Construction Chemicals Market Research Report - Global Forecast till 2030

Construction Chemicals Market: Information by Product Type (Concrete Admixtures, Waterproof Chemicals, Flooring Compounds, Adhesives & Sealants, and Others), End Use (Residential, Commercial, Industrial, and Infrastructure), and Region (North America, Latin America, Europe, Asia-Pacific, and Middle East & Africa)—Forecast till 2030

ID: MRFR/CnM/1428-HCR | October 2022 | Region: Global | 111 Pages         

Construction Chemicals Market

Construction Chemicals Market is projected to be worth USD 37.55 billion by 2030, registering a CAGR of 8.60% during the forecast period (2022 - 2030).

Segmentation

By Product Type Concrete Admixtures Waterproof Chemicals Flooring Compounds Adhesives & Sealants
By End Use Residential Commercial Industrial And Infrastructure

Key Players

  • BASF SE of Germany
  • Ashland Inc. of the United States
  • Pidilite Industries Ltd of India
  • Sika AG of Switzerland
  • Fosroc Inc. of India
  • Apple Chemie India Pvt Ltd of India
  • Cross International Plc of United Kingdom
  • Dow of the United States
  • RPM International Inc. of the United States
  • R. Grace and Company of the United States
  • Henkel AG of Germany
  • Evonik Industries AG of Germany
  • Tata Chemicals of India
  • Huntsman International LLC of the United States

Drivers

  • Increasing investment in infrastructure development and residential construction activities across the globe
  • The increase in urbanization and rapid population growth
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Construction Chemicals Market Overview


The construction chemicals market is expected to reach USD 37.55 billion during the projection period, with a CAGR of 8.60 percent. Construction chemicals are specialty goods essential for long-term infrastructure and energy conservation in the construction sector, as well as for increasing building durability and protecting against environmental dangers. In the worldwide construction chemicals market, infrastructure is the most appealing area.


The demand for construction chemicals is determined by the amount of concrete consumed and construction development activities in a given location. Due to stable economic conditions and rising demand for residential units and infrastructure development activities, slow growth is predicted in European and North American areas; however, promising growth is expected in developing parts of the world in the construction chemicals market. The demand for concrete admixture is rapidly rising. Manufacturers have begun to respond to this desire by taking action.


The development of the building chemicals market may be hampered by a lack of awareness of the products' benefits in emerging countries. In addition, a lack of product training may represent a danger to the industry's growth in the next years. Furthermore, high product costs may stymie the market, as most small and medium-sized builders and contractors strive to keep overall construction costs as low as possible to maximize profit.


COVID 19 ANALYSIS


The outbreak of COVID had declined the market growth. The production unit experienced a shutdown in construction activities for minimising the infection rate. The industry experienced economic losses and even experienced labor losses.  A change in consumer behavior and change in market trends were observed. The reduction in growth had a great impact on the construction chemicals industry.


The state government has imposed a countrywide lockdown and shutdown which led to the banning of construction activities. Anyone seen violating the rules was severely punished.


MARKET DYNAMICS


Drivers

The growth in housing and its infrastructure drives the construction chemicals market. The growth in some of the dominant regions is bolstered by the setting up of construction industries, using advanced technology, and the large growth in the Asia-Pacific region. Expansion of construction chemicals market size depends on consumer awareness, the rise in durability and aesthetic civilian structure, and the associated benefits that drive the market.


Opportunities

These construction chemicals being sustainable and are environmentally friendly increases the opportunities for growth of the market. Using the construction chemicals is highly advantageous because it reduces the usage of cement and water which is needed during construction. As residential and infrastructure segments cover the majority of constructive chemicals market share thus creating a huge opportunity for growth of the market. The rise of construction chemicals revenue from foreign countries increases the opportunities of the market. The public and private partnership project acts as a driving factor for the growth of the market.


Challenges

If the construction chemicals lack in quality and strength, then it becomes a challenging factor that decelerates the growth of the construction chemicals industry.


Cumulative Growth

Construction of new chemical products, their proper maintenance and repair activities enhance the growth of the industry. With the rise in the growth of population along with urbanization stations and industrialization, the market growth and market value and volume are enhanced. The chemical construction firms take the initiative of completing the residential projects along with high-grade construction materials which give improved structural integrity and increase sustainability. The government is taking serious steps to restructure the taxes and make them appeal in front of foreign investors. This move of the government helps in steering up the growth. Development and launching of new products steer up the market growth.


Restraints

The repair division is less developed throughout the market as the end-use of these chemicals are a little dangerous towards the maintenance of the manufactured structures thus becoming the restraining factor for the growth of the market. Lack of skilled and highly trained labor restraint the market growth.
 

MARKET SEGMENTATION


By type

Globally the construction chemicals market is classified based on type which includes concrete admixtures, roofing, and waterproofing, repairing, flooring, adhesives, and sealants. Concrete admixtures occupied the dominant segment and covered a large share. Admixtures are useful at first during construction. Admixtures include the rise of l SNF, PCE, and SMF is much more dominant in the market. Based on the end-users industry is divided into residential, industrial, commercial and repair, and infrastructure purposes. For industrial purposes, construction chemicals are useful for maintaining the stability and durability of manufacturing structures. For residential purposes, construction chemicals are useful for housing and domiciliary buildings in the towns.


By technology

Technology led to the discovery of new chemicals useful for building and construction. Technology played a great role in achieving the sustainability of the material so used. It has also created an opportunity for discovering multifunctional materials having a low lifecycle that can be efficiently used. Waste recycle and waste reduction techniques were put forward in the upcoming years. As per the new construction chemicals market trends, the creation of the buildings required less energy to operate. Due to the advancement of technology, the products were so made that they gave good protection from the weather, it made the buildings more efficient, increased the wellness of the construction building, increased the longevity of buildings, and required low maintenance. The Discovery of new innovative and integrated solutions took [place to meet the demands of the industries. Globally the people are taking the help of technology such as BIM( Building Information Modelling), and are taking the help of software developed to make the industry produce.


REGIONAL ANALYSIS


Asia-Pacific is expected to be the most dominant and fastest-growing region where the demand for construction chemicals is very large. Asia-Pacific region comprises the regions of China, India, some areas of Japanese land, and South-Korean regions. North America and the European region also hold a large market share but are expected to grow at a low CAGR  after the Asia-Pacific and China region. China is marked to cover the largest market share regionally as well as globally. The estimated market growth in the Chinese region is said to be the second largest after Asia-Pacific.


COMPETITIVE LANDSCAPE


Some of the significant market players of the construction chemicals market are



  • BASF SE of Germany

  • Ashland Inc. of the United States

  • Pidilite Industries Ltd of India

  • Sika AG of Switzerland

  • Fosroc Inc. of India

  • Apple Chemie India Pvt Ltd of India

  • Cross International Plc of United Kingdom

  • Dow of the United States

  • RPM International Inc. of the United States

  • R. Grace and Company of the United States

  • Henkel AG of Germany

  • Evonik Industries AG of Germany

  • Tata Chemicals of India

  • Huntsman International LLC of the United States

  • Other


These competitors have adopted different techniques and strategies for acquisition, mergers which will help in the expansion of the business. These manufacturers serve their products and make their portfolio. Their strategies include release from companies, through blogs, and by giving advertisements on the website. They take every step to widening their business and to acquire a top position. Some of the leading companies which have attained the topmost position by adopting the acquisition business strategy are RPM International Inc. and Sika AG.

RECENT DEVELOPMENTS



  • Feb 2022 Sika, a manufacturer of construction chemicals, has reported its highest-ever yearly profit. Sika reported a 27.1 percent increase in full-year net profit and recommended a 16 percent increase in the dividend, owing to a rebound in construction projects following the pandemic and a slew of acquisitions. Sika said it aimed to raise its share of the construction chemicals market from roughly 10% presently to 12% by 2025 after making seven acquisitions last year.

  • Dec 2021  Saint-Gobain, a Paris-based construction materials firm, announced yesterday that it would purchase GCP Applied Technologies, a US construction chemicals company, for $2.3 billion. Saint-Gobain will pay $32 in cash for each of GCP's outstanding shares under a "definitive contract" between the two companies. According to the company, this acquisition is critical in establishing Saint-global Gobain's leadership position in construction chemicals, with total sales of more than €4 billion. It advances the group's strategy as the global leader in sustainable construction.


REPORT OVERVIEW


The report provides a detailed analysis of the qualitative and quantitative aspects of the construction industry. The report gives in-depth analysis about the manufacturers of the construction chemicals market and also gives information about the raw material so manufactured by them. All the details about the market segmentation have been covered in the report. It summarises the market analysis of the key players operating in various regions of the market.



Report Scope:

Report Attribute/Metric Details
  Market Size   USD 37.55 billion
  CAGR   8.60%
  Base Year   2021
  Forecast Period   2022-2030
  Historical Data   2020
  Forecast Units   Value (USD Million)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
  Segments Covered   Product Type, End Use and Region
  Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
  Key Vendors   BASF SE (Germany), Pidilite Industries Ltd (India), Sika AG (Switzerland), Fosroc, Inc. (India), Apple Chemie India Pvt. Ltd (India), Croda International Plc (UK), Dow (US), RPM International, Inc (US), W. R. Grace & Company (US), Henkel AG (Germany), Evonik Industries AG (Germany), Tata Chemicals (India), Huntsman International LLC (US), LATICRETE International, Inc (US), and Chemax Chemical (India)
  Key Market Opportunities   Government across the developing countries are significantly investing in infrastructure development
  Key Market Drivers

  • Increasing investment in infrastructure development and residential construction activities across the globe
  • The increase in urbanization and rapid population growth


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    Frequently Asked Questions (FAQ) :

    The infrastructure segment is the most popular and attractive segment throughout the globe. It is firstly preferred for the new entrants due to the rise in population and urbanization which help in sustaining the infrastructure and using environment-friendly products. Residential is expected to be the second-largest segment for the entry of newcomers. The residential segment is expected to carry the highest construction chemicals market revenue during the forecast period.

    The industrial sector covers a major share of 63%. Investing more in construction chemicals market revenue and adopting new governmental strategies like Make in India and "Pradhan Mantri Awas Yojna" which supports both infrastructural and industrial enhancement which creates market expansion opportunities for the industry.

    Waterproofing chemicals are expected to occupy a value of USD 37.55 Billion during the forecast period and are expected to occupy at a CAGR of 8.60%. It is in high demand during the upcoming years. It is used in vast amounts for polymer-modified volume and cementitious composites, concrete made of waterproof material and polysulphide sealants, and many more.

    North America covers the largest area globally holding a revenue of USD 37.55 billion. Significantly this region is in huge demand for the development of commercial land projects along with investing huge sums which accelerates the market growth. This region uses technologically advanced chemicals for the manufacturing of innovative materials, helping in driving the construction chemicals market size. It has also been marked that size expansion in this region has contributed to middle-class residential housing.