The Europe building materials market is expected to witness substantial growth through 2027 due to the expanding construction sector in the region. Moreover, surging focus on the development of green building materials to mitigate climate change is speculated to further support market growth through the forecast timeline.
Recently, industry players have been adopting lucrative strategic initiatives to extend their consumer reach across key marketplaces. For instance, in June 2021, Abac Solutions, a private equity fund providing flexible capital solutions to mid-sized companies in Spain, announced that it had closed the sale of Isolana to Blackstone-owned BME Group, a leading building materials distributor in Europe, after completing customary regulatory approvals.
Isolana is an independent distributor of general building materials and interior finishing materials in Spain with 70,000 sqm facilities and 36 distribution centers across the region. BME has established its presence in Belgium, the Netherlands, France, Switzerland, Germany, and Austria. The acquisition was intended to complement BME's geographical coverage, enabling it to gain a robust footing in the Spanish market. As a result, rising focus of companies on improving their market standing has positively influenced the global business landscape.
For detailed analysis, the Europe building materials market has been segmented on the basis of material, application, and country. In terms of material, the market has further been categorized into panel products, lumber, and gypsum. The panel products sub-segment is estimated to grow at a CAGR of over 4.3% through the assessment period to garner a sizable revenue by the end of 2027.
With respect to application, the Europe building materials market has been categorized into flooring, kitchen, door & window, outer siding, bath, toilet, vanity, roofing, and furniture (interior and garden furniture). The kitchen sub-segment holds a considerable share in the overall industry revenue and is projected to grow at a CAGR of above 3.8% through the study timeframe.
In 2020, the roofing sub-segment held around 3.46% revenue share in the Europe building materials market and is anticipated to expand at a considerable pace over 2021-2027. The outer siding sub-segment registered about 14.60% volume share in the Europe building materials market in 2020 and is set to amass lucrative gains by the end of 2027.
On the regional spectrum, the market spans the key geographies of Germany, U.K., France, Benelux, Russia, Italy, and Rest of Europe. The Benelux building materials market is calculated to grow at a CAGR of over 4.6% through the study timeline.
In 2020, the Italy building materials market gathered a volume share of around 4.58% in the overall industry revenue and is projected to grow at a steady rate over 2021-2027. The Russia building materials market contributed to nearly 6.70% of the global market revenue in 2020 and is slated to reach a notable valuation by the end of 2027.