In Q2, the market again faced a challenging landscape shaped by several key economic and political factors. The approach to the general election created a climate of uncertainty, affecting investment decisions across many sectors, including construction. Periods of political transition often result in cautious spending and delayed projects as businesses and investors await the outcomes and potential policy changes.

The construction market, a significant driver of demand for adhesives and sealants, showed mixed performance during this quarter. Ongoing infrastructure projects continued to provide a stable demand. However, residential and commercial construction sectors remained under pressure.

Despite these challenges, there were pockets of positivity within the adhesives and sealants market. The demand for innovative and sustainable products continues to rise, driven by stricter environmental regulations and a growing emphasis on green building practices. Companies in the adhesives and sealants sector that have invested in research and development to create more environmentally friendly products have been able to maintain competitive advantages and capture market share.

Furthermore, the push for energy efficiency and retrofitting of existing buildings provided some counterbalance to the slowdown in new construction projects. As energy costs remain high, the market for products that can improve insulation and sealing performance is robust, supporting overall demand in the sector.

Efficiency seems to be a hot topic, as we’re also seeing an increased focus on more efficient last-mile deliveries – the final step in the delivery process – among our distribution partners. In recent weeks we’ve seen B&Q link up with Deliveroo to offer over 600 home improvement products for rapid delivery in as little as 25 minutes In and around London, while TradeKart – the rapid delivery app for tradespeople – has added Selco and Howdens to its growing list of merchant partners.

With the rise of ecommerce, consumers have come to expect fast deliveries at a time and location that suits them, so It’s positive to see the initiative being introduced in the construction market, and it’ll be Interesting to see the Impact that this has on sales of light side building materials, such as adhesive and sealants, in the coming months.