Asia-Pacific (APAC) Construction Chemicals Market by Type (Concrete Admixtures, Adhesives, Sealants, Protective Coatings, Asphalt Modifiers), by Country (China, Japan, India, South Korea) – Market Size, Share, Development, Growth, and Demand Forecast, 2013–2023

APAC Construction Chemicals Market Overview

The APAC construction chemicals market was valued at $19,754.8 million in 2017 and is projected to reach $29,686.2 million by 2023, witnessing a CAGR of 7.1% during the forecast period. Rapid urbanization and industrialization and growing awareness for quality construction are the major factors driving the growth of the market.

APAC CONSTRUCTION CHEMICALS MARKET, BY TYPE, KILO TONS (2013–2023)

Construction chemicals are chemical formulations used with concrete, cement, and other construction materials to hold the construction material together. They are used by the construction and civil repair industries.

Based on type, the APAC construction chemicals market is categorized into concrete admixtures, adhesives, sealants, protective coatings, asphalt modifiers, and others. Others include flooring chemicals and flame retardants. Among all types, concrete admixtures was the largest category in the market, with a revenue contribution of more than 45.0% in 2017. The improving quality of construction in developing countries; increasing demand for buildings, roads, tunnels, bridges, and water retention structures; and need to reduce water usage and construction time are the major factors driving the growth of the concrete admixtures market in APAC.

China was the largest revenue generating country in the APAC construction chemicals market, with a share of more than 55.0% in 2017. The country is the largest economy in terms of purchasing power parity, the second-largest economy in terms of nominal GDP, and one of the biggest markets for construction activity in the world. Additionally, almost all major construction manufacturing companies have their manufacturing plants in China. These aforementioned factors are attribute to its largest share in the market.

APAC Construction Chemicals Market Dynamics

The major trend witnessed in the APAC construction chemicals market is the increasing consumption of construction chemicals. Rapid urbanization and industrialization and growing awareness for quality construction have been identified as major drivers in the market.

Trends

The increasing consumption of construction materials in countries such as China, India, and South Korea is the major trend witnessed in the APAC construction chemicals market. This can be majorly attributed to increasing population, which is fueling the need of infrastructure development in the region. According to Asian Development Bank, the APAC population is estimated to reach 4.3 billion in 2030, which would require an investment of almost $22,551 billion for infrastructural development.

Additionally, due to the rapid shift towards urbanization in developing countries, the usage of these chemicals is increasing in these countries to provide integrity to the structures being built. In order to improve the chemical and physical properties of concrete, constructors have started to prefer construction chemicals. Also, they are used to increase the durability of the buildings, as this is also becoming the prime concern in the current scenario among the end users. Hence, increasing consumption of these chemicals is the major trend witnessed in the APAC construction chemicals market.

Drivers

With the onset of rapid economic development across APAC nations, the urban population in majority of APAC nations is expected to rise significantly. Much of the urban growth is expected to take place in emerging countries, mainly China, India, and Indonesia. Urbanization brings enormous economic, social, and environmental changes. In order to address these changes, these countries are expected to continue to invest heavily in the development of new housing, transportation centers, civic infrastructure facilities, energy health care facilities, and education centers; thereby, boosting the APAC construction chemicals market growth.

Furthermore, rapidly expanding manufacturing sector in APAC nations such as China, India, Vietnam, Malaysia, and other developing nations is expected to result in the construction of new manufacturing facilities, assembly plants, and warehousing units. With the of large scale construction activities expected to occur in developing APAC nations, the demand for construction materials used in construction activities is also expected to rise during the forecast period; thus, fueling the APAC construction chemicals market growth.

Restraints

Construction activities are one of the key indicators of economic development in any country. Fast developing countries generally witness an equally fast growth in the construction industry. For instance, countries such as India and China are experiencing high economic growth rate fueled by large-scale construction activities. However, the construction sector in developed APAC nations such as Japan, Taiwan, and Australia are reaching maturity or saturation state, which is marked with lesser investments in infrastructural projects and absence of new construction projects. The saturation in the construction business is expected to slow down the growth of the APAC construction chemicals market.

APAC Construction Chemicals Market Competitive Landscape

Some of the major players operating in the APAC construction chemicals market are BASF SE, Sika AG, SOPREMA Group, asia mortar, Dayton Superior Corporation, Dahsin Waterproofing Co. Ltd., Bostik SA, Saint-Gobain S.A., SKK (S) Pte. Ltd., DowDuPont Inc., and H.B. Fuller Company.