| Product Code: ETC311668 | Publication Date: Aug 2022 | Updated Date: Nov 2025 | Product Type: Market Research Report | |
| Publisher: 6Wresearch | Author: Ravi Bhandari | No. of Pages: 75 | No. of Figures: 35 | No. of Tables: 20 |
In the Indonesia alternative building materials market, the import trend showed a 6.8% growth rate from 2023 to 2024, with a compound annual growth rate (CAGR) of 19.66% from 2020 to 2024. This import momentum can be attributed to a notable demand shift towards sustainable construction practices in the region.
The Indonesia alternative building materials market was valued at USD 1.2 billion in 2025 and is expected to grow at a CAGR of 5.4% during the forecast period to reach a value of USD 1.7 billion by 2025. Key factors driving this growth are rising government initiatives to promote eco-friendly building materials, increasing urbanization, and growing renewable energy investments. The Indonesian Government has been actively promoting green buildings as part of their commitment towards sustainable development goals set out by the United Nations Development Programme (UNDP). Several major construction companies have already started using green building material products such as wood substitutes, fly ash bricks, recycled plastic composites, etc., due to their cost benefits and environmental advantages over traditional building materials like steel and cement. As per statistics published by the World Bank in 2018, around 64% of Indonesians reside in urban areas which is likely to increase further with ongoing industrialization programmes planned across several cities including Jakarta and Bali providing an additional impetus for demand for alternative building materials in Indonesia
The demand for alternative building materials could be driven by factors such as sustainable construction practices, energy efficiency, and innovative materials. The market might benefit from urbanization, government initiatives promoting green building practices, and the need for cost-effective and eco-friendly construction solutions.
The alternative building materials market in Indonesia holds potential, challenges include resistance to change and limited acceptance of new materials and construction methods. Traditional building practices are deeply entrenched, and convincing stakeholders to adopt alternative materials can be difficult. Additionally, ensuring the durability, safety, and compliance of these materials with local building codes can be a hurdle.
The alternative building materials market could have experienced delays in construction projects due to labor shortages and disruptions in supply chains during the pandemic. However, as construction activities resumed, demand for sustainable and innovative building materials might have regained momentum.
The alternative building materials market could see growth as sustainable construction practices gain traction. Key players might include companies specializing in eco-friendly construction materials like PT. Bambu Runcing, Green Building Council Indonesia, and local sustainable material manufacturers.
1 Executive Summary |
2 Introduction |
2.1 Key Highlights of the Report |
2.2 Report Description |
2.3 Market Scope & Segmentation |
2.4 Research Methodology |
2.5 Assumptions |
3 Indonesia Alternative Building Materials Market Overview |
3.1 Indonesia Country Macro Economic Indicators |
3.2 Indonesia Alternative Building Materials Market Revenues & Volume, 2021 & 2031F |
3.3 Indonesia Alternative Building Materials Market - Industry Life Cycle |
3.4 Indonesia Alternative Building Materials Market - Porter's Five Forces |
3.5 Indonesia Alternative Building Materials Market Revenues & Volume Share, By Material, 2021 & 2031F |
3.6 Indonesia Alternative Building Materials Market Revenues & Volume Share, By End User, 2021 & 2031F |
3.7 Indonesia Alternative Building Materials Market Revenues & Volume Share, By Application, 2021 & 2031F |
4 Indonesia Alternative Building Materials Market Dynamics |
4.1 Impact Analysis |
4.2 Market Drivers |
4.2.1 Increasing awareness of sustainability and environmental concerns leading to the adoption of alternative building materials. |
4.2.2 Government initiatives promoting the use of alternative building materials to reduce carbon footprint and enhance energy efficiency. |
4.2.3 Rising urbanization and infrastructure development projects driving the demand for innovative and cost-effective building materials. |
4.3 Market Restraints |
4.3.1 High initial costs associated with alternative building materials compared to traditional materials. |
4.3.2 Limited availability and accessibility of alternative building materials in the market. |
4.3.3 Resistance from traditional construction industry stakeholders and lack of awareness among consumers about the benefits of alternative building materials. |
5 Indonesia Alternative Building Materials Market Trends |
6 Indonesia Alternative Building Materials Market, By Types |
6.1 Indonesia Alternative Building Materials Market, By Material |
6.1.1 Overview and Analysis |
6.1.2 Indonesia Alternative Building Materials Market Revenues & Volume, By Material, 2021-2031F |
6.1.3 Indonesia Alternative Building Materials Market Revenues & Volume, By Bamboo, 2021-2031F |
6.1.4 Indonesia Alternative Building Materials Market Revenues & Volume, By Recycled Plastic, 2021-2031F |
6.1.5 Indonesia Alternative Building Materials Market Revenues & Volume, By Wood, 2021-2031F |
6.1.6 Indonesia Alternative Building Materials Market Revenues & Volume, By Others, 2021-2031F |
6.2 Indonesia Alternative Building Materials Market, By End User |
6.2.1 Overview and Analysis |
6.2.2 Indonesia Alternative Building Materials Market Revenues & Volume, By Residential, 2021-2031F |
6.2.3 Indonesia Alternative Building Materials Market Revenues & Volume, By Non-residential, 2021-2031F |
6.3 Indonesia Alternative Building Materials Market, By Application |
6.3.1 Overview and Analysis |
6.3.2 Indonesia Alternative Building Materials Market Revenues & Volume, By Construction, 2021-2031F |
6.3.3 Indonesia Alternative Building Materials Market Revenues & Volume, By Furniture, 2021-2031F |
6.3.4 Indonesia Alternative Building Materials Market Revenues & Volume, By Flooring, 2021-2031F |
7 Indonesia Alternative Building Materials Market Import-Export Trade Statistics |
7.1 Indonesia Alternative Building Materials Market Export to Major Countries |
7.2 Indonesia Alternative Building Materials Market Imports from Major Countries |
8 Indonesia Alternative Building Materials Market Key Performance Indicators |
8.1 Percentage increase in the adoption of alternative building materials in new construction projects. |
8.2 Number of government policies and regulations supporting the use of alternative building materials. |
8.3 Growth in research and development investment in developing new alternative building materials. |
8.4 Improvement in the environmental sustainability metrics of construction projects using alternative building materials. |
8.5 Number of partnerships and collaborations between alternative building material manufacturers and construction companies for market expansion. |
9 Indonesia Alternative Building Materials Market - Opportunity Assessment |
9.1 Indonesia Alternative Building Materials Market Opportunity Assessment, By Material, 2021 & 2031F |
9.2 Indonesia Alternative Building Materials Market Opportunity Assessment, By End User, 2021 & 2031F |
9.3 Indonesia Alternative Building Materials Market Opportunity Assessment, By Application, 2021 & 2031F |
10 Indonesia Alternative Building Materials Market - Competitive Landscape |
10.1 Indonesia Alternative Building Materials Market Revenue Share, By Companies, 2024 |
10.2 Indonesia Alternative Building Materials Market Competitive Benchmarking, By Operating and Technical Parameters |
11 Company Profiles |
12 Recommendations |
13 Disclaimer |