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Growth in Specific End Sectors to Drive the Demand for Construction Chemicals
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Within the Australian construction industry, the construction chemicals market is estimated by the construction activity being done within the country, as increasing construction activity implies an increase in the demand and use of construction chemicals. Growth in construction activity for specific end sectors, trends in refurbishment, demand for high-rise buildings, increasing awareness of the benefits of high-quality products, and demand for green buildings are the key drivers of growth for the Australian construction chemicals market. However, weak construction activity in retail, office, mining, and manufacturing segments, the increasing price of raw materials, and the current weakness in economic conditions restrain the pace of market growth. The historic growth trajectory is expected to be sustained moving forward. With the strength in some end markets neutralised by weakness in others, the overall construction chemicals market is expected to grow steadily from 2018 to 2025.Frost & Sullivan conducted a study on the construction chemicals market in Australia from 2018 to 2025, covering products in admixtures, waterproofing, repair and rehabilitation, flooring chemicals, sealants, tile adhesives, grouts, and other construction chemicals. Within the study, the building and construction activity in Australia was measured by the work done in residential buildings, non-residential buildings, and engineering construction (e.g., transport engineering, utilities and resources, oil and gas). The residential building sector is sub-categorised based on residential buildings, houses, and other dwellings, including the work done on alterations and additions. Residential building activity, therefore, comprises both new home construction and also major renovation projects. Non-residential building covers accommodation, entertainment and recreation, health, aged care, religion, education, agriculture and aquaculture, warehouses, factories, offices, transport, retail and wholesale, other commercial, and other industrial sectors.The constantly changing needs of construction chemicals and the evolving construction industry require construction chemicals companies to adopt upcoming trends. Regardless of the product portfolio offered, the only way companies can stay relevant is to prioritise the trends of the construction industry that include increasing adoption rates of refurbishment, increasing construction of high-rise buildings, and increasing awareness on eco-friendly and safe products. The ability to understand and innovate the products according to the trends will allow companies to adapt to the constant changes in the industry.
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