Construction Chemicals Market Share, Size and Growth Analysis By 2029

The construction chemicals sector is projected to experience significant growth, expanding from US$ 50,952.86 million in 2022 to US$ 71,449.75 million by 2028. This growth translates to a compound annual growth rate (CAGR) of 5.8% over the forecast period from 2022 to 2028.

Construction chemicals are specialized products that play a vital role in promoting sustainable infrastructure and enhancing energy efficiency within the construction industry. These chemical formulations are utilized alongside cement, concrete, and various other construction materials during the building process to ensure the integrity and cohesion of these materials.

The market for construction chemicals is categorized based on application into several segments: residential, commercial, industrial, institutional, and infrastructure. Among these, the residential segment commands the largest market share and is anticipated to witness the most rapid growth throughout the forecast period. The surge in demand for construction chemicals in this segment is largely driven by the expansion of the residential sector in nations such as China, India, Saudi Arabia, and the UAE. Government initiatives aimed at bolstering the development of the residential construction sector are further propelling this demand. For instance, the Sakani program, initiated in Saudi Arabia in 2017 by the Ministry of Housing and the Real Estate Development Fund, aims to facilitate home ownership by increasing the availability of housing stock, allocating plots and homes to citizens, and providing financing options for purchases. Such government policies and initiatives across various countries are significantly contributing to the growth of the construction chemicals market.

Regionally, the construction chemicals market is divided into North America, Europe, Asia Pacific (APAC), South & Central America, and the Middle East & Africa (MEA). As of 2021, the Asia Pacific region held a dominant position in the market. The robust growth of the construction industry, coupled with the implementation of supportive government policies, is driving market expansion in this area. For example, during the 14th Five-Year Plan (2021-2025) in China, the government aims to add 6.5 million government-subsidized rental homes across 40 major cities. Additionally, approximately 219,000 aging residential communities built before 2000 in urban areas are set to be renovated by 2025 to enhance living conditions for residents. The increasing infrastructure development activities and the entry of major construction firms into the Asia Pacific market are further fueling the demand for construction chemicals.

The COVID-19 pandemic posed unprecedented challenges for various industries, including chemicals and materials. The construction chemicals market faced significant disruptions due to raw material shortages, labor constraints, factory shutdowns, and operational challenges stemming from safety protocols. However, the global vaccination efforts have led to a resurgence in business activities, with economies gradually resuming operations. Consequently, the demand for construction chemicals is anticipated to rise in the coming years. The recovery of the construction sector, along with the increased production of construction chemicals, is expected to support market growth during the forecast period.

Key players in the construction chemicals market include Polar Ice, Continental Carbonic Products Inc., Sicgil India Limited, Linde PLC, Construction Chemicals UK Ltd., Construction Chemicals Corp, Reliant Construction Chemicals, CryoCab, Praxair Technology, Inc., and ACP. These companies are actively pursuing strategies such as mergers and acquisitions, as well as launching new products, to enhance their geographic reach and expand their customer bases.

The overall size of the construction chemicals market has been determined through a combination of primary and secondary research methodologies. The research process commenced with extensive secondary research, utilizing both internal and external sources to gather qualitative and quantitative data relevant to the market. Additionally, numerous primary interviews were conducted with industry stakeholders to validate the findings and gain deeper analytical insights. Participants in this research included VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the construction chemicals sector.