Structural Insulated Panels Market Size, Share, Growth Analysis, By Facing material(OSB, MgO Board, and Others), By Insulation material(EPS, XPS, and Others), By Application(Floor, Wall, and Roof), By End-use(Residential, and Non-residential), By Region - Industry Forecast 2024-2031

Global Structural Insulated Panels Market size was valued at USD 15.02 Billion in 2023 and is poised to grow from USD 15.90 Billion in 2024 to USD 23.76 Billion by 2031, at a CAGR of 5.90% during the forecast period (2024-2031).

The global market is expected to witness significant growth due to favorable green building standards and regulations, aimed at reducing overall energy consumption and promoting the use of building insulation materials. Additionally, the increasing investments in cold chain infrastructure worldwide contribute to the market expansion. SIPs are anticipated to gain widespread acceptance globally, primarily because of their lightweight nature, improved external appearance, and ability to enhance the thermal performance of buildings. In the United States, the Federal Energy Policy Act of 2005 provides tax credits of up to USD 2,000 to builders who construct energy-efficient homes that comply with Federal Manufactured Homes Construction and Safety Standards. Consequently, there is a growing demand for SIPs as investments in renovating old building structures continue to rise in the U.S. market.

The construction of warehouses benefits greatly from the use of structural insulated panels as they reduce overall construction time. The exponential growth of the e-commerce industry has resulted in a substantial demand for warehouses and last-mile delivery hubs. Moreover, the establishment of local data centers by major technology companies such as Amazon, Alibaba, Google, and Microsoft also positively impact the market growth. Manufactured at specialized facilities, SIPs are delivered to construction sites in a ready-to-install state. Metal sheets are increasingly preferred as facing materials due to their durability, fireproof properties, and superior surface finish.

Additionally, insulated metal panels are available in various colors, making them suitable for direct application on building exteriors. The production of structural insulated panels involves the use of raw materials such as Polyisocyanurate (PIR), Polyurethane (PU), Expanded Polystyrene (EPS), Extruded Polystyrene (XPS), and others. These materials are derived from crude oil, making the industry susceptible to fluctuations in crude oil prices on the international market, posing a significant challenge to its growth.

US Structural Insulated Panels Market is poised to grow at sustainable CAGR for the next forecast year.