UAE Construction Chemicals

UAE Construction Chemicals Market Research Report: Forecast (2021-2026)

By Type (Concrete Admixtures, Waterproofing Chemicals, Adhesives and Sealants, Flooring Compounds, Repair and Rehabilitation, Protective Coatings, Others), By End-User (Infrastructure (Roads and Bridg Read more

  • Chemicals
  • Dec 2021
  • 200
  • CM10256

Market Definition

The construction industry is one of the crucial components of every economy. It uses a wide range of polymers & chemicals used to enhance the performance of construction materials like cement. Construction chemicals are formulations mixed with concrete, cement, etc., during the construction of any structure to bind the materials together & make them more durable. As a result, they are the essential elements for the construction industry to improve the building structure quality.

Market Insights

The UAE Construction Chemicals Market is anticipated to grow at a CAGR of around 7% during the forecast period, i.e., 2021-26. The growth of the market is driven primarily by the ongoing large-scale construction activities across the UAE. Construction chemicals play a significant role in meeting the requirements of high-strength & hi-tech infrastructures and are also beneficial in enhancing the durability of a building's structure.

The UAE's construction industry is expecting considerable growth in the coming years, principally due to the rapidly growing utilities & transport sector. The UAE government is trying to promote the development of the private sector that could complement the historical dominance of the country, which, in turn, is boosting the demand for construction chemicals with the surging number of construction projects. 

In addition, ambitious rail projects are expected to provide an efficient alternative for passenger & freight transportation. In 2021, the UAE planned to complete its Etihad Rail project, which is likely to spread over 139 km, and connect Al Ghuwaifat on the border of Saudi Arabia. This project shall assist in transporting 50 million tonnes of freight and 16 million passengers. Hence, this surge in construction activities is swelling the demand for construction chemicals to make strong structures.

Moreover, hosting World Expo and initiatives like the UAE Vision 2021 & Abu Dhabi Vision 2030 are other crucial aspects expected to infuse substantial investments in various construction projects and fuel the overall market growth in the coming years.

Report Coverage Details
Study Period Historical Data: 2016-19
Base Year: 2020
Forecast Period: 2021-26
CAGR (2021-2026) 7%
Country Covered Dubai, Abu Dhabi, Sharjah, Northern Emirates
Key Companies Profiled BASF, East Fosroc, Sika UAE, DOW Menat, Saudi Basic Industries Corporation (SABIC), GCP Applied Technologies Inc., Henkel Arabia, Colmef Construction Chemical, Corrotech Construction Chemical
Unit Denominations USD Million/Billion


Key Trend in the UAE Construction Chemicals Market:

  • Mounting Demand for Green Construction Chemicals to Curb Harmful Gas Emissions

Construction chemicals are used widely as crucial materials in the construction industry. However, their excessive usage releases harmful gases that adversely affect the environment. Hence, there is a high demand for sustainable products like green chemicals, which have negligible effects on the environment, to help curb harmful gas emissions. In addition, the UAE government is taking several initiatives toward encouraging sustainable construction projects, which would propel the use of green construction chemicals. For instance:

Under UAE Vision 2030, Sustainable Development Goals (SDGs) have been proposed to provide better living conditions to the sectors like industry, innovation & infrastructure, sustainable cities & communities, etc. Hence, to achieve these sustainable goals by 2030, the adoption of new environment-friendly chemicals is necessary, which, in turn, would accelerate the market growth of construction chemicals across the UAE.

Impact of Covid-19 on the UAE Construction Chemicals Market

  • The imposition of lockdown & movement restrictions owing to the Covid-19 pandemic in 2020 led to the suspension of numerous construction activities across the UAE.
  • As a result, it hampered the supply chain of the construction chemicals market and resulted in slow overall economic growth.
  • The UAE's construction sector witnessed a significant decline due to the reduced oil demand globally.
  • Moreover, the postponement of EXPO 2020 to curb the virus spread also negatively influenced various business opportunities.
  • Though the construction industry got shut down amidst the pandemic, it has always been a vital sector for the UAE’s economy.
  • As a result, the government of Dubai exempted it from the restrictions when the situation came under control.
  • Moreover, the UAE government is looking forward to fueling infrastructural developments in the country as a part of economic growth. One of such plans is to develop the Sheikh Zayed Housing Programme. 
  • Besides, the government is taking various other initiatives to boost the country's tourism and surge more construction activities in the country, which, in turn, would fuel the demand for construction chemicals in the coming years.

UAE Construction Chemicals Market Research Report: Forecast (2021-2026)

Market Segmentation

By Type:

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

Of them all, Concrete admixtures hold the dominant share of the UAE Construction Chemicals Market. Cement is the most commonly used binding material in the construction industry, and it is mixed with water, crushed rocks, & sand to form concrete. Concrete admixtures are chemicals added to the concrete to enhance its characteristics and obtain improved setting time, high workability & durability, low cement water ratios, wear-resistance, & high finish for all structures.

Hence, these properties of concrete admixtures are significantly driving the demand for Concrete Admixtures. Moreover, the repairing & renovation of old & residential buildings in the UAE is another critical aspect fueling the demand for concrete admixtures in the construction industry.

On the other hand, waterproofing chemicals are used mainly for preventing water penetration into the house. They decrease the house's humidity and protect it from any damage due to water exposure. Moreover, flooring compounds help strengthen the damaged floors, make them abrasion & moisture resistant, improve the load impact, and enhance the aesthetics.

By End-User

  • Infrastructure
  • Commercial
  • Industrial
  • Residential
  • Public Spaces

The residential & commercial sectors together acquired the largest market share, primarily due to the mounting investments in the development of these sectors. The flourishing tourism sector is also proliferating the need for construction chemicals to enhance the aesthetics & strength of structures.

Besides, the UAE National Agenda 2021 & Vision 2021 highlights the significance of forming and maintaining a sustainable environment & infrastructure. It aims to build ports, airports, and road infrastructure, which, in turn, will further boost the construction chemical market in the coming years.

Further, Public Spaces across the UAE have acquired a substantial market share, mainly due to captivating travel destinations & high-class architectural buildings, boosting the tourism & construction industries and, in turn, driving the demand for construction chemicals.

Regional Landscape:

  • Dubai
  • Sharjah & North Emirates
  • Abu Dhabi & Ain

Within UAE, Dubai holds the largest share of the Construction Chemicals Market, mainly due to the massive investments in various new construction projects. Moreover, the substantial surge in the number of projects aiming for sustainable developments is another crucial factor propelling the overall market growth in Dubai. Moreover, the mounting demand for construction chemicals with innovative features like effective underground resins & admixtures and light-reflecting protective coatings is another crucial aspect providing lucrative growth opportunities for the construction chemicals market in Dubai.

Nevertheless, massive investments in the infrastructure & energy sector have led to the emergence of several mega-projects across Abu Dhabi's construction companies. These projects include Midfield Terminal Building at Abu Dhabi International Airport and the Barakah Nuclear Power Plant. Both projects are likely to infuse the demand for construction chemicals and, in turn, boost the market in the years to come.

Market Dynamics:

Key Driver: Increasing Investments in the Construction Sector

The UAE government is taking various actions to support the construction activities of residential, commercial, industrial, and public spaces. Hence, the construction industry in the UAE is expected to grow astronomically, which, in turn, would fuel the demand for construction chemicals in the coming years.

Moreover, the increasing inflow of Foreign Direct Investment (FDI) in the construction sector, rising government funding on construction projects, and immense participation of private companies for the development of the real-estate sector are a few major factors driving the construction chemical market growth in the UAE. For instance:

The inflow of FDI in UAE surged by 44% in 2020 from that of 2019. The cumulative value of FDI inflows amounted to $174 billion, which covered all the crucial economic sectors like construction, infrastructure, real estate, & aviation, among others. It, in turn, is expected to propel the demand for construction chemicals over the forecast years. Nevertheless, the construction industry has gained significant profits from stimulus packages provided by the UAE government to construction companies to ensure their growth.

Growth Challenge: Stringent Government Regulations Regarding VOC Emissions

Construction chemicals, used massively as crucial materials for construction activities, lead to Volatile Organic Compounds (VOCs) emissions that are severely harmful to both humans & animals. They can result in several health issues like asthma, skin irritation, nausea, eye irritation, & headache. There are different kinds of VOCs present in construction chemicals used in the residential sector. These VOCs include acetone, butanol, formaldehyde emitted through floor wax, solid wood, and caulking sealant. Hence, to curb the emission of harmful VOCs, the UAE government is taking different initiatives like introducing regulations to prevent the overuse of construction chemicals. Thus, this restriction might hinder the overall market growth.

Key Questions Answered in the Market Research Report:

  1. What are the overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares) of the UAE Construction Chemicals Market?
  2. What are the industry size, growth drivers, and challenges?
  3. What are the key innovations, opportunities, current & future trends, and regulations in the UAE Construction Chemicals Market?
  4. Who are the key competitors, their key strengths & weaknesses, and how do they perform in the UAE Construction Chemicals Market based on a competitive benchmarking matrix?
  5. What are the key results derived from surveys conducted during the UAE Construction Chemicals Market study?   

Frequently Asked Questions

A. The UAE Construction Chemicals Market is forecast to grow at a CAGR of around 7% during 2021-26.

A. Construction Admixtures dominate the UAE Construction Chemicals Market and are projected to emerge as an area of remunerative growth opportunities for the leading market players in the coming years.

A. Rapid developments in the utilities & transport sector and mounting number of construction activities in the UAE are the key factors expected to drive the UAE Construction Chemicals Market during 2021-26.

A. In the coming years, the resumption of construction activities shall surge the demand for construction materials, which, in turn, would drive the growth of the construction chemicals market across the UAE.

  1. Introduction
    1. Product Definition
    2. Research Process
    3. Market Segmentation
    4. Assumptions
  2. Preface
  3. Executive Summary
  4. Impact of COVID-19 on UAE Construction Chemicals Market
  5. UAE Construction Chemicals Market Outlook, 2016-2026F
    1. Market Size & Analysis
      1. Revenues
      2. Quantity Sold
    2. Market Share & Analysis
      1. By Type
        1. Concrete Admixtures
        2. Waterproofing Chemicals
        3. Adhesives and Sealants
        4. Flooring Compounds
        5. Repair and Rehabilitation
        6. Protective Coatings
        7. Others
      2. By End-User
        1. Infrastructure
          1. Roads and Bridges
          2. Railways
          3. Metros
          4. Airports
          5. Water Reservoirs
          6. Energy
        2. Commercial
          1. Office Space
          2. Education Institutions
          3. Hospitals
          4. Hotels
        3. Industrial
          1. Cement
          2. Iron and Steel
          3. Capital Goods
          4. Automobiles
          5. Pharmaceuticals
          6. Paper
          7. Petrochemicals
          8. Food and Beverages
        4. Residential
          1. Elite Housing
          2. Middle Class
          3. Low-Cost Housing
        5. Public Space
          1. Government Building
          2. Statues and Monuments
      3. By Country
        1. Dubai
        2. Abu Dhabi
        3. Sharjah
        4. Northern Emirates
      4. By Company
        1. Competition Characteristics
        2. Market Share & Analysis
        3. Competitive Matrix
  6. UAE Construction Chemicals Market Dynamics
    1. Growth Drivers
    2. Challenges
    3. Impact Analysis
  7. UAE Construction Chemicals Market Policies, Regulations, Product Standards
  8. UAE Construction Chemicals Market Trends & Insights
  9. UAE Construction Chemicals Market Hotspot & Opportunities
  10. UAE Construction Chemicals Market Key Strategic Imperatives for Success & Growth
  11. Competition Outlook
    1. Competition Matrix
      1. Product/ Solution Portfolio
      2. Target Markets
      3. Research & Development
      4. Strategic Alliances
      5. Strategic Initiatives
    2. Company Profiles of Top Companies (Business Description, Product Segments, Business Segments, Financials, Strategic Alliances/ Partnerships, Future Plans)
      1. BASF
      2. Fosroc
      3.  Sika UAE
      4. DOW Menat
      5. GCP Applied Technologies Inc.
      6. Saudi Basic Industries Corporation (SABIC)
      7. Henkel Arabia
      8. Colmef Construction Chemical
      9. Corrotech Construction Chemical
      10. Others
  12. Disclaimer
UAE Construction Chemicals Market Segmentation