TAGS: Sealants Sustainability / Natural Adhesives Waterborne Adhesives
Global adhesives and sealants market size is expected to reach USD 95.41 billion by 2028, according to a new report by Grand View Research. It is expected to expand at a CAGR of 6.0% from 2021 to 2028. Rising investments in construction and infrastructure are projected to play a key role in the expansion of the market.
Increased Demand for Eco-friendly Products
The positive outlook of infrastructure projects across Asia, the U.S., the Middle East, and Eastern Europe is likely to fuel the demand for adhesives and sealants over the coming years. With environmental regulations forcing industry participants to adopt eco-friendly products, water-based and non-solvent products are projected to gain greater prominence in the market in the near future.
Increasing infrastructure spending across the residential and commercial sectors worldwide is propelling the installation of different types of flooring such as resilient and wooden, which, in turn, is fueling the consumption of adhesives and sealants. The rising need for residential space on account of the increasing population as well as rising standard of living is leading toward the growth of the global industry.
Adoption of Adhesives Instead of Fasteners
The adoption of adhesive products is substituting the usage of mechanical fasteners in the industries such as automotive, aerospace, and packaging. The use of such products instead of conventional equipment offers a reduction in the final weight of the product, which has become a key focus area in the automotive and aerospace industries over the last half a decade. Most formulators in the packaging industry also rely on adhesives rather than heavy bolting techniques to minimize their freight charges.
The major demand arises across multiple application scopes as buyers from diverse fields demand high-quality, sustainable, and eco-friendly products. The demand is high for adhesives and sealants, which have lower levels of Volatile Organic Compounds (VOCs), give out fewer emissions, and provide aesthetic bonding solutions across numerous substrates, simultaneously meeting the international and regional government regulations. Water-based products are considered environment-friendly since they contain zero VOCs. They also provide good long-term high temperature and moisture resistance.
Adhesives accounted for the largest revenue share of over 85.0% in 2020. The market is projected to grow on account of the rising construction spending around the world owing to the growing demand in applications such as flooring, carpet laying, countertop lamination, and drywall lamination.
Highest Growth in Asia Pacific Region
In terms of volume, Asia Pacific was the largest regional market in 2020 and is anticipated to maintain its lead over the forecast period. The growth of the regional market is primarily attributed to the expansion of the industrial sectors in countries such as China, India, South Korea, Indonesia, and Singapore.
The paper and packaging application segment accounted for a revenue share of over 25.0% in 2020 in the adhesives market. Rising demand for flexible packaging for the end-use industries, such as food and beverage and consumer, is projected to benefit the expansion of the segment.
In the adhesives market, the water-based technology segment is projected to expand on account of the excellent joining quality, fast set speed, and a reduction in the usage of solvent-based technology formulations. This segment is likely to expand at a lucrative CAGR of 6.6% from 2021 to 2028, in terms of revenue.
Source: Grand View Research