Extruded Polystyrene (XPS) Insulation Material in U.S. Market Revenue to Register Robust Growth in Future by 2031 | AMR

The U.S. extruded polystyrene (XPS) insulation material market is projected to reach $987.8 million by 2031, growing at a CAGR of 5.2% from 2022 to 2031.

WILMINGTON, DE, UNITED STATES, August 20, 2025 /EINPresswire.com/ -- Allied Market Research published a report, titled, “U.S. Extruded Polystyrene (XPS) Insulation Material Market by Application (Residential Construction and Non-residential Construction) and By Region (Southeast, West, Northeast, Midwest, and Southwest): Country Opportunity Analysis And Industry Forecast, 2022-2031". According to the report, the U.S. extruded polystyrene (XPS) insulation material market was valued at $$596.6 million in 2021 and is projected to reach $987.8 million by 2031, registering a CAGR of 5.2% from 2022 to 2031.

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Prime determinants of growth

Extruded polystyrene (XPS) insulation is a rigid foam insulation commonly used in the construction industry to improve building energy efficiency. It is made of polystyrene resin and other additives that are melted and then forced through a shaping die, resulting in a continuous sheet of closed-cell foam insulation. To encourage the use of energy-efficient insulation systems, governments around the world are enforcing strict building codes and regulations. Extruded polystyrene insulation materials are in high demand due to the increase in construction activity, particularly in the commercial sector and the rising demand for energy-efficient buildings.

The U.S. is a technological innovation leader, there is an increased demand for new and modern infrastructure, such as data centers, research facilities, and other specialized buildings. The U.S. government has implemented energy efficiency regulations and codes to reduce energy consumption in buildings. Extruded polystyrene insulation material is an effective way to meet these standards while also helping reduce energy consumption, which is opening new market opportunities.

Extruded polystyrene insulation is a versatile material that can be used in a wide range of non-residential applications including roofs, walls, and floors. It is also simple to work with and can be cut to size and shape, making it an appealing option for builders looking for an easy-to-install material. Several factors are driving this trend, including the need to reduce greenhouse gas emissions, comply with energy efficiency regulations, and lower operating costs.

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Many building codes and energy efficiency standards now mandate the use of R-value or U-factor rated insulation materials. XPS insulation can assist non-residential building owners in meeting these requirements, making it an appealing option for those seeking to comply with building codes and regulations. In addition, extruded polystyrene insulation material has durability, sustainability, versatility, and fire resistance property.

However, extruded polystyrene insulation materials typically have a lower R-value than other types of foam insulation, such as polyurethane foam. This means that it may not provide as much insulation in the same thickness of the material. XPS insulation materials are less permeable than other types of foam insulation, which means they may not allow moisture to escape as easily from a building. This can result in moisture buildup and mold growth. XPS insulation materials are made from petroleum-based materials, their production can have a negative impact on the environment.

Furthermore, they are not biodegradable and can remain in the environment for an extended period of time. This reason makes the use of other alternatives that are available for these types of extruded polystyrene insulation materials. Handling and storage of the extruded polystyrene must be appropriate, XPS insulation materials are flammable and can release toxic fumes when burned and they may not be suitable for certain applications. XPS insulation materials can be more expensive than other types of foam insulation, which can be a restraint for some building projects. All these factors allow consumers to choose alternatives over extruded polystyrene insulation material that hamper the market growth.

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The residential construction application to maintain its lead position during the forecast period.

Based on application, the residential construction segment accounted for the largest share in 2023, contributing two-third of the U.S. extruded polystyrene (XPS) insulation material market revenue.

Extruded polystyrene has several desirable properties, including high thermal resistance, low moisture absorption, and excellent compressive strength, thus making it an ideal insulation material across residential buildings. In addition, lightweight and easy to work, make extruded polystyrene a good choice for insulating roofs, walls, and foundations in residential construction.

The growing demand for energy-efficient and sustainable homes has attracted residential building homeowners to focus on finding ways to reduce their energy costs and carbon footprint. XPS insulation is gaining popularity as a means of achieving high levels of thermal insulation in homes. XPS insulation is a highly effective thermal insulator, with a high R-value per inch of thickness. This means that it can help to reduce the amount of energy required for the HVAC system, resulting in lower energy costs. As building codes and standards are becoming more stringent, there is a greater demand for extruded polystyrene insulation materials that meet these requirements. As a result, a wider range of insulation materials is being used in homes, which may have an impact on the market share of XPS insulation. In addition to that XPS insulation can also help to improve comfort by maintaining a consistent indoor temperature across residential buildings. This can result in a more comfortable living environment. All these factors have escalated the demand for extruded polystyrene insulation material in residential construction.

The West region to maintain its lead position during the forecast period.

Based on region, the West region accounted for the largest share in 2023, contributing to three-fourth of the U.S. extruded polystyrene (XPS) insulation material market revenue.

Extruded polystyrene insulation has the ability to resist heat flow. The closed-cell structure of XPS insulation acts as an effective barrier to heat transfer via conduction, convection, and radiation. The construction industry in the west region of U.S. is expanding, which increases demand for building materials such as insulation. Extruded polystyrene insulation is used in a wide range of construction projects, including commercial, residential, and industrial structures. Growth in the construction industry, particularly in the non-residential sector, is driving the demand for extruded polystyrene insulation materials. Furthermore, there is a trend toward the use of XPS insulation in applications other than traditional construction, such as cold storage facilities, transportation, and packaging. XPS is known for its durability, water resistance, and thermal stability, making it an appealing option for these applications. The U.S. government has implemented energy efficiency regulations and codes to reduce energy consumption in buildings. Extruded polystyrene insulation is an effective way to meet these standards while also helping to reduce energy consumption.

Leading Market Players: -

DuPont

Williams Foam

Owens Corning

Morgan Advanced Materials

Sika Sarnafil

Pactive LLC

Soprema Inc.

Kingspan Group plc

Knauf Insulation

TeMa North America LLC

The report provides a detailed analysis of these key players in the U.S. extruded polystyrene (XPS) insulation material market. These players have adopted different strategies such as new product launches, collaborations, expansion, joint ventures, agreements, and others to increase their market share and maintain dominant shares in different regions. The report is valuable in highlighting business performance, operating segments, product portfolio, and strategic moves of market players to showcase the competitive scenario. In addition, the report also includes customer analysis, domestic pricing analysis and import pricing analysis.

For More Details: https://www.globenewswire.com/news-release/2023/10/31/2770030/0/en/U-S-Extruded-Polystyrene-XPS-Insulation-Material-Market-Size-Worth-987-8-Million-by-2031-CAGR-5-2-AMR.html

David Correa
Allied Market Research
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