Established Construction Material: Ceresana publishes study on the European market for bitumen
For centuries, bitumen has been used in a wide variety of applications, mainly in the production of asphalt. The viscous mixture is very important in the construction sector in particular. Ceresana is currently publishing a complete overview of the European market for bitumen: Analysts expect total revenues to rise to approx. €12 billion until 2021. For the purpose of the study, Russia and Turkey are counted as European countries.
One Type of Bitumen is Not as Good as the Other
Even though there still are natural bitumen deposits, in Trinidad for example, Europe almost exclusively processes bitumen manufactured industrially in refineries. Different types of bitumen can be produced to suit the requirements of various applications: Straight-run bitumen, polymer modified bitumen, high vacuum and hard bitumen as well as oxidized bitumen. In addition to extensive information about European consumption, the latest market study of Ceresana also contains figures on production, trade and revenues.
Road Construction Recovering
Demand for bitumen fell in previous years, largely because construction projects were postponed due to the economic crisis. By now, the market is recovering again. More than 80% of the bitumen consumed is processed into asphalt, replacing coal tar that is hazardous to health. Thus, road construction exercises a decisive influence on consumption of bitumen. Optimizing traffic infrastructure is of paramount importance for economic development and competitiveness in Europe. The continuous increase of traffic volume in individual countries necessitates a comprehensive expansion and reconstruction of road networks, in metropolitan areas in particular. It is especially Eastern European countries that still need to improve the quality of their roads, but roads in Western Europe have been showing a rising number of potholes in past years as well.
Building Construction Second Most Important Sales Market
A large amount of bitumen is used for new buildings and the refurbishment of old ones. Flat roofs often have waterproof bitumen roofing membranes: These feature easy processing, low weight, high economic efficiency and durability. Yet bitumen is suitable for a wide range of applications, for example in the preservation of structures or as screed. Regarding investment in building construction, considerable regional differences became apparent in past years: Especially in southern European countries hit hard by the economic crisis in 2008/09 the construction sectors suffered dramatic losses. Economic development in countries such as Turkey or Russia, on the other hand, is much more positive. Consumption of bitumen in building insulation will depend on how decisively European countries will proceed to achieve climate protection targets in the upcoming years.
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