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North America Net-Zero Energy Buildings Market Size, Share, Trends, and Growth Forecast, 2026-2031 | Retrofits and Energy Codes Drive 12.79% CAGR to USD 17.07 Billion

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JCI Johnson Controls International plc is listed as a key player in the North America Net-Zero Energy Buildings market. The article highlights growth drivers like stricter energy codes and retrofit incentives, which could benefit companies providing building efficiency solutions. HON Honeywell International Inc. is listed among key companies in the North America Net-Zero Energy Buildings market. The article's discussion of energy efficiency, building controls, and performance verification suggests potential relevance for Honeywell's offerings. TT Trane Technologies plc is named as a key company in the North America Net-Zero Energy Buildings market. The article's emphasis on energy efficiency, HVAC systems, and building retrofits aligns with Trane's core business. DDI Daikin Industries Ltd. is listed as a company in the North America Net-Zero Energy Buildings market. The article's discussion of electrification and energy efficiency in buildings is relevant to Daikin's HVAC solutions. EAT Eaton Corporation plc is listed as a key player in the North America Net-Zero Energy Buildings market. The article's focus on electrical infrastructure and energy management solutions is relevant to Eaton's business. LEG Legrand SA is mentioned as a company in the North America Net-Zero Energy Buildings market. The article's discussion of electrical infrastructure and smart building solutions is relevant to Legrand's product offerings. ROK ROCKWOOL A/S is mentioned as a company in the North America Net-Zero Energy Buildings market. The article's emphasis on insulation and building envelope improvements aligns with ROCKWOOL's core products. OC Owens Corning is identified as a company in the North America Net-Zero Energy Buildings market. The article's discussion of insulation and building envelope improvements is relevant to Owens Corning's product offerings. CSIQ Canadian Solar Inc. is listed as a company in the North America Net-Zero Energy Buildings market. The article's mention of on-site solar generation as part of net-zero buildings is relevant to Canadian Solar's business.

North America Net-Zero Energy Buildings Market Size, Share, Trends, and Growth Forecast, 2026-2031 | Retrofits and Energy Codes Drive 12.79% CAGR to USD 17.07 Billion Dublin, Oct. 28, 2026 (GLOBE NEWSWIRE) -- "North America Net-Zero Energy Buildings - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)" has been added to ResearchAndMarkets.com's offering.

The North America Net-Zero energy buildings market is projected to grow from USD 8.84 billion in 2025 to USD 9.35 billion in 2026. By 2031, the market is forecast to reach USD 17.07 billion, expanding at a 12.79% CAGR from 2026-2031. Growth is being supported by stricter energy codes, building performance targets, retrofit incentives, electrification initiatives, and corporate decarbonization commitments across the United States, Canada, and Mexico.

Stringent Energy Codes and Performance Targets Support Market Growth

Energy codes are increasing the performance standards that building owners must meet throughout North America. Canada's National Energy Code of Canada for Buildings 2025 introduced operational greenhouse gas performance tiers and energy-use pathways, providing provinces with a shared technical framework for lower-carbon construction. Although provinces can determine their individual adoption schedules, the code promotes greater consistency in building design and performance.

In the United States, updated energy codes and state-level building performance regulations are increasing demand for high-efficiency mechanical systems, stronger building envelopes, energy measurement technologies, and commissioning services. Developers operating across multiple jurisdictions must manage varying implementation schedules and documentation requirements. This trend favors companies with integrated expertise in engineering, energy codes, project delivery, and performance verification.

Deep Energy Retrofit Incentives Expand Renovation Activity

Financial incentives are strengthening the retrofit pipeline, particularly for commercial and institutional properties. Federal programs in the United States have encouraged owners to coordinate energy improvements with scheduled capital replacements, helping make efficiency upgrades part of broader asset management strategies.

These programs are also increasing demand for energy modeling, certification, and performance documentation. Public procurement initiatives have enabled suppliers and contractors to build experience with advanced controls, low-carbon materials, electrified systems, and building performance verification. The scheduled change to certain federal incentives after June 2026 could accelerate projects already in development while increasing the importance of state, utility, and private financing programs.

High Capital Costs Remain a Key Market Restraint

Whole-building retrofits often require simultaneous investments in insulation, air-sealing, mechanical equipment, electrical infrastructure, and building controls. These requirements can create substantial upfront costs, especially for cold-climate properties requiring extensive envelope improvements.

Projects with payback periods extending beyond conventional capital planning cycles may be difficult for some owners to approve. Smaller commercial property owners can also face limited technical capacity when navigating financing and incentive programs. Property Assessed Clean Energy financing and utility-backed funding can reduce financial barriers, although availability varies by jurisdiction. As a result, large institutions and corporate property portfolios are generally positioned to advance projects faster than smaller owners.

Additional factors shaping the North America Net-Zero energy buildings market include:

Commercial and Institutional Buildings Lead Market Development

Commercial buildings accounted for 46.8% of the North America Net-Zero energy buildings market in 2025, supported by office, logistics, and retail retrofit activity. Corporate occupiers are increasingly requesting carbon data and verified energy performance information during leasing and procurement decisions.

Institutional buildings are expected to record the fastest growth among building types, expanding at a 13.9% CAGR through 2031. Hospitals, universities, and government facilities benefit from long operating lives, public climate commitments, and access to major capital programs. UCI Health opened its all-electric acute care hospital in Irvine, California, in December 2025, incorporating on-site solar generation and renewable grid electricity. In British Columbia, Cowichan District Hospital earned the Canada Green Building Council's Zero Carbon Building Design Standard certification in 2025.

Residential adoption continues to face challenges from fragmented ownership and limited project-level technical support. Industrial demand is increasing in Mexico as nearshoring-related construction responds to the sustainability requirements of multinational tenants. Across all building types, the strongest opportunities are expected in projects that combine operational performance targets with long-term maintenance, monitoring, and verification.

Key Topics Covered:

1 Introduction

1.1 Study Assumptions and Market Definition

1.2 Scope of the Study

2 Research Methodology

3 Executive Summary

4 Market Insights and Dynamics

4.1 Market Overview

4.2 Market Drivers

4.2.1 Stringent Energy Codes and Net-Zero Performance Targets

4.2.2 Deep Energy Retrofit Incentives

4.2.3 Electrification of Space Heating and Cooling

4.2.4 Corporate Portfolio Decarbonization

4.2.5 Grid-Interactive Building Demand Response

4.2.6 Cold-Climate Envelope and Heat Pump Innovation

4.3 Market Restraints

4.3.1 High Upfront Capital Costs and Long Payback Periods

4.3.2 Skilled Labor and Commissioning Capacity Shortages

4.3.3 Fragmented State, Provincial, and Municipal Regulations

4.3.4 Interoperability, Cybersecurity, and Performance Verification Risks

4.4 Value and Supply-Chain Analysis

4.5 Regulatory Landscape

4.6 Technological Outlook

4.7 Market Evolution and Adoption Trends

4.8 Key Net-Zero Energy Building Projects

4.9 Porter's Five Forces Analysis

4.9.1 Bargaining Power of Suppliers

4.9.2 Bargaining Power of Consumers

4.9.3 Threat of New Entrants

4.9.4 Threat of Substitutes

4.9.5 Intensity of Competitive Rivalry

5 Market Size & Growth Forecasts (Value, USD)

5.1 By Building Type

5.1.1 Residential

5.1.2 Commercial

5.1.3 Institutional

5.1.4 Industrial

5.2 By Offerings

5.2.1 Solutions (New Net-Zero Energy Building Development, Net-Zero Building Retrofit, Integrated Design & Delivery and Smart Net-Zero Building Solutions)

5.2.2 Services (Architectural & Engineering Design, Construction Services, Commissioning & Certification Services and Consulting Services)

5.3 By Construction Type

5.3.1 New Construction

5.3.2 Renovation

5.4 By Country

5.4.1 United States

5.4.2 Canada

5.4.3 Mexico

6 Competitive Landscape

6.1 Market Concentration

6.2 Strategic Moves

6.3 Market Share Analysis

6.4 Company Profiles (Includes Global Level Overview, Market Level Overview, Core Segments, Financials as Available, Strategic Information, Products & Services, and Recent Developments)

6.4.1 Johnson Controls International plc

6.4.2 Schneider Electric SE

6.4.3 Siemens AG

6.4.4 Honeywell International Inc.

6.4.5 Carrier Global Corporation

6.4.6 Trane Technologies plc

6.4.7 Daikin Industries Ltd.

6.4.8 Mitsubishi Electric Corporation

6.4.9 ABB Ltd.

6.4.10 Eaton Corporation plc

6.4.11 Legrand SA

6.4.12 Robert Bosch GmbH

6.4.13 Saint-Gobain

6.4.14 Kingspan Group plc

6.4.15 ROCKWOOL A/S

6.4.16 Owens Corning

6.4.17 Lutron Electronics Co., Inc.

6.4.18 Signify N.V.

6.4.19 Canadian Solar Inc.

6.4.20 Integrated Environmental Solutions Ltd.

7 Market Opportunities & Future Outlook

7.1 White-Space and Unmet-Need Assessment

For more information about this report visit https://www.researchandmarkets.com/r/rqz13c

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