19+ Building Products Industry Trends and Statistics

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Did you know that more than 60% of new construction projects now prioritize sustainable solutions? If you’re curious about the fast-evolving building products market, you’re in the right place.

Building products industry trends and statistics reveal not only what's driving today's innovations but also what to expect in the future. Let's explore how these changes shape smarter, greener, and more resilient spaces, starting with the trends that will shape 2025 and beyond.

Sustainable Building Materials: Shaping the Future

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Growth in Green Construction Worldwide

  • The global building materials market size reached $1.41 trillion in 2025, up from $1.35 trillion in 2024. This reflects a year-on-year increase of $60 billion in just 12 months.
  • Building product spending in 2025 is estimated at $450 billion and is projected to grow to $556 billion by 2029, representing a $106 billion increase in just four years.
  • Nonresidential green construction product spending is expected to increase by $57.6 billion, from $240 billion in 2025 to $297.6 billion by 2029, with roofing and insulation as the leading categories.
  • In 2025, new construction accounts for 63% of windows/doors and 61% of plumbing spending, both sectors with significant shifts toward sustainable materials when compared to 2023 values of 60% and 58%, respectively.

Emergence of Carbon-Neutral Products

  • The number of carbon-neutral building product launches increased markedly, with roofing and insulation products leading the way, growing by 7% in the commercial sector from 2023 to 2025.
  • North America dominates the adoption of carbon-neutral products; in 2025, the region accounted for $402.4 billion in building material revenues, up from $351.0 billion in 2021.
  • The drywall market, central to green innovation, grew from $18 billion in 2017 to $27 billion by 2025, with much of this growth driven by demand for low-carbon production techniques and the use of recycled content.
  • Global plaster building products, another carbon-neutral segment, reached $37 billion in 2025—a $7 billion growth from 2017’s $30 billion.

Reusable and Recyclable Materials

  • The share of recycled materials in building products has increased every year since 2020, with over 30% of roofing and insulation by volume made from recycled input in 2025, compared to 24% in 2022.
  • Renovation projects drive demand for recycled products: 74% of roofing, 70% of HVAC, and 68% of flooring spending in 2025 is expected to occur in renovations, up from 68%, 65%, and 62% in 2022, respectively.
  • Plaster and polymer building products both post strong growth, with plaster reaching $37 billion in 2025 and polymer segments reflecting the highest CAGR of 7.3% between 2017 and 2025.

Water-Efficient Product Innovations

  • Water-saving fixture sales climbed by $3.7 billion from 2023 to 2025, now accounting for 11% of total spending in the plumbing segment.
  • Water-efficient insulation and drywall products have seen increased adoption, with the market share of water-efficient insulation reaching 16% in 2025, up from 13% in 2023.
  • Green plumbing products, including low-flow toilets and faucets, contributed to a combined $67 billion in global plumbing product spending in 2025, up from $59 billion in 2022.

Digital Transformation in Building Products

Building Information Modeling (BIM) Adoption Rates

  • Globally, BIM technology is in use on 60–70% of major construction projects as of 2025, up from just 44% in 2019, indicating a significant digital shift.
  • In Europe, BIM compliance became mandatory for public sector construction in the UK by 2016, influencing wider adoption across Germany and France by 2025; Germany’s usage jumped from 27% (2020) to over 50% (2025).
  • Contractors using BIM report a 30% reduction in design coordination issues, resulting in project cost savings averaging $2 million per large-scale project, compared to estimates from 2020.
  • The global BIM market size reached $5.38 billion in 2025, a significant rise from $2.89 billion in 2020.

Smart Building Products and IoT Integration

  • In 2025, the global market for smart building products, including IoT-integrated solutions, is projected to be $121 billion, up from $90 billion in 2022.
  • The adoption of IoT in building products (such as lighting, HVAC, and security) has increased to 72% in new commercial builds, up from 39% in 2019.
  • The number of smart building devices installed worldwide exceeded 3.4 billion units in 2025, a jump from 1.6 billion in 2020.
  • Building owners report an average annual utility cost reduction of $0.29 per square foot, an improvement from $0.16 per square foot in 2020, due to the use of IoT-enabled energy management systems.

E-commerce and Digital Marketplaces for Building Supplies

  • Online sales of building materials grew to $117 billion globally in 2025, up from $84 billion in 2021.
  • The average order value through digital channels increased to $1,420 per transaction in 2025, from $950 in 2020.
  • Direct-to-site delivery from online orders achieved a 42% efficiency gain in fulfillment times compared to 2022, reducing the average delivery window from 7.2 days to 4.1 days.

Data-Driven Product Customization

  • Custom-configured building product sales reached $39 billion in 2025, almost double the $21 billion reported in 2020.
  • 83% of manufacturers now offer online product configurators, a steep rise from just 31% in 2018.
  • Data analytics platforms power 71% of all new product launches in 2025, up from 46% in 2021, enabling real-time adjustment based on customer feedback and regional demand.
  • Projects utilizing data-driven customization report a 21% decrease in material waste, compared to an 11% reduction in 2020.

Construction Technologies Impacting Building Products

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Prefabrication and Modular Building Trends

  • In 2025, global spending on building products is projected to reach $556 billion, up from $450 billion in 2024; prefab and modular solutions are expected to account for over $85 billion, representing a significant increase from $69 billion in 2021.
  • North America's modular construction market value is projected to reach $32 billion by 2025, representing a significant increase from $24 billion in 2022.
  • Project completion times for modular builds are consistently 25%-50% faster than those for traditional construction, resulting in a 34% reduction in labor costs compared to data from 2020.

3D Printing of Building Materials

  • The global 3D-printed construction materials market was valued at $2.1 billion in 2025, up from $1.3 billion in 2023, reflecting a rapid adoption.
  • The average size of 3D-printed residential projects rose to 3,500 sq ft in 2025, up from 2,800 sq ft in 2021.
  • The commercial rollout of 3D-printed concrete resulted in a 19% reduction in material costs and a 43% decrease in waste output compared to traditional precast concrete in comparable projects from 2023.

Robotics and Automation in Product Manufacturing

  • Robotics integrations in building product manufacturing facilities reached 38% adoption across North America and Europe in 2025, compared with 24% in 2021.
  • Robotics-driven insulation lines improved production speed to 120,000 sq. ft. per day in major U.S. plants (from 82,000 sq. ft. in 2020).
  • Automated drywall manufacturing output exceeded 18 million tons in 2025, sharply up from 13 million tons in 2021.

Advanced Insulation Technologies

  • The insulation products market is expected to reach a total spending of $49 billion by 2025, up from $37 billion in 2020.
  • High-performance spray foam and vacuum-insulated panels captured 28% of new U.S. residential buildings in 2025, up from 15% in 2022.
  • The thermal conductivity rating of newly launched commercial insulation products improved to 0.021 W/mK in 2025, outperforming the average of 0.032 W/mK typically seen in products released in 2020.

Market Dynamics and Customer Preferences

Global Market Size and Growth Projections

  • The global building materials market reached $1.35 trillion in 2024. In 2025, the market size is expected to be $1.41 trillion, representing a $60 billion year-over-year increase. Projections estimate the market will reach $2 trillion by 2034, based on a compound annual growth rate (CAGR) of 4% between 2025 and 2034.
  • In 2017, the global building products market was valued at $33.16 billion. By 2025, it is expected to reach $49 billion, representing an increase of $15.84 billion over the next eight years.
  • The construction materials market alone is projected to expand by $1.06 trillion from 2025 to 2029, reflecting the sector’s strong growth trajectory.
  • The drywall segment is expected to increase from $18 billion in 2017 to $27 billion by 2025, representing a growth of $9 billion.
  • The plaster building products segment is forecasted at $37 billion by 2025, up from approximately $24.2 billion in 2017, highlighting robust demand for specialty construction materials.

Shifting Residential vs. Commercial Product Demand

  • Commercial construction spending outpaces residential, accounting for the highest share of global building materials sales in 2025. Commercial sector spending surpasses $1 trillion, while residential construction accounts for the remaining portion of the $1.41 trillion market in 2025.
  • Nonresidential building products spending grew by $42 billion from 2017 to 2025, compared to residential’s $31 billion growth, highlighting a shift toward commercial demand in recent years.
  • Demand for specialty building products, including acoustic panels and impact-resistant materials, has increased by 17% in the commercial segment since 2020, while residential demand has grown by only 10% during the same period.

Consumer Preferences for Design and Aesthetics

  • Demand for gypsum building plasters (used for modern, smooth interior finishes) commands the highest market share, growing at a 5.9% CAGR from 2017 to reach $27 billion by 2025.
  • Polymer-based skim coat products—preferred for contemporary finishes—will grow at a 7.3% CAGR between 2017 and 2025, becoming the fastest-growing decorative segment and reaching a value of $2.9 billion.
  • In 2024, 65% of new commercial projects incorporated design-driven materials, such as dynamic glazing and customizable façade panels, compared to 54% in 2020, indicating a shift towards aesthetics in both exteriors and interiors.
  • Specialty paints and architectural coatings for premium finishes experienced a sales increase of $6 billion from 2020 to 2025, driven by higher demand for eco-friendly and vibrant options in both sectors.

Price Trends and Supply Chain Challenges

  • Average building material prices increased by 18% from 2021 to 2023, driven by cost spikes in cement, steel, and drywall.
  • Raw material shortages drove a $45 billion increase in input costs across the industry from 2022 to 2025.
  • Transport and logistics challenges caused delivery lead times to climb by an average of 24 days in 2022, though this eased slightly to 19 days by 2025 due to supply chain adaptations.
  • Alternative materials (e.g., recycled composites) saw usage increase by $8 billion in global construction, helping offset traditional material price hikes since 2022.

Regulatory Changes and Future Outlook

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Building Codes and Compliance Updates

  • In 2025, building code compliance initiatives in North America led to a 5% increase in project review times compared to 2023, with average approval periods reaching 12.5 weeks in 2025, up from 11.9 weeks in 2023.
  • The global building products market reached $1.41 trillion in 2025, up from $1.35 trillion in 2024, as more regions regulated the use of low-carbon and energy-efficient materials.
  • In Europe, the percentage of new structures adhering to the latest thermal insulation standards rose from 68% in 2023 to 74% in 2025, reflecting stricter regulatory enforcement.
  • The U.S. market experienced an 87.2% growth in the building materials market from 2021 ($351B) to 2025 ($402.4B), attributed to updated seismic and fire safety codes that require higher-grade products.

Health and Safety Focus in Product Development

  • Spending on anti-microbial surface products in commercial buildings rose to $2.8 billion in 2025 from $2 billion in 2022, driven by heightened post-pandemic specifications in public buildings.
  • Use of low-VOC (volatile organic compound) paints and coatings reached 68% of all nonresidential projects in North America in 2025, up from 54% in 2021.
  • Occupant health and air quality solutions—such as HEPA filtration and UV-C lighting systems—were specified in 39% of new nonresidential facilities in 2025, compared to 27% in 2021.
  • The European market saw an investment of $980 million in health- and safety-focused building products for schools and hospitals in 2025, up from $720 million in 2022.

Investment and M&A Trends in the Industry

  • Total spending on building products is projected to grow 23% from $450 billion in 2024 to $556 billion by 2029, with nonresidential product spending expected to increase 24% during the same period.
  • The flooring market alone drew $44 billion of merger and acquisition activity globally in 2024, up from $27 billion in 2022; resilience and luxury vinyl products were key targets.
  • Investment in R&D for innovative building materials in North America totaled $15.7 billion in 2025, up from $10.2 billion in 2021, representing a 54% increase over the four years.
  • Across Europe and North America, 31 major mergers and acquisitions (M&A) deals in the building products sector were closed in 2024, up from 21 deals in 2021, with a total value of $17.2 billion, a 58% increase from $10.9 billion in 2021.

Forecast: Emerging Building Product Innovations

  • The global building materials market is projected to reach $2 trillion by 2034, a jump from $1.41 trillion in 2025, driven by rapid innovation and urbanization.
  • Spending on smart building materials, including IoT-enabled windows, is projected to reach $19 billion by 2027, up from $11.2 billion in 2022.
  • The adoption of 3D-printed construction products has increased, with the market value projected to grow to $6.3 billion by 2025, up from $3.9 billion in 2021 globally.
  • R&D on carbon-negative materials received direct corporate funding of $2.4 billion in 2025, compared to $1.1 billion in 2020, led by major manufacturers in Europe and North America.

Conclusion

The journey of building products, trends, and statistics reveals a remarkable transformation, driven by sustainability, technology, and changing consumer needs. Each year brings fresh innovation and insightful data that shape how we design, build, and live.

Staying informed on these evolving trends empowers professionals and homeowners to make forward-thinking decisions. As the industry continues to evolve, now is the perfect moment to reflect on what truly matters for future-ready spaces.

Curious about what’s next? Keep exploring, sharing, and discussing these insights to help shape a smarter, more resilient built environment.

Insights On Building Products Industry Trends and Statistics

How has the building products market grown recently?

The building products industry is poised for significant growth, with total spending projected to increase 23% from $450 billion in 2024 to $556 billion by 2029, driven by strong demand in both residential and nonresidential construction.

What are the top trending building products for 2025?

Smart building materials and sustainable solutions are leading trends, including dynamic glazing, carbon-negative materials, and products designed for full recyclability, reflecting industry-wide investment in innovation and eco-friendly construction.

How is technology shaping the building products sector?

The adoption of Building Information Modeling (BIM) has reached about 60-70%, and digital transformation, including AI and construction management software, is helping companies improve efficiency and manage complex projects.

What role does sustainability play in product innovation?

Sustainability has shifted from a trend to a requirement; manufacturers are now focused on eco-friendly materials, circular economy principles, and carbon capture technology, which heavily influence product development across the industry.

What economic or regional factors affect building product trends?

Growth is mainly fueled by public infrastructure investment, especially in North America, China, and India, as well as by shifts in new construction and renovation activities, with nonresidential sectors seeing the fastest spending growth in 2025.

References & Citations:

  1. Building Materials Market Poised for Strong Growth Amid Urbanization and Green Construction Trends
    Yogesh Kulkarni, Aditi Shivarkar (May 2025), Building Materials Market Poised for Strong Growth Amid Urbanization and Green Construction Trends
  2. India Building Materials Market Size, Share, Trends and Forecast by Type, Application, and Region, 2025-2033
    IMARC Group (2024), India Building Materials Market Size, Share, Trends and Forecast by Type, Application, and Region, 2025-2033
  3. Construction Materials Market Analysis, Size, and Forecast 2025-2029: North America (US and Canada), Europe (France, Germany, Italy, and UK), APAC (China, India, and Japan), South America (Brazil), and Rest of World (ROW)
    Technavio (Jun 2025), Construction Materials Market Analysis, Size, and Forecast 2025-2029: North America (US and Canada), Europe (France, Germany, Italy, and UK), APAC (China, India, and Japan), South America (Brazil), and Rest of World (ROW)
  4. Building Materials Market Forecast (2025-2032): Industry Size, Market Share Data, Business Insights, Latest Trends, Opportunities, Competitive Analysis and Demand Outlook Report
    MarketResearch (Oct 2024), Building Materials Market Forecast (2025-2032): Industry Size, Market Share Data, Business Insights, Latest Trends, Opportunities, Competitive Analysis and Demand Outlook Report
  5. Building Products Market Overview
    Paul Trombitas, Brian Strawberry, Jim House, Porter Wiley, Cameron Walker, Walter Combs (Jun 2025), Building Products Market Overview
  6. Global Building Products Market to Reach US$ 49 Bn by 2025
    Persistence Market Research Pvt. Ltd. (Sep 2017), Global Building Products Market to Reach US$ 49 Bn by 2025
  7. Building Materials Market Report 2025 (Global Edition)
    Ashwini Moharir (May 2025), Building Materials Market Report 2025 (Global Edition)
  8. Construction Materials Market Size, Share, and Trends 2025 to 2034
    Saurabh Bidwai, Aditi Shivarkar (May 2025), Construction Materials Market Size, Share, and Trends 2025 to 2034
  9. Winning in 2025: How building material suppliers can navigate a changing market
    William Humsi, Tom McClure, Erin Kilbride (Apr 2025), Winning in 2025: How building material suppliers can navigate a changing market
  10. Hardware & Building Materials – Worldwide
    Statista (2025), Hardware & Building Materials – Worldwide