Expanded Polystyrene Market Outlook:
Expanded Polystyrene Market size was valued at USD 17.98 billion in 2025 and is set to exceed USD 31.3 billion by 2035, expanding at over 5.7% CAGR during the forecast period i.e., between 2026-2035. In the year 2026, the industry size of expanded polystyrene is estimated at USD 18.9 billion.
The expanded polystyrene market is experiencing a notable surge, driven by increasing applications of EPS across the construction, packaging, and automotive sectors. This growth can be attributed to EPS's lightweight, insulative properties, which make it a preferred choice in energy-efficient building materials. Additionally, environmental initiatives pushing for sustainable alternatives have led to a rise in demand for recycled EPS products. In April 2024, BEWI launched new EPS fish boxes with a 60% carbon footprint reduction, demonstrating the industry's shift toward eco-friendly packaging solutions.
Government regulations and various incentives towards the use of sustainable materials further fortify the expanded polystyrene market. For instance, the recyclability of EPS falls within the framework of developing circular economies, thus encouraging manufacturers to develop greener alternatives. The U.S. and most EU nations have advocated for the reduction of carbon footprints and the promotion of recyclable material usage in industries such as construction and food packaging. The Bureau of Labor Statistics projects such efforts will result in the creation of millions of new jobs in eco-focused industries such as renewable packaging.
