Thin Insulation Market Report 2026

The thin insulation market size has grown strongly in recent years. It will grow from $3.07 billion in 2025 to $3.28 billion in 2026 at a compound annual growth rate (CAGR) of 6.8%. The growth in the historic period can be attributed to increasing building energy efficiency requirements, expansion of compact construction designs, adoption of advanced insulation materials, growth of automotive thermal management needs, increasing use of insulation in packaging applications.

The thin insulation market size is expected to see strong growth in the next few years. It will grow to $4.26 billion in 2030 at a compound annual growth rate (CAGR) of 6.8%. The growth in the forecast period can be attributed to increasing demand for ultra-thin high-performance insulation, rising adoption in electric vehicles, expansion of sustainable building materials usage, growing investments in advanced material research, increasing focus on space-optimized insulation solutions. Major trends in the forecast period include increasing adoption of space-efficient thermal solutions, rising use of aerogel-based insulation materials, growing demand for lightweight insulation in automotive applications, expansion of multi-layer thin insulation systems, enhanced focus on high-performance thermal barriers.

The growing demand for energy-efficient buildings is expected to drive the growth of the thin insulation market in the future. Energy-efficient buildings are designed to reduce energy consumption by utilizing improved insulation, systems, and materials. This demand is fueled by lower energy costs, as such buildings help occupants save on utility bills and achieve long-term savings. Thin insulation is increasingly sought after for these buildings because it offers high-performance thermal solutions that fit within limited wall or structural spaces without sacrificing energy efficiency. For example, in December 2023, the UK’s Department for Energy Security and Net Zero reported the installation of approximately 318,600 energy efficiency measures, a 49% increase compared to 2022. Additionally, in April 2025, the UK Ministry of Housing, Communities, and Local Government noted that 86% of new UK homes received an A or B energy rating, up from 85% earlier in 2024. Therefore, the rising demand for energy-efficient buildings is propelling the thin insulation market.

Leading companies in the thin insulation market are developing innovative solutions such as aerogel-based ultra-thin insulations to improve thermal performance while keeping material thickness minimal. Aerogel-based ultra-thin insulation consists of highly efficient thermal materials made from nonporous aerogels that provide exceptional heat resistance with very little thickness. For instance, in February 2025, ETH Zurich, a federal institute of technology in Switzerland, launched Aeroskin Ultra-Thin Aerogel Insulation, a state-of-the-art thermal insulation product. It offers excellent heat resistance while remaining lightweight and occupying minimal space, making it perfect for energy-efficient applications in confined or limited areas. Its advanced material composition significantly reduces heat loss without adding weight or thickness. Designed for industries that demand both compactness and superior thermal control, Aeroskin meets stringent performance requirements. This development addresses the increasing need for high-efficiency insulation where space and thermal regulation are critical.

In September 2024, Armacell, a Germany-based provider of flexible foam insulation and engineered foams, acquired Jios Aerogel for an undisclosed sum. This acquisition strengthens Armacell’s position in the high-performance insulation market by integrating advanced aerogel technology into its offerings. Jios Aerogel is a Singapore-based company specializing in advanced materials for thin insulation applications.

Major companies operating in the thin insulation market are BASF SE, Panasonic Holdings Corporation, Compagnie de Saint-Gobain S.A., 3M Company, Tata Steel Limited, DowDuPont Inc., Sika AG, Owens Corning, Kingspan Group plc, Huntsman International LLC, Cabot Corporation, Knauf Insulation GmbH, LG Hausys Ltd., Morgan Advanced Materials plc, GAF Materials LLC, Armacell International S.A., Atlas Roofing Corporation, Aspen Aerogels Inc., Actis S.A.S., SuperFOIL Insulation Ltd.

North America was the largest region in the thin insulation market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the thin insulation market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the thin insulation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The thin insulation market consists of sales of microporous insulation, silica-based insulation, and textile-based thermal insulation. 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 enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that 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.

This product will be delivered within 1-3 business days.