Demand Trends in Construction and Real Estate Sectors Drive the Global Building Materials Market, According to New Report by Global Industry Analysts, Inc.

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GIA announces the release of a comprehensive global report on the building materials markets. World market for building materials is projected to reach US$810.4 billion by 2018, driven by improving economic environment and recovery in residential and commercial construction activity.

Building Materials: A Global Strategic Business Report

Follow us on LinkedIn – Economic growth and demand for building materials always move hand-in-glove given the intricate correlation between GDP growth and the level of construction activities. Strong economic growth, expanding population, industrialization, and urbanization results in increased infrastructure and housing needs thus translating into improved construction activities across all sectors - residential, commercial and infrastructure. With the global population growing at a robust rate, specifically in developing nations, demand for housing units and infrastructure facilities continues to increase, offering huge growth opportunities for building materials market. Another influencing factor is the rapid urbanization trend with an increasing proportion of the population migrating to urban and semi-urban centers in search of better prospects. Environmental conservation has also become a key focus area, as buildings account for about 35-40% of energy consumption and also account for about a third of the global greenhouse gas emissions. Growing emphasis on sustainability is thus expected to spur demand for green building materials.

Construction and real estate sectors, which hit rock bottom during the recession, were again affected by the uncertainties brought on by the debt crisis in European countries. However, improvement in business environment is on the cards in-sync with the recovery in residential and non-residential buildings construction. Resurgence in infrastructure spends, improvement in liquidity situation, softening of interest rates, continued urbanization will all help drive growth back into fore. Growth would also be driven by the robust growth projections for building materials market in developing markets such as China and India, which are characterized by rising income levels, higher spending power, improving standards of living, and resultant rise in demand for residential and commercial constructions.

As stated by the new market research report on Building Materials, Asia-Pacific represents the largest and the fastest growing market for building materials, worldwide. Strong construction activities as a result of mass exodus of manufacturing and production bases to low-cost Asian countries, continuous industrialization in regional powerhouses such as China and India, and growing demand for residential and commercial constructions are expected spur demand for building materials in the region. China in particular is witnessing escalating demand for various types of building materials led by steady economic growth, expanding middle class population, and increased allocations for various infrastructure projects. Residential construction activity in the country would be driven by rising household incomes as well as government measures directed at providing affordable housing to low-income groups. Within Asia-Pacific building materials market, cement & concrete represents the largest segment. China and India are the leading producers of cement across the world. The United States, which was the epicenter of the economic recession, witnessed steep decline in demand for building materials. The sector is on the recovery mode driven by improving economic scenario and recovering housing market.

Tiles segment is expected to grow at the fastest compounded annual growth rate in the global building materials market. The economic recession of 2008 and 2009 led to a steep fall in demand for tiles, with developed countries such as the US, Japan, and Europe being the worst hit markets. The economic crisis had a significant impact on pricing of tiles with designers opting for cheaper tiles, a trend that is expected to continue in the near future. The market is also witnessing favorable demand prospects for green tiles, which is expected to strengthen further in the coming years due to the growing environmental consciousness of consumers. Future growth would be driven by the pace of recovery in the residential construction market. Favorable demand from developing countries of Asia-Pacific, Latin America, and Middle East regions bodes well for the market.

The global building materials market is highly fragmented, with consolidation activity in full swing across segments such as aggregates and concrete. Major players profiled in the report include Asahi Glass Co. Ltd., Ashland Inc., Boral Limited, Buzzi Unicem SpA, CEMEX S.A.B. DE C.V., Cimentos de Portugal SGPS S.A., Compagnie De Saint-Gobain, CRH Plc, CSR Limited, Eczacıbaşı Group, Florida Tile Inc., Granite Construction Company, HeidelbergCement AG, Holcim Ltd., Italcementi S.P.A., Lafarge SA, Martin Marietta Materials, Mohawk Industries Inc., Nippon Sheet Glass Co. Ltd., Nippon Steel & Sumitomo Metal Corporation, PPG Industries Inc., Taiheiyo Cement Corporation, USG Corporation, Vulcan Materials Company, White River Hardwoods-Woodworks Inc., and Wienerberger Baustoffindustrie AG, among others.

The research report titled “Building Materials: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, company profiles, mergers, acquisitions and other strategic industry activities. The report provides market estimates and projections for all major geographic markets such as the US, Canada, Japan, Europe (France, Germany, Italy, UK, Spain, Russia and Rest of Europe), Asia-Pacific, Middle East, and Latin America. Product segments analyzed include Aggregates (Sand & Gravel and Crushed Rock), Cement & Concrete (Cement, Concrete Products, and Ready-Mixed Concrete), Bricks, Tiles, Glass, Metal, Timber, and Other Building Materials.

For more details about this comprehensive market research report, please visit –

About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a leading publisher of off-the-shelf market research. Founded in 1987, the company currently employs over 800 people worldwide. Annually, GIA publishes more than 1300 full-scale research reports and analyzes 40,000+ market and technology trends while monitoring more than 126,000 Companies worldwide. Serving over 9500 clients in 27 countries, GIA is recognized today, as one of the world's largest and reputed market research firms.

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Global Industry Analysts, Inc.
Telephone: 408-528-9966
Fax: 408-528-9977
Email: press(at)StrategyR(dot)com
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