Cryogenic Insulation Market

Cryogenic Insulation Market Size-2023-2028

The Cryogenic Insulation Market is valued at USD 4.35 billion in 2022 and is projected to grow at a (CAGR) of 9.3 % during the forecast period to a net market size of USD 6.34 billion in 2028.

Cryogenics is the field of science that studies materials in extremely cold temperatures. This is a relatively newer branch of science as it was born out of recent technological advancements in refrigeration science. There isn’t a clear-cut temperature at which refrigeration ends and cryogenics begin but anything below -150°C is considered to fall into the realm of cryogenics. In order to make sure the cryogenically cooled substances do not gain thermal energy from their b  surroundings, they need to be insulated extremely well, the market of materials used for this purpose is described briefly in this report.

Drivers in the Cryogenic Insulation Market:

Growth in the cryogenic insulation market is expected to accelerate in the coming years due to the lucrative demand for liquefied natural gas as fuel. LNG transport and storage are some of the main applications of cryogenic insulation in the energy sector and are expected to contribute particularly to the growth of the market in the coming years. Increased LNG requirements in a myriad of sectors, such as the automotive, domestic, and commercial fuel and power generation sectors, are expected to spur natural gas exploration and production, thus driving the growth of Cryogenic Insulation in the future. next. The increasing demand for cryogenic insulation equipment along with the increasing demand for natural and industrial gas for the oil and gas industry should stimulate the cold insulation market in the coming years.

In the coming years, due to the increase in LNG terminals, storage tanks, and ships carrying LNG, a significant amount of insulating materials will be required, which should stimulate the cryogenic insulation market. Greater environmental awareness is also contributing to market growth. The growth of efficient and advanced LNG terminals, LNG carriers, and storage tanks is driving growth in the cryogenic insulation market. Furthermore, the growing demand for gas liquefaction is stimulating the adoption of cryogenic insulators.

Furthermore, PU and PIR equipment is effectively used in the storage of LNG and LPG to store gases at extremely low temperatures. The growth of the transport activities of these liquefied gases stimulates the growth of the cryogenic insulator market. Furthermore, these isolates have applications in cold rooms and food processing plants. Increasing disposable income and changing eating habits stimulate demand for processed food products, which is supposed to be driving the growth of the cryogenic insulation business. In addition, the growing demand for LNG, urbanization, increasing investments in the energy sector, industrialization and infrastructure development are driving the growth of the global cryogenic insulation market. The volatility of the price of raw materials should constitute an important brake on the growth of the cryogenic insulation market in the coming years.

Opportunities in the Cryogenic Insulation Market:

The rise in environmental awareness is supposed to accelerate the demand for the cryogenic insulation market in the projected years. The growing demand for cryogenic technologies in space applications has created several opportunities for cryogenic insulation manufacturers.

Challenges in the Cryogenic Insulation Market:

High funding prices and lack of quality control and price of raw materials are predicted to hinder the industry expansion in the coming years.

CRYOGENIC INSULATION MARKET REPORT COVERAGE:

Cryogenic Insulation Market segmentation as per the research report until 2028.

Cryogenic Insulation Market - By Type:

• Polystyrene

• Cellular Glass

• PU & PIR

• Perlite

• Fiberglass

The PU & PIR (Polyurethane & Polyisocyanurate) market was the largest segment for cryogenic insulations in 2020, this was due to its widespread usage in the gas liquefaction industry. It is used for the transportation and storage of LPG, LNG, ammonia, and many industrial chemicals.

PU & PIR segment was the largest for the cryogenic insulation market in 2020. The market can be classified into Valves and Tanks based on the equipment that needs to be insulated. Storage and transportation Tanks because of their sheer size require a substantially larger amount of insulation when compared to valves. Due to this reason, they are the largest market in this segment and are expected to retain the top spot. Tanks are the largest consumers of cryogenic insulation material.

Cryogenic Insulation Market - By End-Use:

• Metallurgical

• Chemicals

• Energy & Power

• Shipping, Electronics

Among all the industries the Energy & Power sector is the largest consumer of cryogenic insulation. This is due to a large number of fuel gases being transported and stored around the world for domestic and industrial purposes. The energy & Power sector was the largest market for cryogenic insulation in 202 and is expected to remain the largest market during the forecast period of 2020-2025.

Cryogenic Insulation Market - By Region

• North America Cryogenic Insulation Industry includes the U.S. and Canada.

• Europe's Cryogenic Insulation Industry includes the UK, France, Spain, Germany, Italy, Russia, Sweden, Denmark, Switzerland, Netherlands, Turkey, Czech Republic & Rest of Europe.

• Asia Pacific Cryogenic Insulation Industry includes India, China, Japan, South Korea, Australia & New Zealand, Thailand, Malaysia, Vietnam, Philippines, Indonesia, Singapore & Rest of APAC.

• Latin America Cryogenic Insulation Industry includes Brazil, Mexico, Argentina, Chile & the Rest of LATAM.

• The Middle East & Africa Cryogenic Insulation Industry includes KSA, UAE, Israel, the rest of GCC countries, South Africa, Ethiopia, Kenya, Egypt, Sudan, rest of MEA.

North America and Europe are the prominent areas in the global cryogenic insulation market because of the rising offshore explorations in the regional markets. Increased offshore gas production to meet growing energy demand during the forecast period. Europe is expected to be the second-largest cryogenic insulation market during the forecast period. North America is expected to experience significant growth, driven primarily by rising demand for LNG in the United States. Furthermore, the increase in healthcare spending in the United States should support the growth of the regional market. The growing demand for LNG, increased investment in the energy sector, urbanization, industrialization, and infrastructure development should stimulate growth in the cryogenic insulation market in Europe and North America in the coming years.

The Asia Pacific is supposed to be the third-largest region for cryogenic insulation over the outlook period. The cryogenic market in the Asia-Pacific region is expected to experience considerable growth due to increasing demand for the storage and transportation of cryogenic fluids in a wide range of end-use sectors such as chemicals, shipbuilding, electronics and energy, and Energy. Growing demand for LNG and increased investment in the energy sector is expected to stimulate the region's cryogenic insulation market during the forecast period. China is estimated to account for the majority of the cryogenic insulation market in the APAC region during the forecast period, in value terms, due to the rising call for storage and transportation of cryogenic fluids from end-use industries like shipbuilding, and electronics, energy, and power sectors. The growth of the Latin American market is driven by the healthy growth of end-use industries. Market growth in the region is expected to be driven by growth in the energy and electricity sector.

Recent Developments:

EU and Russia are working on Nord Stream 2, a new gas pipeline through Nordic countries, to supply gas to most of the Northern European nations. This project has been embroiled in controversy from the very beginning and is expected to decrease the transportation costs for many EU nations.

Major companies plying their trade in the Cryogenic Insulation Market include:

BASF SE  (Germany), Holding GmbH (Germany), Rochling Group (Germany), Lydall Inc. (US), Johns Manville Inc. (US), and Cabot Corporation (US). BASF SE is the largest chemical manufacturer worldwide both by volume and value. It was founded by Friedrich Engelhorn on 6 April 1865 in Mannheim, in the German-speaking country of Baden as Badische Anilin und Soda Fabrik. It is now headquartered in Ludwigshafen, Germany. It has over 115,000 employees and reported net revenue of EUR 64.475 billion for the year 2017. It was headed by Martin Brudermüller, who acted as the CEO as of 2020.