TAGS: Sealants
In terms of revenue, Transparency Market Research (TMR) anticipates that the cold seal adhesives market in China is estimated to expand to reach valuation of USD 2 Mn by 2031 at a CAGR of ~4% during the forecast period.
The cold seal adhesives market in China is broadly affected by several factors, including usage of cold seal adhesives in various applications such as food packaging, medical packaging, auto component packaging, and furniture wrap.
The rise in the demand for food has led to a significant increase in usage of cold seal adhesives, especially in confectionery and bakery products. The increase in the demand for packaging in food & bakery industry is expected to be the primary factor driving the cold seal adhesives market in China. Cold seal packaging eliminates the need for other packaging supplies such as corrugated boxes, plastic cartons, sealing tapes, and bubble wraps.
No Adhesive Residue
Cold seal keeps products free of adhesive residue with its unique packaging approach. This property makes it ideal for usage in shipping and transportation industries. Coal seal adhesives can also be customized according to packaging of any size. This is projected to drive the cold seal adhesives market during the forecast period.
Cold seal adhesives are primarily used in the packaging of PPE such as gloves, masks, and respiratory-related equipment. Protective equipment plays an important role in the fight against coronavirus.
The World Health Organization (WHO) has urged businesses and governments to boost supplies of protective equipment, including gloves, medical masks, and respirators, for healthcare workers. According to the WHO, manufacturers need to increase production by 40% to meet the rising global demand for protective equipment. The increase in the PPE production is anticipated to boost the production of cold seal adhesives. This is likely to fuel the cold seal adhesives market in China during the forecast period.
Highest Growth in Asia Pacific Region
Rise in foreign investment in food and packaging industries and presence of large numbers of joint ventures have led to technological advancements. The demand for confectioneries has increased substantially in China. Improvements in standard of living and changing consumption habits have led to a shift in the demand for confectionery products (from candy to chocolate products, particularly high-end chocolate products). However, the chocolate market in China is still largely untapped.
Asia Pacific accounts for more than 50% of the global population; currently, the region constitutes more than 15% of global chocolate consumption. Thus, it offers immense potential for the cold seal adhesives market. This is encouraging higher numbers of companies to enter the industry, thereby leading to an intense competition in the market.
Transportation packaging plays a vital role in the import & export industry. China shipped goods worth USD 2.499 Trn around the globe in 2019. The demand for cold seal adhesives is estimated to increase, owing to the rise in transportation through import and export of goods. Cold seal adhesives take very less time for application as compared to other packaging solutions such as hot seal. Hence, there is less waiting time for delivering packages from the packaging line. This is projected to boost the cold seal adhesives market in China during the forecast period.
Source: Transparency Market Research