Product Code: KSI061617049
The autoclaved aerated concrete market is anticipated to grow at a CAGR of 6.87% during the forecast period (2024-2029).
The target market of the proposed business, Autoclaved Aerated Concrete (AAC), is a relevant segment of the construction industry that deals with lightweight precast cellular concrete building materials. AAC is a light and very resistant material created from quartz sand, calcined gypsum, lime, portland cement, water, and aluminum powder. It is made through the process of curing these constituents through heat and pressure inside an autoclave, and the product that is produced is a lightweight insulator that is fire and mold-resistant and is used in construction.
Several factors stimulate the demand for AAC, including the increased preference for lightweight building products, energy conservation on structures, and greener and noisy-resistant construction. This market is split into various aspects like blocks, beams, lintels, cladding panels, wall panels, roof panels, and floor elements. Out of all these, the blocks are seen exhibiting the fastest growth rate because of the simplicity of the installation process of these products and the added bonus of insulation. Region wise, Asia Pacific is the largest market for AAC and it is expected to grow further at an astonishing pace due to China's greatest advancement of urbanization and industrialization. Other important markets are Europe and North America; Europe has production facilities, and the government offers incentives for green building construction. It is forecasted that the Middle East & Africa and South America would sustain high growth consistent with the escalating construction and economic expansion.
- The main factor contributing to production demands of autoclaved aerated concrete is the rising construction business around the globe. AAC is used in construction work due to its advantage of being lightweight, has good thermal and acoustic insulation, and stands out as a fire-resistant material. With construction being one among the most progressive industries in the developed and developing nations including Asia-Pacific, materials such as AAC that are light-weighted, energy-efficient, and eco-friendly are receiving high demands. Governments of many countries are also encouraging the usage of Green building products to minimize the effects of climate change within constructions; this has enhanced increased demand for AAC.
- The increasing trend towards sustainable construction and the implementation of green building codes, including LEED, is also a major factor for the demand in AAC. AAC is an environment-friendly material because it is produced from naturally occurring raw materials that are nontoxic to the environment, and it also touches the environment lightly on the aspect of emissions. Moreover, the thermal conductivity of this material makes it even better regarding energy consumption in buildings, thus giving developers and architects a perfect material to use when dealing with green building certifications. As the usage of green construction materials increases, it will be a plus for the AAC market in the future.
- The market of AAC is also influenced by technological changes and developments in the production process. The market players, therefore, are in a constant endeavor to enhance the quality, efficiency, and costs of AAC products. For instance, in the course of the AAC production, new production techniques include advanced autoclaving systems together with the inclusion of recycled materials. Improved technologies have enabled the invention of specific AAC products, such as high-strength blocks and panels, enhancing the uses and the market for these products. However, as the AAC industry evolves, the AAC market is expected to reap from the developments and come up with many options with more flexibility in construction.
AUTOCLAVED AERATED CONCRETE MARKET DRIVERS:
- The block segment by type will likely be the fastest-growing segment during the forecast period.
Autoclaved aerated concrete (AAC) blocks category is expected to exhibit the highest CAGR in the AAC market worldwide throughout the forecast period. This growth can be attributed to several key factors:
- Increasing Demand for Lightweight Construction Materials: Compared to normal concrete blocks or clay bricks, AAC blocks are much lighter, weighing about 25-35% less. This makes them ideal for construction, especially for high-rise buildings and regions prone to earthquakes. AAC blocks are light in weight, which reduces the structural load on a building, hence providing more options for designing and low cost in construction.
- Ease of Installation and Versatility: AAC blocks can also be easily cut, routed, or sanded on-site, while they cannot be said of the bricks used in traditional buildings. This flexibility enables construction companies to undertake operations with shorter timelines and lower labor costs. The uses of AAC blocks are also multi-faceted; they are suitable for walls, floors, roofs, and even ornaments, hence encouraging more of their usage.
- Energy Efficiency and Sustainability: AAC blocks services well the function of thermal insulations, thereby improving the energy efficiency of constructed structures. This has something to do with the introduction of more environment-friendly practices in the construction industries worldwide. AAC blocks are non-toxic in nature and are manufactured from natural aggregates with less carbon emissions as compared to normal concrete blocks; thus, they are good for green construction.
- Residential and Non-Residential Construction Growth: As Shelter demand is on the rise, especially in developing nations, in the context of the global construction of residential, commercial, and industrial structures, the AAC blocks segment is growing at a reputable rate. AAC blocks find applications in both the residential and non-residential sectors mainly because of their flexibility in usage, reasonable rates, and properties.
- Geographical Expansion and Capacity Expansions: Thus, the key AAC manufacturers are investing in capacity and geographic coverage due to the growing demand, especially for products from the Asia-Pacific and Middle East regions. These are the standard formulations of AAC blocks, which have led to the segment's growth through increased availability and accessibility of AAC blocks.
In conclusion, the factors that will drive the AAC blocks segment in the future are lightweight, versatility, energy efficiency, and the sustainability nature of AAC blocks, which are matched with the increasing global construction undertakings.
AUTOCLAVED AERATED CONCRETE MARKET GEOGRAPHICAL OUTLOOK
- The Asia Pacific region will dominate the autoclaved aerated concrete market during the forecast period.
The regions such as Asia-Pacific, particularly China and India, are undergoing the process of urbanization and industrialization, which triggers construction activities. The rise in the construction industry, especially in residential, commercial, and industrial building construction, boosts the regional autoclaved aerated concrete market. Fixing and upgrading of infrastructures across the Asia-Pacific region is still ongoing. The increased expansion of infrastructures paved the way to enhance the construction industry, which also increased the hold of AAC products.
AAC proves useful to curb energy consumption and hence, the increasing application of sustainable construction materials in the Asia-Pacific region. Due to the superior insulation capability of AAC, it holds the potential to decrease energy intake in construction, which would attract developers or architects who wish to construct ASG/SGS buildings. Several factors have been unveiled that show that the stakes of AAC are well poised to grow further in the Asia-Pacific if environmental sustainability becomes a consideration.
The autoclaved aerated concrete market key developments:
- February 2022: There was an increase in BigBloc Construction manufacturing capacity due to the setup of a Greenfield project of AAC blocks in Maharashtra, India.
- January 2022: The insulation arm of Xella selling business unit URSA, particular to Etex, a principal builder material company based in Belgium that specializes in lightweight building solutions. The assets also comprise production facilities located in Spain, France, Belgium, Italy, Germany, Poland, Slovenia, and Russia.
The autoclaved aerated concrete market is segmented and analyzed as follows:
By Type
- Block
- Lintel
- Panel
- Tile
- Other Types
By Application
- Residential
- Industrial
- Commercial
- Other Applications
By Geography
- North America
- USA
- Canada
- Mexico
- South America
- Brazil
- Argentina
- Others
- Europe
- United Kingdom
- Germany
- France
- Italy
- Spain
- Rest of Europe
- Middle East and Africa
- Saudi Arabia
- Saudi Arabia
- United Arab Emirates
- Rest of the Middle East and Africa
- Asia-Pacific
- China
- India
- Japan
- South Korea
- Taiwan
- Thailand
- Indonesia
- Rest of Asia-Pacific
TABLE OF CONTENTS
1. INTRODUCTION
- 1.1. Market Overview
- 1.2. Market Definition
- 1.3. Scope of the Study
- 1.4. Market Segmentation
- 1.5. Currency
- 1.6. Assumptions
- 1.7. Base and Forecast Years Timeline
- 1.8. Key benefits for the stakeholders
2. RESEARCH METHODOLOGY
- 2.1. Research Design
- 2.2. Research Process
3. EXECUTIVE SUMMARY
- 3.1. Key Findings
- 3.2. Analyst View
4. MARKET DYNAMICS
- 4.1. Market Drivers
- 4.1.1. Growing Demand from the Construction Industry
- 4.1.2. Increased Emphasis on Green Buildings (LEED Ratings)
- 4.1.3. Other Drivers
- 4.2. Market Restraints
- 4.2.1. High Initial Cost
- 4.2.2. Limited Usage in Load Bearing Walls
- 4.2.3. Threats from Substitutes
- 4.3. Porter's Five Forces Analysis
- 4.3.1. Bargaining Power of Suppliers
- 4.3.2. Bargaining Power of Buyers
- 4.3.3. The Threat of New Entrants
- 4.3.4. Threat of Substitutes
- 4.3.5. Competitive Rivalry in the Industry
- 4.4. Industry Value Chain Analysis
5. AUTOCLAVED AERATED CONCRETE MARKET BY TYPE
- 5.1. Introduction
- 5.2. Block
- 5.3. Lintel
- 5.4. Panel
- 5.5. Tile
- 5.6. Other Types
6. AUTOCLAVED AERATED CONCRETE MARKET BY APPLICATION
- 6.1. Introduction
- 6.2. Residential
- 6.3. Industrial
- 6.4. Commercial
- 6.5. Other Applications
7. AUTOCLAVED AERATED CONCRETE MARKET BY GEOGRAPHY
- 7.1. Global Overview
- 7.2. North America
- 7.2.1. United States
- 7.2.2. Canada
- 7.2.3. Mexico
- 7.3. South America
- 7.3.1. Brazil
- 7.3.2. Argentina
- 7.3.3. Rest of South America
- 7.4. Europe
- 7.4.1. United Kingdom
- 7.4.2. Germany
- 7.4.3. France
- 7.4.4. Italy
- 7.4.5. Spain
- 7.4.6. Rest of Europe
- 7.5. Middle East and Africa
- 7.5.1. Saudi Arabia
- 7.5.2. United Arab Emirates
- 7.5.3. Rest of the Middle East and Africa
- 7.6. Asia-Pacific
- 7.6.1. China
- 7.6.2. India
- 7.6.3. Japan
- 7.6.4. South Korea
- 7.6.5. Taiwan
- 7.6.6. Thailand
- 7.6.7. Indonesia
- 7.6.8. Rest of Asia-Pacific
8. COMPETITIVE ENVIRONMENT AND ANALYSIS
- 8.1. Major Players and Strategy Analysis
- 8.2. Market Share Analysis
- 8.3. Mergers, Acquisitions, Agreements, and Collaborations
- 8.4. Competitive Dashboard
9. COMPANY PROFILES
- 9.1. ACICO Group
- 9.2. AERCON AAC
- 9.3. AKG Gazbeton
- 9.4. BAUROC AS
- 9.5. Biltech Building Elements Limited
- 9.6. Eastland Building Materials Co., Ltd
- 9.7. Eco Green
- 9.8. H+H
- 9.9. HIL Limited
- 9.10. JK Lakshmi Cement Ltd
- 9.11. Renaatus Procon Private Limited