Construction Chemicals Market: Global Industry Analysis and Forecast 2024 – 2030

Global Construction Chemicals Market was valued at USD 45.19 Billion in 2023, and it is projected to touch USD 67.95 Billion by 2030, exhibiting a CAGR of 5.7 % during the forecast period (2024-2030).
Construction Chemicals Market Overview
The construction chemicals market incorporates a wide range of chemical formulations and additives used at different phases of construction to improve the durability, performance, and sustainability of buildings and infrastructure. These chemicals are especially intended to improve the qualities of building materials such as concrete, mortar, grout, and cementation mixtures. The construction chemicals market is driven by factors such as infrastructure development, urbanization, increasing construction activities, and stringent regulatory requirements for sustainable building practices.

USD 25 billion in capital investment was made in the business of chemistry in 2022, including investments in structures & equipment and 26% of total consumption spending by the U.S. manufacturing sector in 2022 involved in the business of chemistry.

Construction chemicals Manufacturers are responding by innovating and expanding production capacities to meet these growing market demands. They are also enhancing construction chemicals supply chain efficiencies to support global urban development initiatives, especially in regions like India, China, and Southeast Asia. These areas are seeing substantial investments in smart cities, residential complexes, and transportation networks, creating opportunities for tailored construction chemicals solutions such as concrete admixtures and waterproofing materials. Meanwhile, countries such as China, India, Vietnam, the United States, and Singapore play pivotal roles as major importers in the global construction chemicals market.

Emerging markets, particularly in Asia-Pacific, are experiencing rapid urbanization and infrastructure development. Increased migration to cities, rising disposable incomes, and improved living standards are fueling demand for new residential and commercial constructions. This growth extends to infrastructure projects such as roads, railways, and utilities, further boosting the need for construction chemicals like adhesives, sealants, and coatings.

For instance,

1. In May 2023, Sika AG finalized its acquisition of MBCC Group, formerly BASF Construction Chemicals. The transaction, completed after regulatory approvals, expanded Sika's global presence and product portfolio, with sales of the company having reached nearly USD 2.2 billion in 2022.

2. In December 2023, Saint-Gobain acquired Menkol Industries, a prominent Indian manufacturer of high-value waterproofing systems. The move aligned with Saint-Gobain's strategic plan, bolstering its construction chemicals segment and reinforcing its position in the Indian market.

3. In December 2023, Chembond Chemicals underwent a restructuring plan, demerging construction chemicals and water technologies segments into Chembond Chemical Specialties Limited (CCSL). Shareholders received 2 CCSL shares for every CCL share held, leading to a 12.72% rise in shares.

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Growing awareness of green construction is expected to have a significant influence on the construction chemicals market's expansion

The increasing consciousness of the sustainability hazards caused by conventional buildings, as well as changes in global government policies, are the primary drivers of construction chemical adoption, particularly for the construction industry. Also, the construction chemicals market is driven by, there has been a significant shift toward sustainable construction practices, driven by increased environmental awareness and stringent regulations aimed at reducing carbon footprints and promoting eco-friendly building materials. Chemicals used in construction advance overall costs while being more environmentally friendly. Construction chemicals improve the strength and corrosion resistance of infrastructure while also reducing the amount of cement and water used during construction. Likewise, the primary reason for the use of construction chemicals is to improve the performance of buildings, such as with structural tapes, thermoset hot melts, and multipurpose adhesives. The proper application will alter the global residential and non-residential markets and have a positive impact on the environment.

For instance,

1. In 2023, Sika AG acquired King Packaged Materials Company, a move aimed at expanding their portfolio of environmentally friendly construction chemicals. This acquisition underscores the industry's focus on enhancing sustainable solutions.

2. In 2023, Henkel introduced Loctite PL Premium MAX construction adhesive, a versatile product that enhances structural integrity and bonding strength in building applications. This launch highlights Henkel's commitment to innovation in multipurpose adhesives for construction.

3. In 2022, RPM International Inc. collaborated with local governments and NGOs to implement sustainable building practices in urban development projects, focusing on energy-efficient materials and green technologies.

4. In 2021, BASF launched the Master Builders Solutions portfolio, which includes products designed to enhance sustainability in construction. This portfolio emphasizes solutions that improve energy efficiency, reduce carbon footprint, and enhance durability, aligning with global sustainability goals.

The increasing urbanization trend in the construction industry is expected to accelerate construction chemicals market growth during the forecast period

Many emerging markets are experiencing rapid urbanization as a result of increased migration to rapidly developing cities. A rise in per capita disposable income and an improved standard of living are expected to boost overall construction chemicals market demand. New residential and non-residential structures will be built to meet the increasing demand caused by urbanization. In addition, the growing urban population drives demand for residential and commercial construction, movie theatres, shopping centers, hospitals, bridges, and restaurants as well as infrastructure projects such as roads and utilities. The increase in construction activity raises the demand for construction chemicals like adhesives, sealants, and coatings. Manufacturers are expected to respond by innovating and expanding production capacities to meet growing construction chemicals market demands, as well as improving the construction chemicals supply chain to support global urban development.

For instance,

1. In 2023, Dow Chemical and Cisco collaborated to develop smart coatings and adhesives with IoT sensors. This initiative aims to provide building owners and operators with practical insights into building health, energy efficiency, and maintenance requirements using connected construction chemicals.

2. In 2021, Sika partnered with IBM to integrate IoT sensors into their construction chemicals and building materials. This collaboration focuses on leveraging IBM's Watson IoT platform to collect and analyze data on construction chemicals behaviour and performance in real-world applications.

3. In 2021, India's National Infrastructure Pipeline (NIP) aims to invest in infrastructure projects worth more than USD 1.4 trillion by 2025. This includes road construction, metro rail projects, and smart city developments, which increase demand for construction chemicals such as concrete admixtures, waterproofing solutions, and advanced coatings.

4. In Europe, the renovation rate of buildings is expected to increase from 1% in 2021 to 2.5% by 2030 due to the implementation of the European Green Deal. This will significantly increase the demand for construction chemicals used in renovation projects.

Expanding presence in rapidly urbanizing regions such as India, China, and Southeast Asia, where infrastructure investments are driving demand for high-performance construction chemicals

The opportunity to expand its presence in rapidly urbanizing regions such as India, China, and Southeast Asia derives from powerful infrastructure investments that drive demand for high-performance construction chemicals. These regions are rapidly urbanizing, with significant investments in roads, railways, airports, residential complexes, and smart city initiatives. construction chemicals market Companies can capitalize on this trend by expanding their product offerings to meet local construction needs, such as concrete admixtures for long-lasting structures, waterproofing solutions for monsoon-prone areas, and advanced coatings for environmentally friendly building practices.

According to Asian Development Bank (ADB), Asian cities are growing rapidly, another 1.1 billion people will live in the region's cities in next 20 years. By 2030 55% of population of Asia will be urban.

The following is expected to accelerate the growth of the construction chemicals market.
Global Construction Chemicals Market Segment Analysis:
Based on product type, concrete admixtures capture the largest share in the construction chemicals market in 2023, in terms of value. Also, the industry has been categorized into Waterproofing & Roofing, Flooring Chemicals, Sealants & Adhesives and Others. Cement is widely used as a binding material in construction. It is mixed with crushed rock, water, and sand in precise amounts to make concrete. Concrete admixtures are then used to improve the properties of the concrete. They offer advantages such as a lower cement-water ratio, faster setting time, prevention of settlement, reduction of segregation, and improved pump ability. The growing construction industry in China, India, the United Kingdom, and Germany is causing a high demand for concrete admixtures, which will drive the construction chemicals market. Flooring chemicals are typically epoxy- and polyurethane-based. These chemicals are used in a variety of applications to improve load impact, abrasion, moisture penetration, chemical attack, aesthetic appeal, and the strength of damaged floors. Waterproofing chemicals are designed to prevent water infiltration. Waterproofing chemicals are used to waterproof concrete during the construction process as both maintenance and preventive measures.

For instance,

1. Construction chemicals companies like BASF and Sika have responded with advanced admixtures that enhance concrete strength, durability, and sustainability.

2. Waterproofing & Roofing, The waterproofing and roofing segment has seen significant growth due to escalating urbanization and the increasing frequency of extreme weather events linked to climate change. AkzoNobel and Sherwin-Williams have introduced eco-friendly coatings that improve building resilience and energy efficiency.

Henkel and MAPEI have launched adhesives and sealants that not only adhere to stringent sustainability criteria but also contribute to improved indoor air quality and safety standards.

Dow and H.B. Fuller have introduced low-VOC formulations that support green building certifications such as LEED. These products are essential for sealing joints and bonding materials in buildings, reducing air leakage and improving overall energy performance.



Based on End-use, the market is sub segmented into Residential and Non-residential. In terms of revenue, the non-residential segment dominated the industry and accounted for the largest market of construction chemicals industry share in 2023. Demand for commercial buildings, bridges, roads, dams, and tunnels is propelling the market forward. Also, growing disposable economies, combined with a high population rate, are creating a high demand for high-end and higher-quality structures for public use, which is driving global construction chemicals forward. The residential market is highly fragmented, and growing urbanization has resulted in a large number of consumers moving to cities. Changing lifestyles, rapid urbanization, improved living standards, and rising demand for aesthetically designed residential structures are expected to drive market growth over the forecast period.

1. In May 2023, Sika AG finalized its acquisition of MBCC Group, formerly BASF Construction Chemicals. The transaction, completed after regulatory approvals, expanded Sika's global presence and product portfolio, with sales of the company having reached nearly US$ 2.2 billion in 2022.

2. In December 2023, Saint-Gobain bolstered its presence in Latin America's construction chemical sector by acquiring a majority stake in IMPTEK Chova del Ecuador, a prominent player in Ecuador's market. The move aimed to expand its innovative waterproofing solutions, aligning with its strategic plan 'Grow & Impact'.

3. In June 2021, JSW Cement, India’s leading Green cement company, has entered the Construction Chemical sector with the launch of a unique green product range in the category. The Construction Chemical category offers new opportunities for JSW Cement to combine innovation in concrete mix products with responsible construction. With this development, the company will expand its business.


Global Construction Chemicals Market Regional Analysis:
Due to the rapid expansion of the construction sector in recent years, Asia-Pacific construction chemicals will become the largest regional market in 2023. North America and Europe are relatively mature markets that value new product development and a preference for bio-based chemicals. Asia Pacific is expected to grow significantly over the forecast period, driven by increased infrastructure development investments and rising consumer disposable income levels. Southeast Asian economies, including Indonesia, the Philippines, and Malaysia, are experiencing rapid growth, which is expected to benefit the construction chemicals industry. These countries are experiencing high demand for infrastructure projects, which will fuel demand for construction chemicals in Asia Pacific, propelling the regional market.

The top exporters in the construction chemicals market are India, Germany, China, United Kingdom, and South Korea.

The top importers in the construction chemicals market are China, India, Vietnam, United States, and Singapore.

Government initiatives to drive construction activities in India result in the growth of the market for construction chemical supply and demand

The Indian government has frequently announced various schemes and policies, such as the Indira Awaas Yojana, to provide affordable housing solutions to the country's economically disadvantaged population. These subsidies have boosted the construction sector in India, resulting in increased demand for construction chemicals. Aside from that, the government has been involved in a variety of infrastructure development projects, including the construction of smart cities, dams, roads, and buildings. This automatically generates a high demand for these chemicals in the country.

1. According to Invest India Government an estimated 600 Mn people are likely to be living in urban centres by 2030, creating a demand for 25 Mn additional mid-end and affordable units.

2. Under NIP, India has an investment budget of $1.4 Tn on infrastructure, 24% on renewable energy, 18% on roads & highways, 17% on urban infrastructure, and 12% on railways.

3. INR 10 Lakh Cr: 33% Increase in capital Investment Outlay for PM Awas Yojana is being enhanced by 66 % to over INR 79,000 Cr.

4. Urban Infrastructure Development Fund: INR 10,000 Cr Outlay per year to create urban infrastructure in tier 2 & 3 cities.

Competitive Analysis of Global Construction Chemicals Market:

BASF is a global leader in the construction chemicals market, known for its extensive product portfolio, innovation, and strong market presence. The company's consumer preference is driven by the fact that it is renowned for its high-quality products and reliability, which are critical factors in consumer decision-making. Continuous investment in research and development allows BASF to introduce cutting-edge solutions that enhance construction efficiency and sustainability. BASF's extensive global distribution network ensures widespread availability and prompt service, catering effectively to diverse market needs.

For instance,

1. In 2021, BASF launched MasterEmaco T 545, a high-performance repair mortar that offers enhanced durability and ease of application.

2. In 2022, BASF expanded its portfolio with MasterGlenium SKY 594, a super plasticizer for high-strength concrete formulations, addressing the demand for stronger and more durable structures.

3. In 2023, BASF collaborated with construction firms to implement digital solutions for monitoring concrete performance in real-time, enhancing construction quality and efficiency.

Whereas, Fosroc International is a prominent player in the construction chemicals market, focusing on specialized solutions and regional market expertise. Its consumer preference is driven by its ability to leverage local market knowledge to tailor solutions that meet specific regional construction requirements effectively. The company excels in niche segments such as waterproofing, concrete repair, and flooring solutions, catering to specialized project needs. Fosroc emphasizes customer service and technical support, providing tailored solutions and on-site assistance to enhance project outcomes.

For instance,

1. In 2021, Fosroc introduced Nitobond EP, an epoxy bonding agent for enhancing bond strength between old and new concrete surfaces.

2. In 2022, Fosroc expanded its range of waterproofing solutions with Nitoproof 600, a high-performance membrane designed for demanding applications.

3. In 2023, Fosroc partnered with local governments to promote sustainable building practices, focusing on eco-friendly construction chemical solutions and reducing environmental impact.
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Construction Chemicals Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US $ 45.19 Bn.


Forecast Period 2024 to 2030 CAGR:
5.7%
Market Size in 2030:
US $ 67.95 Bn.


 Segments Covered:
by Types
Concrete Admixtures
Waterproofing & Roofing
Flooring Chemicals
Sealants & Adhesives
Others


by Application
Residential
Non-Residential



Construction Chemicals Market, by Region
North America (United States, Canada, Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria, Turkey, Russia and Rest of Europe)
Asia Pacific (India, China, Japan, South Korea, Australia, ASEAN, and Rest of APAC)
Middle East and Africa (South Africa, GACC, Egypt, Nigeria, and Rest of ME & A)
South America (Brazil, Argentina, Columbia, and Rest of South America)
Global Construction Chemicals Key Players:
1. BASF SE (US)
2. Akzo Nobel Chemicals AG (Netherlands)
3. Ashland Inc.,(US)
4. Antas Chemical Company Limited (India)
5. 3M Company (US)
6. Bostik Inc. (India)
7. Albemarle Corporation (US)
8. The Dow Chemical Company (US)
9. Evonik Industries (Germany)
10. Sika A.G (Switzerland)
11. Arkema S.A. (US)
12. W.R. Grace & Co. (US)
13. MAPEI S.p.A (Italy)
14. Pidilite Industries (India)
15. RPM International Inc (US)
16. Fosroc International Limited (Dubai)
17. Abadgaran Construction Chemicals Group (Iran)
18. Corrotech Construction Chemicals (Dubai)
19. Chembond Chemicals Ltd. (India)
20. Cera-Chem Private Limited (India)
21. H.B. Fuller (US)
22. Henkel AG & Company (Germany)
23. Huntsmen Corporation (US)
24. Saint-Gobain (US)

Frequently Asked Questions:

1. Which region has the largest share in Global Construction Chemical Market?
Ans: Asia Pacific construction chemicals market held the largest share in 2023.

2. What is the growth rate of Global Construction Chemical Market?
Ans: The Global Construction Chemical Market is expected to grow at a CAGR of 5.7% during forecast period 2024-2030.

3. How much is the Construction Chemical Market Currently Worth?
Ans: The construction chemical market is expected to be worth USD 45.19 Bn. in 2023.

4. What is the Sales Forecast for Construction Chemicals Through 2034?
Ans: The construction chemical market is expected to reach USD 67.95 Bn. by 2034.

5. What is scope of the Global Construction Chemical market report?
Ans: Global Construction Chemical Market report helps with the PESTEL, PORTER, Recommendations for Investors & Leaders, and market estimation of the forecast period.