Green Building Market Size & Share, by Product Type (Exterior Products, Interior Products, Building Systems, Solar Products); Application (Residential Buildings, Commercial Buildings, Industrial Buildings); Type of Construction (New Construction, Renovation); Distribution Channel (Online, Offline) - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2025-2037

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Report ID: 3509
Published Date: Mar 24, 2025
Report Format: PDF, PPT

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Global Green Building Market

Introduction
1. Study Objective
2. Scope of the report
3. Market Taxonomy
4. Study Assumptions and Abbreviations
Research Methodology & Approach
1. Primary Research
2. Secondary Research
3. SPSS Methodology
4. Data Triangulation
Executive Summary
Global Industry Overview
1. Market Overview
2. Regional Synopsis
3. Industry Supply Chain Analysis
4. DROT Analysis
  1. Drivers
  2. Restraints
  3. Opportunities
  4. Trends
5. Government Regulation
6. Competitive Landscape
  1. Alumasc Group plc
  2. Amvic Inc.
  3. BASF
  4. Bauder Ltd
  5. Forbo Group
  6. Interface, Inc.
  7. Kingspan Group
  8. Owens Corning
  9. Panasonic Holdings Corporation
  10. Wienerberger AG
7. Ongoing Technological Advancements
8. Price Benchmarking
9. SWOT Analysis
10. Product Type Scenario
11. Key Application
12. Non-Residential Application
13. Key Distribution Channel
14. Recent Development
15. Root Cause Analysis (RCA) for Green Building Market
16. Contribution of the Industry Towards Decarbonization
17. Building the Future: How IoT is Shaping Green Building Sustainability
18. IoT in Action: Success Stories in Transforming Green Building Efficiency
19. Industry Risk Assessment
20. Growth Outlook
Global Outlook and Projections
1. Global Overview
  1. Market Value (USD Billion), Current and Future Projections, 2019–2037
  2. Increment $ Opportunity Assessment, 2019–2037
  3. Year-on-Year Growth Forecast (%)
2. Global Segmentation (USD Billion), 2019–2037, By
  1. Product Type, Value (USD Billion)
    1. Exterior Products
    2. Interior Products
    3. Building Systems
    4. Solar Products
  2. Application, Value (USD Billion)
    1. Residential Buildings
    2. Commercial Buildings
    3. Industrial Buildings
  3. Type of Construction, Value (USD Billion)
    1. New Construction
    2. Renovation
  4. Distribution Channel, Value (USD Billion)
    1. Online
    2. Offline
  5. Regional Synopsis, Value (USD Billion), 2019–2037
    1. North America
    2. Europe
    3. Asia Pacific
    4. Latin America
    5. Middle East and Africa
North America Market
1. Overview
  1. Market Value (USD Billion), Current and Future Projections, 2019–2037
  2. Increment $ Opportunity Assessment, 2019–2037
  3. Year-on-Year Growth Forecast (%)
2. Segmentation (USD Billion), 2019-2037, By
  1. Product Type, Value (USD Billion)
    1. Exterior Products
    2. Interior Products
    3. Building Systems
    4. Solar Products
  2. Application, Value (USD Billion)
    1. Residential Buildings
    2. Commercial Buildings
    3. Industrial Buildings
  3. Type of Construction, Value (USD Billion)
    1. New Construction
    2. Renovation
  4. Distribution Channel, Value (USD Billion)
    1. Online
    2. Offline
  5. Country Level Analysis, Value (USD Billion)
    1. U.S.
    2. Canada
Europe Market
1. Overview
  1. Market Value (USD Billion), Current and Future Projections, 2019–2037
  2. Increment $ Opportunity Assessment, 2019–2037
  3. Year-on-Year Growth Forecast (%)
2. Segmentation (USD Billion), 2019-2037, By
  1. Product Type, Value (USD Billion)
    1. Exterior Products
    2. Interior Products
    3. Building Systems
    4. Solar Products
  2. Application, Value (USD Billion)
    1. Residential Buildings
    2. Commercial Buildings
    3. Industrial Buildings
  3. Type of Construction, Value (USD Billion)
    1. New Construction
    2. Renovation
  4. Distribution Channel, Value (USD Billion)
    1. Online
    2. Offline
  5. Country Level Analysis, Value (USD Billion)
    1. UK
    2. Germany
    3. France
    4. Italy
    5. Spain
    6. Netherlands
    7. Russia
    8. Switzerland
    9. Poland
    10. Belgium
    11. Rest of Europe
Asia Pacific Market
1. Overview
  1. Market Value (USD Billion), Current and Future Projections, 2019–2037
  2. Increment $ Opportunity Assessment, 2019–2037
  3. Year-on-Year Growth Forecast (%)
2. Segmentation (USD Billion), 2019-2037, By
  1. Product Type, Value (USD Billion)
    1. Exterior Products
    2. Interior Products
    3. Building Systems
    4. Solar Products
  2. Application, Value (USD Billion)
    1. Residential Buildings
    2. Commercial Buildings
    3. Industrial Buildings
  3. Type of Construction, Value (USD Billion)
    1. New Construction
    2. Renovation
  4. Distribution Channel, Value (USD Billion)
    1. Online
    2. Offline
  5. Country Level Analysis, Value (USD Billion)
    1. UK
    2. Germany
    3. France
    4. Italy
    5. Spain
    6. Netherlands
    7. Russia
    8. Switzerland
    9. Poland
    10. Belgium
    11. Rest of Europe
Latin America Market
1. Overview
  1. Market Value (USD Billion), Current and Future Projections, 2019–2037
  2. Increment $ Opportunity Assessment, 2019–2037
  3. Year-on-Year Growth Forecast (%)
2. Segmentation (USD Billion), 2019-2037, By
  1. Product Type, Value (USD Billion)
    1. Exterior Products
    2. Interior Products
    3. Building Systems
    4. Solar Products
  2. Application, Value (USD Billion)
    1. Residential Buildings
    2. Commercial Buildings
    3. Industrial Buildings
  3. Type of Construction, Value (USD Billion)
    1. New Construction
    2. Renovation
  4. Distribution Channel, Value (USD Billion)
    1. Online
    2. Offline
  5. Country Level Analysis, Value (USD Billion)
    1. Brazil
    2. Argentina
    3. Mexico
    4. Rest of Latin America
Middle East & Africa Market
1. Overview
  1. Market Value (USD Billion), Current and Future Projections, 2019–2037
  2. Increment $ Opportunity Assessment, 2019–2037
  3. Year-on-Year Growth Forecast (%)
2. Segmentation (USD Billion), 2019-2037, By
  1. Product Type, Value (USD Billion)
    1. Exterior Products
    2. Interior Products
    3. Building Systems
    4. Solar Products
  2. Application, Value (USD Billion)
    1. Residential Buildings
    2. Commercial Buildings
    3. Industrial Buildings
  3. Type of Construction, Value (USD Billion)
    1. New Construction
    2. Renovation
  4. Distribution Channel, Value (USD Billion)
    1. Online
    2. Offline
  5. Country Level Analysis, Value (USD Billion)
    1. Saudi Arabia
    2. UAE
    3. Israel
    4. Qatar
    5. Kuwait
    6. Oman
    7. South Africa
    8. Rest of Middle East & Africa
Global Economic Scenario
1. World Economic Outlook
About Research Nester
1. Our Global Clientele
2. We Serve Clients Across World

Global Market Size, Forecast, and Trend Highlights Over 2025-2037

Green Buildings Market size was over USD 782.47 billion in 2024 and is anticipated to cross USD 2.49 trillion by 2037, growing at more than 9.3% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of green building is assessed at USD 840.69 billion.

The green building market is experiencing a shift due to the rising regulatory standards, corporate sustainability targets, and consumer awareness and expectations towards sustainable buildings. As the regulatory environment becomes increasingly stringent in regions worldwide, market players are embracing innovative solutions and environmentally friendly building materials to maintain their competitiveness. In October 2024, the European Bank for Reconstruction and Development (EBRD) provided a EUR 5 million loan to Shunkhlai Holding to refurbish its headquarters in Mongolia to create more sustainable offices. The initiative also helps to improve the decarbonization of the construction industry in Mongolia and provides a best practice model to implement commercial deep retrofitting. These are some of the trends that have been observed and are in line with the global shift towards carbon neutrality in both emerging and developed markets.

Additional impetus is being created through integrated material efficiency standards, digital building intelligence, and life cycle-oriented emission control measures. The London Energy Transformation Initiative set an embodied carbon budget of 600 kgCO2e/m2 in 2024, which has become a bar for sustainable construction in most cities around the world. Through the promotion of low-emission materials and resource-efficient renovation solutions, the initiative contributes to spreading circular design values. This move is in line with EU-wide decarbonization initiatives and raises material innovation to a competitive advantage factor in the construction supply chain. There is a growing focus on green buildings not only as sustainable investments but as essential drivers of climate transition strategies.

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Green Buildings Sector: Growth Drivers and Challenges

Regulatory frameworks and policy incentives: It is evident that government regulation is still the most influential driver of the green building market. Legislations like the EU Energy Performance of Buildings Directive (EPBD) and the U.S. Building Performance Standards (BPS) require mandatory renovations and energy efficiency upgrades by 2030. In April 2024, the World Green Building Council released the European Manifesto for a Sustainable Built Environment, which presents the policy objectives to decrease energy consumption and the use of fossil fuels. Backed by 24 national councils, the program focuses on employment, economic stability and sustainability, and green cities. Such frameworks are not only reshaping the public domain but are also creating new possibilities for the private sector to explore.
Integration of renewable energy systems in building design: One of the emerging trends in green building is the incorporation of renewable energy sources into the building’s systems. In July 2024, Kingspan Group and LONGi Green Energy Technology partnered to integrate solar solutions into building materials. This synergy contributes to the creation of net-zero infrastructure by integrating photovoltaic technology with the building skin. The alliance is a shift toward the use of integrated elements that produce energy, decrease expenses, and improve design. It demonstrates the increasing importance of energy generation systems as a component of sustainable architecture.
Corporate climate commitments and innovation in materials: Businesses are sourcing products with low lifecycle emissions and materials for the construction of low-carbon products. In January 2025, Interface launched a carbon-negative Nora rubber flooring sample that aims to have a carbon footprint that is lower than the amount of carbon it captures. This innovation provides answers to the problem of carbon offsets and attempts to directly capture carbon through material science with the goal of achieving new industry standards. These trends are revolutionizing the value proposition of commercial interiors and contributing to a larger trend toward performance-based sustainability in construction materials.

Challenges

Lifecycle data availability and standardization: One of the key challenges to the growth of the sustainable green building market is the lack of consistency when it comes to lifecycle carbon tracking and emissions data, even with the advancements in sustainable building design. This is attributed to the fact that there is no clear set of metrics and reporting tools that can be used to benchmark the environmental performance of buildings and building materials. This also hampers the ability to have a proper evaluation of the lifecycle impacts of buildings, thus resulting in poor decision-making regarding design and construction.
Infrastructure readiness and adoption in emerging markets: Due to the lack of well-developed infrastructures and the limited availability of green materials, many emerging economies struggle to implement sustainable construction technologies at a large scale. This can entail challenges such as inadequate energy and water resources, insufficient human resources, and insufficient supportive regulations. However, one of the main challenges of using green building materials and technologies in these markets is the high upfront cost. Therefore, the level of green building uptake remains low in most developing nations compared to developed countries.

Green Buildings Market: Key Insights

Base Year	2024
Forecast Year	2025-2037
CAGR	9.3%
Base Year Market Size (2024)	USD 782.47 billion
Forecast Year Market Size (2037)	USD 2.49 trillion
Regional Scope	North America (U.S., and Canada) Asia Pacific (Japan, China, India, Indonesia, Malaysia, Australia, South Korea, Rest of Asia Pacific) Europe (UK, Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe) Latin America (Mexico, Argentina, Brazil, Rest of Latin America) Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)

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Green Buildings Segmentation

Application (Residential, Non-Residential Buildingss)

The non-residential segment in the green buildings market is anticipated to hold the largest share of about 68% during the forecast period. Rapidly increasing urbanization and the rise in urban populations across the globe are leading to market growth. In 2022, the proportion of urbanized population worldwide has increased to 57 %. It is also due to the growing demand for environmentally friendly and sustainable solutions. In addition, it is now necessary for all construction companies not directly involved in the housing sector to prioritize sustainability design and construction techniques so that they can take advantage of the planet's limited resources. Sustainable business practices are crucial to green buildings, reducing energy consumption, and protecting natural resources throughout the majority of countries. Furthermore, the growing concern over climate change has led to environmentally responsible and sustainable activities which have increased demand for green buildings materials in non-residential buildingss. According to a recent study, 72% of consumers reported buying more eco-friendly products than five years ago. In five years, the number of worldwide online searches for sustainable goods has risen by 71%. In the case of eco-friendly brands, 55% of consumers are willing to pay more.

Product (Exterior Products, Interior Products, Buildings Systems, Solar Products)

Green buildings market from the solar products segment is expected to account for largest revenue share of about 52% over the forecast period. The fact that solar installation is extremely cost efficient, increases access to energy, and reduces the carbon footprint can be accounted for. Furthermore, the investment in photovoltaic panels and their maintenance is regarded as a safe bet that will help to drive future market growth. In 2021, solar power accounted for around 4% of the world's energy supply. That's an increase from 3% in 2020. The total contribution of renewable energies to overall electricity generation was 38%, with the solar sector accounting for 11.5%. Overall, this gives the figure of 4.37%.

Our in-depth analysis of the global green buildings market includes the following segments:

Product	Exterior Products Interior Products Buildings Systems Solar Products
Distribution Channel	Offline Online
End-Use	Roofing Flooring Insulation
Application	Residential Non-Residential Buildingss

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North America Market Analysis

North America green building market is projected to grow at more than 10% CAGR through 2037, owing to federal energy efficiency policies, infrastructure spending, and consumer sustainability trends. According to the U.S. Department of Energy, there is an estimated 30% energy saving in buildings when IoT lighting and climate control are adopted. In March 2025, Holcim decided to rebrand its North America operation as Amrize in order to meet the regional decarbonization objectives. The company will prioritize circular materials, digital construction advancements, and carbon net-zero supply chains, garnering market position.

The U.S. is anticipated to observe stable growth during the forecast period owing to its construction and regulation of sustainable markets. Government initiatives and private financing options are driving adoption across the commercial as well as residential sectors. The government’s proactive approach towards climate change and the increased emphasis on corporate sustainability initiatives are set to drive the green building market even further.

Canada is steadily moving towards green building with solid governmental backing and sustainability goals across provinces. In July 2024, the government launched the Canada Green Buildings Strategy with funding for low-carbon construction materials, retrofitting incentives, and skilled workforce training. The program complements Canada’s net-zero initiatives and encourages the country’s provinces to work together toward creating sustainable structures. The strategy is a clear indication of the growing status of Canada as a regional powerhouse in sustainable urban development.

Asia Pacific Market Statistics

Asia Pacific green building market is expected to capture revenue share of over 43.7% by 2037, due to increased urbanization, the presence of favorable policies, and increasing investments in green construction. In April 2022, the Ministry of Housing and Urban-Rural Development of China introduced The Code for Building Energy Efficiency and Renewable Energy Utilization, which applies to all building types. This regulation is a first step towards increasing the adoption of green building practices in one of the largest construction industries globally.

China quest for sustainability at the political level remains impactful in the global green building trends. The energy efficiency code requires the use of renewable energy and smart devices in newly constructed and existing buildings. Local authorities are also promoting green infrastructure in the form of incentives to install solar panels, sustainable water systems, and prefabricated modular construction. These policies are consistent with a broader national approach to decarbonizing the construction sector and encouraging circular design practices.

The green building market in India has shown considerable growth over the years owing to factors such as favorable economics, high urban demand, and institutionalization. In March 2024, Green Building Renewables purchased JL Phillips Renewable Energy Ltd to incorporate renewable energy products into green housing schemes. Such developments highlight how energy infrastructure and building systems are integrated into India construction sector, presenting new possibilities for sustainable scale and affordability.

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Companies Dominating the Green Building Market

The green building market is saturated due to the recent advancements in sustainable construction materials, integrated energy systems, and digital solutions for the building’s life cycle. Some of the major players in the industry are Alumasc Group plc, Amvic Inc., BASF, Bauder Ltd, Forbo Group, Interface Inc., Kingspan Group, Owens Corning, Panasonic Holdings Corporation, and Wienerberger AG. These firms are using research and development, partnerships, and acquisitions as key strategies for green building market development and operational excellence. In July 2023, Alumasc Group purchased ARP Group for USD 12.66 million in order to strengthen its position in architectural aluminum and rainwater systems. This acquisition is in line with Alumasc’s long-term strategy of expanding its portfolio of high-performance exterior products for sustainable construction. The trend highlights how selective M&A transactions are strengthening market segmentation and driving innovation in green building parts.

Here are some leading companies in the green building market:

Alumasc Group plc
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
Amvic Inc.
BASF
Bauder Ltd
Forbo Group
Interface, Inc.
Kingspan Group
Owens Corning
Panasonic Holdings Corporation
Wienerberger AG

In the News

In March 2025, One Click LCA and the U.S. Green Building Council announced a strategic partnership to streamline life-cycle assessment and decarbonization in buildings. The collaboration enables LEED-certified projects to integrate One Click LCA tools, enhancing material carbon footprint analysis. This initiative accelerates data-driven sustainability in construction. It marks a pivotal advancement in lifecycle carbon transparency for green buildings.
In February 2025, SOL Properties unveiled stringent green building design principles for its upcoming Solara Tower in Dubai. The high-rise will integrate sustainable materials, water efficiency systems, and energy-saving technologies. This initiative reflects Dubai’s shifting regulatory and investor focus toward sustainable construction. Solara Tower is set to become a benchmark for eco-conscious urban developments.
In February 2025, the International Finance Corporation (IFC) announced Indonesia’s first sustainability-linked loan to decarbonize retail properties. The loan will support energy efficiency upgrades and green building certifications in commercial real estate. The initiative aims to unlock green finance in Southeast Asia’s construction sector. It also demonstrates how financial tools are accelerating sustainable property development.

Author Credits: Dhruv Bhatia

Report ID: 3509
Published Date: Mar 24, 2025
Report Format: PDF, PPT

Frequently Asked Questions (FAQ)

In 2024, the industry size of green building was USD 658.3 billion.

The global green building market size was USD 658.3 billion in 2024 and is expected to reach USD 2.28 trillion by the end of 2037, expanding at a CAGR of 10.4% during the forecast period, i.e., 2025-2037. In 2025, the industry size of green building will be valued at USD 694.4 billion.

Key players in the market are Alumasc Group plc, Amvic Inc., BASF, Bauder Ltd, Forbo Group, Interface, Inc., Kingspan Group, Owens Corning, Panasonic Holdings Corporation, Wienerberger AG.

The exterior products segment is anticipated to lead the green building market during the forecast period.

Asia Pacific is likely to offer lucrative prospects to the companies in the green building market during the forecast period.