Zero-Carbon New Materials: Biodegradable Materials, BIPV Photovoltaic Glass, Smart Homes… A Survival and Growth Guide Under the New Policies

Photo by Frames For Your Heart on Unsplash

 

Against the dual backdrop of global economic transformation and policy-driven initiatives, the building materials industry is undergoing unprecedented changes. From green, low-carbon solutions to smart home technologies, and from deepening engagement in the domestic market to expanding overseas, the industry's development trends and future prospects are gradually becoming clearer as policy dynamics, market data, and technological innovations converge on multiple levels.

 

Photo by Scott Webb on Unsplash

 

In October 2024, the Ministry of Industry and Information Technology released the "Implementation Measures for Capacity Replacement in the Cement and Glass Industries (2024 Edition)," clearly stating that newly added cement and flat glass production capacity is strictly prohibited in key national regions focused on air pollution control. The replacement ratio has also been increased to 2:1 for cement and 1.25:1 for glass. Meanwhile, the State Council's "Energy Conservation and Carbon Reduction Action Plan for 2024–2025" further mandates that by the end of 2025, cement clinker production capacity be capped at around 1.8 billion tons, while the proportion of flat glass production capacity meeting or exceeding energy efficiency benchmark levels reaches 20%. Under this stringent policy environment, the industry is accelerating the phasing out of outdated production capacities, with leading enterprises seizing market share through technological upgrades.

 

 

· Biodegradable Building Materials: Nippon Paint has partnered with the UK-based Polymateria to launch biodegradable packaging, which is expected to reduce plastic waste by thousands of tons annually and cut carbon emissions by 30%. The high-performance insulation materials and biodegradable structural components developed by Mingjiang Liangcai leverage advanced air microbead and gel composite technology, significantly enhancing building energy efficiency. According to forecasts from the China Building Materials Federation, the green building materials market is projected to surpass 1.3 trillion yuan by 2025.

 

· Photovoltaic glass: Chinese enterprises dominate the market, with Follett and Xinyi Solar holding a combined market share of 44.15%. In 2023, their export volume reached 3.5506 million tons, resulting in a significant trade surplus. Meanwhile, technological innovations in bifacial power-generating glass and transparent photovoltaic glass are accelerating adoption, driving "Building Integrated Photovoltaics" (BIPV) to become a new blue ocean of growth.

 

 

 

According to IDC's "China Smart Home Device Market Quarterly Tracking Report," China's shipments of smart home devices are expected to reach nearly 300 million units by 2025. On the policy front, the Ministry of Housing and Urban-Rural Development has raised the minimum ceiling height for residential floors to no less than 3 meters, while also explicitly requiring that new residential projects integrate whole-house smart solutions—with pilot programs first launched in affordable housing initiatives.

 

· Technological breakthrough: The deep integration of AI, the Internet of Things, and building materials has given rise to innovative products such as smart temperature- and humidity-sensing wall materials and structural safety monitoring systems.

 

· Standard Construction: The industry is driving the standardization of communication protocols and device compatibility, for instance, by leveraging the "Home IoT Standards Alliance" to integrate industry chain resources and lower the barrier to user adoption.

 

· Scenario implementation: Some well-known property developers have already pre-installed whole-house smart systems in multiple projects, covering scenarios such as security, energy management, and environmental control, thereby enhancing the premium value of their products.

 

 

Data released by China's General Administration of Customs shows that in 2024, the country's exports of furniture and its parts reached 483.034 billion RMB, representing a year-on-year increase of 7.0%. Leveraging the Belt and Road Initiative, building materials enterprises can draw on the furniture industry's successful strategies—such as localized production and channel development—to seize market share effectively.

 

 

· Demand Surge: Infrastructure investments have surged in countries like Vietnam and Indonesia, driving up demand for cement and steel amid projects such as Thailand’s “Eastern Economic Corridor” and the construction of Indonesia’s new capital. Chinese building materials companies, including Hailuo Cement, have established local production bases, leveraging their cost advantages to capture significant market share.

 

· Challenges and Opportunities: Environmental standards are being raised, and trade barriers—such as Indonesia's import environmental certification requirements—are prompting companies to strengthen their technical compliance. Meanwhile, regional economic integration, like the RCEP, is facilitating tariff reductions and supply chain integration.

 

 

· Infrastructure dividends: Under Saudi Arabia's "Vision 2030," investments in projects such as the NEOM New City exceed $1.15 trillion, while reliance on imported construction materials reaches 40-45%.

 

· Green Transformation: The UAE, Qatar, and other countries are vigorously promoting photovoltaic projects, leading to a sharp increase in demand for photovoltaic glass and energy-efficient building materials. Chinese companies are rapidly gaining traction, leveraging their technological advantages.

 

 

The overall home renovation market is projected to reach 1.3 trillion yuan in 2025. Companies like Oppein and Sofiya are enhancing customer spending per order and boosting user loyalty by integrating the entire value chain—spanning design, construction, and supply chain management.

 

 

In 2024, the consumer goods trade-in policy boosted sales in the home improvement, kitchen, and bathroom sectors, driving revenue exceeding 23.7 billion yuan. Businesses can extend their industry chains by offering used building material recycling and refurbishment services, while the trade-in program helps reduce users' replacement costs.

 

China's population aged 65 and older has surpassed 200 million, and over the next decade, the vast "silver economy" market—worth hundreds of billions—is set to become the new battleground for the home furnishings industry. Demand is surging for age-friendly bathroom products, smart alarm systems, and other innovative solutions tailored to the needs of an aging population. As a result, businesses must integrate age-appropriate features such as accessibility and anti-slip designs into their product offerings.

 

 

The building materials industry stands at a crossroads marked by "green transformation, intelligent innovation, and global expansion." Companies must closely align with policy directions, ramp up R&D investments, and strategically enter emerging fields such as biodegradable building materials and photovoltaic glass. At the same time, they should leverage the growing trends of smart home technologies and customized integrated solutions to redefine the user experience. Meanwhile, in the global market, firms should focus on the infrastructure opportunities in Southeast Asia and the Middle East, adopting localized and compliance-driven strategies to achieve breakthroughs. Only by proactively embracing change can businesses not only maintain their competitive edge amid industry reshuffling but also embark on a new journey of high-quality development.