Electrical Insulation Materials Market

Global Electrical Insulation Materials Market Analysis & Forecast

The global sales for electrical insulation materials witnessed a minor slowdown in the Covid-19 crisis as all the factories were closed and supply of only basic necessity goods was permitted. Since the lockdown has been lifted up to improve economic conditions, the manufacturing companies are trying hard to gain traction and attract customers globally through innovative launches, online selling and technological upliftments in 2021.

Prominent manufacturing companies including Huntsman, Owens Corning, Knauf Insulation Group, BASF, and Recticel are investing in the establishment of a strong distribution network to remain competitive in the market. Adoption of business strategies like research and developments, new product launches, product approvals, patents and events, joint ventures, product innovations, partnership agreements, collaborations, digital marketing, mergers and acquisitions etc continues to be on the prime attention of leading players to emerge as a recognized and profitable business firm. 

For instance, Huntsman and OESH® Shoes (OESH), a brand that makes “healthy by design” women’s shoes evaluated how Huntsman’s thermoplastic polyurethane (TPU) materials can be used to create a 100% recyclable shoe sole with 3D printing and get positive results in the end. In addition to this, Huntsman Corporation announced the acquisition of Gabriel Performance Products (Gabriel), a North American specialty chemical manufacturer of specialty additives and epoxy curing agents. This acquisition was projected to help the company to improve the revenue generation in the company. The company in the present situation is growing in the international market and is transforming itself into a truly global player with strong R&D, design and engineering expertise.

The North American electrical insulation packaging market is projected to touch a billion dollar mark and boost the industries to invest further into the market. Both APEJ and North America are important regions as the power sector is growing further. This is expected to create a number of opportunities in the market over the forecast period. 

The global electrical insulation materials market was pegged at 4,700 KT in 2016. In terms of volume, the global electrical insulation materials market is projected to reach 8,797 KT by the end of 2027, expanding at a CAGR of 5.8% over the forecast period (2017–2027). In terms of value, the global electrical insulation materials market is anticipated to reach US$ 19.9 Bn by 2027 end, exhibiting a CAGR of 6.7% over the forecast period.

APEJ is expected to exhibit promising growth in the global electrical insulation materials market, registering a CAGR of 7.6% over the forecast period. Driven by sales growth of electrical insulation materials across various applications, the APEJ market is expected to witness a sustainable growth rate over the coming years.

Electrical insulation materials applications have been witnessing considerable demand in Asian countries such as China, India and ASEAN. This demand is fuelled by rising capital investments in setting up large scale infrastructure projects and subsequent development of electricity generation, transmission and distribution in the region. Besides, large scale investments in the industrial sector are also expected to drive demand for electrical insulation materials through 2027.

Electrical insulation materials have been finding significant applications in wires & cables, motors & generators, transformers and other applications, with rising demand from the power sector. APEJ and North America are important regions in terms of the power sector at a global level and are anticipated to grow further in the near future with regard to the industry; which in turn is expected to create significant opportunities for growth of the regional electrical insulation materials market over the forecast period.

However, factors such as high costs of electrical insulation materials have been restraining market revenue growth, and are anticipated to pose a significant challenge to the global electrical insulation materials market in the near future.