Sandwich Panel Market Size, Share & Industry Analysis, By Type (Polystyrene, Polyurethane, Mineral Wool, and Others), Outer Material (Steel, Aluminum, and Others), Application (Residential and Non-Residential), and Regional Forecast, 2024-2032

The global sandwich panel market size was valued at USD 9.91 billion in 2023 and is projected to grow from USD 10.70 billion in 2024 to USD 20.51 billion by 2032, exhibiting a CAGR of 8.4% during the forecast period. Asia Pacific dominated the sandwich panel market with a market share of 47.93% in 2023. Moreover, the sandwich panel market in the U.S. is projected to grow significantly, reaching an estimated value of USD 3.35 billion by 2032. Rising initiatives by governments to build cold storage facilities and warehouses expected to propel product demand during the forecast timeline.

Sandwich panel is a modern building material used to provide structural efficiency. It is a combination of composite materials that bind together. The growing need for fast-paced construction from various applications, such as residential, cold storage, and commercial buildings will positively influence product demand. Similarly, industrialization and urbanization in developing and developed nations creates an opportunity for the construction sector, which ultimately surges the demand for these panels. Key players in the market are heavily investing in innovation to provide lightweight materials for modern infrastructure construction. This in turn, is likely to boost the market growth during the forecast period.

The COVID-19 pandemic significantly affected the market. Disruption in the supply chain, labor shortages, and economic uncertainties led to delays in production and increased material costs. Construction projects, a key market for sandwich panels, experienced slowdowns, affecting demand. However, as global economies gradually recover, the industry is adapting to new norms, and demand for energy-efficient and cost-effective building solutions, including sandwich panels, is expected to rebound over the forecast period.

Sandwich Panel Market Trends

Global Emphasis on Energy Efficiency and Sustainable Construction Practices to Create Market Opportunities

The primary opportunity for the market lies in the global emphasis on energy efficiency and sustainable construction practices. With growing awareness of environmental concerns and the need to minimize carbon footprints, there is a greater demand for building materials that provide improved insulation and contribute to energy conservation.

Sandwich panels, with their thermal insulation qualities, are an ideal alternative for designing energy-efficient buildings. As governments and companies across the globe implement stricter construction norms and regulations aimed at sustainability, the demand for these panels is likely to increase.

Manufacturers in the market can capitalize on this trend by emphasizing the eco-friendliness of their products and connecting with the larger push towards green and sustainable construction technologies. In summary, the drive towards energy efficiency represents a huge and ongoing potential for the sandwich panel markets to fulfil the changing needs of the building sector and environmentally concerned customers.

Rapid Infrastructural Development across the Globe to Augment Market Growth

Infrastructural growth is expected to augment the sandwich panel market growth during the forecast period. This panel offers effective properties, such as durability, lightweight, and insulation. Therefore, such properties make this panel a modern construction material in infrastructural development. In addition, rapid industrialization and urbanization in developing and developed economies are the important factors propelling the demand for the product. China and India are witnessing rapid urbanization due to the exponentially growing population in the countries. This factor will lead to a rise in government and consumer spending on residential and non-residential infrastructure. Such infrastructural development trends are projected to create growth opportunities for the market during the forecast period.

Sandwich Panel Market Growth Factors

Growing Demand from Non-Residential Applications Anticipated to Drive Market Growth

The growth of the non-residential sector including cold storage facilities, industrial buildings, and institutional buildings is a primary driving factor for the market. Non-residential sectors prefer sandwich panels due to their sustainability and cost-effectiveness. The composition of the outer and insulating core material in the sandwich panel offers excellent insulation and makes it an ideal product for cold storage facilities. The cold storage facilities focus on maintaining and increasing the shelf life of fresh agricultural products, frozen foods, and seafood. In addition, consumers prefer to purchase these products from online platforms. Such factors increase the need for cold storage facilities, ultimately driving the market growth.

RESTRAINING FACTORS

Low Fire Performance of Sandwich Panel to Restrict Market Growth

Few sandwich panels have very poor fire-resistance compared with other construction materials and is likely to hinder the market growth. The lightweight panels designed are always lacking in fire performance. Although they offer excellent thermal insulation, they exhibit poor fireproofing performance. On the other side, fireproofing sandwich panels increase the weight and cost, reducing their demand in lightweight applications. Therefore, poor fire-resistance will restrain the product demand during the forecast period.

Sandwich Panel Market Segmentation Analysis

By Type Analysis

Polyurethane to Account for Dominant Market Share Owing to its Adequate Properties

Based on type, the market is segmented into polystyrene, polyurethane, mineral wool, and others. In 2023, the polyurethane segment dominated the market and will maintain its dominance during the forecast period. This product has lucrative properties, such as lightweight, strong corrosion resistance, high density, and cost-effectiveness. End-users prefer a polyurethane panel due to its durability and economical price. The mineral wool type segment is expected to register positive growth during the forecast period due to its high fire resistance properties.

Outer Material Analysis

Steel Segment to Hold Major Market Share Owing to Rising Demand from Non-residential Application

In terms of outer material, the market is segmented into steel, aluminum, and others. Among these, the steel segment is expected to hold a major share during the forecast period. Steel has strong fire resistance and cost-effective properties. Non-residential applications have increasingly used steel materials to gain fire resistance properties. The aluminum segment is also growing significantly due to its properties, such as lightweight and flexibility.

Application Analysis

Non-residential Segment to Hold Substantial Share Owing Rising Demand from Cold Storage Facility

Based on application, the market is segmented into residential and non-residential. Non-residential segment is anticipated to hold the dominant market share during the forecast period. Cold storage facilities, institutional buildings, industrial buildings, and commercial infrastructure are considered in this segment. Growing cold storage needs from various industries will drive the market growth during the forecast period. Commercial buildings prefer sandwich panels owing to their easy installation and cost-saving attributes. However, growing residential buildings are also contributing the market growth in forecast period.

REGIONAL INSIGHTS

Asia Pacific accounted for dominant sandwich panel market share in 2023. This region will likely maintain its position during the forecast period due to rising demand from the region’s growing population. The building & construction industry is growing exponentially in the Asia Pacific, primarily due to the strong presence of developing countries, such as India, China, and Southeast Asia. Large-scale urbanization and rising consumer expenditure on construction are expected to increase the demand for sandwich panels during the forecast timeframe.

The construction sector registered notable momentum in North America. End-users are using modular construction materials to create a lightweight structure. Rising initiatives by governments to build cold storage facilities and warehouses will propel product demand during the forecast timeline. Moreover, the Europe market is expected to grow positively during the forecast timeframe. The growing demand from consumers for modular structures is attributed to rising research and innovation activity for producing lightweight construction materials.

List of Key Companies in Sandwich Panel Market

Strategic Planning Adopted by Companies to Strengthen Their Market Share

The market is highly fragmented and has become saturated with manufacturers offering almost identical products. The market has not seen any major innovation over the years, making it difficult for any single player to gain prominence. The competitive landscape of the market includes major companies, such as Kingspan Group, Rautaruukki Corporation, and Sintex. The major key players in the market have been actively consolidating their position to reduce the overall competition. Several other companies, such as Tata Steel, ArcelorMittal, Areco, Assan Panel A.S., Building Components Solutions LLC, and DANA Group of Companies, are the other active participants in the market.

LIST OF KEY COMPANIES PROFILED:

• Kingspan Group (Ireland)  


• Tata Steel (India)


• Sintex Group (India)


• ArcelorMittal (Europe)


• Areco Group (Europe)


• Assan Panel A.S. (Turkey)


• Building Component Solutions LLC (Saudi Arabia)


• DANA Group (UAE)


• Rautaruukki Corporation (Europe)

KEY INDUSTRY DEVELOPMENTS:

• In October 2022 - Kingspan Group acquired Invespanel. Invespanel is a mineral wool-based sandwich panel producer. The company's product portfolio of panels includes extruded polystyrene (XPS) and expanded polystyrene (EPS)-core refrigeration panels. Invespanel continually develops new panels for various applications. Such an acquisition would help the company to make a strong product portfolio.


• In December 2020 - ArcelorMittal Construction acquired a Llentab company. The acquisition included the Kungshamn panel production line in Sweden, which produces mineral wool (MiWo) panels for steel buildings. This acquisition would help the company increase its manufacturing capability in the region.

REPORT COVERAGE

The research report provides a detailed analysis of the market and focuses on crucial aspects, such as leading companies, types, outer materials, and applications. Also, it offers insights into the latest market trends and highlights vital industry developments. In addition to the factors mentioned above, the report encompasses various factors contributing to the market's growth in recent years. It further includes historical data and forecasts revenue growth at global, regional, and country levels. The report analyzes the industry's latest market dynamics and opportunities.

Report Scope & Segmentation