Silica Aerogel Market Size

Silica Aerogel Market size was valued at USD 915.1 million in 2023 and is set to cross USD 2.51 billion by 2036, expanding at more than 8.1% CAGR during the forecast period i.e., between 2024-2036. In the year 2024, the industry size of silica aerogel is evaluated at USD 974.4 million.

The growth of the silica aerogel market can be attributed primarily to the rising number of solar installations in homes worldwide. It was observed that solar photovoltaic (PV) installation in the United States increased by 3.8 gigawatts (GW) in Q1 2022, bringing the total to 126 GW of installed capacity, generating enough electricity for ~20 million homes. Also, in 2021, the solar industry contributed over USD 30 billion to the national economy. During the past several decades, manufacturers have adopted aerogels as a means of insulating solar panels in buildings and homes. Silica aerogels are remarkable materials that are transparent, extremely porous, lightweight, and provide unparalleled heat insulation, providing warmth both inside and outside when temperatures soar.

Silica aerogel market is a synthetic nanostructured substance produced from silica gel. It is a good thermal insulator since aerogel is a poor conductor of heat. The specific surface area and porosity of silica aerogels are high, and they possess excellent heat insulation capabilities. Pharmacies and electronics industries find these flexible, and mechanically robust compounds, useful for a wide range of applications. Moreover, increasing renewable energy and power demand around the world is creating a demand for high-quality insulators. In the power sector, silica aerogel is increasingly being used for insulation purposes owing to its high thermal insulation and low thermal conduction properties. For instance, renewable energy is estimated to play a growing role in the power sector by the year 2050, with its share of renewable energy increasing from 22% to 87%, mostly through an increase in solar and wind power generation. As a result, silica aerogel demand is expected to increase during the forecast period.