TAGS: Sealants
Research and Markets (RM) anticipates that the industrial adhesives market size was valued at USD 47.5 Billion in 2020 and is projected to reach USD 67.6 Billion by 2028, growing at a CAGR of 4.4% from 2021 to 2028 forecast period.
Rising packaging demand from different end-use industries such as pharmaceuticals, food & beverages, and cosmetics is likely to propel market expansion. Increasing federal & governmental policies concerning carbon emissions are predicted to supplement product application in the automobile industry drive market growth.
Industry Growth Boosted by Packaging Sector
Owing to numerous advantages such as lowering total manufacturing costs and improving product dependability, performance, and operating life fueling the growth of the industrial adhesives market.
Over the next several years, the growth of e-commerce commodity demand, in which packaging is a necessary factor, is expected to drive product demand. Industrial adhesives are a great alternative to mechanical fastening, welding, and other joining methods, and they may help a variety of enterprises achieve a competitive advantage by lowering total manufacturing costs and improving product dependability, performance, and operating life.
The adhesive bonding technique has decreased the time and cost of joining automotive components, as well as the usual weight and gasoline intake, resulting in increased efficiency. Increasing federal & governmental policies concerning carbon emissions are predicted to supplement product application in the automobile industry. The use of adhesives and sealants in the construction & woodworking Industry is numerous such as installation of floor tile and continuous flooring, ceramic tile installation, countertop lamination, carpet adhesives, flooring underlayment adhesives, and so on.
Highest Growth in APAC Region
However, raw material price volatility is expected to be one of the factors restraining the growth of the industrial adhesives market. The market for industrial adhesives is anticipated to be influenced by crude oil price volatility. Industrial adhesive raw ingredients are made from crude oil derivatives such as vinyl acetate monomer, polyols, tolylene diisocyanate (TDI), and methylene diphenyl diisocyanate (MDI). Crude oil price fluctuations have a negative impact on raw material costs, resulting in high product prices that are expected to restrain market expansion in the coming years.
On the basis of regional analysis, the global industrial adhesives market is classified into North America, Europe, Asia Pacific, and Rest of the world. In 2018, Asia-Pacific was the leading region, accounting for a huge share of overall volume. Due to low labor costs and regulatory regulations, large car manufacturers have transferred their manufacturing plants to China, India, Thailand, and Vietnam. Over the next seven years, middle-class head incomes in nations like China and India are expected to drive vehicle sales. These are the elements that will influence product demand in the coming years.
Source: Research and Markets