Global Engineered Stone Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2024-2032)

Engineered Stone Market Analysis

Engineered stone is made up of crushed stone bound together by adhesives to create a solid surface. The resilient nature of these stones and the availability of a wide variety of colours and designs is increasing their popularity. Due to their non-porous nature, they prevent bacterial and fungal growth, making them suitable for commercial applications.

Increasing home remodelling and reconstruction activities are boosting the utilisation of engineered stones for flooring and countertop applications due to their durable nature as well as for boosting the aesthetic appeal of the household, aiding the growth of the engineered stone market. The applications of engineered stones in commercial buildings for designing washrooms and kitchens are rising. The stylish nature of the stones helps in increasing the aesthetic appeal of commercial spaces whereas the durable and long-lasting nature allows them to cater to a large footfall.

Engineered Stone Market Trends

Rising Trend of Sustainability

As part of the larger movement toward sustainable construction, the focus on eco-friendly materials is increasing. Sintered stones, which use natural minerals and avoid harmful chemicals, are seen as more sustainable compared to traditional engineered stone that involves resins and chemicals. Neolith's introduction of a silica-free product line called "Neolith for a New Era" highlights the industry's shift towards sustainability and worker safety.

The Green Building Council of Australia (GBCA) operates the Green Star rating system, which promotes sustainable design, construction, and operation of buildings and can aid the engineered stone demand. Australian government projects are increasingly required to meet Green Star standards. The Australian government has introduced initiatives such as the National Greenhouse and Energy Reporting Act (NGER) and provides financial incentives for energy-efficient construction, which includes using sustainable materials like engineered stone in compliance with Green Star requirements.

The Popularity of LEED Certification

The construction sector’s push toward sustainable building practices is increasing the use of eco-friendly materials like engineered stone, which can contribute to LEED certification (Leadership in Energy and Environmental Design). Companies are responding by ensuring their materials meet these environmental standards, offering low-emission and recycled content options.

The U.S. Green Building Council (USGBC) promotes sustainable building practices through its LEED certification program which can further increase engineered stone market revenue. Many federal, state, and local governments in the U.S. have adopted LEED as a standard for new construction, especially in public buildings. The Energy Policy Act of 2005 further offers tax incentives to builders and developers who meet energy-efficient standards, which often align with LEED certification requirements. These incentives encourage the use of sustainable materials, such as low-emission and recycled content-engineered stone.

Industry News

June 2024

Companies such as Neolith are introducing new lines, such as ‘Neolith for a New Era,’ which are free from crystalline silica and expected to gain market share globally.

January 2024

SilkSurface, developed by a manufacturer in Australia, mimics the look and feel of engineered stone but is made from safer materials like bauxite and a polyester binder. It offers durability and can be worked with existing stone-cutting tools, making it an easy substitute for traditional engineered stone.

Opportunities in Engineered Stone Market

The adoption of custom-designed countertops is increasing as they fit perfectly in the allocated space and do not have any odd finishes and angles; even in limited spacing custom countertops ensure smooth working. For instance, companies are increasingly offering products tailored to the preferences of consumers and designers, focusing on unique patterns and luxury aesthetics that cater to modern interior designs.

As per the engineered stone industry analysis, companies such as Neolith and Caesarstone are known for their expansive catalogues, providing a variety of customisable options for both residential and commercial spaces. Neolith’s collections, such as Fusion and Classtone, offer a variety of surfaces from highly polished to matte and textured finishes. This allows designers to create unique aesthetics for various projects, from minimalistic modern interiors to rustic outdoor. Meanwhile, Caesarstone’s engineered quartz surfaces come in multiple collections like Metropolitan, Supernatural, and Classico, each featuring unique designs and patterns that mimic natural stone such as marble and concrete.

Engineered Stone Market Restraints

Australia was expected to place a ban on engineered stone starting on July 1, 2024, prohibiting the use, supply, and manufacture of engineered stone due to its high silica content, which has been linked to a surge in silicosis cases among workers. This move makes Australia the first country to take such a step, aiming to protect workers from the health hazards associated with processing engineered stone. The ban will cover products containing more than 1% silica, but exceptions exist for older installations that require modifications or removal.

While Australia is placing a ban on engineered stones, the U.S. and other countries are still debating how to handle the health risks posed by engineered stones, which can affect the engineered stone market value. Some architects and contractors are reconsidering its use in favour of safer alternatives like natural stone or sintered stone, which contains less or no silica. There is a growing pressure for stricter regulations or safer alternatives in regions that continue to use engineered stone.

Market Dynamics

Engineered stone continues to be a preferred material in the home improvement sector, particularly in kitchen and bathroom renovations. The durability, non-porous nature, and relatively easy maintenance make it ideal for these high-traffic areas. For instance, Quartz countertops, a type of engineered stone, have become a go-to material for kitchen renovations. Their resistance to stains, scratches, and heat makes them ideal for high-use areas like countertops, promoting engineered stone industry revenue.

New technologies are revolutionising the way engineered stone is cut, processed, and installed. CNC machines and water jet cutting systems allow for precise cutting with reduced exposure to harmful dust, improving both safety and efficiency in the fabrication process. The industry is also seeing advancements in surface treatments that enhance the durability, scratch resistance, and stain-proof qualities of engineered stone products.

Engineered Stone Industry Segmentation

Global Engineered Stone Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments:

Based on product, the market is bifurcated into:

• Blocks and Slabs
• Tiles

On the basis of application, the market is divided into:

• Countertops
• Flooring

By region, the market is segmented into:

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Engineered Stone Market Share

By Product Insights

Tiles are expected to exhibit a CAGR of 5.9% between 2024 and 2032 and boost engineered stone market share. Engineered stone tiles are highly durable, resistant to stains, and require minimal maintenance, making them an attractive option for high-traffic areas in both residential and commercial spaces. Their non-porous nature means they are ideal for spaces prone to moisture, such as bathrooms, kitchens, and entryways. For example, quartz tiles are increasingly popular due to their ability to mimic natural stone, such as marble or granite, while providing enhanced performance.

By Application Insights

Countertops are expected to have a CAGR of 6.1% between 2024 and 2032. Engineered stone countertops, particularly quartz, have become one of the most popular choices for kitchen and bathroom renovations as homeowners are drawn to the material's combination of durability, low maintenance, and aesthetic appeal.

The flooring application is expected to exhibit a CAGR of 5.8% over the forecast period, owing to the growing utilisation of engineered stones due to their non-porous and water-resistant nature. The durable and easy to clean nature of engineered stone is increasing their adoption in basements, kitchens, and bathrooms as they are able to withstand heavy foot traffic and provide a natural and elegant appeal to the room.

Engineered Stone Market Regional Analysis

Asia Pacific Engineered Stone Market Trends

The Asia Pacific is expected to exhibit a CAGR of 6.6% in the forecast period due to the increased adoption of engineered stones for decoration and construction purposes in non-residential and residential sectors. India and China are expected to have a CAGR of 7.1% and 6.8% in the forecast period, fuelling the growth of the engineered stone industry.

Presence of various key market players and manufacturers such as Efesus Stone and Prism Johnson Limited in the region along with the adoption of aggressive marketing and promotional strategies is aiding the engineered stone market growth. Rising industrialisation and urbanisation are boosting the utilisation of engineered stones in the construction sector for flooring and wall cladding, among others.

North America Engineered Stone Market Growth

As per the engineered stone market dynamics and trends, the popularity of home renovations, driven by rising disposable incomes and the DIY trend, has fuelled demand for engineered stone countertops in the U.S. and Canada.

The North American market is expected to have a CAGR of 5.1% in the forecast period. Canada is expected to have a CAGR of 5.2% between 2024 and 2032.  In 2023, it was reported that engineered stone made up around 90% of the countertops used in residential and commercial projects in the U.S., indicating a positive trend towards the market.

Europe Engineered Stone Market Outlook

Europe has implemented several sustainable building practices. Government bodies in countries like Germany, France, and Italy have introduced stricter energy efficiency laws. UK, Germany, and France are also expected to have CAGRs of 4.5%, 4.2% and 3.8% between 2024 and 2032, boosting engineered stone market opportunities. Many European countries, such as Germany, France, and Denmark, have adopted green building standards, promoting the use of sustainable materials like engineered stone in construction. These regulations aim to meet the EU's climate targets, such as achieving a 55% reduction in greenhouse gas emissions by 2030, which can boost the demand for engineered stones.

Latin America Engineered Stone Market Analysis

Latin America is seeing a rise in infrastructure and residential construction activities, particularly in countries like Brazil and Mexico. With a focus on affordable and durable materials, engineered stone is increasingly being used for countertops and flooring in both new construction and renovation projects, which further boosts the engineered stone demand growth. The growing middle class in Latin America is driving demand for cost-effective, low-maintenance materials for home interiors, where engineered stone is gaining prominence due to its aesthetic appeal and affordability compared to natural stone.

Middle East and Africa Engineered Stone Market Drivers

The Middle East, especially countries like UAE and Saudi Arabia, is experiencing a luxury construction boom, which includes high-end hotels, residential complexes, and commercial buildings. Engineered stone is a preferred material due to its luxurious look and durability, making it suitable for upscale project. There is also a growing push for sustainability in construction, particularly in the UAE, where Green Building Regulations require the use of sustainable materials, fuelling the demand of engineered stone market. Engineered stone, especially those with recycled content or silica-free options, is gaining favour in both public and private projects.

Innovative Engineered Stone Startups

Startups are offering unique textures, colours, and finishes that differ from mainstream designs, catering to niche segments like luxury interiors or artistic architecture. A key trend of engineered stone market, among startups is offering high levels of customisation for clients. They often provide bespoke solutions that allow architects and designers to create one-of-a-kind surfaces for specific projects. Many startups are adopting high-end production technologies such as 3D printing and automation to streamline the production of engineered stone. This enables them to offer more intricate designs while reducing production time and cost.

Lapitec

Lapitec is an innovative startup known for producing sintered stone, which is often used as a sustainable alternative to engineered stone. Their products are known for being 100% natural, recyclable, and free of resins, making them a key player in eco-friendly surfaces. Lapitec’s stone slabs are used in a variety of applications, including countertops, flooring, and cladding.

Belstone

Belstone is a startup that focuses on providing affordable engineered stone solutions while maintaining high design standards. The company’s products are used for countertops, vanities, and other architectural surfaces. Belstone aims to make high-quality stone surfaces more accessible, particularly for hospitality and large-scale residential projects. They focus on blending aesthetic appeal with functionality.

Competitive Landscape

Companies are focusing on developing new and improved products with unique designs, textures, and colours to appeal to consumers looking for customisable and premium surfaces. There is also an emphasis on eco-friendly engineered stone products, incorporating recycled materials and low-VOC (Volatile Organic Compounds) resins which can enhance engineered stone market expansion. Many companies are adopting sustainable manufacturing practices to reduce their carbon footprint. This includes using renewable energy in production, water recycling processes, and minimising waste.

Key Industry Players

Caesarstone Ltd. is known for the marketing and production of quartz surfaces used in vanity tops, kitchen countertops, and flooring, among others. The company was founded in 1987 and is based in Sdot Yam, Israel.

Efesus Stone is known for providing travertine and marble, among other stone types for bathrooms, kitchens, and other living spaces. The company was established in 1943 and is headquartered in Ä^oscehisar, Turkey.

Prism Johnson Limited is one of the leading integrated building materials company providing a wide range of products such as tiles, cement, and ready-mixed concrete. The company was founded in 1992 and is based in Telangana, India.

Other players in the market include Belenco, LX Hausys, Ltd., Q.R.B.G. S.r.l., Quartzforms Spa, Santa Margherita S.p.a., Stone Italiana S.p.A., and Technostone, among others.

Recent Developments

December 2023

Lapitec, a sintered stone made in Italy, is an alternative that is entirely free from silica, resins, and petroleum products. It’s gaining popularity in markets like Australia for its safety and versatility across indoor and outdoor applications.