TowardsGreenBuildingValueChains:ChinaandBeyondINSIGHTREPORTJUNE2024IncollaborationwithBostonConsultingGroupImages:GettyImages©2024WorldEconomicForum.Allrightsreserved.Nopartofthispublicationmaybereproducedortransmittedinanyformorbyanymeans,includingphotocopyingandrecording,orbyanyinformationstorageandretrievalsystem.DisclaimerThisdocumentispublishedbytheWorldEconomicForumasacontributiontoaproject,insightareaorinteraction.Thefindings,interpretationsandconclusionsexpressedhereinarearesultofacollaborativeprocessfacilitatedandendorsedbytheWorldEconomicForumbutwhoseresultsdonotnecessarilyrepresenttheviewsoftheWorldEconomicForum,northeentiretyofitsMembers,Partnersorotherstakeholders.ContentsForeword3Executivesummary41Theimportanceofagreenvaluechainforbuildings62Fourkeycharacteristics73Keyleversforthebuildingsoftomorrow114Enablingactionstomobilizethewholevaluechain18Conclusion:Timeforcollaboration23Contributors24Endnotes26TowardsGreenBuildingValueChains:ChinaandBeyond2ForewordTowardsGreenBuildingValueChains:ChinaandBeyondJune2024Everyfractionofadegreecountsintheresponsetotheclimateandnatureemergency.Toachievespeedandscaleforclimateaction,aholisticapproachacrossvaluechainsisrequired.Acomprehensiveandeffectivenet-zerotransitionplanseekstounderstandtherootcausesofemissions,unlocksthecatalyticpointsandopportunitiesforinvestment,andidentifiespartnershippotentialforbreakthroughsolutionsandtheirscalingup.Thevaluechainforbuildingsincludesmaterialproduction,design,construction,operation,end-of-lifedemolitionandrecycling.Eachstageoffersimmensepotentialforpositivechangeandallactorscancontributetodrivingthemomentum.Currently,thevaluechainforbuildingsaccountsforapproximately37%1ofglobalcarbonemissions,involvingmorethan20differenttypesofpublicandprivateplayers,severalofwhombelongtohard-to-abatesectorssuchassteelandcement.Thecomplexityofthevaluechaincallsforasystemslenstomapthekeyactionsandrolesofeachplayerinthevaluechaintorealizenet-zero,nature-positivetransitions.Asthelargestbuildingmarketintheworld,andwithmorethanhalfoftheglobalproductioncapacityformanybuildingmaterials,Chinahasanimportantroleindecarbonizingthebuildingindustry.ThegreentransitionofChina’sbuildingvaluechainwillnotonlycreatevalueandnewbusinessopportunitiesforindustryplayersinChina,butcouldalsohelpcatalysethedevelopmentandadoptionofgreenbuildingproductsandservicesglobally.ThisinsightreportbytheWorldEconomicForum,inclosecollaborationwithBostonConsultingGroup(BCG),exploresopportunitiesforthegreentransitionofthebuildingvaluechain.Throughacomprehensiveanalysisoftheabatementpotential,marketopportunitiesandkeybarriers,theresearchoutlinestheenablingactionsforpublicandprivateplayerstofocuson.Thisreportisacalltoactionforactivitiesthatwillgeneratebothpositiveenvironmentalimpactandsignificanteconomicgains.OurgoalistotranslatethevisionforgreenandsustainablebuildingvaluechainsintostrategyanddeliveryplansforthepublicandprivatesectorsinChinaandbeyond.Thisreportmarksthefirstinaseriesofresearchreportsonthebusinesspotentialforgreentransitionsofvaluechains,andidentifiesareasforpriorityaction.WethankallcommunitymembersandForuminitiativeleadersfortheirdedicationandinvaluableinputstowardsthisreport.Wehopeitwillofferusefulinsightsandperspectivestoinformandsupportleadersinjointlycreatingafuturewithmoresustainablebuildings,improvedhealthandwell-bei...