Economic Impact on the Concrete Bonding Agents Market: Analysis and Implications

Economic Impact on the Concrete Bonding Agents Market: Analysis and Implications

Concrete bonding agents are special types of adhesives or sealants that are used join uncured (fresh) concrete to cured concrete surfaces. They help achieve a monolithic bond between the existing and new concrete surfaces. Concrete bonding agents find wide application in construction projects involving repair works, remodeling, and rehabilitation. The rising number of infrastructure development projects and growth of the real estate sector have significantly driven the demand for concrete bonding agents in recent years.

The global Concrete Bonding Agents Market is estimated to be valued at US$ 2,773.5 Mn in 2023 and is expected to exhibit a CAGR of 8.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Opportunity:

Growth in construction of commercial buildings represents a key opportunity for the concrete bonding agents market. According to estimates, the commercial construction sector is expected to witness high investment activity over the next decade to meet the increasing demand for office spaces, shops, malls, hotels, hospitals etc. This is attributed to steady growth of the services sector and expansion of businesses globally. The increased use of concrete bonding agents for joining new construction to existing structures is expected to drive the demand markedly during the forecast period. Significant investment in infrastructure development across both developed and developing economies will further boost the consumption of concrete bonding agents.

Porter’s Analysis

• Threat of new entrants: The concrete bonding agents market requires high R&D investments for continuous product innovations to meet various applications. Also, the market is dominated by major established players, which makes it difficult for new players to enter.
• Bargaining power of buyers: The concrete bonding agents market has several buyers; however, customers prefer stronger relationships with few large suppliers for steady supply and competitive prices.
• Bargaining power of suppliers: Key raw materials suppliers have considerable influence over concrete bonding agent manufacturers as materials account for a major portion of manufacturing costs.
• Threat of new substitutes: No direct substitutes currently exist for concrete bonding agents as they provide unique properties like strength and durability.
• Competitive rivalry: The market is highly competitive with major players differentiating through product quality, continuous R&D and expansion to regional markets.

SWOT Analysis

• Strength: Concrete bonding agents provide high strength and durability. Demand from infrastructure boosts market.
• Weakness: Fluctuations in raw material prices affect manufacturing costs. Environmental regulations influence product development.
• Opportunity: Emerging economies boosting infrastructure spending present opportunities. Development of bio-based and eco-friendly products expanding applications.
• Threats: Economic slowdowns can negatively impact infrastructure and construction activities affecting demand. Environmental regulations regarding volatile emissions stringent in regions.

Key Takeaways

The global Concrete Bonding Agents market is expected to witness high growth between 2023-2030 driven by rising infrastructure development worldwide. The market size is projected to reach US$ 2,773.5 Mn by 2024.

Regional analysis: Asia Pacific dominating with over 35% share in 2024 led by China and India augmenting investments in roads, buildings, and metros. Western Europe is the second largest region maintaining steady growth on account of government initiatives to modernize public infrastructure.

Key players operating in the Concrete Bonding Agents market are Sika AG, Fosroc International Ltd., BASF SE, Saint-Gobain Weber S.A., Mapei S.p.A., Dow Construction Chemicals, Lafarge Holcim, The Euclid Chemical Company, GCP Applied Technologies Inc, Dow Corning Corporation, and The Quikrete Companies, Inc. Players are focusing on new product innovations, expanding in emerging markets and achieving strategic acquisitions to strengthen their positions.