Green building materials are an environmentally friendly solution as they are produced from recyclable products. Green building materials are ideal construction materials as they help in conserving non-renewable resources and also reduce environmental impact. Moreover, green building materials are a durable and energy-efficient solution that makes them suitable for creating various infrastructure.
The global green building materials market is estimated to be valued at US$ 259.41 million in 2021 and is expected to exhibit a CAGR of 10.5 % over the forecast period (2021-2028).
Recent Developments:
North America held dominant position in the global green building materials market in 2020, accounting for 35.1 % share in terms of value, followed by Europe and Asia Pacific respectively.
Figure 1. Global Green Building Materials Market Share (%), by Region, 2020
Drivers:
The growing shift towards green building is expected to drive the market growth of green building materials. For example, increasing activities by North America Commission for replacing conventional materials with green building technology is fueling the market growth. According to the Coherent Market Insights analysis, regions such as the U.K., Singapore, and the UAE accounted for over 50.0% of green building activities. Also, growing renovation and construction of new infrastructure is again propelling the demand for green building materials across all these regions.
Increasing Federal support for high performance and sustainable construction is augmenting the market growth. For instance, in January 2006, federal agencies signed a memorandum regarding their leadership in high performance and sustainable building construction. According to the memorandum, the agencies will be implementing the guidelines set by the EO (Executive Order) 13423 regarding the green building concept in their new constructions as well as major renovations. The act further aims to implement the same guidelines in at least 15.0% of the existing constructions and leases by the fiscal year 2015.
Market Opportunities
Increasing retrofits and renovations across developing and developed countries is projected to offer lucrative market opportunities over the forecast period. For example, the U.K. has a large number of old infrastructure such as office complexes, school buildings, etc. This is expected to create potential market opportunities for the key players located in the Europe region. Thus growing retrofits and renovations is projected to propel the market growth.
Rising awareness regarding recycled construction is expected to offer profitable market opportunities over the forecast period. Increasing government rules and regulations to mandate the use of green building materials is again expected to foster market growth. The growing construction of green building in residential areas due to the growing demand for energy-efficient structures is further propelling the market growth of the green building materials over the forecast timeframe.
Report Coverage | Details | ||
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Base Year: | 2020 | Market Size in 2021: | US$ 286.65 Mn |
Historical Data for: | 2017 to 2020 | Forecast Period: | 2021 to 2028 |
Forecast Period 2021 to 2028 CAGR: | 10.5% | 2028 Value Projection: | US$ 576.61 Mn |
Geographies covered: |
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Segments covered: |
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Companies covered: |
Alumasc Group Plc, Amvik Systems, BASF SE, Bauder Limited, Binderholz GmbH, CertainTeed Corporation, E. I. du Pont de Nemours and Company, Forbo International SA., Interface Inc., Kingspan Group plc, Lafarge, and Lhoist UK Ltd/Tradical |
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Growth Drivers: |
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Restraints & Challenges: |
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Market Trends
Interior green building materials is gaining traction in the market. The advantage such as superior aesthetics, enhanced lighting, and improved indoor air quality offered by interior materials is augmenting the market growth. Moreover, interior materials are also beneficial in controlling humidity and enable better control over air quality. All these factors are projected to foster the market growth of the green building materials over the forecast timeframe.
Growing agreement and partnership between the key players for promoting the use of green building materials is expected to support the market growth over the forecast period. For instance, in October 2020, The Confederation of Indian (CII) Industry's Indian Green Building Council (CII - IGBC) signed a memorandum of understanding (MoU) with the National Real Estate Development Council (NAREDCO) to accelerate the green buildings movement in India.
Figure 2. Global Green Building Materials Market Share (%), By Application, 2020
Key Takeaways of the Graph:
The insulation held dominant position in the market and accounted for 21.4% share in the global green building materials market in 2020. The segment is expected to reach US$ 164.85 million in 2028
Market Restraints
High cost and various factors associated with market penetration is expected to restrict product demand. This is projected to hamper the market growth of green building materials.
The impact of COVID-19 on the market and the high capital investment required as compared to conventional buildings is expected to hinder the market growth of the green building materials.
Competitive Section:
Company Names
Recent Development
In May 2019, BASF announced the sale of $3 Billion construction chemicals arm
Green construction is an environmentally friendly building method that reduces waste, protects the environment, and promotes healthy living. Green buildings are constructed with recyclable materials, minimizing waste and increasing energy efficiency. Using recycled materials is not only better for the environment, it also makes homes and offices more attractive to buyers. Bamboo floors are a popular choice to use in green buildings because they are fast-growing, a natural resource that can provide a natural touch to any space. Available in an array of colors and styles, bamboo flooring is an eco-friendly way to boost the beauty of any room.
Market Dynamics:
Rapid growth in the construction sector across developing regions coupled with the growing adoption of advanced building material is fostering growth of the green building materials market. Growing environmental concerns is encouraging innovative green construction material which is again augmenting growth of the market. For instance, in April 2021, Lafarge Egypt, a member of LafargeHolcim Group, has introduce EcoLabel cement for the first time in Egypt.
On the other hand, the high cost and slowdown of the economy due to the Covid-19 impact is expected to restrict growth of the market.
Key features of the study:
Detailed Segmentation:
“*” marked represents similar segmentation in other categories in the respective section.
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