Global Hollow Concrete Blocks Market - 2024-2031

Overview

Global Hollow Concrete Blocks Market reached US$ 3.9 billion in 2023 and is expected to reach US$ 5.8 billion by 2031, growing with a CAGR of 5.2% during the forecast period 2024-2031.

The increasing need for sustainable building materials, infrastructure development and urbanization are some of the reasons propelling the global hollow concrete block market's continuous expansion. Hollow concrete blocks are a popular option in the global building business because of their benefits, which include cost-effectiveness, shortened construction times and thermal insulation.

The opening of a bulk cement terminal in India is anticipated to have a major impact on the market expansion for hollow concrete blocks in that country. Bulk cement terminals enable efficient cement processing and storage by guaranteeing a steady supply of cement for concrete block manufacturers.

For instance, in October 2022, Bharathi Cement Corporation Pvt. Ltd., has commenced its 0.75 MTPA bulk cement terminal in Coimbatore. Additionally, the company introduced "QUICKCEM," a green cement, to serve Kerala's and Tamilnadu's hollow block and precast segments. Therefore, India is contributing significantly to the growth of the regional market capturing nearly 1/3rd of the market share.

Dynamics

Hollow Concrete Blocks As Sustainable Construction Choice

Hollow concrete blocks have beneficial thermal insulation capabilities, which can assist minimize the energy necessary to heat and cool a building. The energy efficiency not only decreases resident electricity bills but also reduces overall energy consumption, which helps to meet sustainability goals.

For instance, hollow concrete blocks are having a significant effect on the construction landscape in the northwestern district of Thakurgaon, responding to a growing demand for eco-friendly construction materials and as a substitute for traditional bricks. Since the district's first hollow block factory opened in Parpugi village, this revolutionary construction material has grown in popularity due to its low cost with durability and eco-friendliness.

Rapid Urbanization and Affordable Housing Initiatives

Global urban population growth is driving up demand for infrastructure, housing & commercial buildings. Because hollow concrete blocks are affordable, robust, they are frequently employed in the construction of both residential and commercial buildings. Many countries are putting affordable housing projects into action to address housing shortages and raise living standards. Since hollow concrete blocks are an inexpensive building material, they are increasingly chosen for these kinds of constructions.

Compared to conventional brick or wood construction, hollow concrete blocks offer higher strength and endurance in areas vulnerable to natural disasters like hurricanes and earthquakes. It is therefore the best option for constructing sturdy constructions.

The qualities and adaptability of hollow concrete blocks are improved by ongoing manufacturing process innovations, such as the creation of high-performance concrete mixes and innovative block designs, which increase demand for them in the building sector.

Fluctuating Raw Material Prices

For producers of hollow concrete blocks, price fluctuations in essential raw materials like cement, aggregates and sand add unpredictability to manufacturing costs. Manufacturers could discover it difficult to retain profit margins if raw material prices rise suddenly unless they can pass these higher costs forward to customers. On the other hand, if selling prices are not promptly altered, unexpected drops in the price of raw materials may result in decreased revenues.

Within the hollow concrete block company, supply chains may be affected by abrupt fluctuations in the cost of raw materials. Production may be delayed or interrupted if suppliers are unable to obtain adequate amounts of materials at stable pricing. The delays or halts might have a significant impact on producers, suppliers and consumers as they move through the supply chain.

Segment Analysis

The global hollow concrete blocks market is segmented based on product, application and region.

Residential Segment Drives Demand Amidst Growing Construction and Remodeling Activities

The residential as an application segment is likely to be the most significant, owing to the increasing use of hollow concrete blocks in construction and remodeling. Hollow concrete blocks are used in construction for constructing floors, walls and foundations that support buildings and other structural surfaces both inside and outside the home.

For instance, the Brazilian government proposes to invest BRL 278 billion (~US$ 52.19 billion) in popular housing and urbanization projects during the next three years. The cash will enable the contracting of up to 2.5 million housing units at extremely affordable financing rates. According to the Federal Statistical Office, in May 2021, 32,384 homes were approved in Germany, an 8.7% increase over April 2021. Furthermore, millions of immigrants are expected to come to Germany in the next years, requiring thousands of new homes.

Geographical Penetration

Rising Need for Resilient Building Solutions in Asia-Pacific

Adhesive-based bonding offers stronger & reliable connections between concrete blocks than mortar. The improves the structural integrity of buildings, making them more resistant to environmental elements like earthquakes and other calamities. The greater resilience drives up demand for hollow concrete blocks in construction projects.

For instance, Holcim Philippines, Inc. continues to expand its product portfolio with its sustainability and innovation strategy with the introduction of a concrete block adhesive for faster and more material-efficient wall construction. Holcim AAC Block Adhesive is suitable for laying all types of AAC, bricks and cement blocks on the market. The adhesive is designed to bind blocks with maximum adhesive strength. It is composed of cement, high-grade fillers and specialized polymers. Therefore, Asia-Pacific captures more than half of the regional market share.

COVID-19 Impact Analysis

Lockdowns & social distancing measures implemented to stop the virus's spread caused many construction projects to be postponed or stopped altogether. As a result, construction companies delayed or canceled projects, which decreased the market for hollow concrete blocks. The impact on infrastructural, commercial and residential developments resulted in a decline in the use of concrete blocks.

The pandemic reduced the market for hollow concrete blocks generally, although there were some changes in the patterns of demand. Additionally, there was a rise in the demand for the blocks utilized in hospitals and clinics. Furthermore, the pandemic's surge in e-commerce increased demand for some building projects, like distribution centers and warehouses.

Russia-Ukraine War Impact Analysis

Construction projects in the region have probably been impacted by the fighting and subsequent turmoil in Ukraine. Difficulties with acquiring funds, safety concerns or regulatory constraints may have caused construction activities to halt or be delayed. The may have an indirect impact on the need for building supplies such as hollow concrete blocks in both Ukraine and its neighboring nations that share economic links with the region.

Geopolitical tensions and conflict have the potential to influence market sentiment and investor confidence. Uncertainty about the conflict's agreement or the possibility of escalation can cause investors and businesses to exercise caution. It can influence investment decisions in construction projects and infrastructure development, thereby impacting demand for construction materials like hollow concrete blocks.

By Product

• Split-Faced
• Smooth-Faced

By Application

• Residential
• Commercial
• Industrial

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In October 2022, Bharathi Cement Corporation Pvt. Ltd. opened its 0.75 MTPA bulk cement terminal in Coimbatore. The company released 'QUICKCEM' for the precast & hollow block segments in Tamil Nadu and Kerala.
• In October 2021, Holcim Philippines, Inc. continues to expand its product portfolio with its sustainability and innovation strategy with the introduction of a concrete block adhesive for faster and more material-efficient wall construction.
• In 2020, the Guyana National Bureau of Standards constructed a facility capable of testing locally made concrete hollow blocks.

Competitive Landscape

The major global players in the market include CEMEX S.A.B. de C.V, Acme Brick Company, Holcim Philippines, Inc., Taylor Concrete Products Inc., CRH plc, Magicrete Building Solutions Pvt. Ltd., Apco, Harden Bricks Pvt. Ltd., Hanson UK and China National Building Material Company Limited.

Why Purchase the Report?

• To visualize the global hollow concrete blocks market segmentation based on product, application and region, as well as understands key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of hollow concrete blocks market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global hollow concrete blocks market report would provide approximately 53 tables, 41 figures and 182 Pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies