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07 
Sub-Sector 
Strategiesـ
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Building 
Materials
The Importance of the Building Materials Industry Sub-sector
The Building Materials industry has a unique opportunity to leverage KSA’s 
dynamism in the coming years, and thus grow its scale both domestically and 
regionally to bring increased economic benefit to the Kingdom. First, the giga 
projects under development mean there is significant potential in both the 
domestic and regional construction markets, which provide the opportunity 
to export to the MENA region. Second, the capabilities built by the Kingdom 
can make KSA a regional leader in the construction and building materials in-
dustries. Third, the integration of advanced construction methods will lead to 
the development of trained and skilled workers who add unique, high value to 
products. Finally, from a country perspective, the Building Materials industry 
is imperative to shift the focus toward the circular economy and energy-effi-
cient designs that reduce reliance on fuel.
Market and Trends
The Building Materials market is composed of four main elements: Ce-
ment, Ceramics, Glass, and Stone
Global Market
The global construction market is growing, with a value of USD 4,663 bn in 
2020 that is expected to reach USD 8,490 bn by 2030, growing 5% per year. 
Delving deeper into the elements, the Cement industry is expected to see 
slower growth, rising from USD 3.9 bn in 2019 to USD 4.2 bn in 2028. Given 
its relatively high transport cost, cement is typically produced locally and the 
industry is characterized by national and multinational consolidation (China 
being the largest consumer, producer and exporter). The Ceramic industry 
is expected to grow by 5.5% (2019-2025), yielding similar growth to the con-
struction market. The ceramic tiles segment has the highest global demand 
and requires strong design capabilities. The Glass industry is also expected to 
grow at a CAGR of 5.3% (2015-2025). In terms of trade, the United States is the 
top importer and China the top exporter of glass. Packaging glass (e.g., bot-
tles and jars) accounts for 45% of all global glass production. Lastly, the Stone 
market is expected to grow by 4% (2018-2026). Stone is traded globally, with 
China as both the largest importer and exporter. Within the Stone industry, 
granite has the highest market share, accounting for 45% of the whole stone 
market in 2020.
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Building Materials Sub-sector
07. Sub-Sector Strategiesـ07. Sub-Sector Strategiesـ
07 
Sub-Sector 
Strategiesـ
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Building 
Materials
Regional  Market
The regional construction market is experiencing faster growth than the glob-
al market, growing at a CAGR of 6% from USD 223 bn in 2019 to USD 404 
bn in 2030. From a trade perspective, Turkey is the leader in overall building 
material exports. In Cement, Turkey is the top exporter with the US as the 
main export market. In Ceramics, Turkey is not only the top exporter, but also 
a leader in ceramic design. On the other hand, KSA is the top importer of Ce-
ramics within the MENA region. In Glass, Turkey is both the top exporter (of 
which 28% is packaging glass) and importer (of which 31% is glass fibers) in 
the region. Packaging glass is the segment with the highest regional produc-
tion, making up the majority of exports. Lastly, KSA is a major importer of 
Stone (90% of which is marble) while the UAE is the top regio