Green Building Market Report 2026

The green building market size has grown strongly in recent years. It will grow from $642.19 billion in 2025 to $702.54 billion in 2026 at a compound annual growth rate (CAGR) of 9.4%. The growth in the historic period can be attributed to increasing awareness of sustainable construction practices, early adoption of green certification systems, rising demand for energy-efficient materials, growth in government sustainability initiatives, expanding commercial construction activities.

The green building market size is expected to see strong growth in the next few years. It will grow to $958.68 billion in 2030 at a compound annual growth rate (CAGR) of 8.1%. The growth in the forecast period can be attributed to growing investment in renewable-integrated buildings, increasing adoption of smart building technologies, rising regulatory pressure for carbon reduction, expansion of sustainable material innovation, increasing demand for high-performance building systems. Major trends in the forecast period include growing demand for eco-friendly building materials, increasing integration of smart energy management systems, rising adoption of digital monitoring tools, expansion of automated building technologies, increasing use of AI-driven efficiency optimization.

The increasing interest in sustainable building practices is anticipated to drive growth in the green building market. Sustainable building practices encompass the design, construction, and operation of buildings in an environmentally responsible and resource-efficient manner throughout their lifecycle. This trend is fueled by heightened environmental awareness, economic advantages for building owners, and regulatory mandates. Green buildings contribute to sustainable development by curbing resource consumption, reducing pollution, and fostering healthier built environments for present and future generations. Notably, in February 2024, the US Green Building Council reported a 9% rise in LEED certifications in 2023 compared to the previous year, with an additional 21 certifications for single-family homes in the residential sector. Moreover, there was a noteworthy 51% increase in new LEED project registrations during the same period. Consequently, the increasing focus on sustainable construction methods is fueling the expansion of the green building industry.

Key players in the green building market are prioritizing innovative solutions, such as green concrete alternatives, to enhance sustainability and energy efficiency. Green concrete solutions offer environmentally sustainable substitutes to traditional concrete, aiming to cut carbon emissions, lower resource usage, and promote overall sustainability in construction. For instance, in January 2023, ACC Limited launched ACC ECOMaxX in India, marking a significant advancement in green concrete technology. This range boasts a substantial reduction - ranging from 30% to 100% - in embodied carbon content compared to ordinary Portland cement-based concrete. Leveraging Green Ready Mix Technology, these products can reduce CO2 emissions by up to 100%, while ensuring durability and impeccable finishing through innovative CO2-reduced binders and optimal mix formulations. ACC ECOMaxX meets the sustainable construction needs of various stakeholders, including contractors, developers, engineers, architects, and individual home builders.

In April 2023, SOCOTEC Consulting Inc., a US-based provider of testing, inspection, and certification (TIC) services for the building and infrastructure sectors, acquired Spinnaker Group LLC, a move aimed at bolstering its energy and sustainability consulting services. This strategic acquisition enhances SOCOTEC USA's capabilities in the field, underscoring its dedication to sustainable development. Spinnaker Group LLC specializes in green building communities and sustainable development, aligning well with SOCOTEC's objectives and expanding its footprint in the sustainable construction sector.

Major companies operating in the green building market are Robert Bosch GmbH, BASF SE, Siemens AG, General Electric Company, Raytheon Technologies Corporation, Panasonic Corporation, LG Electronics Inc, International Business Machines Corporation, Cisco Systems Inc, Oracle Corporation, Schneider Electric SE, Honeywell International Inc, ABB Ltd, Daikin Industries Ltd, Johnson Controls International plc, CEMEX S.A.B. de C.V, DuPont de Nemours Inc, Owens Corning, Kingspan Group plc, Signify N.V, Binderholz GmbH, Forbo International SA, Interface Inc, Alumasc Group plc, Amvik Systems Inc, Bauder Ltd, Plastiblok Ltd.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs are influencing the green building market by raising costs of imported sustainable materials, solar technologies, and energy-efficient components, leading to higher project expenses and delays for residential and non-residential construction. Regions dependent on imported green technologiesparticularly Europe and Asia-Pacificexperience the strongest supply chain disruptions. However, tariffs are also stimulating domestic innovation, encouraging local production of green materials, and supporting regional self-reliance in environmentally friendly construction solutions.

The green building research report is one of a series of new reports that provides green building market statistics, including the green building industry's global market size, regional shares, competitors with a green building market share, detailed green building market segments, market trends and opportunities, and any further data you may need to thrive in the green building industry. This green building market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

Green building entails a comprehensive approach to the planning, construction, operation, and upkeep of buildings, emphasizing resource efficiency and environmental responsibility. Its core objective is to mitigate the adverse environmental impact of buildings while enhancing their positive contributions to the health and well-being of occupants and communities.

Green building products encompass a variety of categories including exterior products, interior products, building systems, solar products, and others. Exterior products in green buildings pertain to sustainable materials and technologies utilized for constructing and maintaining the building envelope. These solutions are geared towards optimizing energy efficiency and reducing environmental impact. They find application across residential and non-residential buildings, serving multiple purposes such as roofing, flooring, and insulation.North America was the largest region in the green building market in 2025. Asia-Pacific is expected to be the fastest-growing region in the market. The regions covered in the green building market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the green building market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The green building market consists of revenues earned by entities by providing services, such as green roofing and landscaping services, indoor air quality monitoring, and waste management and recycling services. The market value includes the value of related goods sold by the service provider or included within the service offering. The green building market also includes sales of solar panels, energy-efficient windows, low-flow plumbing fixtures, sustainable flooring, insulation materials, green roof systems, eco-friendly paints and coatings, and smart building technologies. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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