Global Construction Chemicals Market is is expected to be valued at $48.9 billion by 2026, surging from $31.7 billion in 2018 at a healthy CAGR of 5.6%Download Sample Reports Overview
According to a study of Research Dive, the global construction chemicals market forecast shall cross $48.9 billion by 2026, growing at a CAGR of 5.6%.
Construction Chemicals Market Outlook:
A large variety of construction chemicals such as asphalt additives, concrete admixtures are extensively being used in buildings and other construction activities. Construction chemicals offer many key advantages such as enhanced strength, more durability and overall systems cost reduction of construction project.
The rapid urbanization and extensively growing population worldwide is one of the major impetus for the increase in the demand for construction chemicals in the global market. Moreover, global industry players of construction chemicals mainly are focusing on enhancing their existing product portfolios through restructuring and innovation. Also, to strengthen their presence in the global market they are majorly emphasizing to acquire or tie-up with emerging construction technology companies. These factors may lead to fuel the growth of the global construction chemicals market, over the forecast period.
However, the lack of skilled labors in this field is anticipated to restrain the growth of the construction chemicals industry. On the other hand, the global players of the construction industry are using advanced technologies such as BIM (Building Information Modeling) software, augmented reality, 3D printing, and many others to improve the efficiency of construction activities. This element could open new opportunities for construction chemicals’ ventures. For instance, because of the rising use of 3D printing in construction activities, 3D printing–compatible chemicals are anticipated to be in major demand and experience significant growth. Moreover, a few construction chemical companies have recently acquired 3D printing companies. These factors are expected to create huge opportunities for the construction chemicals market, over the forecast period.
The concrete admixtures segment of the construction chemicals market is projected to have a major market share, and it will generate a revenue of $12.7 billion by 2026, rising at a CAGR of 4.6%. This is mainly because concrete admixtures are significantly used for the production of super-strong concrete. Moreover, concrete admixtures work as shrinkage reducers and offer key benefits such as sustainability, overall systems cost reduction, and reduction in project delivery time.
The global infrastructure segment of the construction chemicals market is anticipated to have a substantial growth in the market, and it shall generate a revenue of $12.8 billion by 2026, surging at a CAGR of 6.2%. This is mainly because highly advanced construction chemicals help in reducing overall project costs and speed up project completion rate. Thus, builders and developers are giving more preference for construction chemicals for the construction of infrastructure. Furthermore, rapidly increasing urbanization and population, the exponential growth in middle-class residential housing, and infrastructure initiatives funded by the government especially in the developing countries are the factors expected to boost the growth of this segment of the construction chemicals market.
The Asia Pacific construction chemicals market has witnessed the fastest growth in the global market, and it will register a revenue of $11.3 billion by 2026, increasing at a healthy rate of 6.2%. An aging population and the enormously rising urbanization rate is boosting the number of construction projects; these rising construction projects are making a significant impact on the demand of construction chemicals, in Asian countries, particularly in India and China. Furthermore, the presence of significant players such as Pidilite industries, increasing demand for durable and luxurious homes, and increasing adoption of advanced material and chemicals are anticipated to propel the growth of the Asian construction chemicals market.
The North America construction chemicals market has the largest market share in the global market, and it shall generate a revenue of $14.2 billion, during the forecast period. Significant market essentials for commercial real estate projects along with the strong economy are expected to accelerate the demand for construction chemicals in North America. Furthermore, a rise in government funding for institutional infrastructures, increasing population, and high availability of advanced materials are driving the growth of the North America construction chemicals market.
- Arkema SA
- Fosroc, Inc.
- Sika A.G.
- BASF SE
- RPM International Inc.
- W. R. GRACE & CO.
- MAPEI S.p.A.
- Pidilite Industries Ltd.
Porter’s Five Forces Analysis for Construction Chemicals Market:
- Bargaining Power of Suppliers: The switching costs from one supplier to another, in the construction chemicals market are expected to be low. The high number of suppliers in the global industry, along with high price sensitivity, is the major reason for the low negotiation power of suppliers.
Thus, the suppliers’ bargaining power is LOW.
- Bargaining Power of Buyer: Buyers of this market have high bargaining power mainly because of the high availability and high range of construction chemicals in the global market.
The bargaining power of the buyer is HIGH.
- Threat of New Entrants: The high cost associated with marketing and R&D coupled with high distribution and maintenance cost provides less threat of entry from new market players.
The threat of new entrants is LOW.
- Threat of Substitutes: In the global construction chemicals market threat of alternative products is very low.
The threat of substitutes is VERY LOW.
- Competitive Rivalry in the Market: Construction chemicals market has large number of small as well as large established industry players. These industry players are significantly focusing on product development and technological advances.
The competitive rivalry in the industry is VERY STRONG.