The Undertaking of Various Building & Construction Projects is Fueling the Growth of the Latex Powder Market

The Latex Powder Market is estimated to grow at a CAGR of 1.6% during the forecast period 2022-2027 and would reach an estimated revenue of US$1.7 billion by 2027. Latex powder obtained from vinyl acetate copolymer, vinyl acetate terpolymer and styrene butadiene monomers play a pivotal role in the building & construction sector for plastering mortar, tile adhesives and concrete repair mortar. High dispersibility, flexibility and weather resistance of latex powder increase mortars' viscosity, thereby improving their construction performance. Rapid urbanization coupled with the significant increase in population growth has increased the undertaking of various building & construction projects for infrastructural, commercial and residential buildings. In 2021, Oman’s Ministry of Finance made an announcement about spending US$3.4 billion on infrastructure projects, including hotels, resorts and malls. Additionally, the Government of China made a similar announcement in early 2021, relating to the construction of low-cost affordable rental homes by 2025 that would accommodate 13 million people. The undertaking of residential and infrastructural construction projects is considered a primary factor, which is fueling the demand for latex powder, thereby boosting its market growth.

Based on the end-use industry, the Latex Powder market can be segmented into food & beverages, building & construction and medical & healthcare. Building & Construction is being evaluated to be the leading segment in the latex powder market. During the forecast period 2022-2027, the building & construction sector is expected to grow at a CAGR of 2.1%. This can be attributed to factors such as growing investments and project launches relating to the residential and commercial construction of buildings on a global level.

Based on geography, the Latex Powder market can be segmented into North America, South America, Europe, APAC and the Rest of the World. According to IndustryARC's analysis, in 2021, the Asia-Pacific region emerged as the most profitable region in the market and held a 41.5% share of the total revenue earned by the market, globally. Major Asia-Pacific countries such as China, India and Japan have shown significant growth in the building & construction sector due to the growing scale of residential units, easy home loan access and investment inflows in the sector which has increased its output. According to the Ministry of Statistics and Program Implementation, India’s construction output is estimated to grow at 10.7% in 2022, whereas Japan’s Ministry of Land, Infrastructure, Transport and Tourism stated that the residential construction order in the country for June 2022 showed a 15.5% increase. Owing to such rapidly growing construction output, the demand for latex powder for concrete and plaster mortar is expected to boost the Latex Powder market growth in the Asia-Pacific region. 

Key companies holding a major share in the Latex Powder market are Akzo Nobel, BASF SE, Dairen Chemical Corporation, Dinova Pvt. Ltd, Wacker Chemie AG, Yil-Long Chemical Group Ltd, Henan Tiansheng Chemical, Hexion, Synthomer Ltd and Shangdong Micron.