TAGS: Sustainability / Natural Adhesives
Research and Markets (RM) anticipates that the global wood adhesives market is anticipated to reach USD 12.52 billion by 2030 and is projected to grow at CAGR of 8.6% from 2024 to 2030. The increasing demand from engineered wood-based panel manufacturers is a significant driver of the market.
Balancing Properties and Environmental Concerns
Adhesives are a preferred choice for binding wood strips, chips, fibers, strands, and veneers for manufacturing engineered wood-based panels such as plywood, particle board, oriented strand board, medium-density fiberboard, and high-density fiberboards. Increasing population and rapid urbanization accompanied with government efforts to boost residential construction are likely to propel the demand for wood-based panels, which in turn is expected to support the market growth.
Urea-formaldehyde (UF) dominated the market in 2023 owing to its beneficial properties, namely, inflammability, low cost, light color, and a very rapid cure rate. However, the low water resistance of the product is likely to restrain its utilization over the coming years. Melamine urea-formaldehyde (MUF) resins, which possess better water resistance properties, are increasingly being used in exterior applications that are more susceptible to moisture.
Soy-based adhesives have gained popularity owing to their low-cost production, low emissions, and bio-based origin. Stringent regulations pertaining to the formaldehyde emissions that are emitted during the production of UF resin-based wood products has led to resurgence of soy-based adhesives demand. Hydrolyzed soy proteins added to phenol formaldehyde resins provide reduced costs without degrading performance.
Furniture Industry: A Pillar of Market Stability and Innovation
Furniture is also expected to remain a major application for the product. Growing investment on high-end, branded furniture by consumers is expected to positively affect the market. Major trends affecting the industry are sustainability, digitalization, and integration of home electronics into work & home furniture. These factors have facilitated innovation and new product development in the market.
Urea-formaldehyde (UF) dominated the market in 2023 with a significant volume share of 31.4%, due to its low cost.
Soy-based adhesives are anticipated to witness the fastest revenue growth, with a CAGR of 10% from 2024 to 2030. The environmental advantages offered by the product is estimated to play a key role for its increasing demand.
Highest Growth in Asia-Pacific Region
Flooring is estimated to be the fastest growing application, in terms of revenue, with a CAGR of 9.3% from 2024 to 2030. Increasing construction spending and the rise in demand for luxurious and comfortable flooring is expected to facilitate the segment growth.
Particle Board (PB) held the largest share in the wood adhesive consumption, with a significant volume share of 27.1% in 2023.
Asia-Pacific dominated the wood adhesives market with a significant volume share of 58.6% in 2023, owing to the extensive engineered wood-based panel production in the region.
Source: Research and Markets