Top Trends for the UAE’s Construction Adhesives and Sealants Market in 2023

Although the pandemic has now become ‘yesterday’s news’, it has changed the world in many ways. The way corporations function today has highly evolved due to the obligations of COVID-19. The Middle East construction sector, specifically, faced numerous challenges through the pandemic, including issues with supply chain management, costs of implementing health and safety measures, restrictions on the labour movement and so on, provoking the industry to come up with innovative solutions. However, the industry has evolved through innovations and technological advancements. Contractors and developers are focusing on building sustainable communities to meet consumer demand. An essential aspect of construction is the materials used to build the communities the project calls for.

The industry is gradually progressing, creating a new approach to development. The Adhesives and Sealants market in the Middle East & Africa (MEA) region is expected to grow at a CAGR of more than 4.8% between 2022 and 2027.

As consumer demands grow within the construction industry and the healthcare infrastructure, together with tourism projects, the need for adhesives and sealants is also expected to grow.

Considering the changes in lifestyle since the pandemic, enriched buying capabilities and a growing population are the key drivers of the increasing consumer demand for automobiles, houses, electronics and more, requiring adhesives & sealants for manufacturing. The increase in upcoming construction projects is developing the market unlike ever before.

Additionally, with the construction industry shifting its focus to building smart cities and sustainable communities as part of UAE’s Net Zero emission ambitions attaining Vision 2030, more and more contractors are looking for newer, more innovative bio-based products in the market. This, in turn, will result in a massive boom in demand for sustainable products within the region’s adhesives and sealants sector.

Over the years, construction companies have been evolving to meet market demands and ensure consumer satisfaction in delivered projects. Projects such as Dubai Expo City, UAE, and NEOM, KSA, are just the beginning.

Over the next year, there are several emerging market trends that the construction industry can expect. As consumer demands and industry focus evolve, manufacturers will have to upgrade their products to stay in business.

TREND 1: INCREASE IN DEMAND FOR SUSTAINABLE PRODUCTS

Within the MEA region, Saudi Arabia stands to be the biggest market for the Sealants and Adhesives industry. The industry’s sales are driven by the end user rather than the trading market.

The industry is evolving itself based on consumer demand. The future expects a rise in the market for waterbased adhesives since they do not contain solvents. Water-based materials are not harmful and generally classify as “green products” or eco-friendly. Since sustainability is a key focus for construction, there will be a significant rise in demand for water-based, sustainable products and materials.

Moreover, consumers are also looking to invest in more bio-based adhesives, specifically creating opportunities for the food markets. Only some manufacturers produce food-grade products because these require additional work, such as getting FDA approvals and distilled water tests. The bio-based adhesives are in high demand within the food industry.

TREND 2: INCREASE IN USE OF SPECIALISED ADHESIVES

The adhesives market is bound to witness a growth in demand and use of specialised adhesives suitable for different substrates, such as wood, furniture upholstery, adhesives for the HVAC industry and so on. Adhesive manufacturers with a 360-degree focus on different types of substrates providing adhesives suitable for heavy-duty bonding are significantly gaining the attention of end users and traders due to the different requirements in one project.

TREND 3: MODULAR CONSTRUCTION

Modular construction is another important trend developing within the construction industry due to the rapid availability of materials. Another reason why modular construction is expected to be in great demand is due to its better finishing and speed of project delivery. Additionally, this construction approach is cheaper and does not entail much hassle. Modular construction is a trend developed by the industry to adapt to unanticipated circumstances, such as the rise in oil prices during the war. With the increase in oil prices, the sector witnessed a surge in supply chain and material costs; modular construction helps escape such matters. Moreover, with the region increasing its focus on green infrastructure, contractors are trying to ensure that at least 50% of their projects are built through eco-friendly products.

Approximately 18 to 20% of industry and manufacturing experts have begun catching up to the upcoming trends while advertising and exhibiting products that focus on the eco-friendly, green building requirements that have pre-built structures in the factories for the direct implementation process in infrastructure development.

Over the next five years, factors such as the growth of technology and innovation will change the construction style, especially in countries and regions building their sustainability visions, such as UAE or KSA with their Vision 2030 or 2050 goals.

In addition to these trends, the country will also focus on promoting locally manufactured products and building brands with ‘Made-In-UAE’ tags to escalate the nation’s economy. As more and more companies facilitate and embrace ‘Made-in-UAE’ products, the UAE’s primary structural glazing will significantly elevate the industry and economic growth.