The Global Exterior Insulation and Finish System (EIFS) Market was valued at USD 71.22 Bn in 2020 and is expected to reach USD 161.54 Bn by 2027, with a growing CAGR of 12.5% during the forecast period.
EIFS (Exterior Insulation and Finish System) is a non-load bearing building cladding system that uses an integrated composite material to give an insulated, water-resistant, finished surface on external walls. Since the 1960s, EIFS has been used throughout North America. It was originally utilized on masonry structures, but by the 1990s, many wood-framed structures in Europe were using exterior wall systems identical to EIFS.
Increasing demand for Exterior Insulation and Finish System (EIFS) for construction from the residential sector is anticipated to drive the Exterior Insulation and Finish System (EIFS) market growth throughout the forecast period. It is used by architects to design flexibility, colors, textures, shapes. The property owners use it for aesthetic appeal, cost-effectiveness, and for superior energy efficiency that reduces air infiltration by up to 55% compared with brick or wood construction.
However, complex installation of EIFS and unskilled labor may hamper the Exterior Insulation and Finish System (EIFS) market growth during the forecast period. The installation of EIFS is technically difficult. The quality of EIFS might be harmed by inexperienced personnel and a speedy construction process. EIFS can develop holes, cracks, and leaks as a result of this. However, according to the Oak Ridge National Laboratory, if done by standard method, the building or structure can save up to 20% to 30% on energy bills. EIFS may be more expensive to install at first, but it helps to improve the energy efficiency of both residential and non-residential buildings. As a result, in the long run, EIFS, on the other hand, is less expensive than typical insulation materials, as it is positioned on the outside, it does not use the internal space of the wall. It is an efficient wall covering that may be utilized for both recladding and new buildings.
The unique insights provided by this report also include the following:
Based on type, the polymer-based segment is expected to grow significantly during the forecast period due to its easy availability & economical price
Based on type, the market has been segmented into polymer modified, and polymer-based. Polymer-based EIFS delivers excellent thermal insulation at a reasonable price. It is made up of closed expanded polystyrene (EPS) and can be attached to the protective covering either mechanically or adhesively. To achieve stronger impact resistance, the PB External Insulation and Finish System might comprise multiple layers of base coat and reinforcing mesh. Historically, in North America, expanded polystyrene (EPS) insulation was attached to the substrate with fiberglass mesh embedded in a nominal 1/16 inch (1.6 mm) base coat, which may be reinforced with additional layers of mesh and base coat for increased impact resistance. For instance, Saint Gobain’s High-Performance segment generated 38,128 million Euro sales in 2020 that consist of construction materials.
Based on the application, the residential segment in the Exterior Insulation and Finish System (EIFS) market is expected to hold the largest market share during the forecast period owing to its excellent increase in residential construction
Based on the application, the market has been segmented into residential, and non-residential. The residential segment held the largest market share in 2020 due to increasing construction activities in Europe are expected to support the market demand. For instance, Terraco an EIFS provider supplied the EIFS Perma Systems with Terracoat Textured Coating at the Masdar City Centre Mall project in Abu Dhabi this year. Although new home construction has made developments, existing housing provides a huge opportunity for energy retrofits (modification to existing buildings). The outcome of these efforts has been encouraging for exceptionally high insulation levels to be retrofitted (i.e., superinsulation or deep energy retrofits ). Using an outside insulation method on light-frame above-grade walls, several cold-climate home conversion projects have been accomplished. If the building is currently being recladded for aesthetic or ongoing maintenance reasons, this type of retrofit is expected to support the Exterior Insulation and Finish System (EIFS) market growth in the near future.
Based on region, Europe is expected to hold the largest market share during the forecast period owing to its concerns on carbon footprint reduction
Based on region, the global Exterior Insulation and Finish System (EIFS) market is categorized into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. Europe is expected to hold the largest market share during the forecast period. Growing concerns on reducing carbon footprint is expected to support the market growth during the near future. While EIFS was once widely employed for new construction projects in Europe, it is now primarily used for retrofitting. For instance, EIFS Stucco completed projects in Europe include the office building in Buford, GA, Shopping center made from EIFS façade. Alpharetta, GA
Moreover, the EIFS business in North America is flourishing with yearly growth of roughly 10%, and over 200 million square feet of EIFS is used in the US each year. When EIFS first became available for household use in the United States, around 5% of households used it. In the United States, EIFS is used in 3% of homes and 17% of commercial buildings at present.
The report also provides an in-depth analysis of Exterior Insulation and Finish System (EIFS) market dynamics such as drivers, restraints, opportunities, and challenges
Covid-19 had a negative impact on the Exterior Insulation and Finish System (EIFS) industry in 2020. All the construction activities came to a halt in 2020, there were labor shortages during the lockdown period. The major application of Exterior Insulation and Finish System (EIFS) is the construction industry. Change has been difficult and delayed due to external market factors that made the market fragmented. Investors that use foresight to predict the various adjustments in their investment activity are expected to have plenty of opportunities to gain market demand. Policymakers are anticipated to assist the industry in being more productive so that people can benefit from better housing and infrastructure. Owners may profit from improved structures at cheaper costs if they help to bring about the changes. Additionally, rising customer complexity and total cost-of-ownership pressure were the major source of industry disruption which hampered the Exterior Insulation and Finish System (EIFS) market growth during the covid-19 outbreak.
Individuals and business owners are becoming smarter, and the industry has seen a blend of resources from more knowledgeable clients. Private equity firms raised more than $388 billion to support infrastructure projects from 2014 to 2019, including $100 billion in 2019, a 24 % increase from 2018. Client (business owners) expectations are anticipated to change in terms of performance, and smart buildings, energy and operational efficiency, as well as structure flexibility and adaptability, which are projected to become increasingly significant.
The report also provides an in-depth analysis of key trends in the Exterior Insulation and Finish System (EIFS) market
The report also provides an in-depth analysis of recent news developments and investments
The key players operating in the Exterior Insulation and Finish System (EIFS) market are:
Priyanka has been writing chemicals & material market research reports for the last 12 years. A post-graduate, her specialization is in the chemicals sector. Preparing end-to-end reports covering minute details for market insights, competitive intelligence and trend analysis in the CMFE sector.