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Autoclaved Concrete Market, Size, Share, Opportunities and Forecast, 2020-2027


(EnergyIndustry.Net, June 24, 2020 ) Market Overview
• The Global Autoclaved Concrete Market is expected to grow at a high CAGR of 7.2% during the forecasting period (2020-2027).
Autoclaved concrete is a lightweight, precast, foam concrete building material that is used for the production of concrete masonry unit (CMU) like blocks. It composed of quartz sand, calcined gypsum, lime, cement, water and aluminum powder, AAC products are cured under heat and pressure in an autoclave. Autoclaved concrete is excellent thermal insulators. It possesses the following weight, rigidity of construction, durability, and cost-effectiveness. It is widely used for speeding the construction. It offers thermal and acoustic insulation, providing better safety and lower energy cost of heating or cooling.

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Market Dynamics:
• The market growth is driven by rapid urbanization and industrialization leading to a rising number of construction activities. According to Our World Data, more than four billion people live in urban areas globally. It is expected that around seven billion people would be living in India.
• The market is witnessing the rising focus on environmentally friendly materials due to its non-toxicity, inert and lightweight which could provide lucrative opportunities to the manufacturing. Autoclaved Aerated Concrete (AAC) is one of the eco-friendly and certified green building materials. AAC is porous, non-toxic, reusable, renewable and recyclable. Autoclaved Aerated Concrete, also known as air Crete, is a lightweight, load-bearing, high insulating, durable building product, which is produced in a wide range of sizes and strengths
• Companies are also focusing on developing new manufacturing facilities, and capacity expansion. For instance, in January 2019, Erode-based Renaatus Procon Pvt. Ltd had started a facility at Tirunelveli and is planning to establish a third facility in the next two years. It would have a capacity of 18,000 cubic metres a month. The company had also entered into the collaboration with Maldives Government’s State Trading Organization for exporting the Renacon AAC blocks.

Market Segment Analysis
• The global autoclaved concrete market is segmented based on type as block, lintel, panel, tile and others. Block segment accounts for the highest market share due to the high usage of autoclaved concrete blocks especially in the Asia Pacific region and Europe. The size and type of autoclaved concrete can be different as per the country requirement. The cost of autoclaved concrete blocks is higher in comparison to the other products.
• Panels segment is expected to have positive market growth due to the easy availability of the autoclaved concrete panels. These panels stood vertically, spanning full-story heights. Autoclaved concrete panels are heavier due to their size and require the use of a crane for placement. These panels are set on the into a layer of thin-bed mortar and vertical rebar by attaching to dowels extending up from the floor before the adjacent panel is placed.
• Further, the market is also classified on the basis of application as residential, industrial, and commercial. The residential segment accounts for the highest market share due to the rising demand for reconstruction of new and old buildings. Autoclave concrete possesses thermally-insulated and energy-efficient properties, along with being fire-resistant, termite- or pest-resistant, seismic-resistant
• Commercial segments account for the significant market share owing to the increased demand of autoclaved concrete in office spaces for enhancing the office appearance, control and maintaining privacy, safety, and security.

Market Geographical Analysis
• By region, the global autoclaved concrete market is segmented into North America, South America, Europe, Asia-Pacific, Middle-East and Africa. Among all of the regions, Asia-Pacific dominates the market due to the rising demand of autoclaved concrete. It is being preferred by the developers for building constructions due to its lightweight and energy efficiency. Asia Pacific region is witnessing rapid urbanization especially in developing countries such as India and China.
• According to the United Nation, around 54% of the world’s urban population is living in Asia. It is expected that around 4.9 billion people are living in Asia. Currently, the Chinese government had rolled out massive construction plans, including making provisions for the movement of 250 million people to its new megacities, over the next ten years. Infrastructure is one of the fasted growing. It is expected that approximately 4.9 billion people are expected to live in these cities by 2025. China is one of the largest Autoclaved Concrete production country.
• Europe has high demand due to the rising consumption of autoclaved concrete. Moreover, growing consumer awareness, changing lifestyle, and consumption are the factors increasing the demand for the autoclaved concrete in Germany, and France. Germany is one of the largest autoclaved concrete production countries. There are many old buildings located in Europe which require renovations as these old buildings lead to consuming more energy. Rising adoption of electric vehicles shall have a positive impact on the market.
• There is high usage of autoclaved concrete in the automobile industry as it one of the largest segments. According to the European Automobile Manufacturers Association, Automobile manufacturers operate around 309 vehicle assembly and production plants in 27 countries across Europe. Approximately, 19.2 million cars, vans, trucks and buses are manufactured every year. Automobiles are increasing the demand of autoclaved concrete in 2028.

Market Competitive Trends
• The global autoclaved concrete market is witnessing the heightened competition as there are several local and international players with competitive prices. Eastland Building Materials Co. Ltd, Eco Green Products Pvt. Ltd, UltraTech Cement Ltd, Forterra Renaatus Procon Pvt. Ltd is the leading market player with significant market size.
• The companies are entering into the collaborations, mergers, strategic partnerships and acquisitions to increase the demand for autoclaved concrete products and their expansion across the globe. For instance, in June 2019, CSR Hebel had completed its new Somersby plant in New South Wales to manufacture Hebel autoclaved concrete blocks and panels. The companies are entering into the collaborations, mergers, strategic partnerships and acquisitions to increase the demand for Autoclaved Concrete and their expansion across the globe.
• In October 2019, Romania’s Competition Council had authorized the transaction by which the Romanian subsidiary of LafargeHolcim takes over Somaco Group Prefabricate, a company that owns six plants with over 750 employees in Romania. Sonoco operates five prefabricated concrete factories in Teiuş, Timişoara, Târgovişte, Buzău, and Roman, as well as a factory for the production of autoclaved cellular concrete in Adjud. Holcim Romania specializes in the production of cement and concrete. Companies are raising investment for increasing their market presence and penetration across the globe.

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