Autoclaved aerated concrete (AAC) is a concrete based product which has distinct cellular structure that features enormous tiny pockets of trapped air. It is an eco-friendly building material which is lightweight and, concrete. It is also termed as autoclaved cellular concrete (ACC) and autoclaved lightweight concrete (ALC).The production of AAC involves the use raw materials such as fly ash which is the residue of thermal power plants. AAC is preferred in construction sector due to its unique combination such as durability, low weight, rigidity of construction and cost effectiveness.

AAC blocks and panels are in demand worldwide by masons and carpenters due to its features such as dimensional stability and durability. The advantages of autoclaved aerated concrete over other materials used in building and construction sector may expand the growth prospects of autoclaved aerated concrete market during the forecast period of 2019-2027.

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AAC has been into existence since the year 1923.However, it started getting acknowledged due to the increasing awareness about the use of sustainable and green building material. ACC products are safer and facilitate heating and cooling at a lower cost. In addition, they offer thermal and acoustic insulation and speeds up the construction process. The autoclaved aerated concrete market has gained traction due to the growing trend of using eco-friendly green construction materials

Affordability and Low Raw Material Requirement to Serve as Beneficial Factor for Autoclaved Aerated Concrete Market

AAC is cost-effective as it requires less raw materials and also assists in speedy construction. The supply chain has strengthened and ranges from suppliers of raw materials to distributors and retailers of ACC products. The end users get benefits such as energy savings in cooling and heating process in construction sector. Furthermore, the AAC products complement the existing green building rating systems.

Rapid urbanization has led to growth in demand for residential, commercial, and industrial spaces. AAC is an eco-friendly and economical option for construction companies. Hence, there is a significant growth of autoclaved aerated concrete market.

Europe and Asia Pacific to Observe Rapid Growth for Autoclaved Aerated Concrete Market

The autoclaved aerated concrete market has gained traction in Europe owing to adoption of green rating systems in construction industry. The environmental regulatory norms such as LEED (Leadership in Energy and Environmental Design) have gained momentum in many European countries. Europe has a highly lucrative market for autoclaved aerated concrete due to its extensive adoption in construction industry.

Asia Pacific has shown a rapid growth for the autoclaved aerated concrete market due to the energy conservation norms and increase in demand for green products. The growth of the construction industry owing to urbanization and population growth has bolstered the growth of the autoclaved aerated concrete market. However, the existence of wood-based construction pattern has proved to be sluggish for the growth of autoclaved aerated concrete market in North America.

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COVID-19 Impact on Autoclaved Aerated Concrete Market

The COVID-19 pandemic has affected the autoclaved aerated concrete market to a certain extent. The lockdown restrictions implemented by several countries at the beginning of the pandemic decreased the growth quotient of many fields and sectors, including the autoclaved aerated concrete market.

However, with mass COVID-19 vaccination drives taking place in many countries and decreasing COVID-19 hospitalization admissions presents a promising future for the autoclaved aerated concrete market. However, the outbreak of the new omicron variant in various countries have sparked fresh concerns and may hamper the growth of the autoclaved aerated concrete market.

Novel Strategies Implemented by Players to Serve as Growth Boosters for Autoclaved Aerated Concrete Market

The key players in the autoclaved aerated concrete market have developed new expansion strategies, taking into consideration the need for eco-friendly, sustainable, and energy-saving products. The players are investing in rigorous research and development activities to strengthen their market dominance. The manufacturers are focusing on innovating cost effective and efficient technologies to enhance the production process. The players are also investing in mergers and acquisitions, joint ventures, and partnerships for expanding their reach.

Some well-established players in the autoclaved aerated concrete market are Eastland Building Materials Co., Ltd.,H+H International, Biltech Building Elements Limited, UAL Industries Ltd., SOLBET, UltraTech Cement Ltd., and Xella Group.

The Global Autoclaved aerated concrete market has been segmented as presented below:

Autoclaved Aerated Concrete (AAC) Market: Product
Block
Wall Panel
Floor Panel
Roof Panel
Cladding Panel
Others
Autoclaved Aerated Concrete (AAC) Market: End-use
Residential
Commercial
Others
Low Market Penetration offers Significant Market Opportunity

AAC blocks currently account for only 3% share of the total market for walling materials. This is attributed to the lack of awareness about AAC. Hence, builders, contractors, and construction professionals continue using traditional building materials, which hold significant share of the walling materials market. Currently, the market penetration of AAC is low, but this also presents significant opportunity for the industry to expand and use AAC as an innovative green building solution.

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AAC is not a new invention. The product has been in the market since 1923. It has undergone significant development over the years, and it is being used as a green building construction material. AAC has been employed in Europe since 1920. Currently, over 125 AAC manufacturing facilities exist in Europe that produce around 28 million cubic meters of AAC every year. Aerated concrete is used as a building material in around 500,000 homes every year in Europe.

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