Global Construction Chemicals Market: Growth, Trends, and Opportunities in a Changing World

The global construction chemicals market is experiencing a surge, primarily fueled by the growing urban population and the increasing demand for various types of structures, including public, commercial, and residential buildings. Furthermore, the escalating individual disposable income is contributing to the worldwide expansion of the construction chemicals market.

Prominent companies within the construction chemical industry are directing their efforts towards environmentally friendly and sustainable products. These include solutions like cool roof treatments, thermal insulation, general building protection, eco-friendly admixtures based on polycarboxylate ether, and underground structural protection. The adoption of these green building chemicals not only enhances the quality and sustainability of construction projects but also addresses the pressing issue of infrastructure corrosion.

Recent estimates from CII indicate that India faces an annual loss of INR 2 trillion (equivalent to USD 40 billion), which accounts for nearly 4% of the national GDP. This significant economic loss is attributed to the corrosion of critical infrastructure, industrial machinery, and other essential assets. Sustainable green building materials are poised to be a driving force behind the industry's growth, and the environmental benefits they offer outweigh the incremental costs associated with construction.

► Russia-Ukraine Conflicts and the Impact on the Construction Chemicals Industry
Due to decreased construction and infrastructure development activity in the energy, industrial, and other non-residential construction sectors, the ongoing war between Russia and Ukraine has had a negative effect on the worldwide construction chemicals industry. Market expansion has been hampered by difficulties brought on by disruptions in the supply chain, worries about the security of the energy supply, diminished competition, and fewer product introductions.

► Investment in R&D
Over the past ten years, significant investment in R&D has resulted in substantial breakthroughs in the capabilities of building chemicals, and the majority of them still make record-breaking investments in innovation. Some of these initiatives aim to create items that adhere to ever-stricter environmental requirements. Although the use of biochemicals in building applications is only getting started, it may prove to be essential in the creation of ground-breaking innovations in the years to come. The industry is also being driven by demand for structures including dams, highways, bridges, and tunnels. In the advanced materials and chemical industries, global R&D expenditures reached USD 41.6 billion in 2022.

The global construction chemicals market experienced significant growth in 2022, driven by the substantial demand witnessed in megaprojects like The Great Man Made River Mega Project in Libya, the Chuo Shinkansen High-Speed Railway Project in Japan, Jubail II in Saudi Arabia, and Dubailand in Dubai. This heightened demand for construction chemicals is expected to persist in the upcoming years, primarily due to the continued growth in global construction activities.

Green building initiatives are poised to offer substantial investment opportunities on a global scale over the next decade, with a projected value of USD 24.7 trillion by 2030, as per the International Finance Corporation (IFC).

Within the realm of construction chemicals, key product categories include Concrete Admixture, Asphalt Additives, Waterproofing Chemicals, and Adhesives & Sealants. Notably, Concrete admixtures played a pivotal role in generating over two-fifths of the revenue within the global Construction Chemicals market in 2022. This category is anticipated to exhibit the fastest growth throughout the forecast period. This growth is attributed to the development of cutting-edge, innovative, and complex concrete admixtures with enhanced properties, consequently driving demand within the construction industry.

► Increasing Demand for Concrete Admixtures in North America
The rapid expansion of the construction industry in the United States and Canada makes North America ranks third in the world for the sale of concrete admixtures. The recent expansion of the construction industry in the area has been greatly aided by various incentives provided by the governments of the separate nations to develop the infrastructure sector, along with the rising residential sector.

In North America, the construction industry is expanding rapidly as a result of a strong economy and increased federal and state funding for institutional and public building projects. The market for building chemicals in North America is expanding due to rapid urbanization and development. The need for residential and commercial development is rising along with it, which has helped to drive up the sales of construction chemicals.

Construction sector in the United States contributes 4% to GDP. In 2022, the market size of the American construction industry was estimated to be over USD 1.8 trillion. In 2024, the value of construction undertaken in the US is anticipated to increase overall, accounting for residential, non-residential, and non-building segments. During the past decades, U.S. spending on private construction has fluctuated more than public construction. Construction spending in the U.S. peaked in early 2022.

► China is a Market Driver in Construction Chemical Industry while India is becoming Fastest Growing Market
The Asia-Pacific construction chemical market is expected to experience a significant compound annual growth rate (CAGR) throughout the forecast period, surpassing other geographical segments of the global construction chemical market. The rapid urbanization in this region is fueling the expansion of infrastructure projects and leading to increased consumption of approximately 65% of the world's cement production. As a result, the Asia-Pacific region is witnessing notable growth in the global construction chemical market.

China is the market leader for construction chemicals in the Asia-Pacific region, with India having a small share of the market. However, as more people become aware of the advantages of construction chemicals, demand for these products is growing in India. In the Asia-Pacific construction chemicals market, China accounts for the largest market value, accounting for 64%, closely followed by India and Japan.

By 2030, the real estate market in India will reach a value of USD 1 trillion, or 18-20% of the country's GDP. Only about three new homes are constructed each year, as opposed to the minimum five homes per 1,000 population. As a result, these elements may contribute to the market's growth in the years to come.

► Europe A Key contributor in Demand and Supply of Construction Chemical
The major contributors to the European construction chemical market are Germany, France, Italy, the UK, Russia, and the rest of Europe. A growing population in Europe drove constant growth in the construction industry. Innovations in remodeling industry trends, such as remodeling for accessibility, style mashing up, customizations, and technology integrations, are likely to boost business growth.

On April 11, 2022 , In order to support its own successful transformation in light of achieving the EU's Green Deal goals, which include no net emissions of greenhouse gases by 2050, economic growth through decoupling from the use of primary raw materials, and increased digitalization, the EU chemical industry has formally embraced the development of a chemical Transition Pathway.

► Infrastructure Development in Middle East
One of the fastest-growing markets in the world is that for infrastructure in the Middle East. An estimated USD 1.5 trillion was invested in the industry between 2010 and 2020, reflecting a ten-year increase in infrastructure spending in the area. An rise in government expenditure on infrastructure has been seen in Middle Eastern nations as a result of population expansion, rapid urbanisation, and economic diversification. Every significant worldwide company in the building chemicals sector is present in the United Arab Emirates and the Middle East. Various businesses have made significant investments in various markets to improve their standing. Such actions were ascribed to high concrete demand in terms of volume and performance, as well as the presence of international design and engineering organisations.

► Growth Prospects for Construction Chemical Sector
The future of the chemical industry is still inextricably linked to the trajectory of the construction sector. Recent growth in infrastructure spending and home starts, particularly in emerging nations, have boosted the worldwide construction sector. China, India, the US, and Indonesia will make for 58.3% of the increase in global building production. The powerhouse building markets of China, the US, and India are expected to drive the construction activities from USD9.7 trillion in 2022 to USD13.9 trillion in 2037.

The study conducted by Makreo Research on the "Construction Chemical Market Report and Forecast (2018-2028): by Product Type (Concrete Admixtures, Asphalt Additives, Waterproofing Chemicals, Adhesives & Sealants, and Others), by Geography (North America, Europe, Asia-Pacific and Middle East & Africa) and by End Users (Residential, Industrial, Commercial, Infrastructural, and Others)" focuses on the specific sector of construction chemicals. Also research has been deep dived into geographical area which include major contributing countries in the region. The market has witnessed many shifts in recent past after the COVID-19 outburst & Russia- Ukraine war that hampered the market. The report provides a comprehensive analysis of the market, encompassing a wide range of factors. The report takes into account both qualitative and quantitative factors, indicating a well-rounded approach to analysis. The inclusion of both qualitative and quantitative factors in the study ensures that readers gain a more complete understanding of the Global Construction Chemical Market. It goes beyond mere numbers and incorporates insights into consumer behavior, industry trends, and market dynamics. Moreover, the report's focus on past and present performance, as well as potential growth opportunities in the future, enables readers to identify key areas of interest and investment. The competition has also been carefully examined in terms of significant M&A transactions that have occurred in the market and recent financial infusions.

► The report examines the construction chemical in terms of market revenue and further breakdown into market segmentation:
■ By Region
(North America, Europe , Asia Pacific, an Middle East & Africa)

► Regions are further divided into geographical area
■ North America
(United States, Canada, and Mexico)
■ Asia Pacific
(China, India, Japan, Australia)
■ Europe
(Germany, UK, France)

► By Product Segmentation
(Concrete Admixtures, Asphalts Additives, Waterproofing Chemical, Adhesives & Sealant and Others)
► By End User
(Residential, Industrial, Commercial, Infrastructural, and Others)

To Know More:
https://www.makreo.com/report/construction-chemical-market-report-and-forecast-2018-2028

Makreo Research and Consulting
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Contact us at:
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Makreo is a Market research and consulting firm working closely with business conglomerates worldwide to help them in many aspects of driving their business growth and assist in making wise decisions with the help of our qualitative & quantitative market insights.

This release was published on openPR.