Hempcrete Market to Reach USD 368.4 Million by 2035, Expanding at a Robust CAGR of 14.3%

Analysis of Hempcrete Market Covering 30+ Countries Including Analysis of U.S., Canada, U.K., Germany, France, Nordics, GCC countries, Japan, Korea

MD, UNITED STATES, May 30, 2025 /EINPresswire.com/ -- The global hempcrete market is expected to be worth USD 97.2 million in 2025. The study reveals that the industry will grow at a robust CAGR of 14.3% to reach a value of USD 368.4 million by 2035,The growth is driven by the increase in demand for green building materials, increasing emphasis on carbon-negative buildings, and policy drive towards bio-based solutions for the construction sector. Hempcrete, a bio-composite of the inner woody core of the hemp plant bound in a lime binder, is a superior thermal insulator, more breathable, and a healthier state.

The product is lightweight, mold-resistant, fire-resistant, and insect-resistant, hence extremely sought-after in green residential as well as commercial building works. Growing adoption of net-zero building standards and LEED-approved building designs is driving demand. New technologies such as prefabricated panels, modular building technologies, and new binder technology are also increasingly helping with scalability and reducing the cost of building.

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Growth Drivers Fueling Market Expansion

The hempcrete market is growing very fast due to the increasing demand for green building materials and heightened conservation. Hempcrete's ability to sequester carbon, its superior thermal insulation, and mold resistance make it superior to conventional concrete. As governments impose greater regulations in favor of green building products, the construction industry is moving towards greening and carbon negative. Hempcrete usage in residential, commercial, and industrial building projects is growing due to the fact that it is fashionable alongside the global environmental sustainability movement.

Regional Insights

Europe is still at the top in the market for hempcrete due to well-developed systems for hemp growing, strict green building regulations, and state subsidies. North America, the U.S., and Canada, specifically, are at a sharp growth stage in their hempcrete industry as green construction materials become popular among builders. Asia-Pacific, led by Japan, India, and Australia, is witnessing early-stage adoption due to policy moves towards green infrastructure and growth in construction activity. The global market is changing with localness in technical capacity, policy, and availability of raw materials, as sustainability and environmental awareness are continuing to put demand for hempcrete on the high side.

Survey Insights and Stakeholder Priorities

As per Fact. MR's survey revealed that 85% of stakeholders highlighted carbon emission reduction and the use of environmentally sustainable raw materials as fundamental drivers behind hempcrete uptake. Hempcrete's durability and thermal stability were also cited as critical requirements for residential and institutional building applications. Although the upfront cost continues to be a hurdle, developers increasingly see the long-term economic and environmental advantages, particularly in net-zero building applications. In Europe, regulation-led adoption, combined with tax credits and carbon credit schemes, is speeding up the market. In North America, prefabrication and green housing uptake are leading the growth. In Asia-Pacific, it is about overcoming region-specific issues and enhancing workforce preparedness through training initiatives.

Companies Targeting the Sustainable Building Revolution

IsoHemp is the market leader, holding sway in the European market with an 18–22% market share by virtue of its certified hemp-lime blocks and partnership with green architects. American Lime Technology (14–17% share) in North America uses its patented binder technologies for low-rise buildings and single-family homes. Others like HempFlax Group B.V. (12–15%) and JustBioFiber (9–12%) are coming up with modular systems and composite reinforcement, adding to product offerings. UK Hempcrete (6–9%) mainly targets the UK market with specialized hempcrete mixes and sustainability consultancy services. Hempcrete's global market is growing rapidly and is fueled by policy support, green building certification, and technical advancements.

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Segmental Insights

Blocks are the most popular product type in 2025, with a 45% share of the global hempcrete market. Their lightweight and modular design renders them appropriate for thermal insulation and wall assembly in new buildings as well as restoration work. Panels are picking up, accounting for 35% of the market. Panels are used more in insulation in prefabricated building systems, wherein they give labor efficiency and accuracy. Loose fill hempcrete, though carrying a lower share of the market, is generally applied to insulation where high thermal performance is desired.

Key Companies Profiled-

IsoHemp, American Lime Technology, HempFlax Group B.V., JustBioFiber, UK Hempcrete, HempEco Systems, Hemp Building Company, Schönthaler, La Chanvrière, Sunstrand

Industry News-

In North America, American Lime Technology and JustBioFiber are gaining industry recognition through proprietary binder technologies and systemized wall solutions for residential and low-rise commercial buildings. JustBioFiber has innovated modular block systems that reduce on-site construction time, positioning it competitively in green building projects.

HempFlax Group B.V., one of Europe’s largest industrial hemp processors, integrates vertically from raw fiber to binder-ready hurd, enabling consistent product supply for hempcrete producers across EU countries. UK Hempcrete and Hemp Building Company focuses on project-based custom applications, catering to eco-conscious housing and renovations, especially in the UK and Australia.

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