The global construction chemicals market is anticipated to grow at a significant CAGR of 7.8% during the forecast period. Construction chemical offers feasible solutions to build a strong and durable structure and is important in the process of construction. Additionally, it increases the life of structures and can protect them from environmental calamities. It is primarily composed of chemical formulations added in particular quantities in concrete, cement, or other construction material to meet the aesthetic, design, and functional requirements of civil structures. Ordinary concrete needs further modification to deliver a sustainable and strong structure ideal for several critical and climatic conditions, which is achieved by adding chemicals, such as protective coatings, sealants and adhesives, and concrete admixtures. 

The growth is attributed to a rise in the construction industry coupled with rapid urbanization and infrastructural activities. The market for construction chemicals in the UK is majorly driven by the industrial and construction sector which contributes to 19.2% and 7% of the country's GDP respectively. Under the new Industrial Strategy Challenge Fund programs, the government of the UK is investing around $828 million to support the development of industrial technology and infrastructure. Such supportive government initiatives will give considerable growth to the market in the UK. 

Impact of COVID-19 Pandemic on Global Construction Chemicals Market

COVID-19 had severely impacted the growth of both the industrial and construction sectors. The Supreme Court of Saudi Arabia's general panel issued a ruling in December 2020 on the impact of COVID-19 on building contracts. The courts have the authority to revise contracts, which may include the following changes. 

Reducing the amount of supply: If in any instance, COVID-19 results in a scarcity of goods or materials required to complete the project, the court may reduce the quality of those available to the point where they are sufficient to take the project forward. 

Suspension of work due to a lack of materials: In circumstances when COVID-19 causes materials to be unavailable, the court may opt to suspend the related responsibilities. Furthermore, if a suspension is likely to harm a party, that party may request that the suspension be lifted. 

Segmental Outlook 

The global construction chemicals market is segmented on the basis of product and application. Based on product, the market is classified into concrete admixture, concrete sealants and adhesives, and protective coatings. Concrete admixtures are expected to have a significant share in the market. Concrete admixtures modify the properties of hardened concrete and ensure better quality during mixing, transporting, placing, and curing. Based on application, the market is classified into residential and non-residential.

Global Construction Chemicals Market Share by Application, 2021 (%)

The Residential Sub-Segment is Anticipated to Hold Prominent Share in the Global Construction Chemicals Market

Residential is expected to hold a prominent share in the market owing to the increasing number of residential houses and buildings, which creates demand for construction chemicals to provide stiffness and durability to the structures. However, non-residential is estimated to witness lucrative growth over the years owing to the significant rise in infrastructural projects and commercial construction. For instance, the People’s Republic of China, the country has declared to expand infrastructure investment in 2019, in which, $119 billion will be invested in railway construction and nearly $250 billion in road construction and waterway projects. With the growing infrastructural developments, there is always a need to find out new ways the establishment of strong structures, which in turn, is contributing to the demand for construction chemicals. 

Regional Outlooks

The global construction chemicals market is further segmented based on geography including North America (the US, and Canada), Europe (Italy, Spain, Germany, France, and Others), Asia-Pacific (India, China, Japan, South Korea, and Others), and the Rest of the World (the Middle East & Africa, and Latin America).  The market can be analyzed for a particular region or country level as per the requirement. Among these, the North American regional market is expected to cater to considerable growth during the forecast period. 

Global Construction Chemicals Market Growth, by Region 2022-2028

The Asia-Pacific Region is Expected to Hold a Prominent Share in the Global Construction Chemicals Market

The Asia-Pacific region is expected to hold a prominent share in the global construction chemicals market. As per the International Brand Equity Foundation (IBEF), India requires investment worth $777.7 billion in infrastructure by 2022 to have sustainable development in the country. India is witnessing significant interest from international investors in the infrastructure space. In 2018, the infrastructure sector in India witnessed private equity and venture capital investments worth $1.97 billion. Foreign Direct Investment (FDI) received in the Construction Development sector (townships, housing, built-up infrastructure, and construction development projects) from April 2000 to March 2019 stood at $25.05 billion. This represents the emerging focus on infrastructural operations, which is likely to propel the growth of the market in the region. 

Market Players Outlook

The major companies serving the global construction chemicals market include Akzo Nobel N.V., BASF SE, Arkema Group, Mapei S.p.A., Sika AG, SABIC, and the Dow Chemical Co. among others. The market players are considerably contributing to the market growth by the adoption of various strategies including mergers and acquisitions, partnerships, collaborations, funding, and new product launches, to stay competitive in the market. For instance, in January 2019, Birla Corp. Ltd. introduced Perfect Plus construction chemicals in India. These products include Perfect Plus IWP (integral waterproofing and Perfect Plus SBR (styrene-butadiene rubber) Latex. The launch of such products will enable the company to generate a significant revenue stream for the company and its trade partners. 

The Report Covers

• Market value data analysis of 2021 and forecast to 2028.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global construction chemicals market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.