Hempcrete Market Report 2026

The hempcrete market size has grown strongly in recent years. It will grow from $29.11 billion in 2025 to $31.21 billion in 2026 at a compound annual growth rate (CAGR) of 7.2%. The growth in the historic period can be attributed to growing use of sustainable insulation materials, increasing adoption of hemp-based construction solutions, expansion of green building certification projects, rising use of prefabricated hempcrete components, increasing availability of bio-based binders.

The hempcrete market size is expected to see strong growth in the next few years. It will grow to $40.84 billion in 2030 at a compound annual growth rate (CAGR) of 7%. The growth in the forecast period can be attributed to increasing integration of automated hempcrete manufacturing, rising demand for carbon-negative construction materials, expansion of residential and commercial green construction, growth in hybrid hempcrete structural systems, increasing adoption of advanced moisture-resistant hempcrete formulations. Major trends in the forecast period include increased use of bio-based construction materials, automation in hempcrete panel production, adoption of robotic spraying systems, integration of ai for moisture and curing optimization, use of digital platforms for material traceability.

The increasing demand for sustainable construction materials is expected to drive the growth of the hempcrete market in the coming years. Sustainable construction materials are eco-friendly building products designed to lessen environmental harm throughout their life cycle. This growing demand is largely due to heightened environmental awareness, as builders and developers aim to reduce resource use, lower carbon emissions, and minimize the ecological footprint of construction activities. Hempcrete contributes to sustainable construction by serving as a low-carbon, biodegradable option that enhances energy efficiency and decreases environmental impact across a building’s lifespan. For example, in July 2024, the U.S. Green Building Council, a U.S.-based non-profit organization, reported that there were over 46,000 residential projects certified under the Leadership in Energy and Environmental Design (LEED) system, following a nearly 5% rise in new LEED residential project registrations in 2023. Therefore, the growing demand for sustainable construction materials is fueling the expansion of the hempcrete market.

Leading companies in the sustainable construction materials sector are focusing on creating innovative products, such as fire-resistant solutions, to enhance safety, increase climate resilience, and comply with stricter environmental and fire safety regulations in high-risk zones. Fire-resistant materials are engineered to endure high temperatures and prevent the spread of flames and smoke during fire incidents. For example, in March 2025, Hempitecture Inc., a U.S.-based manufacturing firm, launched a fire-resistant Hempcrete product that met ASTM E84 testing standards and was confirmed to be 100% fire resistant, offering a safe, sustainable construction material for areas prone to wildfires. Made entirely from bio-based ingredients, including industrial hemp and lime, the material is suitable for use in walls, floors, and roofs. In addition to its fire-resistant properties, Hempcrete enhances energy efficiency by preventing thermal bridging and reducing heating and cooling needs.

In June 2023, Kingspan Group plc, an Ireland-based provider of insulation boards, building envelope systems, and high-performance building materials, acquired 80 % of the share capital of HempFlax Building Solutions GmbH for an undisclosed amount. With this acquisition, Kingspan aims to strengthen its position in the hempcrete and bio-based building materials sector by incorporating HempFlax’s expertise in hemp-fibre insulation and sustainable construction solutions into its global product portfolio. HempFlax Building Solutions is a Netherlands-based company specializing in hemp-based insulation and bio-based building systems for environmentally sustainable construction applications.

Major companies operating in the hempcrete market are HempEco Systems LLC, HempFlax B.V., Hemp Block USA LLC, IsoHemp SA, Hempcrete Natural Building Ltd., Americhanvre Cast Hemp Inc., American Lime Technology Inc., Just BioFiber Structural Solutions LLC, Hempitecture Inc., Dun Agro Hemp Group LLC, Hemp Building Company LLC, UK Hempcrete Ltd., Hemp Technologies Inc., HempAlta Corp., Gohemp, Just BioFiber Structural Solutions LLC, The Hemp Block Company Limited, AFRIMAT HEMP, Hemp Homes Canada, Hanfsteine.

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 hempcrete market by raising costs for imported lime binders, processing machinery, hemp-derived raw materials, and prefabricated hempcrete components used in construction. Residential, commercial, and eco-friendly building sectors in regions dependent on imported bio-based materialsespecially Europe, North America, and Asia-Pacificare most affected. However, tariffs are promoting domestic hemp cultivation, regional binder production, and the growth of local prefabrication facilities, supporting long-term supply stability and sustainability.

The hempcrete market research report is one of a series of new reports that provides hempcrete market statistics, including the hempcrete industry global market size, regional shares, competitors with the hempcrete market share, detailed hempcrete market segments, market trends, and opportunities, and any further data you may need to thrive in the hempcrete industry. These hempcrete 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.

Hempcrete is a sustainable biocomposite material composed of the woody core of the hemp plant (shiv or hurd) combined with a lime-based binder. It is primarily used for non-structural insulation in walls, roofs, and floors, providing excellent thermal performance, breathability, and carbon sequestration.

The main types of hempcrete include cast-in-place, precast, hybrid, and others. Cast-in-place hempcrete is a construction technique where the material is mixed and poured on-site into molds to create customized, insulating, and breathable building components. Its key properties include insulation efficiency, fire resistance, durability, and acoustic performance. It is made from various sources such as hurds, shives, and bast fibers. Applications span residential, commercial, and industrial construction, as well as renovation and retrofitting, serving end-use sectors such as the construction industry, architecture and design, eco-friendly building materials, and green building certification.Europe was the largest region in the hempcrete market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in hempcrete report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the hempcrete market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The hempcrete market consists of sales of blocks, panels, loose-fill insulation, spray-applied hempcrete, hempcrete bricks, and plaster and renders. 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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