Concrete Water Reducers (Plasticizers) - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2030)

Initiatives like the 11.5 million households plan between 2025 and 2035 in leading countries such as the United States are expected to drive the demand for concrete water reducers

• In 2022, global consumption of concrete water reducers (plasticizers) saw a 1.78% growth in value, driven by the rising demand from the residential and industrial and institutional construction sectors. By 2023, the concrete water reducers market represented nearly 39.86% of the global concrete admixtures market.
• The residential sector dominated the consumption of concrete water reducers in 2022, accounting for approximately 41.79% of the market. There was an increase of 6.34 billion sq. f in residential new floor areas globally between 2025 and 2030. This surge was attributed to sustained housing demand, increased investments, and supportive government policies. For instance, the United States plans to add 11.5 million households from 2025 to 2035. Consequently, the global demand for concrete water reducers in the residential sector is expected to rise by USD 1.07 billion by 2030 compared to 2025.
• The residential sector is poised to be the fastest-growing consumer of concrete water reducers, with a projected CAGR of 6.86% during the forecast period. The push for affordable housing is set to rejuvenate the residential construction sector. Germany, for instance, aims to construct at least 4.0 thousand new housing units by 2024. The Malaysian government has plans for around 500 thousand affordable housing units by 2025. These initiatives are anticipated to drive the global demand for concrete water reducers in the residential sector, reaching USD 3.74 billion by 2030, up from USD 2.35 billion in 2025.

Fast-paced construction activities in Asia-Pacific and South America are predicted to bolster the demand for concrete water reducers globally

• Concrete water reducers, also known as plasticizers, play a pivotal role in the design and construction of buildings. These additives are incorporated into concrete to lower its water content, enhance its strength and workability, and reduce permeability. In 2022, the global market for concrete water reducers witnessed a 1.78% increase in value compared to the previous year. Among the regions, Europe led the pack with a notable growth rate of 6.86%, followed closely by North America at 5.76%.
• Asia-Pacific emerged as the dominant force in the market, commanding a significant 32% share by value in 2022. Countries like China, Japan, and India played a pivotal role in driving this demand. For instance, China's expenditure on transport infrastructure surged from USD 157.6 billion in 2021 to USD 165.6 billion in 2022. Japan's uptick in manufacturing facilities and India's ambitious plans to bolster its transportation networks through roads, railways, and highways fueled the construction sector, thereby amplifying the consumption of plasticizers.
• South America is poised to witness the highest growth rate in the concrete water reducers market, with a projected CAGR of 6.51% in value. Following closely is Asia-Pacific, which is expected to register a CAGR of 6.29% in value during the forecast period. These regions are set to experience a surge in construction activities, buoyed by robust government funding and foreign direct investments. This uptick in construction, spanning residential, infrastructure, and commercial projects, is anticipated to drive the demand for plasticizers.

Global Concrete Water Reducers (Plasticizers) Market Trends

Asia-Pacific's surge in large-scale office building projects is set to elevate the global floor area dedicated to commercial construction

• In 2022, the global new floor area for commercial construction witnessed a modest growth of 0.15% from the previous year. Europe stood out with a significant surge of 12.70%, driven by a push for high-energy-efficient office buildings to align with its 2030 carbon emission targets. As employees returned to offices, European companies, resuming lease decisions, spurred the construction of 4.5 million square feet of new office space in 2022. This momentum is poised to persist in 2023, with a projected global growth rate of 4.26%.
• The COVID-19 pandemic caused labor and material shortages, leading to cancellations and delays in commercial construction projects. However, as lockdowns eased and construction activities resumed, the global new floor area for commercial construction surged by 11.11% in 2021, with Asia-Pacific taking the lead with a growth rate of 20.98%.
• Looking ahead, the global new floor area for commercial construction is set to achieve a CAGR of 4.56%. Asia-Pacific is anticipated to outpace other regions, with a projected CAGR of 5.16%. This growth is fueled by a flurry of commercial construction projects in China, India, South Korea, and Japan. Notably, major Chinese cities like Beijing, Shanghai, Hong Kong, and Taipei are gearing up for an uptick in Grade A office space construction. Additionally, India is set to witness the opening of approximately 60 shopping malls, spanning 23.25 million square feet, in its top seven cities between 2023 and 2025. Collectively, these endeavors across Asia-Pacific are expected to add a staggering 1.56 billion square feet to the new floor area for commercial construction by 2030, compared to 2022.

South America's estimated fastest growth in residential constructions due to increasing government investments in schemes for affordable housing to boost the global residential sector

• In 2022, the global new floor area for residential construction declined by around 289 million square feet compared to 2021. This can be attributed to the housing crisis generated due to the shortage of land, labor, and unsustainably high construction materials prices. This crisis severely impacted Asia-Pacific, where the new floor area declined 5.39% in 2022 compared to 2021. However, a more positive outlook is expected in 2023 as the global new floor area is predicted to grow by 3.31% compared to 2022, owing to government investments that can finance the construction of new affordable homes capable of accommodating 3 billion people by 2030.
• The COVID-19 pandemic caused an economic slowdown, due to which many residential construction projects got canceled or delayed, and the global new floor area declined by 4.79% in 2020 compared to 2019. As the restrictions were lifted in 2021 and pent-up demand for housing projects was released, new floor area grew 11.22% compared to 2020, with Europe having the highest growth of 18.28%, followed by South America, which rose 17.36% in 2021 compared to 2020.
• The global new floor area for residential construction is expected to register a CAGR of 3.81% during the forecast period, with South America predicted to develop at the fastest CAGR of 4.05%. Schemes and initiatives like the Minha Casa Minha Vida in Brazil announced in 2023 with a few regulatory changes, for which the government plans an investment of USD 1.98 billion to provide affordable housing units for low-income families, and the FOGAES in Chile also publicized in 2023, with an initial investment of USD 50 million, are aimed at providing mortgage loans to families for affordable housing and will encourage the construction of new residential units.

Concrete Water Reducers (Plasticizers) Industry Overview

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