The global cold insulation market has been forecast to increase at a compound annual growth rate (CAGR) of between 5% and 9% over the next five years, hitting a value of approximately $4.8 billion by the end of 2018.
According to a recent report, 'Cold Insulation Market: Global Trends & Forecasts to 2018,' key drivers of this market growth include the rising need for energy efficiency, reduction in Green House emissions, sustainable developments and growing infrastructure.
The factors hindering the growth of the market are fluctuating cost of raw materials, lack of quality control across developing countries, and huge investment in R&D.
Cold insulation should be considered where operating temperatures are below ambient and where protection is required against heat gain, condensation or freezing.
The US leads the world in terms of usage of advanced materials to increase the efficiency and reliability of operations that makes it the biggest market. The market here is expected to experience the highest revenue growth during the next five years followed by Asia-Pacific.
This region is driven by countries such as China, the fastest growing country in the global market. The cold insulation market is still in infancy stage in African markets. But, this region is experiencing high growth on account of increased infrastructure spending. On the whole, it is evident that Europe and Rest of the World are the most lucrative low temperature thermal insulation markets.
Most players in this industry are very huge and manufacture highly customised products focusing on particular end user industries.
Every company, big or small, wants to penetrate deeper into the existing market and at the same time expand into new and emerging markets to increase their sales margin; thereby increasing overall revenue.
The companies involved in cold insulation business adopted this strategy by expanding into emerging markets such as Asia-Pacific and the Rest of the World.
For more information on the cold insulation market, see the latest research: Insulation Market Research
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