The global autoclaved aerated concrete (AAC) market size is expected to grow from USD 19.0 billion in 2020 to USD 26.0 billion by 2025, at a CAGR of 6.0%, during the forecast period.

The growth in this market is driven by the inclination towards buildings that are green and proof of their sound along with cost-effective & lightweight material solutions. Construction to resist earthquakes or natural calamity and the growing use of ACC products over traditional clay bricks are quickly driving market development. However, the construction of the ACC production unit entails high costs and thus prevents the expansion of the market between current and new market participants. Growing living standards and increasing population expenditure have made it possible for manufacturers to work with earthquake engineering, which at the same time boosts the growth of the global demand for autoclaved aerated concrete.

Autoclaved aerated concrete (AAC) is an environment friendly green building material, also called autoclaved cellular concrete (ACC) or autoclaved lightweight concrete (ALC). AAC is a fly ash, a residue product of thermal power plants, as the raw material used for processing. In contrast with other building materials AAC has multiple advantages. A unique combination of low weight, construction rigidity, reliability and economic efficiency is given for the product. Quick construction is facilitated by AAC. The product includes thermal and acoustic insulation, improving safety and lower heating or cooling energy costs. While AAC exists since 1923, the product has only now become popular as a sustainable green building material.

Based on Application

Construction Material
Road Sub-Base
Roof Insulation
Bridge Sub-Structure
Void Filling
Concrete Pipes
In the timeframe predicted, the group of construction materials dependent on the application will have the highest proportion in the autoclaved aerated concrete industry. The growing construction activities around the world can be due to rapid urbanization and population growth. This is also followed by an increasing need for environmentally sustainable products to protect the environment. The building materials are expected to remain the quickest-growing class in the forecast era, due to their superior properties, such as a high-tensile strength, a higher degree of compression, and easy processing over conventional concrete.

Drivers of Global Autoclaved Aerated Concrete Market

Increasing Urbanization and Industrialization with Growth in Infrastructural Sector
Surging Focus on Green and Sound-Proof Buildings
Rising Need for Lightweight Construction Materials
Growing Preference Toward Low-Cost Houses
Competitive Landscape and Key Players in the market

With over 3,000 manufacturers operating around the world, the global autoclaved aerated concrete (AAC) market is largely fragmented. The Xella Company has been the world market leader. The Xella Party, H+H International AS, Forterra Buildings Products Limit, ACICO, and Tarmac are the major players, among them. In addition to the quest for long-term contracts, the key players in the autoclaved aerated concrete market invest in expanding their production capacity to meet the rising global demand. ACICO, for example, has signed a long-term agreement for ACC supplies with Cemengal, Spanish engineering, procurement, and construction company.

Masa GmbH
Ecotech Srl
ACICO Industries Co. KSCP
Xella International GmbH
Broco Industries
SORBET Spolka z o.o.
Aircrete Europe B.V.
Fast Build Blocks Pvt. Ltd.
Wehrhahn GmbH
AIRCON AAC
H+H International A/S

Source: VynZ Research