Indonesia Anchors and Grouts Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2030

Indonesia Anchors and Grouts Market Analysis

The Indonesia Anchors And Grouts Market size is estimated at USD 29.04 million in 2025, and is expected to reach USD 40.70 million by 2030, at a CAGR of 6.99% during the forecast period (2025-2030).

Indonesia's construction sector has demonstrated remarkable resilience and growth, evidenced by a 2.01% expansion in 2022 compared to the previous year. The manufacturing sector has emerged as a crucial economic pillar, contributing approximately 18.34% to the country's GDP in 2022, driving substantial demand for construction adhesives and materials. This industrial momentum has been further amplified by the government's strategic focus on developing new manufacturing facilities and infrastructure projects. The convergence of these factors has created a robust foundation for the anchors and grouts market, particularly in industrial applications where high-performance anchoring systems are essential.

Technological advancements in anchoring and grouting solutions have significantly influenced market dynamics, with epoxy-based products gaining prominence due to their superior chemical resistance and durability. This trend is reflected in the market composition, where epoxy variants accounted for 32% of the resin fixing type demand in 2022. Manufacturers are increasingly focusing on developing sustainable solutions, with companies like Fosroc introducing innovative products such as Conbextra PRO 100, which utilizes Polycarboxylate Rheology Optimized technology to reduce CO2 emissions during production while maintaining high-performance standards.

The Indonesian government's ambitious infrastructure development agenda has created substantial opportunities for the anchors and grouts market. In 2023, the government allocated a significant infrastructure budget of USD 26 billion, demonstrating its commitment to large-scale development projects. This commitment is further exemplified by the Ministry for Public Works and Housing's initiative to construct 47 apartment towers in Nusantara City in 2023, creating substantial demand for high-quality construction fasteners and solutions.

The market is experiencing a notable shift toward sustainable and environmentally conscious construction practices. Government housing initiatives have shown remarkable growth, with housing aid reaching IDR 29 trillion in 2022 and projected to increase to IDR 32 trillion in 2023 under the Housing Financing Liquidity Facility scheme. This focus on sustainable development is driving innovation in product formulations, with manufacturers developing eco-friendly alternatives that maintain high-performance standards while reducing environmental impact. The trend is particularly evident in the growing adoption of low-VOC products and materials designed for green building certifications. The increased demand for chemical anchors and fastening solutions is indicative of the market's adaptation to these sustainable trends.

Indonesia Anchors and Grouts Market Trends

Indonesian commercial real estate market volume is projected to reach USD 1.39 trillion by 2028 and is likely to augment the demand for commercial sector

• In 2022, Indonesia witnessed a 9.7% decline in the volume of new commercial floor area compared to the previous year. This drop was a result of a return to normalcy following a decline in building activities during the COVID-19 pandemic. Even before the pandemic, commercial buildings in Indonesia were already showing a downward trend in annual energy intensity, accounting for a rate of 2.64% per year. However, in 2023, the country saw a rebound, registering a 5.7% increase in the volume of new commercial floor area, driven by a surge in foreign direct investment (FDI) necessitating new offices, warehouses, and retail spaces.
• Amidst the COVID-19 pandemic, in 2020 and 2021, Indonesia witnessed a significant surge in the volume of new commercial floor area, accounting for approximately 9.6 million square feet. The government's focus on revitalizing the economy led to measures such as easing construction-related quarantines, both in private and public projects. This allowed employees to resume work on-site and companies to continue their operations. Notably, the value of completed constructions in Indonesia stood at around IDR 1.32 quadrillion in 2020 and rose to IDR 1.42 quadrillion in 2021.
• The volume of new commercial floor area in Indonesia is projected to witness a robust growth of around 58.72% by 2030 compared to 2023. This surge is driven by a rising demand for shopping malls, offices, and other commercial spaces. The retail real estate segment is emerging as a particularly captivating sector in the country. For instance, the volume of the commercial real estate market is anticipated to reach USD 1.39 trillion by 2028. The commercial new floor area in Indonesia is expected to maintain steady growth, registering a CAGR of 6.82% during the forecast period.

Increase in demand for housing units is likely to augment the residential sector's growth

• In 2022, Indonesia witnessed a 7.10% volume growth in residential new floor area compared to 2021. This surge can be attributed to increased population, wealth, and urbanization. The government-led housing aid reached IDR 29 trillion in 2022, which was projected to increase to IDR 32 trillion in 2023 under the Housing Financing Liquidity Facility scheme. This initiative aims to construct at least 220 thousand houses. The residential construction sector is poised to witness a significant growth rate. It was estimated to increase to approximately 56 million square feet in 2023 compared to the preceding year.
• In 2020, the volume of residential new floor areas in Indonesia grew by 7.06% compared to 2019. This was a strategic move by the government, prioritizing construction to mitigate the economic downturn and support households grappling with reduced incomes. Consequently, restrictions on construction activities, including quarantines, were significantly eased. However, in 2021, the trend reversed, with a decline of about 12.54% in residential new floor area, primarily attributed to a dip in foreign direct investment (FDI) in the construction sector. FDI for construction plummeted by 51% in 2021 compared to the previous year.
• The residential new floor area in Indonesia is projected to witness a CAGR of 6.08% in volume during the forecast period. This growth stems from the country's increasing urbanization, bolstered by government initiatives and foreign and domestic investments. These factors, directly and indirectly, underscore the mounting housing needs in the nation, ultimately driving residential building construction. Projections indicate that to meet the escalating demand, the country would require between 820,000 and 1 million housing units annually by 2030.

OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT

Segment Analysis: End Use Sector

Residential Segment in Indonesia Anchors and Grouts Market

The residential segment maintains its dominant position in the Indonesia anchors and grouts market, commanding approximately 33% of the total market share in 2024. This leadership is primarily driven by the extensive usage of anchors and grouts in various residential applications, including flooring, tiled walls, and tile joints, as homeowners and developers prioritize high-quality and aesthetically pleasing construction. The segment's strength is further bolstered by government initiatives such as the National Housing Affordable Program and the ambitious target of constructing 1 million housing units by 2025. The increasing urbanization rate and growing middle-class population in Indonesia continue to drive residential construction activities, creating sustained demand for anchors and grouts in applications ranging from new construction to renovation projects.

Industrial and Institutional Segment in Indonesia Anchors and Grouts Market

The industrial and institutional segment is emerging as the fastest-growing sector in the Indonesia anchors and grouts market, projected to expand at approximately 9% during 2024-2029. This remarkable growth is fueled by increasing investments in manufacturing facilities, educational institutions, and healthcare centers across the country. The segment's expansion is supported by government incentives such as tax holidays, import duty exemptions, and tax allowances, which are attracting both domestic and foreign investments in industrial construction. The development of new manufacturing facilities, particularly in sectors like automotive, oil & gas, and food processing, is creating substantial demand for industrial grouts in applications such as machine foundations, structural repairs, and industrial flooring.

Remaining Segments in End Use Sector

The commercial and infrastructure segments continue to play vital roles in shaping the Indonesia anchors and grouts market. The commercial sector, encompassing office buildings, retail spaces, and shopping malls, drives demand through new construction and renovation projects, particularly in urban centers. Meanwhile, the infrastructure segment maintains steady growth through ongoing government investments in transportation networks, bridges, and public facilities. Both segments contribute significantly to market dynamics through their diverse applications, ranging from structural reinforcement in commercial buildings to specialized grouting requirements in infrastructure projects.

Segment Analysis: Sub Product

Resin Fixing Segment in Indonesia Anchors and Grouts Market

The resin fixing segment maintains its dominant position in Indonesia's anchors and grouts market, commanding approximately 60% of the market share in 2024. This segment encompasses both epoxy grouts and polyurethane-based grouts, with epoxy grouts accounting for nearly two-thirds of the resin fixing category. The segment's leadership is attributed to the strong preference among contractors and professionals for resin-based solutions, particularly due to their non-shrinking properties upon drying and ability to withstand higher temperatures. Additionally, the segment is projected to maintain the highest growth trajectory with an estimated CAGR of around 7% during 2024-2029, driven by increasing adoption in various applications including structural modifications, insert-plate fixings, and structure retrofitting. The segment's growth is further bolstered by its superior chemical resistance, impact resistance, and impressive tensile strength of approximately 34.5 MPa, making it particularly suitable for demanding commercial and industrial applications.

Remaining Segments in Sub Product Segmentation

The cementitious grouts and other types segments complete the market landscape for anchors and grouts in Indonesia. Cementitious grouts hold a significant position as the second-largest segment, valued for their cost-effectiveness and versatility across various construction projects. These cement grouts are particularly popular in applications requiring high early strength development and are extensively used in precast wall panels, beams, and structural building members. The other types segment, which includes specialized variants like bituminous and chemical grouts, serves specific niche applications in structural and non-structural works. These alternative solutions are particularly valuable in scenarios where traditional grouts may not be suitable, such as cases involving large void sizes or significant water flow conditions.

Free With This Report

We provide a complimentary and exhaustive set of data points on global and regional metrics that present the fundamental structure of the industry. Presented in the form of 24+ free charts, the section covers rare data on newly built floor area, infrastructural spending, and existing construction floor area across residential, commercial, industrial and institutional sectors.