PUBLISHER: Allied Market Research | PRODUCT CODE: 1566910
PUBLISHER: Allied Market Research | PRODUCT CODE: 1566910
The zero emission building market was valued at $28.7 billion in 2023, and is projected to reach $155.1 billion by 2033, growing at a CAGR of 18.4% from 2024 to 2033.
Zero emission buildings are those that have no on-site carbon emission from fossil fuels and exhibit high energy performance. To curb energy usage, these buildings use cutting-edge building materials and adopt sustainable practices. They are designed to be highly insulated, which helps prevent outdoor pollutants from entering the building. Maximum buildings today use a lot of energy by keeping lights on, using air conditioners, heating water, and power personal devices. Such heavy energy load cannot be countered even by installing solar systems. Thus, increase in construction of zero emission buildings serves as an ideal solution to curb the emission of greenhouse gases.
The growth of the global zero emission building market is majorly driven by alarming increase in environmental concerns and implementation of stringent government regulations to mitigate carbon emission and adopt sustainable construction practices. For instance, the European Union designed a Fit for 55 package, which is a set of proposals to amend and update EU legislation and to implement initiatives to ensure that EU policies align with the climate goals agreed by the Council and the European Parliament. Currently, buildings in the EU account for one-third of greenhouse gas emissions. With the implementation of new rules, EU aims to transform all new buildings to zero-emission buildings by 2030. However, high initial costs, technological complexity, and regulatory barriers act as the key deterrent factors of the market. On the contrary, advancements in building materials and increase in installation of high-efficiency HVAC systems to optimize energy use are expected to offer lucrative opportunities for the growth of the market during the forecast period. Furthermore, increase in construction of climate-adaptive buildings that can withstand extreme weather and changing environmental conditions? is anticipated to open new avenues for the market growth.
The zero emission building market is segmented into element type, building type, and region. On the basis of element type, the market is divided into lighting; walls & roofs; heating, ventilation, and air conditioning (HVAC) systems; and others. As per building type, it is segregated into residential and commercial. Region wise, the zero emission building market share is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
Key Findings
On the basis of element type, the heating, ventilation, and air conditioning (HVAC) systems segment is expected to lead the market by 2033.
By building type, the residential segment is expected to exhibit fastest growth throughout the forecast period.
Region wise, Asia-Pacific is projected to dominate the market by 2033.
Competition Analysis
Competitive analysis and profiles of the major players in the global zero emission building market include Skanska AB, Bouygues Construction, Turner Construction Company, Siemens AG, Johnson Controls International plc, Schneider Electric, Tesla, Inc., SunPower Corporation, Mitsubishi Electric Corporation, and GreenTree Global. These major players have adopted various key development strategies such as business expansion, new product launches, and partnerships to sustain the intense competition in the market.
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