Environmental Product Declaration Development Market Size and Share Analysis - Growth Trends and Forecasts (2025-2032)

Market Size and Trends

The Environmental Product Declaration Development market is estimated to be valued at USD 1.42 billion in 2024 and is expected to reach USD 3.68 billion by 2031, growing at a compound annual growth rate (CAGR) of 14.5% from 2024 to 2031. This robust growth reflects increasing regulatory demands and rising consumer awareness regarding sustainable building practices, driving adoption across various industries.

Market trends indicate a strong emphasis on transparency and sustainability, with manufacturers progressively adopting Environmental Product Declarations (EPDs) to showcase the environmental impact of their products. The integration of digital tools and standardized reporting formats is streamlining EPD development processes, accelerating market expansion. Additionally, growing green construction initiatives and stricter environmental regulations globally are propelling demand, positioning the sector for continued dynamic growth in the coming years.

Segmental Analysis:

By Product Type: Construction Materials Lead Market Demand Due to Regulatory Compliance and Sustainability Focus

In terms of By Product Type, Construction Materials contributes the highest share of the Environmental Product Declaration (EPD) Development market owing to increasing regulatory pressure and rising demand for sustainable infrastructure projects. Construction materials such as concrete, steel, wood, and insulation products are under significant scrutiny to reduce their environmental footprint, driving manufacturers to adopt EPDs as a transparent tool for demonstrating lifecycle impacts. The global push toward green building certifications like LEED and BREEAM incentivizes builders and developers to source materials accompanied by robust environmental data, further propelling the adoption of EPDs in this segment. Additionally, end-users and architects are progressively favoring products that align with circular economy principles and offer verified performance on carbon emissions, energy consumption, and resource use. The complexity of construction supply chains also necessitates comprehensive environmental declarations to evaluate cumulative impacts during material selection, thus positioning construction materials as the dominant segment. Investments in eco-friendly innovations, such as low-carbon cement and recycled steel, are frequently accompanied by EPD development to validate environmental claims and enhance market competitiveness. Overall, the convergence of regulatory frameworks, sustainability certifications, and stakeholder expectations makes Construction Materials the most significant contributor to the EPD development market by product type.

By Application: Commercial Buildings' Rising Eco-Conscious Construction Drives Sector Growth

By Application, Commercial Buildings represents the largest segment within the Environmental Product Declaration Development market, driven largely by intensified sustainability mandates and growing corporate environmental responsibility. Large-scale commercial projects—including office buildings, retail complexes, and hospitality infrastructure—demand precise environmental performance data to meet stringent green building standards and investor expectations. As commercial real estate entities prioritize energy efficiency, reduced carbon footprints, and healthier indoor environments, the utilization of materials and products with validated EPDs has become a critical component of project planning and execution. These declarations enable architects, engineers, and contractors to make informed decisions that balance cost, environmental impact, and building performance. Additionally, the evolving regulatory landscape in many regions requires comprehensive documentation of environmental impacts for commercial permits and certifications, elevating the importance of EPDs in this application. Corporate sustainability goals and public disclosures also pressure commercial developers to transparently communicate the ecological credentials of their properties, fueling demand for environmental data disclosures on products used in construction. The size and complexity of commercial projects further underline the need for standardized EPDs that can harmonize environmental assessments across multiple suppliers and materials. Consequently, the Commercial Building sector remains the primary user of EPD development services in the application segment due to the combined influence of policy, market demand, and sustainability imperatives.

By Service Type: EPD Analytics Captures Market Share Owing to Data-Driven Decision Making

In terms of By Service Type, EPD Analytics holds the largest market share, reflecting a trend towards data-driven environmental impact assessment and strategic decision-making. EPD Analytics encompasses the systematic evaluation, interpretation, and optimization of environmental data collected throughout product lifecycles, providing actionable insights that enable stakeholders to minimize ecological effects. As environmental accountability becomes more rigorous, simple data reporting is no longer sufficient; clients require advanced analytics to identify hotspots in carbon emissions, resource consumption, and waste generation within their product portfolios. This service helps manufacturers, consultants, and policymakers prioritize interventions, improve sustainability performance, and comply with increasingly complex regulations. The rise of digital technologies, including cloud computing and AI-driven models, has enhanced the capabilities of EPD Analytics, offering higher precision and predictive power which amplify its value proposition. Additionally, the demand for benchmarking and comparative assessments across products and industries makes analytics indispensable for transparent and credible environmental declarations. By enabling continuous improvement and facilitating informed prioritization, EPD Analytics is pivotal in shifting environmental product declarations from static reports to dynamic decision-making tools. Its leading market share in the service segment underscores the evolving ecosystem where environmental data transforms into strategic assets for sustainability leadership.

Regional Insights:

Dominating Region: Europe

In Europe, the dominance in the Environmental Product Declaration (EPD) Development market is driven by a highly established regulatory framework, strong environmental policies, and the presence of sophisticated sustainability standards. European governments have been proactive in mandating transparency in product lifecycle impacts, spurring widespread adoption of EPDs. The European Union's Green Deal and other environmental directives encourage the construction, manufacturing, and building sectors to integrate eco-friendly practices, thereby nurturing demand for standardized environmental declarations. The region boasts a mature ecosystem of certification bodies, technical consultants, and specialized software developers facilitating EPD compilation and verification. Notable companies such as UL Environment, Institut Bauen und Umwelt e.V. (IBU), and EPD International have made significant contributions by providing comprehensive EPD services and enabling third-party verification, which further strengthens market confidence. The trade dynamics also support cross-border collaboration and harmonization of sustainability standards across member states, reinforcing Europe's leading position in the market.

Fastest-Growing Region: Asia Pacific

Meanwhile, the Asia Pacific region exhibits the fastest growth in the Environmental Product Declaration Development market due to rapid industrialization, urbanization, and increasing environmental awareness among both governments and corporations. Emerging economies such as China, India, and Southeast Asian nations are adopting sustainability regulations aligned with global frameworks to improve environmental transparency and reduce carbon footprints. The expanding construction and manufacturing sectors in this region are increasingly integrating EPD processes to meet international export requirements and satisfy growing demands from eco-conscious domestic consumers. Governments are progressively introducing incentives and policies to encourage green building certifications and eco-labels, accelerating EPD adoption. Companies like Saint-Gobain China, China Green Building Council (CGBC), and various local consultancies are active contributors, focusing on regional EPD standards and capacity building. Additionally, the rise of multinational corporations operating in the region demands alignment with global sustainability reporting practices, further fueling market growth.

Environmental Product Declaration (EPD) Development Market Outlook for Key Countries

Germany

Germany's market is characterized by a robust regulatory environment and a well-established building and manufacturing sector that prioritizes sustainability. The country's commitment to the EU's sustainability goals leads to strong demand for reliable EPDs. Key players such as Institut Bauen und Umwelt e.V. (IBU) have been pioneers in developing comprehensive EPD frameworks, fostering high trust among industry stakeholders. German companies emphasize innovation in lifecycle assessment methodologies and digital tools, enhancing EPD accessibility and integration into green construction certification systems like DGNB.

China

China's market is rapidly evolving, driven by government initiatives such as the Green Building Action Plan and regulations targeting carbon neutrality. Chinese manufacturers and developers increasingly recognize the importance of EPDs to compete in global markets and comply with international sustainability norms. Prominent organizations, including China Green Building Council (CGBC) and large multinational companies like Saint-Gobain, are actively developing region-specific EPD standards and collaborating on data transparency efforts. The growth of sustainable urban projects and export-oriented industries underpins the surge in EPD development.

United States

The United States market continues to lead in promoting voluntary sustainability measures across various industries. Though regulatory mandates on EPDs are less stringent than in Europe, large corporations and public-sector bodies actively pursue EPD certification to meet corporate social responsibility goals and green procurement policies. Key contributors such as UL Environment and SCS Global Services provide extensive EPD verification and consulting services. The country's diverse industry presence, including advanced manufacturing and construction, fuels innovation in EPD generation tools and reporting standards.

India

India's market presents significant growth potential as the government's increasing focus on sustainable development translates into nascent but growing interest in EPDs. The adoption of green building codes and environmental product labeling is gradually gaining momentum, supported by policy reforms and awareness campaigns. Local consultancies, along with industry bodies, are instrumental in educating manufacturers and developers about EPD benefits. Collaborations with international organizations help establish foundational EPD frameworks that align with emerging sustainability trends in the country.

France

France's market demonstrates a well-integrated approach to EPD development within its regulatory and industrial frameworks. Government initiatives such as the Environmental and Energy Transition Law drive demand for transparency in product environmental impact, especially in the construction and manufacturing sectors. French firms, alongside international players like EPD International, focus on developing sector-specific EPD templates and enhancing digital platforms for efficient declaration management. The country's participation in European sustainability projects reinforces its strategic role in advancing EPD standards.

Market Report Scope

Market Segmentation

Product Type Insights (Revenue, USD, 2020 - 2032)

• Construction Materials
• Consumer Electronics
• Automotive Components
• Packaging Materials
• Others

Application Insights (Revenue, USD, 2020 - 2032)

• Commercial Buildings
• Residential Buildings
• Industrial Products
• Transportation Equipment
• Others

Service Type Insights (Revenue, USD, 2020 - 2032)

• EPD Analytics
• Data Collection & Validation
• Reporting & Certification
• Software Solutions
• Others

Regional Insights (Revenue, USD, 2020 - 2032)

• North America
• U.S.
• Canada
• Latin America
• Brazil
• Argentina
• Mexico
• Rest of Latin America
• Europe
• Germany
• U.K.
• Spain
• France
• Italy
• Russia
• Rest of Europe
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• ASEAN
• Rest of Asia Pacific
• Middle East
• GCC Countries
• Israel
• Rest of Middle East
• Africa
• South Africa
• North Africa
• Central Africa

Key Players Insights

• UL Environment
• Sphera
• Thinkstep (a Sphera company)
• Environdec AB
• Intertek Group plc
• TÜV SÜD
• EPD Australasia
• GreenTag
• Earthsure
• DAP Services
• Ecoprog GmbH
• NSF International
• SGS SA
• Product Ecology Consultants
• Ecoinvent
• Quantis
• PE International
• Carbon Trust