A recent report predicts that demand for construction chemicals used in on-site applications will increase 4.6% per year to $6.4 billion in 2006. The trend is discussed in a new study, Construction Chemicals, from The Freedonia Group Inc., a Cleveland-based industrial research firm. The researchers say that although overall construction-spending growth is expected to decelerate compared with the previous five-year period, chemical demand is forecast to grow more rapidly due in large part to a recovery in industrial construction, the largest chemical-consuming sector of construction. Protective coatings and sealers will remain the largest product type, but are expected to gain below-average growth (3.3%) due to market maturity. By contrast, cement and asphalt additives are expected to register the strongest gains (5.4%), as are caulks and adhesives (6.4%). Growth for construction chemicals used in repairs and improvements is expected to be faster than for those used in new construction. In the residential market, repair and improvement spending is expected to pick up compared with the previous five-year period. The cost for the full study is $3,800.