Exterior Insulation and Finish System (EIFS) Market Overview
Exterior Insulation and Finish System (EIFS) Market reached USD million in 2022 and is expected to record significant growth by reaching up to USD million by 2031, growing at a CAGR of 4.1% during the forecast period (2024-2031).
EIFS means exterior insulation and finishing system. It is a protective, insulating, decorative finish system for exterior or outer walls that can be applied to any structure. EIFS allows architects to create flexibly and aesthetically pleasingly while fulfilling modern energy requirements. It is an architectural finish that provides weather protection and insulation in any desired texture, color and shape.
It may be used to emulate any architectural design or finish material. In the residential and non-residential construction industries, EIFS has a considerable market share. The primary end-users of EIFS include residential structures such as bungalows and apartments and non-residential structures such as schools, hospitals, industrial workspaces and offices.
Market Summary
| Metrics | Details |
| Market CAGR | 4.1% |
| Segments Covered | By Type, By Component, By Insulation Material, By End-User, and By Region |
| Report Insights Covered | Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, and Other key insights. |
| Fastest Growing Region | Asia Pacific |
| Largest Market Share | Asia Pacific |
For more insights - Download Sample
Exterior Insulation and Finish System Market Dynamics
The increased regulations to limit greenhouse gas emissions and reduction in energy usage & costs related to it are two main reasons driving the global exterior insulation and finish system market. However, the lack of knowledge and ready availability of green insulation material may restrain market expansion.
Strict regulations to limit the greenhouse gas emission
The exterior insulation and finish system is a non-load-bearing exterior wall system that consists of an insulating board bonded to the substrate either with adhesive or mechanically or both. It is defined by the International Building Code and ASTM International as having an integrally reinforced base coat and a textured protective finish layer.
Government measures encouraging energy-efficient heating and cooling systems to reduce energy consumption are significant drivers for exterior insulation and finish systems. The European Heads of State committed in March 2007 to a binding and unilateral reduction of 20% in GHG emissions by 2020. With plans to reduce GHG emissions by 20% by 2020 and 40% by 2030, this agreement has become a legal requirement.
Reduction in energy usage and costs related to it
Buildings all around Germany were damaged during World War II and needed to be resurfaced. EIFS was developed in Germany and introduced to U.S. in the late 1960s. EIFS can be used as an energy-efficient and cost-effective wall covering in new construction and recladding applications. Even though EIFS is expensive initially, it provides a good return on investment over time. It can help save anywhere from 20% to 30% on your annual energy expenditures. Consumers in developed and emerging countries demand better home heating and cooling services. This demand raises energy consumption and, as a result, the associated expense.
Lack of knowledge and ready availability of green insulation material
Consumers and building professionals are unaware of the need for building thermal insulation (EIFS). Europe has the widest gap between current regulations and recommended energy performance. In Europe, a substantial endeavor is needed to educate awareness and bring construction rules in line with Ecofys VII's findings (Ecofys is an innovative and creative company that creates smart, effective and practically sustainable solutions across renewable energy, energy and carbon efficiency).
Stone glass, plastic foam, glass wool and other materials are used in the EIFS industry. As an alternative to EIFS, green insulation is employed, which is likewise environmentally friendly. Furthermore, the availability of hempcrete, a green insulating material, limits the market's expansion.
COVID-19 Impact on Market
The COVID-19 pandemic had a wide range of effects on the global economy, including direct production and demand, supply chain disruption and financial damage. It directly impacted the manufacturers' supply chain worldwide and production facilities have been shut down to reduce the danger of virus transmission.
The unanticipated worldwide crisis has wreaked havoc on practically every industry, including the Exterior Insulation and Finish System (EIFS) business. Governments are pursuing various preventative measures because of the rapid global spread of coronavirus. The enforcement of lockdown and social distancing measures has also damaged the market.
Exterior Insulation and Finish System Market Segmentation
By type, the global exterior insulation and finish system market is polymer-based (PB) and polymer-modified (PM).
Cost-effectiveness of polymer based to drive its growth
PB EIFS is an outside, non-bearing wall covering that provides a weather-resistant outer wall envelope on walls that are needed to be combustible or noncombustible, fire-resistance-rated or nonfire-resistance-rated. Furthermore, PB EIFS is a system described as being applied over an insulation board, an adhesive or mechanical attachment of the insulation board to a substrate or both, glass fiber reinforcing mesh, a base coat on the face of the insulation board and a textured protective finish coat.
Polymer Based (PB) dominates the market as it provides high thermal insulation and is cost-effective. In addition, PB EIFS protects the exterior wall by covering it with a protective layer for insulation and weather protection in any color, shape or design. Furthermore, PB is commonly made of closed expanded polystyrene (EPS) and can be adhered to the sheathing either adhesively or mechanically. PB EIFS might contain extra layers of base coat and reinforcing mesh to attain stronger impact resistance.
Exterior Insulation and Finish System Market Geographical Share
The increasing demand for innovative consumer electronics in Asia-Pacific
Asia-Pacific dominates the global exterior insulation and finish system market, accounting for the largest market share in 2021. The region has the presence of high-construction countries, which boosts the demand for the EIFS market. China holds the most prominent construction market globally, with the industry projected to grow at an annual average of 5.2% between 2021 and 2029.
The country has enormous growth in non-residential construction activities. According to the latest China Construction Pipeline Trend Report, China's total hotel construction China's Hotel will have 3,375 projects in 2020. As builders, architects and tradespeople become more aware of the benefits and uses of the quality systems emerging into the market, the role of EIFS in Australia is constantly rising.
Exterior Insulation and Finish System Companies and Competitive Landscape
The global exterior insulation and finish system market is fragmented and moderately competitive. The market growth is dominated by global companies, followed by local players. The major players are adopting various new strategies to dominate the market, such as launching new products, acquisitions, partnerships and collaborations responsible for global growth.
Major global exterior insulation and finish system market companies include BASF SE, Saint-Gobain, Wacker Chemie AG, STO SE & Co KGaA, Owen Corning, Dryvit Systems Inc, Master Wall Inc, Parex Usa, Inc., SFS Group Ag. and Rmax.
BASF SE
Overview: BASF SE is a global chemical business that manufactures chemicals for various sectors. It is a publicly traded firm globally, having over 700,000 stockholders. The company's product line is divided into 13 categories, namely, transportation, chemicals, construction, electronics & electric, energy & resources, furniture & wood, home care and cleaning, agriculture and other industries. Ludwigshafen is home to more than 30 BASF SE Group businesses. BASF SE has 6 global locations and 241 additional industrial sites spread across 90 countries. BASF Group generated around US$ 68,625.85 million in the year 2020.
Product Portfolio: EIFS provides unique and eye-catching finishes compared to other cladding systems while minimizing construction time and costs. The product line provides building owners with limitless visual design alternatives and assists them in managing stringent energy requirements.
Key Development: In October 2019, BASF SE introduced the Senergy Channeled Adhesive CI Design and Finestone Pebbletex CI-DCA Insulated Masonry Veneer Solutions, two exterior cladding systems for commercial and residential buildings.
The global exterior insulation and finish system market report would provide access to an approx: 69 market data table, 62 figures and 216 pages.
