According to a recent report published by Mordor Intelligence, the global facade market is expected to grow from USD 260.6 billion in 2022 to USD 363.5 billion by 2028, registering a growth rate of 5.7% during the forecast period (2022-2028). The world population is concentrated in urban areas, leading to a surge in construction activities. The need for new residential, commercial, and industrial buildings has been driving the demand for facade solutions.
Energy-saving facade materials are being developed as a result of technological advancements. These cutting-edge items capture solar energy and are widely used as a secondary source of electricity generation in many business and residential structures. The market is anticipated to expand significantly during the forecast period due to increasing consumer spending power, particularly in China, Japan, India, Brazil, and the GCC nations, as well as the requirement to give employees a secure working environment.
Increase in Construction of Glass Buildings
Glass imparts higher aesthetic value to a building, which boosts the demand for glass facades. All high-rise buildings in the metro cities are glazed with high-quality glass façades. Apart from the sophisticated exterior, glass façades make the buildings lighter and reduce the weight on the foundation, which is also driving the trend.
With the growing number of buildings with glass exteriors, glass façades can present a dilemma for performance-minded architects. The glass facades let natural daylight in, which is proven to improve mood and performance of education and work tasks while also cutting down on demand for artificial lighting. When the interior heat tries to travel to the colder exteriors in colder climates, the coating helps reflect this heat back to the inside, reducing the radiant heat loss. The reverse phenomenon occurs in warmer climate zones where the exterior heat is prevented from traveling to the building interiors. These advantages, coupled with increasing urbanization leading to an increase in glass buildings, are driving the growth of the global façade market’s growth.
The Construction Boom in Emerging Economies
The construction boom in emerging economies led to tremendous urbanization, economic expansion, and infrastructure development, particularly in areas like Asia-Pacific, the Middle East, and Latin America. This factor increased construction activities and boosted the demand for facade solutions. Rapid economic growth in emerging economies is often accompanied by urbanization, leading to a growing demand for housing. This drives the construction of residential buildings and housing complexes, which require facade systems for aesthetic appeal, weather protection, energy efficiency, and functionality. Infrastructure development is made possible by robust economic growth, which also serves as a driving force.
Governments invest in utilities like power plants, water treatment facilities, and transportation infrastructure, including roads, bridges, airports, and ports. Facade systems are required for these infrastructure projects for practical and aesthetically pleasing reasons, increasing the need for such solutions. FDIs are growing in emerging economies due to their strong economic growth and welcoming investment environments. In order to build manufacturing facilities, offices, and retail spaces, foreign corporations frequently invest in construction projects. As part of the construction needs, these investments fuel demand for facade systems.
Increasing Awareness about Energy Efficiency and Sustainability
The demand for facade solutions that help save energy has expanded as a result of rising environmental awareness and the necessity for energy-efficient buildings. By providing insulation, sun control, and incorporating energy-efficient technologies, facades play a significant part in enhancing the energy efficiency of buildings.
Buildings have a major impact on energy use and greenhouse gas emissions. The focus on improving building energy efficiency is becoming more important as the world concentrates on lowering carbon emissions and combatting climate change. With their thermal insulation, solar shading, and energy-efficient glazing, facade systems help lower a building's energy consumption and its associated carbon emissions . Building energy standards and regulations are being implemented by governments and regulatory agencies around the world to encourage energy efficiency implementation. These standards frequently contain specifications for the thermal, insulative, and glazing efficiency of building facades. The demand for energy-efficient facade systems is driven by compliance with these rules.
Energy efficiency and sustainability in building design and operation are prioritized by green building certifications and rating systems like LEED (Leadership in Energy and Environmental Design) and BREEAM (Building Research Establishment Environmental Assessment Method). Higher certification levels are attained with the help of façade systems with energy-saving features, which increases the demand for environmentally friendly facade solutions. Life Cycle Cost Analysis: When making decisions about new construction and renovations, building owners and developers take life cycle cost analysis into account. It is preferable to use facade technologies that help save energy and lower running expenses over the course of a building's life. Energy-efficient facades with enough insulation and sun control can lower energy costs and improve a building's economic viability.
The growing awareness of environmental concerns and the focus on energy-efficient buildings has led to an increased demand for facade systems that contribute to energy savings. Facades with thermal insulation, solar shading, energy-efficient glazing, and integration of renewable energy technologies are sought after to reduce energy consumption, lower carbon emissions, and create sustainable built environments.
Recent Developments in the Global Façade Market:
In May 2023, Hydro Building Systems and Saint-Gobain Glass partnered to integrate the low-carbon solutions provided by both businesses in order to lower the carbon footprint of building facades. To produce items with little embodied carbon, businesses are utilizing their technologies. With a high percentage of recycled post-consumer scrap, Hydro Building Systems uses Hydro CIRCAL in its aluminum facade solutions. Underscoring their commitment to circularity in the building industry, Hydro and Saint-Gobain Glass are also investing in urban mining across Europe. This technique recycles end-of-life aluminum and glass.
In February 2023, the latest research and development project will see AGC's structural glass production line in Barevka, Czech Republic, completely rebuilt into a high-performance, cutting-edge facility with a 50% reliance on renewable energy sources. AGC and Saint-Gobain, two leading global flat glass manufacturers, have announced that they are collaborating on the development of a ground-breaking pilot flat glass line.
The new furnace is on track to become the most ecologically friendly flat glass facility, supporting both businesses in their efforts to become carbon neutral and helping to speed up the flat glass industry's crucial decarbonization.
Key Players and Competition in the Global Facade Market
The global facade market is highly competitive, with numerous companies competing to provide innovative and high-quality facade solutions. The market consists of diverse players, including multinational corporations, regional players, and specialized facade manufacturers. Some of the prominent global facade companies include.
- AGC Inc (Japan)
- Saint Gobain (France)
- Knauf (Germany)
- Kingspan Group plc (Ireland)
- Louisiana-Pacific Corporation
- Permasteelisa
- Schüco
- Enclos
- YKK AP
- Kawneer
- HansenGroup
Learn More
For more information about this fast-growing market, have a look at the Global Façade market, a 390-page report with detailed insights on market trends, dynamics, segmentation, competitive landscape, and company profiles of key Construction building companies.
