Saudi Arabia Construction Chemicals Market Size Likely to Expand at a CAGR of 6.2% By 2033

As per the current market research conducted by the CMI Team, the Saudi Arabia Construction Chemicals Market size is expected to record a CAGR of 6.2% from 2024 to 2033. In 2024, the market size is projected to reach a valuation of USD 7,733.1 Million. By 2033, the valuation is anticipated to reach USD 13,288.2 Million.

Saudi Arabia Construction Chemicals Market: Growth Factors and Dynamics

• Infrastructure Development: Saudi Arabia’s ambitious infrastructure projects, including transportation networks, utilities, and urban development initiatives, drive the demand for construction chemicals. These chemicals play a crucial role in enhancing the durability, performance, and sustainability of infrastructure assets, thus fueling market growth.

• Urbanization and Population Growth: Rapid urbanization and population expansion in Saudi cities increase the demand for residential and commercial infrastructure. Construction chemicals are essential for improving the quality, aesthetics, and longevity of buildings, supporting the construction boom in urban areas.

• Government Initiatives and Investments: The Saudi government’s investments in mega-projects and initiatives like Vision 2030 stimulate the construction sector, boosting the demand for construction chemicals. These initiatives aim to diversify the economy, enhance infrastructure, and create sustainable urban environments, driving market growth.

• Stringent Regulatory Standards: Increasingly stringent regulations and building codes in Saudi Arabia mandate the use of high-quality construction chemicals to meet safety, environmental, and performance standards. Compliance with these regulations drives the adoption of advanced construction chemicals, fostering market expansion.

• Technological Advancements: Innovations in construction chemical formulations and technologies, such as eco-friendly and high-performance materials, contribute to market growth. Manufacturers focus on developing solutions that offer superior performance, durability, and sustainability, catering to the evolving needs of the construction industry in Saudi Arabia.

• Focus on Sustainability: Growing awareness of environmental sustainability and green building practices influences the Saudi construction chemicals market. There is a rising demand for eco-friendly and energy-efficient solutions, including low-VOC (volatile organic compound) products, water-based formulations, and materials with recycled content, driving market dynamics towards sustainable growth.

• Investments in Research and Development: Increasing investments in research and development (R&D) by both local and international players in the Saudi construction chemicals market drive innovation and product differentiation. R&D efforts focus on developing advanced formulations, improving application techniques, and addressing specific challenges in the local construction landscape, further propelling market growth and competitiveness.

Saudi Arabia Construction Chemicals Market: Partnership and Acquisitions

• In 2024, Vink Chemicals, a key market player, initiated the construction of a new production facility in Schwerin. Located in the G6hrener Tannen industrial estate, the plant created 45 full-time jobs and aims to streamline raw material production, improving supply chains and reducing transport distances.

• In 2021, MBCC Group, following its carve-out from BASF Group and acquisition by an affiliate of Lone Star, acquired BASF’s construction chemicals business. This move positions MBCC as a fully standalone organization, poised to meet consumer demand in the construction industry.

Report Scope

Saudi Arabia Construction Chemicals Market: COVID-19 Analysis

The COVID-19 pandemic has significantly impacted the Saudi Arabia Construction Chemicals Market, with the industry experiencing both positive and negative effects. Here are some of the key impacts:

• Supply Chain Disruptions: COVID-19 led to disruptions in the global supply chain, affecting the availability of raw materials and causing delays in the procurement of construction chemicals in Saudi Arabia.

• Project Delays and Cancellations: The pandemic resulted in project delays and cancellations across various sectors of the construction industry in Saudi Arabia, leading to reduced demand for construction chemicals as construction activities slowed down.

• Resumption of Construction Activities: With the easing of COVID-19 restrictions and the rollout of vaccination programs, construction activities gradually resumed in Saudi Arabia, boosting the demand for construction chemicals.

• Government Stimulus Packages: The Saudi government implemented stimulus packages and infrastructure projects to revive the economy post-pandemic, stimulating the construction sector and driving the demand for construction chemicals.

• Adoption of Digital Technologies: The pandemic accelerated the adoption of digital technologies in the construction industry, facilitating remote project management, digital collaboration, and virtual inspections, thereby increasing efficiency in construction chemical usage.

• Focus on Health and Safety Measures: Enhanced health and safety measures on construction sites, such as social distancing protocols and sanitation practices, restored confidence among workers and stakeholders, enabling construction activities to resume at full capacity.

• Shift towards Sustainable Practices: The pandemic reinforced the importance of sustainability in the construction industry. As the market recovered, there was an increased focus on eco-friendly construction chemicals and green building practices in Saudi Arabia, driven by regulatory mandates and growing environmental awareness.

• Diversification of Market Offerings: To adapt to changing market dynamics post-pandemic, construction chemical manufacturers in Saudi Arabia diversified their product offerings to meet evolving customer needs. This diversification included the introduction of innovative formulations, customized solutions, and value-added services tailored to specific construction projects, thus driving market recovery and competitiveness.

In conclusion, the COVID-19 pandemic has had a mixed impact on the Saudi Arabia Construction Chemicals Market, with some challenges and opportunities arising from the pandemic.

List of the prominent players in the Saudi Arabia Construction Chemicals Market:

• Sika AG
• BASF SE
• RPM International Inc.
• Fosroc International Ltd.
• Dow Chemical Company
• Arkema Group
• MAPEI S.p.A.
• Henkel AG & Co. KGaA
• R. Grace & Co.
• Huntsman Corporation
• GCP Applied Technologies Inc.
• MCI Group
• Chryso S.A.S.
• B. Fuller Company
• Berger Paints Saudi Arabia Ltd.
• Others

The Saudi Arabia Construction Chemicals Market is segmented as follows:

By Product Type

• Adhesives
• Sealants
• Concrete Admixtures
• Protective Coatings
• Waterproofing Chemicals
• Repair and Rehabilitation Chemicals
• Others

By Function

• Bonding Agents
• Water Reducers
• Plasticizers
• Accelerators
• Retarders
• Corrosion Inhibitors
• Others

By Technology

• Traditional Chemicals
• Eco-friendly/Green Chemicals
• Advanced Nano-materials
• Smart Coatings
• Others

By End User Industry

• Residential
• Commercial
• Industrial
• Infrastructure