Energy Efficient Buildings Market Revenue to Cross US$ 89.03 Billion With 11.00% CAGR Growth From 2025-2034

The energy efficient buildings market is expected to gain market growth during the forecast period of 2025 to 2034. Polaris Market Research analyses the market to account for USD 89.03 billion by 2034 and will grow at a CAGR of 11.0% in the above-mentioned forecast period. The market was valued at USD 31.47 billion in 2024.

Market Overview:
An energy efficient building generates enjoyable living conditions within the dwelling with minimal amount of energy intake optimizing productivity in the usage of resources. Estimates to make a building energy efficient include the building's complete lifecycle, which includes the construction procedure itself, advancing into the operation maintenance cycle, and destruction phases of the building.

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An energy efficient building retains the building optimally operational and thermally enjoyable for its inhabitants as well. With the price of energy surging and energy calamity being an impending reality, the requirement to offer energy-efficient building outlines becomes more crucial. An energy-efficient building appraises all facets of energy usage in a building by offering a maximized assortment of submissive solar design procedures, energy-efficient instruments, and green sources of energy.

Market Growth Drivers:
The escalating urbanization globally is expected to push market augmentation. As per the UN, the majority of the global population resides in urban regions emerging from one-third in 1950, and is expected to escalate to approximately two-thirds in 2050. Urbanization causes a surge in the demand for dwellings, commercial facilities, and public spaces, exerting pressure on energy assets and facilitating elevated carbo discharge.

The consciousness of climate change, resource exhaustion, and surging greenhouse gas discharge amidst governments worldwide have generated the requirement for green solutions in the domestic ambiance, which is a prominent assistant to worldwide energy intake and carbon discharge.

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Competitive Landscape:
The aggressive topography of the market is portrayed by fierce contention amidst critical contenders struggling for market dominance. Some of the current players in the energy efficient buildings market are:
• American Rockwool Manufacturing LLC
• BASF
• Covestro AG
• Dow Inc.
• Fletcher Building
• GAF Materials Corporation
• Honeywell International
• Huntsman Corporation
• Jhonson Controls
• Johns Manville
• Kingspan Group
• Owens Corning
• Rockwool International A/S
• Saint-Gobain S.A.
• Schindler Electric
• Siemens

Energy Efficient Buildings Market Report Highlights:
• In terms of material, the expanded polystyrene (EPS) segment is estimated to grow at a robust pace in the coming years owing to its excellent insulation performance, durability, and adaptability to various applications.

• Based on application, the residential segment dominated the energy efficient buildings market share in 2024 due to increasing awareness of energy conservation among homeowners and rising demand for sustainable living spaces.

• In the global market, the Europe energy efficient buildings market held the highest revenue share in 2024 due to stringent energy efficiency regulations and the widespread adoption of sustainable construction practices.

• The North America energy efficient buildings market is expected to grow at a rapid pace during the forecast period owing to the increasing investments in green infrastructure and rising demand for sustainable building solutions.

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Segmental Outlook:
By Material Outlook (Revenue, USD Billion, 2020-2034)
• Glass Wool
• Mineral Wool
• Expanded Polystyrene (EPS)
• Extruded Polystyrene (XPS)

By Component Type Outlook (Revenue, USD Billion, 2020-2034)
• Ventilation Systems
• Lighting Technologies
• Energy Management Systems
• Controls

By Application Outlook (Revenue, USD Billion, 2020-2034)
• Residential
• Commercial

Regional Analysis:
The market exhibits significant regional variations propelled by economic conditions, technological advancements, and industry-specific demand.

Europe accounted for the largest market share in 2024 supported by strict energy efficiency directives and extensive acquisition of green construction practices. The European Union's dedication to obtaining carbon neutrality by 2050 has pushed the execution of strategies such as the Energy Performance of Buildings Directive (EPBD), which instructs elevated energy presentation levels for contemporary and prevailing structures.

The North America energy efficient buildings market is expected to grow at a rapid pace during the forecast period, profiting from growing funding for green infrastructure and growing demand for sustainable building solutions.

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