The Data Behind How sustainability goals are changing vendor selection Trends

Sustainability is no longer just a marketing tagline — it’s now a core procurement filter across the construction industry. In 2025, more builders, developers, and public agencies are selecting vendors based on environmental performance, transparency, and long-term ESG alignment — and the shift is measurable.

From emissions data to green certifications, the requirements shaping vendor selection are becoming increasingly standardized, trackable, and enforceable. But how exactly is sustainability influencing procurement decisions today?

Here’s a look at the latest data behind how sustainability goals are changing vendor selection trends — and what it means for distributors and suppliers trying to stay competitive.

1. 72% of Construction Buyers Now Consider Sustainability a Key Vendor Selection Factor
According to a 2024 survey by Deloitte, nearly three-quarters of construction procurement professionals now report that sustainability metrics weigh heavily in vendor selection — particularly in public-sector and commercial projects.

Key Data:
72% of respondents said ESG alignment was “important” or “very important” in supplier evaluations

This figure rises to 87% for projects funded by state or federal infrastructure grants

Top criteria include carbon impact, recycled content, and documentation readiness

What It Means:
Sustainability is now a competitive necessity, not a differentiator — especially for projects with compliance requirements.

2. Over 50% of Large Contractors Require Environmental Product Declarations (EPDs)
EPDs — third-party verified documents showing a product’s environmental impact — have become a must-have for vendor approval in many large-scale bids.

Key Data:
A recent survey of general contractors found that 51% require EPDs for at least one material category on every job

Demand is highest in insulation, concrete, steel, and drywall

Distributors who stock products with EPDs report 25–35% faster bid approvals

What It Means:
EPD documentation is quickly becoming a standard part of the submittal package, not an optional extra.

3. 68% of AEC Firms Are Setting Internal Carbon Reduction Targets for Procurement
Architects, engineers, and construction firms are setting measurable carbon goals — and those goals are influencing which vendors they partner with.

Key Data:
68% of surveyed AEC firms have corporate carbon benchmarks tied to procurement

42% of them have cut ties with vendors who can’t provide emissions data or green certifications

Sustainability policies are increasingly written into RFPs and vendor contracts

What It Means:
Distributors who can’t support carbon tracking or material transparency may be excluded from growing segments of the market.

4. Green Building Certifications Are Driving Product Preferences
As more projects aim for certifications like LEED, WELL, or Passive House, contractors must select vendors who supply qualifying materials — and who can assist with documentation.

Key Data:
60% of LEED-certified projects now require suppliers to provide VOC data, recycled content percentages, and supply chain disclosures

Demand for green-compliant materials is rising 8–12% year-over-year, especially in urban and institutional construction

Vendors that can bundle products with compliance data are seeing increased win rates

What It Means:
Certifications are reshaping not just what materials are used — but who gets to supply them.

5. Public Sector Projects Are Leading the Shift
Government-funded construction is increasingly governed by “Buy Clean” and low-carbon material policies — and these are being enforced at the vendor level.

Key Data:
Over 20 U.S. states now include low-carbon material requirements in public procurement

Federal infrastructure funds (e.g., IIJA) come with sourcing and sustainability stipulations

73% of public works contractors say they’ve switched vendors due to compliance challenges

What It Means:
Government projects are accelerating sustainability expectations — and raising the bar for vendor qualification.

6. ESG Reporting Requirements Are Expanding Across the Supply Chain
It’s not just about the materials — it’s about the entire supply chain’s ESG profile. Larger clients want to know who you are, how you operate, and what your policies are.

Key Data:
56% of construction firms now ask vendors for sustainability or ESG disclosures during onboarding

This includes policies on waste, water use, emissions, labor practices, and governance

Distributors with documented ESG practices are more likely to be selected for long-term partnerships

What It Means:
ESG is becoming part of vendor scoring, influencing both short-term wins and long-term strategic relationships.

Conclusion
The data is clear: sustainability is now a primary factor in how vendors are selected in the construction industry. Whether driven by regulation, certification, or company policy, buyers are choosing suppliers who can support their environmental and compliance goals.

For distributors and material suppliers, this means that aligning with sustainability trends isn’t optional — it’s essential for growth, relevance, and long-term success.

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