HVAC sector to drive demand for OEM insulation
PUNE, India, 18 April 2022: With increasing urbanisation and industrialisation bolstering growth of developing regions, applications in automotive, consumer appliances and HVAC sectors have seen a rapid uptick, posing a direct impact on the demand for OEM insulation. According to a new research report by Future Market Insights, an ESOMAR-certified market research and consulting company and a member of Greater New York Chamber of Commerce, the global OEM insulation market is expected to reach a market value of over USD 19,500 million by the end of 2028, growing at a CAGR of 4.5% during the forecast period.
There has also been a significant increase in the construction projects globally in residential and commercial sector, which depicts leading growth of HVAC systems in the global OEM insulation systems, Future Market Insights said. HVAC systems cover a major part of the demand for OEM insulations, it pointed out.
The sector holds a dominating position in the global market, owing to the cost advantage and energy efficiency, Future Market Insights said, adding that the need for installation of HVAC systems has also called for considerable use of interior insulation systems to counter any external noise and adverse climatic conditions.
The rampant industrial requirements in developing regions, like Asia, shows a clear picture of the OEM insulation market’s potential for progress in the upcoming years, Future Market Insights said. The key factors expected to drive growth in the region include rising public and private investments in industrial, energy, oil & gas, petrochemical and food & beverage sectors; increased focus of local governments on enhancing industrial output; legislation of incentives to jumpstart the manufacturing sector, such as, development of Special Economic Zones (SEZs), industrial corridors, and industrial clusters and provision of subsidies and tax cuts for manufacturing groups and industrial corporations, Future Market Insights added.
Among the leading countries in Asia, India is expected have a foremost role to play in the global OEM insulation market, Future Market Insights said. According to the regional forecast, India is expected to grow at a CAGR of 5.6% during the forecast period, it said. However, in terms of market value, North America being a highly developed region, holds the largest market value by the end of 2028, it added.
The global market for natural and eco-friendly insulating materials is projected to have a highly lucrative market, Future Market Insights said. The move is in response to the upgradation of manufacturing techniques taking place. In order to gain competitive edge over the other and to reap the maximum benefits, market players are channelising their efforts to develop value-added products with increased efficiency, Future Market Insights said. Inclination towards the trend of eco-friendly insulation is one of such moves, it said, adding that many players are also a part of various collaboration activities, which enables the market player to adopt competencies and further drive the market.
Some of the players mentioned in the report are Rockwool Group, BASF, Evonik, Paroc Group Oy, Owens Corning Insulating Systems, Saint-Gobain, Armacell International, Johns Manville Corporation, ACH Foam Technologies, Henry Company, Shannon Enterprises of Western New York Inc., Styrotech, Inc. and NCFI Polyurethanes. According to Future Market Insights, the projections may reveal many more trends that companies may look forward to, in order to surpass their competitors and bolster growth.