The adhesive market comprises of adhesives sales and related services by other entities such as sole traders, organizations, and partnerships producing glues, adhesives, and caulking compounds.
About Adhesives
An adhesive is known to be a substance capable of holding together the materials in a functional manner that materials resist separation. As a general term, adhesive includes glue, mucilage, and paste-terms forming adhesive bond.
Growth in the adhesive markets during the historic period was due to strong economic growth. The user markets are emerging markets featuring rapid technology development and more growth in the residential construction activities.
Adhesives Market Trend and Forecast
The demand for the adhesives is high from the automobile industry. There is increasing demand for adhesives also from the construction and building industry, packaging industry, and rapid urbanization. Geo-political tensions, the slow drying and freezing at low temperatures, COVID-19 impact, stringent regulations and volatility of oil price are some of the factors hindering the adhesives growth in the market.
Adhesives Market Future Growth
The global adhesives market reached in 2020 a value of nearly $58,353.8 million, showing a 2.4% compound annual growth rate (CAGR) since 2015. The market is expecting to grow from $58,353.8 million of the year 2020 to $75,250.9 million in 2025, arriving at a 5.2% growth rate. The growth is mainly due to the end-user industries growing demand. These industries include automobile and construction industry that is expecting to increase the demand for adhesives. The market anticipates growing from $75,250.9 million in 2025 to $91,808.1 million in 2030 at a 5.2% CAGR.
Changes in the patterns of material consumption, includes materials such as metal, aluminum, and paper are replaced by durable materials. There is an anticipation to positively affect in packaging applications the product demand for the next eight years. With consistent demand from the food and beverage industry for packaging products is anticipated and it will remain the key driver in the U.S market. Additionally, the increasing discount retailers in the U.S. and grocery retail high potential is likely to boost the packaging products and adhesive demand. This, in turn, will benefit the long-term growth of the adhesive market.
Technology Insights supporting growth in adhesive market
- The key factors today are the reactive technology-based products adding to the growth of the adhesive market segment. The benefits include manufacturing speed due to higher heat resistance, short setting time, and strong adhesion properties.
- From 2020 to 2028, it is expected that the adhesive market will be lucrative. The fabrics and textile industry are using polyester hot melt adhesives and it is gaining prominence.
- There is wider use in wool, cotton, and fabrics sub-sectors. The reason is the cotton-woven fabrics anti-pilling performance while promoting the fabrics elastic recovery rate.
- The hot melt adhesive products are increasingly gaining importance across the globe even with the automotive vehicles dashboard. The dashboard applications ensure reduced vibrations and greater sound insulation. Thus more penetration in the automotive industry is the forecast so that soundproof ride is increased.
Segments accounted market share
The Asia Pacific enjoyed more than 35% revenue share of the global market in 2020 in the adhesives and sealants market. However, the rising industrial production and the demand for the products in the assembly operations together with the construction sector growth are projected to drive the growth of adhesive market.
The factors driving the sealants and adhesive market are investments of the global infrastructure and the packaging industry growth that will ensure lucrative results in adhesive market.
Classification
There are the segments of adhesives market and they are into:
- Water-based adhesives
- Hot-melt based adhesives
- Solvent-based adhesives
- Reactive and other adhesives.
The largest segment in the adhesives market was the water-based adhesives in 2020, accounting 54/1% growth. Taking it further, the hot-melt-based adhesives segment may show fastest growth in the adhesive market, at 4.4% CAGR.
The adhesives market is further segmented as per its application into building and construction, transportation, woodworking and joinery, product assembly, paper and packaging, footwear and leather, consumer/DIY and others.
In 2020, the paper and packaging was the adhesive markets largest segment accounting to 28.1% growth. Taking it further is the leather and footwear segment to show fast growth at 5.5% CAGR in the adhesives market.
The adhesives market is segmented into acrylic, polyurethanes, styrenic block, epoxy, polyvinyl alcohol (PVA), ethylene-vinyl acetate (EVA) and more. The largest segment of the adhesives market was acrylic, accounting for 37.5% in 2020.
Asia-Pacific in the global adhesives market was the largest region, accounting in 2020 at 46.8%. It was followed by the Western Europe, North America, and other regions. The adhesives market fastest-growing regions will be South America and Eastern Europe, where growth will be at 6.7% and 5.9% CAGRs respectively. They will be followed by Africa and Middle East, where the markets are expected at 5.7% and 4.2% CAGRs respectively.
