The trends of thermal insulation materials
The entire global market is fragmented with almost 70 percent of suppliers located in the APAC region, with China contributing the most.
The distributor / converter margin can be eliminated during direct purchase and discounts can be used. The potential savings can vary depending on the efficiency of material handling, bagging needs,
consolidation of volumes and mode of transport.
Logistics management is one of the main cost components of the direct purchasing process. The cost of fuel, which is a major expense in transportation, is expected to be three times lower for truck cars.
A rise in global temperature could also push demand for thermal insulation materials like polystyrene in the years to come. This segment should experience a constant growth rate of 2 to 3% until 2023.
Packaging, which is growing at a rate of 3 to 5%, is the largest end-use application for HIPS and will have the greatest impact on the HIPS market.