NAICS 326140 Quarterly Industry Report
Polystyrene Foam Product Manufacturing
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 326140Sector: 32Updated: Q1 2026
About This Report
This Fair Market Value industry report for NAICS 326140 delivers business owners, acquirers, and financial advisors data-driven valuation insights for the polystyrene foam manufacturing sector, drawing on data from the U.S. Census Bureau[5] and EPA[8] materials recycling data. Additional data is drawn from Bureau of Labor Statistics[9].. The report aggregates transaction multiples, financial benchmarks, and market trends specific to NAICS 326140 establishments, supporting buy-sell agreements, succession planning, SBA-financed acquisitions, and litigation support engagements.
Industry Snapshot
Key metrics for the polystyrene foam product manufacturing industry.
Industry Definition & Overview
Polystyrene Foam Product Manufacturing (NAICS 326140) encompasses establishments primarily engaged in manufacturing polystyrene foam products, including expanded polystyrene (EPS) insulation boards, molded EPS packaging, extruded polystyrene (XPS) foam board, foam food service containers, protective packaging shapes, and foam cups. According to the U.S. Census Bureau[5], roughly 301 businesses operate within this classification across 425 establishments, employing over 26,000 workers producing foam products for construction, food service, protective packaging, and consumer goods markets.
Production processes include expandable polystyrene bead pre-expansion and block molding, shape molding using steam-heated aluminum molds, extruded polystyrene board foam production through tandem extrusion with blowing agents, thermoforming of foam sheet into food service containers and trays, and hot wire or CNC cutting of foam blocks into custom shapes. The Bureau of Labor Statistics[6] tracks production roles including pre-expander operators controlling bead density, mold operators managing steam pressure and cycle times, extrusion technicians overseeing XPS line parameters, thermoforming operators producing cups and containers, and quality inspectors testing compressive strength, density, and dimensional accuracy.
Per the SBA Office of Advocacy[7], polystyrene foam producers face growing regulatory pressures from single-use foam bans enacted in multiple cities and states targeting food service containers. Construction insulation demand remains strong, driven by building energy code requirements that favor continuous insulation with high R-value performance. Recycling and material recovery programs are expanding but remain a small fraction of total foam production volume.
What's Included in This Industry
- Valuation multiples benchmarked to polystyrene foam manufacturing operations
- Revenue and EBITDA trends for domestic foam product producers
- SBA lending data and financing terms for NAICS 326140 businesses
- Comparable transaction data from recent foam product company acquisitions
- Industry risk factors including foam bans, raw material costs, and recycling mandates
- Workforce composition and labor cost benchmarks for foam molding operations
- Regional market analysis covering major polystyrene foam production centers
- Capital expenditure benchmarks for block molds, shape molds, and extrusion lines
- End-market analysis across construction insulation, packaging, and food service segments
- Owner compensation and discretionary earnings benchmarks
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Subsector | Plastics and Rubber Products Manufacturing | 326 |
| Industry Group | Plastics Product Manufacturing | 3261 |
| NAICS Industry | Polystyrene Foam Product Manufacturing | 32614 |
| National Industry | Polystyrene Foam Product Manufacturing | 326140 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 326150 | Urethane and Other Foam Product (except Polystyrene) Manufacturing | Urethane and other non-polystyrene foam manufacturers producing competing foam products using polyurethane and polyethylene chemistries for insulation and cushioning applications |
| 326199 | All Other Plastics Product Manufacturing | All other plastics product manufacturers producing miscellaneous plastics items including non-foam packaging and containers that compete with polystyrene foam products |
| 325211 | Plastics Material and Resin Manufacturing | Plastics material and resin producers manufacturing expandable polystyrene beads and polystyrene resins consumed as primary feedstock in foam molding operations |
| 326160 | Plastics Bottle Manufacturing | Plastics bottle manufacturers producing rigid PET and HDPE containers that compete with polystyrene foam packaging in food service and consumer product markets |
| 322219 | Other Paperboard Container Manufacturing | Other paperboard container manufacturers producing paper-based food service products and packaging that compete with polystyrene foam containers and cups |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | California | 12.2% | 49 |
| 2 | Texas | 8.5% | 34 |
| 3 | Georgia | 6.2% | 25 |
| 4 | Ohio | 5.5% | 22 |
| 5 | Michigan | 5.5% | 22 |
| 6 | Florida | 4.0% | 16 |
| 7 | North Carolina | 3.7% | 15 |
| 8 | Tennessee | 3.7% | 15 |
| 9 | Pennsylvania | 3.7% | 15 |
| 10 | Illinois | 3.5% | 14 |
% Of Establishments
0%
12%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
64
Total SBA Loans
$55.1M
Total Loan Volume
$862K
Average Loan Size
9 yrs
Average Loan Term
10.07%
Average Interest Rate
872
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: Polystyrene foam manufacturers qualify as small businesses under the SBA size standards[10] for NAICS 326140, which set the threshold at 1,000 employees. The SBA 7(a) loan program[11] supports acquisitions of existing foam molding operations and working capital for raw material procurement, while the CDC/504 loan program[12] provides long-term fixed-rate financing for block molds, shape molds, XPS extrusion equipment, and warehouse expansions. Lenders assess product mix diversification across insulation, packaging, and food service segments when structuring foam manufacturing loans.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Readycap Lending, LLC | 8 | $40.0M | $5.0M |
| 2 | Pinnacle Bank | 8 | $10.6M | $1.3M |
| 3 | STAR Financial Bank | 16 | $2.0M | $125K |
| 4 | TD Bank, National Association | 16 | $1.6M | $97K |
| 5 | CDC Small Business Finance Corp. | 8 | $800K | $100K |
Frequently Asked Questions
Common questions about this industry.
What types of businesses are classified under NAICS 326140?
NAICS 326140 covers manufacturers producing products from polystyrene foam, including EPS insulation boards, molded protective packaging, XPS foam board, thermoformed food service containers and cups, foam coolers, and custom-shaped foam inserts. Per the U.S. Census Bureau[13], the classification specifically covers polystyrene-based foam products; other foam types like polyurethane fall under 326150.
How is the polystyrene foam industry structured?
The industry segments into three primary markets: construction insulation producers manufacturing EPS and XPS foam board for building envelopes, protective packaging manufacturers molding custom foam shapes for electronics and fragile goods shipping, and food service container producers thermoforming foam cups, plates, and clamshell containers. Each segment has different capital requirements, customer bases, and regulatory exposures, particularly regarding single-use plastics legislation.
What is the SBA size standard for NAICS 326140?
The SBA classifies a polystyrene foam manufacturer as a small business if it employs fewer than 1,000 workers, measured as the 24-month average of full-time and part-time employees. Per the SBA size standards table[10], this relatively high threshold reflects the scale of production operations in foam manufacturing.
What NAICS codes are most closely related to 326140?
Code 326150 is the closest related classification, covering polyurethane and other non-polystyrene foam products. Code 326199 captures other plastics products. Several 322219 covers competing paperboard food service products. Per the Census Bureau[13], the polystyrene versus non-polystyrene foam distinction is the primary boundary between 326140 and 326150.
What industries interact most with polystyrene foam manufacturers?
Building insulation contractors (238310) install EPS and XPS board in residential and commercial construction. Electronics manufacturers and e-commerce shippers consume molded protective packaging. Restaurants and food service operations purchase foam cups and containers. According to the Bureau of Labor Statistics[6], construction activity cycles directly influence insulation foam demand volumes.
What specific activities fall under NAICS 326140?
Covered activities include expandable polystyrene bead pre-expansion and aging, EPS block molding and shape molding using steam-heated aluminum molds, XPS board production through tandem extrusion with blowing agents, thermoforming of polystyrene foam sheet into food service containers, hot wire and CNC cutting of foam blocks, and foam recycling through densification and pelletization.
Are polystyrene foam manufacturers eligible for SBA loans?
Where are polystyrene foam manufacturing operations concentrated in the U.S.?
Foam production distributes near major construction markets and distribution hubs to minimize transportation costs for bulky, low-density products. Texas, the Midwest, and California host significant concentrations. Per the Census Bureau[14], southeastern states with strong residential construction activity also support multiple foam insulation and packaging production facilities.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]U.S. Census Bureau census.gov
- [6]Bureau of Labor Statistics bls.gov
- [7]SBA Office of Advocacy advocacy.sba.gov
- [8]EPA epa.gov
- [9]Bureau of Labor Statistics bls.gov
- [10]SBA size standards sba.gov
- [11]SBA 7(a) loan program sba.gov
- [12]CDC/504 loan program sba.gov
- [13]U.S. Census Bureau census.gov
- [14]Census Bureau data.census.gov
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