat).
Major Driver: EIFS Market Surges with Adoption of Green Building Protocols
The growing adoption of green building protocols is expected to propel the growth of the exterior insulation and finish system market. Green buildings are buildings that contribute towards eliminating or reducing the negative impacts on the climate and environment and create a positive impact through their design, operation or construction. Green buildings make efficient use of water, energy and various other renewable resources. Exterior insulation and finish systems produce negligible waste, which is reusable and recyclable, contributing to environmental waste management. According to the World Green Building Council, a global nonprofit organization in the building and construction industry, the global green building market has the potential to reduce energy consumption by 50 percent or more by 2050. Therefore, the growing adoption of green building protocols is driving the exterior insulation and finish system market.
Product innovations are a key trend gaining popularity in the exterior insulation and finish system market. For instance, in June 2022, DuPont launched DuPont Thermax NH Insulation with an innovative, glass fiber-reinforced foam core and a high R-value. It is specifically made to be used as an interior finish system for walls and ceilings as well as outside continuous insulation. Its distinctive qualities include being able to be left exposed on interior walls and ceilings without a thermal barrier; providing a consistent, high-performance R-value at both 75 and 40 degrees Fahrenheit; having zero ODP and low VOC; and being HFC-free.
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