[137 Pages Report] The aerogel market size is estimated to be USD 453.0 million in 2017 and is projected reach USD 785.4 million by 2022, at a CAGR of 11.6% between 2017 and 2022. Aerogel is a porous, solid material consisting of a network-like nanostructure that displays outstanding properties such as low density and thermal conductivity, high surface area, and flame and moisture resistance. It also exhibits low optical index of refraction, low dielectric constant, a high degree of porosity, high specific surface area, and superlative thermal, acoustic, and impact damping properties. Aerogel is an advanced high-performance insulation material that has high load-bearing capacity with high resistance to thermal, flame, moisture, sound, and weather. The superior thermal resistance and environmental friendly material of aerogel drive the demand for aerogel. On the other hand, high manufacturing cost and poor mechanical strength are restraining the market growth.

Oil & gas to be the largest application during the forecast period.

Based on application, the aerogel market has been segmented into oil & gas, construction, transportation (automotive, aerospace, and marine), performance coating, day-lighting & LVHS (Low Volume High Specialization), and others (pharmaceuticals, industrial & cryogenics, military & defense, consumer appliances, personal care & cosmetics, clothing & outdoor gears, and research activities). The demand for aerogel is high in the oil & gas application. Reduced thickness and superior thermal resistance of aerogel materials show huge potential for growth in the oil & gas applications where insulation is of prime importance

Silica to be the largest type during the forecast period.

On the basis of type, the aerogel market has been segmented into silica, polymer, carbon, and others (metal, metal oxides, metal chalcogenides, carbides, and quantum dots). The silica segment is projected to lead the market during the forecast period due to the high demand from end-use industries coupled with its easy availability and low cost.



North America is the largest aerogel market globally, mainly due to strong consumer awareness and rising demand from the oil & gas and construction applications. Additionally, the strong foothold of the key market players in the region is also fueling the growth of the aerogel market in this region. The APAC aerogel market is projected to register the highest CAGR during the forecast period. Increased focus on R&D by the emerging players in APAC is the major factor for this high growth.

Market Dynamics

Superior thermal resistance

Aerogels have a thermal efficiency which is 2�4 times higher than that of conventional insulation materials such as glass filled foams, fibers, and metals. In addition, water- repellent/waterproof characteristic makes aerogel ideal for external insulation in various applications. The superior thermal resistance of aerogel materials shows huge potential in the oil & gas and petrochemical industries where insulation is of prime importance. A large volume of oil and gas is transported from sea to port through pipelines. To meet increasing demand for natural gas, developing countries are planning an offshore delivery of LNG for secure handling and safety purpose. One of the major challenges faced for this purpose is to withstand a tough sea environment. This is particularly in case of crude oil when it comes out of the subsea well at a temperature higher than the sea water. If the temperature of oil cools down, the pipelines no longer remain operative. On the other hand, LNG needs to be in liquid form until it reaches onshore regasification terminals. Cellular glass and polyurethane foam were commonly used to insulate these pipelines. These traditional materials have low thermal resistance as compared to aerogel. In addition to superior thermal performance, aerogel materials are hydrophobic and also show significant resistance to flame and weather.

Thinner and lighter alternative

Several countries are working toward minimizing their energy consumption. For example, South Korea has made it mandatory to increase the insulation level of buildings by 20%. Similarly, the International Code Council responsible for building energy efficiency standards in the US updated the 2012 International Energy Conservation Code (IECC). Among other changes, the update contains more stringent specifications for insulation in new buildings. In Europe too, there are stringent regulations for building insulation standards. The demand for insulation materials is expected to rise on a large scale due to the implementation of such standards.

Traditional insulation materials such as polyurethane foam, mineral wool, rock wool, and stone wool have certain drawbacks. For example, thick layers of these materials are required to achieve the desired R-value, which results in loss of valuable floor space in case of new construction. For old buildings, it is even tougher to introduce high insulation level, as extra layers lead to changes in the aesthetic appearance of a house. Hence, to fulfill energy standards set by various regulatory bodies and to avoid structural compromises in new constructions, aerogels are projected to be an ideal replacement for traditional insulation materials. Owing to its low thermal conductivity and less thickness, aerogel materials can save a substantial amount of energy which otherwise would have been used for heating and cooling purposes. Aerogels are used for apparels in cold region due to its properties such as low weight and low thermal conductivity. They are also widely used for industrial insulation.

Environmental friendly material

Aerogel is a reusable material that can be used consecutively for a chain of applications and can be disposed of safely after completion of its life cycle. For example, aerogel blanket used for building insulation application can be reused by processing it as composites or additives for other applications. Growing public and government awareness about environmental friendly insulating materials is also expected to increase the demand for aerogel. Discarded traditional insulation materials may pose a threat to the surrounding environment by releasing toxins. In addition, the useful land is occupied by dumped insulation materials. Most of the traditional insulating materials are non-recyclable and non-biodegradable. In contrast, aerogels can be reused for as composites and additives in applications such as soil conditioners, fertilizers, and performance coatings.

According to Cabot Corporation, its product called Lumira aerogel has been rated as Silver in Cradle to Cradle SM Certification from McDonough Braungart Design Chemistry (US). This certification involves examining a product�s manufacturing and ecological impact to know if the product�s wastes are being entirely eliminated in agreement with a healthy and sustainable society. According to Aspen Aerogels, aerogel blankets also have zero ozone depleting potential (ODP) which means the amount of degradation a chemical compound can cause to the ozone layer. Aerogel has a global warming potential (GWP) of less than five. Aerogel is in compliance with several standards of regulations in the European Union, such as Regulation, Evaluation, Authorisation and the Restriction of Chemicals (REACH) and Restriction of Substances Directive (RoHS). Thus, aerogel is a much safer alternative to conventional insulation materials.

High manufacturing cost

The high production cost of aerogel is one of the major restraints that affect the growth of the aerogel market. The production cost of silica aerogels is primarily linked to three main factors. These include high cost of raw materials (for alkoxide-based precursor materials), cumbersome process technologies (solvent exchange steps, long reaction times limited by diffusion), and perhaps most importantly, the installation of relatively small production capacities of the companies. The manufacturing of aerogel materials requires extensive R&D which makes the entire process costly. Synthetic methods applied to manufacture aerogel materials are not much versatile. Aerogel manufacturing requires sophisticated facility as the production mechanisms are highly specialized. The most expensive step in aerogel manufacturing process is supercritical drying.

The sol-gel is a technique used to dry aerogel material at ambient conditions and later provides chemical treatment to stop its shrinkage. This technology has a slow process, resulting in longer drying times for aerogel. Various efforts have been made to reduce the production cost of aerogels. For example, a research team at Yonsei University (Seoul, South Korea) developed a technology for rapid expulsion of water from the gel. Through this experiment, 94% porosity was achieved in aerogels, helping speed up the drying process of gels making it less costly. However, factors such as lack of commercialization and low industrial production capacity of this technique are responsible for the high production cost.

Poor mechanical strength.

Though aerogel materials have a high strength-to-weight ratio, they are generally brittle and exhibit poor mechanical strength. It means that aerogel materials can hold (theoretically) 500� 4,000 times of their weight in applied force provided the force is gentle and uniformly applied. Additionally, most aerogels as produced are extremely brittle and fragile (they tend to fragment and pulverize) which makes them difficult for structural applications. Thus, their structures are reinforced to obtain aerogels that are strong enough to withstand mechanical stress.

Silica aerogels can be incorporated into the polymer for enhancement in mechanical strength. Cross-linked polymer aerogels have better mechanical strength than their silica counterparts. However, the processes employed to prepare polymer-reinforced silica aerogels require multiple washing and soaking steps for infiltration of the polymer precursors after gelation and supercritical drying. This makes the entire manufacturing process more complex and costlier, which may hamper the growth of the market. Moreover, due to its low mechanical strength its use is restricted to the applications where its poor mechanical strength does not affect the application. However, the companies such as Aerogel Technologies (US) and BASF (Germany) have been developing mechanically strong aerogel materials. This development may enlarge the applications of aerogel and increase the demand in near future.

New application in apparel market.

Aerogel is finding new applications in the apparel market in the colder regions. Because of its exceptional physical properties, aerogels are used in this sector. For example, a 3mm layer of aerogel can protect human body at a severe temperature of -50�C. This would result in much lighter clothing in cold regions than those available at present. It will be beneficial to mountaineers who usually carry heavy luggage to protect themselves from adverse conditions. Other factors such as fire & water resistance, thermal resistance, and flexibility make aerogel a preferred material for the clothing application. Apart from apparels, it is also used in different applications such as footwear, jackets, tents, and other outdoor gears used in extreme climates for insulation.

Scope of the Report

Report Metric Details Years considered for the study 2015-2022 Base year 2016 Forecast period 2017�2022 Unit Considered Value (USD Million), Volume (Ton) Segments Type, Form, Processing, Application, and Region Regions APAC, North America, Europe, Middle East & Africa, and South America Companies Aspen Aerogels (US), Cabot Corporation (US), Aerogel Technologies (US), Nano High-Tech (China), Guangdong Alison Hi-Tech (China), Active Aerogels (Portugal), Enersens (France), Jios Aerogel (South Korea), BASF (Germany), and Svenska Aerogel (Sweden)

Key Market Players

The key players in this market are Aspen Aerogels (US), Cabot Corporation (US), Aerogel Technologies (US), Nano High-Tech (China), Guangdong Alison Hi-Tech (China), Active Aerogels (Portugal), Enersens (France), Jios Aerogel (South Korea), BASF (Germany), and Svenska Aerogel (Sweden)

Major strategies identified in the global market include the following:

Expansions

New product launches

Contracts & Agreements

Joint venture

Key Questions Addressed by the Report

Who are the major market players in the aerogel market?

What are the regional growth trends and the largest revenue-generating regions for the aerogel market?

Which are the significant regions for different industries that are projected to witness remarkable growth for the aerogel market?

What are the major oil types of aerogel that are projected to gain maximum market revenue and share during the forecast period?

Which is the major product types of aerogel that are projected to gain maximum market revenue and share during the forecast period?

To speak to our analyst for a discussion on the above findings, click Speak to Analyst