An increase in demand from the infrastructure and construction industry, in tandem with a rise in demand for green buildings, has been a boon to the growth of the Kingdom’s construction chemicals market.
A report, published by Allied Market Research, said that the Saudi construction chemicals market was $741.1 million in 2019 and is anticipated to touch $1.09 billion by 2027, increasing at a CAGR of 6.9% from 2020 to 2027.
Despite this, a lack of awareness on the topic of concrete surface retarders impedes the market growth. However, a swell in construction activities is expected to open rewarding opportunities for companies within the industry in the years ahead.
Saudi construction chemicals market
$741.1 million in 2019
To touch $1.09 billion by 2027
CAGR of 6.9% from 2020 to 2027
Waterproofing and roofing chemicals to hit CAGR of 7.5%
DiSARuption of the Supply Chain
Due to the Covid-19 pandemic and the lockdown, construction activities and shipping of goods were temporarily halted to help control the virus’s spread. This hurt the demand for construction chemicals.
The drawn-out lockdown resulted in diSARuption of the supply chain and raw material procurement. What is more, the unpredictability of raw material prices further weighed down demand.
Product and Application
Saudi Arabia’s construction chemicals market is divided based on product and application. Based on product, the market is categorized into areas such as, but not limited to, concrete admixture, waterproofing and roofing chemicals, protective coatings, adhesive and sealants, industrial flooring, and asphalt additives. The waterproofing and roofing chemicals segment is expected to display the highest CAGR of 7.5% throughout the forecast period.
Concerning application, the market is divided into residential, industrial/commercial, and infrastructure. The residential sector had the most significant share in 2019, contributing to just about half of the market.