TAGS: Epoxy Adhesives
Research and Markets (RM) anticipates that the global marine adhesive market size is expected to reach USD 703.21 million by 2030, registering a CAGR of 6.7% from 2023 to 2030. The industry growth is majorly driven by the growing leisure marine and recreational boating industry and the advancing shipbuilding industry worldwide.
According to the United Nations Conference on Trade and Development, Japan, China, and South Korea accounted for a share of approximately 90.0% of the global marine vessel production with China leading the global shipbuilding industry. The country accounts for a share of approximately 40.0% of the total marine vessels produced worldwide, followed by Japan and South Korea.
Increase Demand for Marine Adhesive Due to Demand for Boats
China accounts for a share of approximately 60.0% of bulk carriers, approximately 49.0% of container ships, approximately 47.0% of general cargo ships, and approximately 45.0% of the offshore vessels manufactured worldwide. This advancing shipbuilding industry in the Asia Pacific region is contributing to the growth of the product market.
Moreover, according to the National Marine Manufacturers Association (NMMA) of the U.S. The sales of recreational boats in the country witnessed an increase of 12.0% in 2020 than their sales in 2019. Thus. The U.S. witnessed sales of more than 310, 000 new boats in 2020 which were the highest in the recreational boating industry of the country since 2008.
Moreover, the sales of boats and marine products, as well as the costs of services, reached USD 47.0 billion in 2020 in the U.S. witnessing a growth of 9.0% in the same year as compared with that of 2019. Thus. The increasing demand for recreational boating activities is expected to surge demand for the boats during the forecast period, thereby fueling demand for the marine adhesives used in them.
However, tankers that are used for transporting, loading, or unloading oil and chemicals at ports generate volatile organic compounds (VOCs), which are harmful to the environment. To control these emissions from the tankers. The adhesives market has always been under strict scrutiny from diverse regional- and country-level regulatory bodies, including the International Maritime Organization. Thus, high level of VOC emission is acting as a restraining factor for the growth of product market.
Epoxy Resin to Dominate Market
The global marine adhesive market is estimated to advance with a compounded annual growth rate (CAGR) of 4.5% from 2023 to 2030. This is attributed to the increasing demand for the product from shipbuilding industries. Epoxy in the resin type segment dominated the market with a revenue share of 49.7% in 2022. This growth is attributed to its high strength, as well as resistance to high temperatures, outdoor weathering, and solvents.
Metal in substrate segment dominated the global market with a revenue share of 68.2% in 2022. This is attributed to their excellent mechanical properties, structural integrity, and low cost compared to other substrates. Deck systems in the application segment dominated the market with a revenue share of 39.1% in 2022. A deck is a covering over the hull or the compartment of a ship. Based on their location on a ship's deck, decks can be classified into six types, namely main deck, poop deck, foredeck, lower deck, upper deck, and weather deck. The growing demand for ships is further driving the demand for deck systems during the forecast period.
Highest Growth in Asia Pacific Region
Cargo ships in the end-use segment dominated the market with a revenue share of 45.5% in 2022. This growth is due to the increasing import and export through marine worldwide. As per the data published by the UNCTAD. The world commercial fleet grew by 63.0 million deadweight tons between January 2021 and January 2022. As per the Electronic Quality Shipping Information System. The general cargo ships contributed around 13.4% of the global fleet in 2020.
Asia Pacific region dominated the global market with a revenue share of 42.6% in 2022. This growth is due to the Strong economic development coupled with population expansion in countries such as China and India. As per “Make in India” program implemented by the Indian government, USD 650.0 billion is likely to be invested in urban infrastructure projects during the next 20 years. The government of India has identified 99 smart cities with a valuation of USD 31.38 billion. The growing demand for commercial and residential infrastructure is expected to augment the growth of the marine adhesives market.
Source: Research and Markets