2025 Market Reports Update: Market Size Forecasts to 2034, Key Trends, Leading Players, and Top Regions – Get Ahead of the Competition Today!

How Are Key Drivers in the Industry Acting as Catalysts for the Growth of theLow Carbon Buildings Market?

The increasing awareness of climate change is expected to drive growth in the low-carbon buildings market. As concerns about environmental sustainability rise, there is a growing demand for low-carbon buildings that reduce greenhouse gas emissions through energy-efficient designs, sustainable materials, and renewable energy systems. In 2023, the European Commission reported that 87% of Europeans favor increasing renewable energy use, and 86% support enhancing energy efficiency by 2030. As public awareness of climate change grows, there is a stronger push for sustainable practices, which drives the demand for low-carbon buildings.

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#What is the Anticipated CAGR of theLow Carbon Buildings Market, and What Factors Will Drive It?

The low carbon buildings market has seen rapid growth in recent years. It is expected to grow from $553.39 billion in 2024 to $624.85 billion in 2025 at a CAGR of 12.9%. This growth is attributed to increasing environmental regulations, rising awareness of climate change, stricter energy efficiency requirements, government incentives for sustainable construction, and growing demand for eco-friendly materials.

The low carbon buildings market is expected to grow rapidly, projected to reach $1,001.71 billion by 2029 at a 12.5% CAGR. Growth is driven by strict environmental regulations, energy efficiency awareness, renewable energy integration, urban expansion, and smart city development. Trends include eco-friendly concrete, green steel production, mass timber use, hempcrete innovation, recycled materials, and smart energy systems.

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What Key Market Trends and Innovations Are Shaping the Future of theLow Carbon Buildings Industry?

In the low-carbon buildings market, companies are increasingly focusing on strategic partnerships to promote decarbonization programs aimed at enhancing energy efficiency and reducing carbon emissions in construction. For example, Mahindra Group, an Indian industrial company, joined forces with Johnson Controls in June 2024 to launch a net-zero buildings initiative. This partnership offers free toolkits and training programs to guide building owners in adopting sustainable practices, accelerating India’s low-carbon development.

What Are the Major Market Players Making an Impact on theLow Carbon Buildings Market Growth?

Major companies operating in the low carbon buildings market are BASF SE, Siemens AG, Dow Inc., Saint-Gobain, ThermoFisher Scientific Inc., Schneider Electric SE, Honeywell International Inc., Mitsubishi Electric Corporation, 3M Company, Holcim Group, ABB Ltd., Heidelberg Materials, Johnson Controls International plc, DuPont, Nippon Paint, Kingspan Group plc, Legrand SA, Rockwool International, Guardian Glass, Knauf Insulation, Armstrong World Industries

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How Are the Key Segments of the Low Carbon Buildings Market Driving Opportunities and Innovations?

The low carbon buildings market covered in this report is segmented –

1) By Type: Energy-Efficient Materials, Renewable Energy Systems, Low Carbon HVAC Systems, Green Building Certifications

2) By Material: Wood, Bamboo, Recycled Steel, Recycled Plastic

3) By Application: Commercial, Residential, Industrial

Subsegments:

1) By Energy-Efficient Materials: High-Performance Insulation, Low-Emissivity Glass, Recycled Building Materials, Phase-Change Materials

2) By Renewable Energy Systems: Solar Photovoltaic (PV) Systems, Wind Energy Systems, Geothermal Heating And Cooling, Biomass Energy Systems

3) By Low Carbon HVAC Systems: Heat Pumps, Energy Recovery Ventilation (ERV) Systems, Radiant Heating And Cooling Systems, Smart Thermostats

4) By Green Building Certifications: Leadership in Energy and Environmental Design (LEED), BREEAMBuilding Research Establishment Environmental Assessment Method (BREEAM), WELL Building Standard, Passive House Certification

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What Regions Are At the Forefront of #How Are Key Drivers in the Industry Acting as Catalysts for the Growth of theLow Carbon Buildings Market?# Market Expansion?

Europe was the largest region in the low-carbon buildings market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the low carbon buildings market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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