Market Consolidation and Focus Quality Improvement to Drive the Domestic Market for Construction Chemical in China: Ken Research


Use of construction chemical in construction activities has become very key component in development of large infrastructure projects. They also augment the quality and life of structure by giving protective cover by restraining unwanted material to reach the surface or core structure. Over the years, the government of China has invested in development of some of the largest infrastructure projects in the country that makes the existing global mega-structures belittle. Huge rise in urban population has led to development of high rise real estate development to accommodate people in restricted city limits. Creating such residential and commercial spaces require that buildings stand the harsh environmental conditions and are well protected from the problems arising due to manmade activities.

Market for construction chemical in China is expected to register positive growth in outlook period of 2016-2020 and is estimated to reach USD 14 billion by 2020. Growth in demand for construction chemical will be supported by government investment in developing infrastructure like bridges, metros, airports and other primary infrastructure. Real estate development especially in cities will further increase the growth in demand for construction chemical. Increase in demand for rental and energy efficient real estate will further augment the demand of certain specific construction chemical which is still under development in Chinese market.

In 2015, market for construction chemical was very fragmented. Sales and distribution of construction chemical was mainly led by project based sale. Sale in retail sector was done through building merchants. Demand for construction chemical was highest in the global market. Massive construction investment plans envisaged under 12th five year plan has been the major growth driver for demand of construction in the period.

Declining infrastructure investment by government may decrease the demand for certain type of construction chemical. Improved focus on quality and rising cost of labor will make domestic Chinese companies less competitive and as market saturates, it is expected to head towards consolidation. Development and implementation of quality standards, check on counterfeit products will create trust in the market about the product leading to increased demand.

Companies in construction chemicals market should focus on harnessing the potential in smaller cities where there are market opportunities. Moreover, Domestic companies have strong market presence in China but have failed to establish themselves outside Chinese territories and hence association with leading or emerging companies to launch in uncharted territory or collaborate with domestic companies in other countries makes market entry easy, according to Research Analyst, Ken Research.

The report titled China Construction Chemical Market Outlook to 2020provides brief overviewon the China Construction Chemical Market and helps readers to identify the ongoing trends in the market and anticipated growth in future depending upon changing market dynamics in coming years. The report will help existing distributors, manufacturers along with end users in construction and real estate sector to align their market centric strategies according to ongoing and expected trends in the future.

For more information about the publication, refer to the below link:


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