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 building various infrastructures.
Global green building materials market was valued at US$ 259.41 Million in 2021 in terms of revenue, exhibiting a CAGR of 10.8% during the forecast period (2022 to 2030).
The growing shift towards green building is expected to drive the green building materials market growth For example, increasing activities by North America Commission for replacing conventional materials with green building technology is fueling the market growth. According to Coherent Market Insights’ in 2020 analysis, regions such as the U.K., Singapore, and the UAE accounted for over 50.0% of green building activities. The growing renovation and construction of new infrastructure is also propelling the demand for green building materials across all these regions.
In September 2021, BASF, a multinational chemical producer and a leading multinational automobile safety glass manufacturer Fuyao Glass Industry Group Co., Ltd. (Fuyao Group) signed a strategic cooperation agreement to include the co-creation of new business development for the automotive industry into its existing scope of the partnership. With the new collaborative effort, the company will further strengthen the development of innovative and sustainable automotive glass and functional exterior application in combination with BASF which is expected to drive the green building materials market.
The COVID-19 outbreak had a negative impact on the green building materials market. The market witnessed a sharp decline in demand for green building materials market. The COVID-19 pandemic caused a ban on import and export, thereby disrupting the supply chain and hampering the market. Lockdown imposed by governments impacted the construction sector, and as a result, many construction projects have been halted or postponed. There was a huge supply and demand gap during COVID-19.
Figure 1. Global Green Building Materials Market Value Share (%), By Region, 2021
High capital investment when compared to conventional buildings and the impact of COVID-19 on the market are likely to hinder the growth of the green building materials market. Rising energy costs and high performance green building products are the primary industry propellants. However, uneven enforcement of energy regulation and highly price-sensitive consumers may hamper the growth of the industry.
Green Building Materials Market Report Coverage
|Base Year:||2021||Market Size in 2021:||US$ 259.41 Mn|
|Historical Data for:||2017-2020||Estimated Year:||2022|
|Forecast Period 2022 to 2030 CAGR:||10.8%||Forecast Period:||2022-2030|
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
|Restraints & Challenges:||
Interior green building materials are gaining traction in the market. Advantages such as superior aesthetics, enhanced lighting, and improved indoor air quality offered by interior materials is augmenting the market growth. Moreover, interior materials are beneficial in controlling humidity and enabling better control over air quality. All these factors are projected to foster the market growth of the green building materials market over the forecast timeframe.
Growing government initiatives and agreements by green building materials associations 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 Value Share (%), By Application, 2021
On the basis of application segment, insulation held a dominant position in the market and accounted for 21.4% share in the global green building materials market in 2021.
Major players operating in the market include 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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