The Extruded Polystyrene Market Size Is Expected To Be A CAGR Of 4.71% And By 2027, It Reaches USD 3,624.6 Million.
Extruded Polystyrene (XPS) Market Overview
In the presence of foaming gas, from the extrusion of polystyrene, rigid foam is made which is called Extruded Polystyrene (XPS) that is used mainly as a thermal insulator. It is a closed-cell foam material that absorbs the minimum quantity of moisture. In the form of continuous foam billets, extruded polystyrene can be produced on extruding machines.
Extruded polystyrene (XPS) foam provides advanced properties like assisting in moisture management, resists in both water absorption and freeze/thaw cycles. Primarily, it is used for improving the insulation of buildings, roofs, and concrete floors. It is used in the building and construction sector for its thermal efficiency, durability, lightweight, shock absorption, moisture resistance, usability, and more properties. So, the demand for XPS increases by increasing construction activities in the world. The extruded polystyrene market size is expected to be a CAGR of 4.71% and by 2027, it reaches USD 3,624.6 million.
The COVID-19 pandemic has negatively influenced the Extruded Polystyrene (XPS) Industry. Due to the government regulations, lockdown, and COVID battle, all the world stays in their homes. So, the industries faced a lot of struggles like lack of supply, manpower, cost-effective products, and many more leads to a temporary break to the industries. During this period, the polystyrene growth market is driven by the growth in the construction industry in Asia-Pacific & Eastern Europe and this is an advantage over other competitive materials in the market.
After the temporary lockdowns, the extruded polystyrene industry has restarted its business by taking the necessary steps to regain their demand for the products. Recycling in the extruded polystyrene industry is one of the opportunities to increase the market growth.
Use of XPS in commercial and residential construction activities
By increasing the extruded polystyrene in commercial and residential constructions worldwide for insulation and reducing greenhouse gas emission in the developed regions are the major key drivers of the growth of the Extruded Polystyrene Market. For its excellent flexibility, compatibility, thermal efficiency, high strength, and lightweight, there is demand over extruded polystyrene market forecast. In the construction sector, floorings and ceilings account for the largest market share for extruded polystyrene applications. In addition to that, EPS roofing insulation is used in roofing systems.
Higher cost as compared toSubstitutes
Extruded Polystyrene is highly expensive when compared to other substitutes like expanded polystyrene. Availability of these high-performance substitutes and raw material volatility prices are hindering the growth of the Extruded Polystyrene Market (XPS). The presence of toxic chemicals in polystyrene is a restraint of the extruded polystyrene industry.
The increasing popularity of Green Buildings
The development of green buildings coupled with the recyclability of polystyrene products provides the largest growth for the extruded polystyrene market. The advanced technology and formless use of toxic chemicals to keep the environment safe are leading to the expansion of the growth of extruded polystyrene market analysis.
Fluctuating Crude oil Prices:
The high cost of crude oil directly impacts on raw material prices of extruded polystyrene and the installation also slowly hampers the growth of the market. The presence of a high number of substitutes is also a challenging factor for the Extruded polystyrene industry.
Study Objectives -
Globally, the Extruded polystyrene market is segmented into end-user, application, and region.
Based on Application - Based on the application, Extruded Polystyrene (XPS) Industry is categorized into the foundation, wall, roof, ceiling, floor, and others. In terms of import, the foundation segment is growing at the very best CAGR. The extruded polystyrene saves energy used for heating or cooling. Apart, it also strengthens the general infrastructure due to its high compressive strength and moisture resistance.
Based on end-users - Based on the end-user, the extruded polystyrene is segmented into residential construction and commercial construction.
Residential end-use grows faster than a commercial for its demand in developed and further in developing countries. As a result in the forecast period, the residential segment accounts for the largest share in terms of volume and import. In 2018, it dominated the world XPS market with a 53.7% share.
Whereas, the commercial segment exhibits a CAGR of 6.18% from 2019-2023. It is segmented into industrialization and hefty investments in the creation of special economic zones.
Based on Region - Based on the region, the XPS is segmented into North America, Europe, Asia Pacific, the Middle East & Africa. Out of these, Asia-Pacific is accounted to be the fastest-growing XPS industry for its high demand in infrastructure and international funding for developing countries.
Regional Analysis -
In 2018, globally the extruded polystyrene market accounted for a 42.6% share of the Asia-Pacific market. Asia-Pacific holds the fastest-growing XPS market for its growing construction activities like commercial construction that grows in the Industrial sector as Information Technology (IT), financial services, banking, and insurance. Due to the commercial and residential construction in the countries, in Asia-Pacific, China and India have a prominent market.
In North America, a CAGR of 3.60% is accounted for and by 2023 it should reach USD 680.6 million. The increase in spending on the construction of new residential buildings leads to growth in this region. During the forecast period, increasing the concept of green building adoption and renovation activities are expected to drive the XPS market in Europe. The Middle East & Africa is expected to robust growth for their growing construction industry.
The major and efficient key players in the extruded polystyrene market are as follows:
All the key players try to focus on new advanced technologies, product developments, and to gain competitive advantages.
In 2018, Kingspan launched Greenguard Type VII XPS Insulation Board to provide insulation with a minimum compressive strength of 60 PSI for high load-bearing engineering applications.
The full report is inclusive of the following:
This report further focuses on the growth and development of this market and how the future business will grow.
The extruded polystyrene market is segmented based on the application, end-user, and region.
Foundation, roof, wall, ceiling, floor, and others.
Residential construction and commercial construction
North America, Europe, Asia-Pacific, Middle East & Africa
|Forecast Period||2022 to 2030|
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||End-user, Application, and Region|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Kingspan Group (Ireland), BASF SE (Germany), EMIRATES EXTRUDED POLYSTYRENE L.L.C. (UAE), Owens Corning (US), JACKON Insulation GmbH (Germany), Ravago (Belgium), Abriso nv (Belgium), URSA Insulation, S.A. (Spain), Austrotherm (Austria), and Soprema Inc (France)|
|Key Market Opportunities||
|Key Market Drivers||Use of XPS in commercial and residential construction activities|
The global extruded polystyrene market is predicted to touch USD 3,624.6 million by 2023.
The extruded polystyrene market is predicted to grow at a 4.71% CAGR between 2017-2023.
The APAC region is predicted to dominate the extruded polystyrene market during the forecast period.
Key players profiled in the extruded polystyrene market include Austrotherm (Austria), URSA Insulation, S.A. (Spain), Soprema Inc (France), Ravago (Belgium), Abriso NV (Belgium), JACKON Insulation GmbH (Germany), EMIRATES EXTRUDED POLYSTYRENE L.L.C. (UAE), Owens Corning (US), Kingspan Group (Ireland), and BASF SE (Germany).
Fluctuating raw material cost may hamper the extruded polystyrene market.