Construction Chemicals Taking Off In China

Demand in China for chemicals used in construction is expected to increase 10.5% annually through 2009 to 53.5 billion yuan (US$6.6 billion), according to a recent study by the Freedonia Group Inc.

Coatings and sealers will dominate construction chemical demand in China, comprising 55% of total market value and increasing 10.8% annually, the Cleveland-based industry research firm reports. The increased use of decorative products in the residential sector for interior and exterior applications, the need for protective coatings in harsh industrial environments and rising consumption of higher-value formulations are driving coatings demand in China.

Rising personal incomes and housing privatization should increase demand for caulks and adhesives by 10.5% annually. Polymer flooring demand is expected to increase 10.8% annually, based on its emerging use in the industrial sector. Demand for cement and asphalt additives are forecast to increase 10.3% annually, while slower gains are expected for grouts and mortars (9.5% annually through 2009) because of the Chinese government's ban on using clay bricks in urban construction.

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