The global market for green building materials is projected to reach $529 billion by 2020, according to a report by Global Industry Analysts.
Green building concept relies on the use of techniques and materials that are environment friendly such as insulation made from shredded denim/sheep wool, and recycled concrete and green roofing produced from eco-friendly raw materials, among others.
The green building materials market is being driven by rising awareness about the benefits of green technologies, strict government regulations, increasing energy costs, declining costs of green building materials, higher resale value of green buildings, and increased adoption of voluntary certification programs for green buildings. Spiraling cost of resources such as water, energy and the ensuing need for conservation, and greater health and well-being of occupants in terms of reduced risk of allergic respiratory infections, also represent key factors fueling growth in the market.
Continuous improvements in material science, changing design and construction practices, and need for production efficiency in mature product segments are also driving the shift towards green building materials.
The report says the US represents the largest market worldwide supported by higher customer willingness to adopt green practices. Growing awareness and financial foresight over the long-term energy and cost savings of green buildings is driving voluntary renovation of existing buildings.
Asia-Pacific is poised to emerge as the fastest growing market with a CAGR of 16.9 percent over the forecast period led by strong GDP growth, improving living standards, rising disposable income levels, and growing emphasis on energy conservation.