Aerogel Insulation Market Report 2025

The aerogel insulation market size has grown rapidly in recent years. It will grow from $0.93 billion in 2024 to $1.06 billion in 2025 at a compound annual growth rate (CAGR) of 14.5%. The growth during the historic period can be attributed to the rising demand for energy-efficient solutions, an increased focus on lightweight and high-performance materials, the enforcement of stringent building energy codes and regulations, advancements in material science, and growing adoption of aerogel insulation in the aerospace and defense sectors.

The aerogel insulation market size is expected to see rapid growth in the next few years. It will grow to $1.81 billion in 2029 at a compound annual growth rate (CAGR) of 14.2%. The growth in the forecast period can be attributed to the rising demand for energy-efficient insulation solutions, expanded use of aerogels in space and defense applications, advancements in nanomaterial engineering, increasing construction of green buildings, and supportive government policies and initiatives. Major trends expected during this period include enhanced thermal performance in extreme environments, development of weight-sensitive insulation systems, integration of aerogels in oil and gas pipeline insulation, innovation in nanoporous silica formulations, and the emergence of advanced materials for multifunctional insulation systems.

The growing demand for high-performance insulation products is anticipated to drive the expansion of the aerogel insulation market in the coming years. High-performance insulation products are advanced materials that offer superior thermal resistance, enhancing energy efficiency and comfort in various applications. This demand is rising due to more stringent energy efficiency regulations from governments, which require the use of improved materials to minimize heat transfer and reduce energy usage. Aerogel insulation supports these products by delivering outstanding thermal resistance, minimizing energy loss, enabling lightweight construction, and maintaining efficiency under extreme temperature conditions. For example, in March 2024, a report from the UK’s Department for Energy Security and Net Zero indicated that from December 2022 to December 2023, around 26,800 additional homes were fitted with solid wall insulation, marking a 3.3% increase. Thus, the increased demand for high-performance insulation is contributing to the growth of the aerogel insulation market.

Key players in the aerogel insulation market are concentrating on creating innovative solutions, such as next-generation cryogenic and dual-temperature aerogel blankets, to enhance thermal insulation performance, durability, and moisture resistance for various uses. These advanced blankets are engineered to provide high levels of thermal protection across extremely low and varying temperatures. For instance, in April 2025, Armacell, a Europe-based company specializing in industrial foams and flexible insulation materials, introduced ArmaGel XGC, a next-generation cryogenic and dual-temperature aerogel insulation blanket. ArmaGel XGC is known for delivering superior thermal insulation, high fire resistance, water repellency, and excellent sound dampening capabilities, making it suitable for use in challenging industrial and marine settings.

In September 2024, Armacell, a manufacturer based in Luxembourg that produces industrial foams and flexible insulation materials, completed the acquisition of JIOS Aerogels Limited. The purpose of this acquisition was to strengthen Armacell’s footprint in the advanced insulation sector by securing full ownership of its aerogel-related operations and broadening its range of high-performance insulation products. JIOS Aerogels is a Singapore-based company that specializes in manufacturing silica aerogel powder.

Major players in the aerogel insulation market are BASF SE, Dow Inc, Cabot Corporation, Alkegen Inc., Proctor Group Ltd, Armacell International S.A, Aspen Aerogels Inc., W. L. Gore & Associates Inc., Firwin corporation, Wedge India Ltd., Joda-Tech, Tarasafe International Private Limited, Svenska Aerogel Holding AB, Guangdong Alison Hi‑Tech Co Ltd., TAASI Corporation, Aerogel Technologies, Active Aerogels, Blueshift International Materials Inc., Thermulon Ltd, Nano High-Tech Co.

North America was the largest region in the aerogel insulation market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in aerogel insulation report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the aerogel insulation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The intensifying U.S. tariffs and escalating trade tensions in spring 2025 are expected to have a significant impact on the chemicals sector, which is bearing a disproportionate burden, particularly from tariffs on petrochemicals and intermediates, where affordable domestic substitutes are often unavailable. Producers of specialty chemicals, heavily dependent on Chinese raw materials, are experiencing production disruptions. At the same time, fertilizer manufacturers are seeing profit margins eroded due to tariffs on phosphate imports. In response, companies are ramping up R&D into bio-based alternatives, forming procurement alliances to consolidate buying power, and shifting production to tariff-neutral nations such as Saudi Arabia.

Aerogel insulation is an advanced thermal insulating material recognized for its extremely low density and outstanding ability to minimize heat transfer. It is produced by removing the liquid component from a gel and replacing it with gas, resulting in a structure that is up to 99% air. This highly porous composition provides excellent thermal resistance, allowing for effective insulation with minimal material thickness.

The primary product types in aerogel insulation include silica aerogel, polymer aerogel, carbon aerogel, composite aerogel, and others. Silica aerogel, in particular, is an ultra-lightweight and highly porous material made from silica, offering superior thermal insulation due to its exceptionally low thermal conductivity. Aerogel insulation is available in various forms such as blankets, panels, granules, coatings, and more. It is designed to perform across different temperature ranges, including low temperature (up to 100°C), medium temperature (100°C to 500°C), and high temperature (above 500°C). Distribution channels include direct sales, online retail, distributors, and specialty stores. The material is used by a wide range of end users, including building and construction, oil and gas, aerospace, automotive, industrial insulation, electronics, and others.

The aerogel insulation market research report is one of a series of new reports that provides aerogel insulation market statistics, including aerogel insulation industry global market size, regional shares, competitors with a aerogel insulation market share, aerogel insulation market segments, market trends and opportunities, and any further data you may need to thrive in the aerogel insulation industry. This aerogel insulation market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The aerogel insulation market consists of sales of powdered aerogel insulation, sprayable aerogel insulation, and rigid aerogel panels. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that businesses gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values and are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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