Green Cement Market – A Step Towards Sustainability
Green cement is defined as the form of concrete or cement that is formed to reduce the carbon footprint during the manufacturing process. There has been rise in the awareness about the environment and the consumers are preferring to consume goods that is manufactured with a less global footprint which is driving the demand for the green cement market. The green cement is expected to foresee tremendous revenue growth during the forecasted period owing to the increase in the awareness regarding the use and benefit of the eco-friendly raw material in the construction. Green cement is available by the types of granulated blast furnace slag, recycled aggregates, fly ash-based and others. It is estimated that on average, a single ton of traditional cement releases approximately more than 5% of the total man-made carbon emission globally. The rise in urbanization is leading to the upsurge in the construction activities and the consumers are widely preferring the green building initiatives which is positively influencing the green cement outlook over the forecasted period. The global green cement market is expected to grow at a compound annual growth rate of 11.79% over the forecast period to reach a market size of US$40.916 billion in 2026 from US$20.962 billion in 2020.
Environmental Awareness Boosting the Market Growth
The manufacture using ordinary Portland cement (OPC) are causing 5% to 10% carbon dioxide emissions as it contains toxic ingredients such as chromium and silica. Whereas, the green cement is reducing the carbon footprint by more than half during the manufacturing process and it also uses less water compared to ordinary cement. The rise in the awareness of the environment hazards of OPC production as it requires high temperature for the kiln operation and rising concern for the environment sustainability is driving the market growth of the green cement market. OPC production emits a high volume of greenhouse gas and carbon dioxide which changing the preference of the government, consumers, builders and architects to greener solutions as an important step to tackle the threat of climate change.
Green Cement are widely applicable in commercial, industrial, and residential areas. Due to these reasons, the demand for the green cement is increasing and it is leading to the market growth. European Union during the European Green deal introduced an action plan to convert the environmental and climate challenges to opportunities for making the economy sustainable. This plan included buildings and constructions to make them more energy-efficient. This deal created an opportunity for the green cement and it expected to boost the demand of the green cement during the forecasted period.
Geographical Insights
Green cement by region is segmented into North America, South America, Europe, Asia Pacific, and Middle East & Africa. North America holds a major share in the green cement market due to the burgeoning investment by the major countries such as Canada, USA and others in the green building construction. For instance, United States Environment Protection Agency (EPA) has set strict regulations regarding the reduction of the greenhouse gases emission which is boosting the market growth of the green cement. Whereas, the phenomenal demand across the Europe region was due to the regulations imposed by the local government and the European Union regarding the carbon emission and the tension related to the taxes on the industrial demand. However, Asia Pacific is anticipated to surpass the Europe during the forecasted period on account of the growing construction activity, the rising investment in the green building, and the government initiatives to control the carbon emission is motivating the consumers to take up the green building initiatives and create sustainable living space.
Covid-19 Impact
The outbreak of the Covid-19 pandemic has negatively impacted all industries including the green cement industry. The demand for green cement contracted due to the lockdown globally. To curb the spread of the virus, the lockdown was imposed globally and which also led to the shutdown of the construction and related work which further affected the green cement market growth. However, in the long run, the green cement market is expected to grow due to the rising environmental concerns and the need for sustainability. The steps are being taken to reduce the carbon footprint which is giving the green cement market an opportunity to revive and reach the pre-pandemic growth. For instance, the government in Singapore has set a target to convert 80% of the buildings to green buildings by 2030.
