Green Building Materials Market Forecasts to 2028 – Global Analysis By Product (Exterior Products, Interior Products and Other Products), By Application, By End User and By Geography

Green Building Materials Market Forecasts to 2028 – Global Analysis By Product (Exterior Products, Interior Products and Other Products), By Application, By End User and By Geography

According to Stratistics MRC, the Global Green Building Materials Market is accounted for $304.1 billion in 2022 and is expected to reach $639.8 billion by 2028 growing at a CAGR of 13.2% during the forecast period. A green building material is one that increases the durability and effectiveness of a building structure in terms of design, construction, maintenance, and renovation. These materials are generated from renewable waste sources and are very energy-efficient.

According to the USGBC, as of October 2022, the United States had around 20,125 Certified LEED projects, 21,068 Silver projects, 21,206 Gold projects, and 7,027 Platinum projects.

Market Dynamics:

Driver:

Growing shift toward green buildings

Wood, straw hemp concrete, recycled plastic, ferrock, straw bales, bamboo rammed earth, wood concrete, and grass concrete are instances of green building materials. The purpose of using these materials is to build structures that are energy-efficient and support the ecological balance of the environment. The use of environmentally friendly building materials may combat a number of environmental issues, including air pollution, the degradation of natural resources, the extinction of species, and global climate change. Due to these benefits, green building materials are the most significant replacement for conventionally used building materials.

Restraint:

Fluctuation cost will limit market growth

The availability of materials and increased demand from end-use industries are expected to cause price fluctuations that will impede market expansion. These materials cost more than standard building supplies. Their prices may change depending on a number of variables, including finishes, fixtures, and designs. Due to the long-term benefits of green buildings, using these materials results in significant initial investment expenditures. Additionally, it is anticipated that some countries' diminishing per capita incomes may impede residential development activity. The construction industry's adoption of new products is anticipated to be hampered over the forecast period.

Opportunity:

Rising awareness and adoption of green building materials

3 billion tons of raw materials, or 40% of the world's consumption, are used annually in construction and building operations. On a global scale, the use of sustainable building materials and products encourages the conservation of limited, nonrenewable resources. Moreover, the transport, extraction, processing, installation, production, disposal, recycling, and reusing of these construction industry feedstocks may all be performed more sustainably by including sustainable building materials in construction and building projects. However, market growth will probably be fueled by the rising demand for these materials in building and construction operations.

Threat:

Location and availability

It can be challenging to find the materials needed to construct these structures, particularly in urban regions where protecting the environment is not the norm. Another drawback of green building materials is choosing the proper location. Climate change is mostly attributable. Green buildings make the most of the sun's energy; therefore, using solar energy to build in an area with few sunny days would be detrimental because it might eventually run out of energy.

Covid-19 Impact:

The COVID-19 epidemic is rapidly overtaking nations and regions, having a profound effect on the supply chain at all levels. Lockdowns have been issued around the globe since March 2020, restricting the movement of individuals and products and adversely disrupting the supply chains of building firms. COVID-19 had a significant negative effect on the construction sector, which affected the market. The epidemic caused the construction industry to endure its worst period in several decades. Consequences include a lack of building supplies, logistical difficulties, a labor shortage, and uncertainty, which have caused construction attempts to be postponed or canceled around the world.

The exterior products segment is expected to be the largest during the forecast period

Due to the growing popularity of green roofing materials, the exterior products category is anticipated to hold the largest market share over the projected period. As Nature-Based Solutions (NBS) strives to tackle many environmental and socioeconomic issues brought on by climate change, green roofs are becoming more and more essential. Suburbs, cities, and towns are all considered urban settlements. Urban growth is necessary for urban settlements to develop effectively. Moreover, the 2030 Sustainable Development Goals and the New Urban Agenda both support cities' efforts to promote sustainability.

The residential building segment is expected to have the highest CAGR during the forecast period

Owing to the increasing number of proposals and building standards for energy-efficient construction, the residential building category is anticipated to have the highest CAGR over the course of the projection period. In the residential sector, green buildings are becoming more popular. Building materials that are both eco-friendly and energy-efficient are in demand. The main factors driving the market expansion of this category are the growing awareness of the environmental benefits of sustainable building materials and the expanding use of sustainable building methods in the residential sector.

Region with largest share:

Due to the high consumption of green building materials across all sorts of construction activities, North America is anticipated to dominate the market throughout the forecast period. The most extensively utilized green building rating system in the US is the LEED system. It offers a foundation for environmentally friendly, cost-effective, productive, and healthy buildings. Buildings with LEED certification increase efficiency, lower expenses, and reduce carbon emissions. Additionally, to safeguard the environment and minimize the effects of climate change, the Government of Canada has committed to decreasing the nation's total GHG emissions to 40–45% below 2005 levels by 2030 and to attain net zero by 2050. However, the Canadian government invested CAD 150 million in the development of the Canada Green Buildings Strategy in order to meet these objectives. For the purpose of achieving this goal, this approach will organize national action to transform markets and reduce expenses.

Region with highest CAGR:

Because of the region's expanding residential building sector, Asia-Pacific will experience rapid expansion during the projection period. The region's product demand is anticipated to be driven by the Paris Climate Agreement, which China and India approved in an attempt to combat climate change, as well as growing infrastructure development in both countries. On the market, a variety of green materials are employed, such as fiber cement composites, linoleum, and galvalume panels.

Key players in the market

Some of the key players in Green Building Materials market include Alumasc Group plc. , Amvic Inc., BASF SE, Bauder Ltd, Binderholz GmbH, E. I. du Pont de Nemours and Company, Forbo International SA, Interface Inc., Kingspan Group, Owens Corning, PPG Industries, Inc., REDBUILT, Saint- Gobain, Sika AG, Soben International (Asia-Pacific) Ltd and National Fiber.

Key Developments:

In October 2022, Holcim acquired Wiltshire Heavy Building Materials, one of the leading companies providing building solutions and material circularity in the United Kingdom. This acquisition will strengthen Holcim’s market presence in the United Kingdom's green building materials market.

In August 2022, Saint-Gobain acquired Kaycan, a manufacturer and distributor of exterior building materials in Canada and the United States. Saint-Gobain strengthened its global leadership in light and sustainable construction with this acquisition, becoming the leading player for sidings in Canada and expanding its vinyl offering across the United States with complementary solutions in aluminum and engineered wood.

In January 2022, Binderholz GmbH acquired the UK-based sawmill group, BSW Timber Ltd, which is a subsidiary of the Austrian Binderholz Group. BSW Timber Ltd produces more than 1.2 million cu. m of sawn timber per annum. This acquisition made Binderholz GmbH the largest sawmill and solid wood processing company in Europe.

Products Covered:
• Exterior Products
• Interior Products
• Solar Products
• Structural
• Framing
• Other Products

Applications Covered:
• Residential Buildings
• Non Residential Buildings
• Other Applications

End Users Covered:
• R & D Centers
• Healthcare
• Education
• Public Facilities
• Other End Users

Regions Covered:
• North America
o US
o Canada
o Mexico
• Europe
o Germany
o UK
o Italy
o France
o Spain
o Rest of Europe
• Asia Pacific
o Japan
o China
o India
o Australia
o New Zealand
o South Korea
o Rest of Asia Pacific
• South America
o Argentina
o Brazil
o Chile
o Rest of South America
• Middle East & Africa
o Saudi Arabia
o UAE
o Qatar
o South Africa
o Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements