Green cement industry to reach $38.1bn by 2024
Analysts from Transparency Market Research have revealed the Middle East’s prospects for green cement in its latest report
The global green cement market displays a highly consolidated landscape with a few major market players holding half of the market’s share, reports Transparency Market Research (TMR).
Prominent players in the global green cement market include Lafarge S.A., Taiheiyo Cement Corporation, CEMEX S.A.B. de C.V., China National Building Material, and Heidelberg Cement AG.
These companies are engaging in strategic alliances and product differentiation to expand their market’s share. Moreover, they are expanding their production capacity to gain a stronghold in the market.
As projected by TMR analysts, the global green cement market to exhibit immense growth potential rising at 11.3% CAGR during the forecast period, which is 2016 to 2024.
The market is expected to rise from its initial valuation of $14.8bn to reach a value of $38.1bn by 2024.
In terms of applications, the global green cement market is segmented into infrastructure, residential, and non-residential sectors.
Out of these, the residential sector is anticipated to hold a leading position in the market owing to a rapidly growing population and developments in infrastructure.
On the geographical front, the global green cement market is divided into Asia Pacific, Europe, North America, Latin America, and Middle East and Africa.
Among these, Europe is expected to present lucrative growth opportunities for the market owing to the stringent environmental regulations laid down by its governments.
Rising carbon dioxide emissions to strengthen the market’s growth
One of the prominent factors driving the growth of the global green cement market is the rise in construction activities.
The growth in construction activities is attributable to the growing population and rapid urbanisation.
Moreover, carbon dioxide emissions caused by the ordinary cement have also driven the market’s growth. Governments have laid down strict laws mandating the use of green cement.
In addition to the aforementioned drivers, a rising awareness regarding the detrimental effects of carbon dioxide emissions on the environment and the benefits offered by green cement has spiked the green cement market’s growth.
In addition, green cement offers better functionality as compared to traditional cement leading to increased penetration in the global market.
Furthermore, easy access to raw materials has played a key role in augmenting the global green cement market’s growth.
Along with this, infrastructural development and massive investment in green construction projects will support the growth of the green cement market.
This has also resulted in an increase in research and development activities pertaining to green cement, thus benefiting the market.
However, along with the drivers, there are a few restraints that may pose a threat to the global green cement market’s growth.
There is a lot of variance in the strength of different types of green cement, depending on the raw materials.
This may pose a major threat to the market, thus impeding its growth. Nonetheless, the rise in expenditure on infrastructure and favourable home loan policies may offset the effects of the restraints.
New product innovations to present lucrative growth opportunities
A Canadian startup, CarbonCure has invented a new system that captures carbon dioxide emission.
This captured carbon dioxide is then injected into the concrete while it is mixed.
The carbon is sequestered once the concrete hardens as it becomes a mineral after reacting with the concrete.
This system also reduces the need for cement, thereby lowering carbon dioxide emissions.
In addition, the mineral enhances the compressive strength of the concrete. Such innovations significantly enhance the growth prospects of the global green cement market.