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Demand from Automotive Industry to Boost WB Adhesives Tapes Market Growth: PSI

Published on 2021-10-01. Edited By : SpecialChem

TAGS:  Waterborne Adhesives      Sealants      Acrylic Adhesives    

Demand from Automotive Industry to Boost WB AdhesivesPrescient & Strategic Intelligence (PSI) anticipates that the global water-based adhesive specialty tapes market which was valued at USD 5,093.2 million in 2020 and is expected to grow at a CAGR of 6.5 percent during 2020–2030.

The key factors responsible for the growth of the market include the expanding automotive industry, increasing product demand from the healthcare industry, and the benefits of water-based adhesive specialty tapes over traditional bonding methods.

During the COVID-19 pandemic, the market for water-based adhesive specialty tapes had a neutral impact due to the implementation of lockdowns and sealing of international borders. Beyond transportation-related delays arising from travel restrictions and some driver shortage issues, COVID-19 hasn’t hugely impacted the supply of raw materials for adhesives and sealants.

Besides, sectors that use adhesives and sealants are experiencing varying levels of demand for them due to both the pandemic and massive reduction in oil prices. For instance, the demand for these adhesive formulations has increased for residential projects and in the medical devices sector.

PVA Emulsion Dominated the Market

The polyvinyl acetate (PVA) emulsion category held the dominating share in the water-based adhesive specialty tapes market, both in terms of value and volume, based on resin type, in 2020. This is majorly attributed to the fact that PVA adhesives produce clear, hard films that have good weather resistance and can withstand water, grease, oil, and petroleum fuels. Additional properties are high initial tack, an almost invisible bond line, softening at 30–45 °C, good biodegradation resistance, and low cost.

The construction industry held the largest share of the water-based adhesive specialty tapes market for PVA emulsions in 2020, based on industry. This was majorly due to the rising demand for these adhesives for various applications, such as waterproofing, coatings, and mortar modifications. Moreover, the development of smart cities and affordable housing is expected to increase the demand for PVA-emulsion-adhesive specialty tapes in the construction industry.

The construction industry is expected to be the fastest-growing category in the market for acrylic polymer emulsion (APE) water-based adhesive specialty tapes during the forecast period. This will primarily be due to the large-scale consumption of APE-adhesive-based specialty tapes on account of their excellent performance and non-flammable property. Moreover, these can be formulated into overprint varnishes and inks to impart water resistance, rub resistance, alkali resistance, and high gloss.

Highest Growth in APAC Region

Geographically, the APAC region held the largest share in the global market for water-based adhesive specialty tapes in 2020, and it is also expected to lead the market during the forecast period. This can be attributed to the expanding automotive, healthcare, and electrical and electronics sectors, complemented by the economic growth and rise in the disposable income, in the region.

Water-based adhesive specialty tapes find wide applications in the automotive industry, as such double-sided tapes, protection tapes, and foam tapes are easy to fix and remove. According to the International Organization of Motor Vehicle Manufacturers (OICA), automobiles sales numbered 77.6 million units in 2020, and it is expected to increase further in the upcoming years. Developments in automotive technology and the introduction of new automobiles, such as smart cars and aluminum trucks, are expected to drive the water-based adhesive specialty tapes market in the coming years.

Water-based Adhesive Grades

Source: Prescient & Strategic Intelligence

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