The global green technology and sustainability market is projected to expand at a compound annual growth rate (CAGR) of 23.7% during the forecast period, increasing from an estimated USD 25.47 billion in 2025 to USD 73.90 billion by 2030. Regulatory policies and government incentives, including carbon taxes and renewable energy subsidies, play a key role in driving adoption. Growing environmental awareness and climate change concerns are prompting industries and consumers to embrace sustainable solutions. Advancements in solar, wind, and battery storage technologies are enhancing efficiency and reducing costs, making green innovations more accessible. Corporate sustainability commitments are encouraging businesses to invest in eco-friendly solutions to meet ESG (Environmental, Social, and Governance) objectives. Additionally, rising consumer demand for green products is motivating companies to implement sustainable practices. Concerns over energy security and fluctuations in fossil fuel prices are further accelerating the transition to renewable alternatives.
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The green technology & sustainability industry is being bolstered by increasingly stringent international regulations, growing corporate net-zero pledges, and swift advancements in clean energy and carbon management technologies. The implementation of strict ESG disclosure requirements, carbon pricing mechanisms, and sustainability mandates by governments is driving businesses towards greener choices. Renewable energy, particularly solar, wind, and green hydrogen, is growing quickly, while carbon capture and storage (CCS) and circular economy initiatives are gaining momentum. AI and data analytics are transforming carbon tracking, ESG reporting, and climate risk modeling. Sustainable finance, which includes green bonds and ESG-focused investments, is expanding, enhancing funding for low-carbon innovations. With tightening regulatory frameworks and increasing investor demand for sustainability, companies are incorporating climate strategies into their core operations, driving market growth. There is also a rise in collaboration among governments, corporations, and financial institutions to establish standardized sustainability frameworks and encourage large-scale adoption of green technologies.
By technology, cloud computing to hold the largest market share in 2025, driven by rising use of cloud platforms in scalable ESG reporting and real-time carbon tracking
Cloud computing is the largest technology segment in the green technology &sustainability industry in 2025, providing real-time data processing for ESG reporting, carbon tracking, and energy optimization. Businesses can now gather sustainability data in a centralized and automated manner, while also complying with evolving regulations such as the CSRD and SEC climate disclosure rules. The integration of cloud-based AI and machine learning enables better predictions on climate risk reduction, emissions reduction prediction, and renewable energy forecasting through predictive analytics. Furthermore, major cloud providers are investing in carbon-neutral data centers and energy-efficient infrastructure, supporting sustainability goals while helping enterprises transition to low-carbon digital operations. For businesses that prioritize sustainability, cloud computing is essential for efficient integration, analysis and reporting of data in the field. For companies looking to increase the scale of their sustainability initiatives without spending large amounts of money on onsite infrastructure, it is often the most flexible and cost-effective option.
Strict emissions regulations, fleet electrification, and AI-driven supply chain optimization will push transportation & logistics as the fastest growing end user segment over the forecast period
The transportation & logistics end-user segment in the green tech and sustainability market is experiencing rapid growth due to increasing emissions regulations, supply chain decarbonization mandates, and the widespread use of electric and alternative fuel vehicles. Carbon-reducing policies are being enforced by governments globally. Fleet electrification, hydrogen-powered trucks, and biofuels are gaining traction as companies seek to reduce Scope 1 and 3 emissions. Initiatives such as the US Inflation Reduction Act of 2022 and EU Fit for 55 are designed to encourage sustainable transportation practices and promote the adoption of environmentally friendly strategies by logistics firms. The implementation of AI-led route optimization and smart logistics platforms is resulting in higher fuel efficiency and lower operational carbon footprints. Additionally, the shipping and aviation sectors are adopting environmentally friendly alternatives to ship engines and aircraft carriers to meet more stringent international emissions standards. Carbon accounting software and blockchain-based tracking solutions are becoming more prevalent in the supply chain sector due to increasing demand for environmentally friendly options from both consumers and investors.
Asia Pacific is set to become the fastest growing regional market, fueled by massive renewable energy investments, EV expansion, and rising corporate sustainability commitments
Rapid industrialization, strong government policies, and substantial investment in renewable energy are set to make the Asia Pacific region the fastest growing region in the green technology & sustainability. China, India and Japan all have strict regulations on environmental issues; China has announced its double carbon goals: a 20% peaking of emissions by 2030 with 80% for carbon neutral by 2060, and India has recently embarked upon ‘Promoting widespread adoption of green technologies’ through its Renewable Energy Mission. The region is at the forefront of expanding solar and wind energy capacity, with China leading global solar panel production and installation. The electrification of transportation is speeding up, notably with China’s dominance in the global electric vehicle market and India’s development of electric bus and rail systems. Furthermore, the focus is on greener infrastructure development, circular economy creation and adoption as part of smart city projects; AI-led sustainability solutions; governments and businesses vying for environmental responsibility. Investor interest in ESG-compliant companies and corporate pledges to reach net-zero targets are driving the adoption of sustainability practices. As a result, the Asia-Pacific region continues to strengthen its position as “the fastest growing market for green technology” amid mounting pressure on governments and investments in clean energy.
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Unique Features in the Green Technology & Sustainability Market
Green technology is evolving at an unprecedented pace, with advancements in renewable energy sources such as solar, wind, and hydroelectric power. Breakthroughs in energy storage, such as high-capacity batteries and hydrogen fuel cells, are improving efficiency and making clean energy more accessible and reliable.
Governments worldwide are actively promoting sustainability through regulations, incentives, and subsidies. Carbon taxes, renewable energy mandates, and policies encouraging the adoption of electric vehicles (EVs) are helping accelerate the transition to a greener economy.
Companies are integrating Environmental, Social, and Governance (ESG) principles into their operations. Businesses are investing in green technologies to meet regulatory requirements, enhance brand reputation, and align with stakeholder expectations for sustainability.
Consumers are becoming more environmentally conscious and are seeking sustainable products and services. This shift in preferences is encouraging industries to adopt eco-friendly manufacturing processes, biodegradable packaging, and carbon-neutral initiatives.
Artificial intelligence (AI), the Internet of Things (IoT), and blockchain are playing a crucial role in optimizing resource efficiency and tracking sustainability metrics. Smart grids, energy-efficient buildings, and AI-driven waste management systems are enhancing environmental sustainability.
Major Highlights of the Green Technology & Sustainability Market
Governments worldwide are introducing policies, incentives, and regulations to promote green technology adoption. Carbon pricing, tax incentives for renewable energy, and stricter emissions regulations are encouraging businesses and individuals to transition to sustainable alternatives.
Businesses are increasingly prioritizing Environmental, Social, and Governance (ESG) initiatives. Companies are investing in clean energy, sustainable supply chains, and eco-friendly innovations to align with sustainability goals, meet regulatory requirements, and enhance brand reputation.
Breakthroughs in solar photovoltaics, wind energy, and energy storage solutions are driving efficiency and reducing costs. The development of next-generation batteries, hydrogen fuel cells, and smart grids is making renewable energy more reliable and accessible.
Consumers are actively seeking environmentally friendly products and services, driving businesses to adopt sustainable practices. The demand for green packaging, carbon-neutral products, and ethical sourcing is reshaping industries such as fashion, food, and electronics.
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Top Companies in the Green Technology & Sustainability Market
Several major companies are actively implementing these strategies to solidify their leadership in the green technology & sustainability market. Companies like General Electric and Siemens are leveraging AI and blockchain to enhance sustainability through their digital solutions. GE’s CERius and Asset Performance Management (APM) Software use AI-driven analytics to optimize industrial energy use, improving efficiency and reducing emissions. Similarly, Proficy Industrial Software Family and GridOS Orchestration Software help industries and grids manage energy in real time, aligning with AI-powered energy management strategies. Siemens integrates blockchain with its SiGreen platform, enabling transparent carbon tracking across supply chains. Additionally, Siemens Advanta Sustainability Services and ESG & Sustainability Services offer digital sustainability solutions that help companies measure, verify, and reduce carbon footprints. These strategies allow businesses to achieve sustainability goals efficiently while maintaining transparency and regulatory compliance.
General Electric
General Electric (GE) leverages AI-powered analytics and digital tools to drive sustainability across industries. CERius uses AI to analyze industrial emissions and recommend efficiency improvements, helping businesses lower their carbon footprint. Asset Performance Management (APM) Software optimizes asset utilization by predicting maintenance needs, reducing energy waste and operational downtime. Proficy Industrial Software Family enhances real-time energy monitoring and process optimization, making industrial operations more sustainable. GridOS Orchestration Software enables smart grid management, improving energy distribution efficiency and integrating renewable sources effectively. By adopting AI-driven sustainability solutions, GE helps businesses enhance energy efficiency, reduce emissions, and comply with evolving environmental regulations.
Siemens
Siemens integrates AI and blockchain-driven solutions to enhance sustainability and energy efficiency. Siemens Advanta Sustainability Services provides digital consulting and AI-powered analytics to help businesses optimize energy use and reduce emissions. SiGreen leverages blockchain technology to enable transparent and verifiable carbon tracking across supply chains, ensuring accurate carbon footprint assessments. ESG & Sustainability Services assist companies in meeting regulatory requirements by offering data-driven insights for sustainability reporting. Additionally, Siemens’ AI-powered industrial automation tools help improve operational efficiency and reduce resource wastage. Through these digital solutions, Siemens empowers industries to achieve sustainability goals while maintaining transparency, efficiency, and compliance with global environmental standards.
SAP
SAP, a leading German multinational software corporation, is actively involved in the green technology and sustainability market through its innovative solutions. The company offers SAP Sustainability Control Tower, SAP Product Footprint Management, and SAP Green Ledger, enabling businesses to track carbon footprints, optimize resource use, and ensure regulatory compliance. SAP integrates AI and cloud computing to enhance sustainability in supply chains, energy management, and circular economy initiatives. By partnering with global enterprises, SAP helps drive data-driven sustainability strategies, aligning with ESG goals and supporting the transition to a low-carbon economy.
IBM (US)
IBM, a US-based technology leader, is actively contributing to the green technology and sustainability market through AI, cloud computing, and quantum technologies. Its IBM Envizi ESG Suite enables businesses to track and optimize sustainability performance, while AI-driven solutions help reduce energy consumption and carbon emissions. IBM’s hybrid cloud and blockchain technologies support transparent and efficient supply chains, advancing circular economy initiatives. The company also invests in quantum computing to tackle complex climate challenges and collaborates on carbon capture and renewable energy projects, driving innovation for a more sustainable future.
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