Adhesives & Sealants Market Forecasts to 2028 – Global Analysis By Technology (Solvent-borne, Water-borne, Hot-melts, Reactive), End User (Electronics, Transportation, Healthcare, Building & Construction), and By Geography

Adhesives & Sealants Market Forecasts to 2028 – Global Analysis By Technology (Solvent-borne, Water-borne, Hot-melts, Reactive), End User (Electronics, Transportation, Healthcare, Building & Construction), and By Geography

According to Stratistics MRC, the Global Adhesives & Sealants Market is accounted for $72.50 billion in 2022 and is expected to reach $93.34 billion by 2028 growing at a CAGR of 4.3% during the forecast period. An adhesive is a chemical combination that joins two surfaces jointly to form a single unit, whereas a sealant is a partly solid material used to prevent liquid leakage. Even though they both are considered as a single industry, their presentation is different across end users. Instead, it fill up gaps and opposes relative movement of substrates.

The Germany-based Henkel had a revenue of approximately 10.6 billion U.S. dollars from its Adhesive Technologies segment in 2020. Henkel was accordingly ranked as the number one leading adhesives and sealants company worldwide. Adhesives had a total global market value of approximately 43.75 billion U.S. dollars in 2020, while sealants had a market value of just over ten billion U.S. dollars that year. By 2027, it is expected that the market value of adhesives will increase to nearly 65 billion U.S. dollars and sealants will amount to just over 15 billion U.S. dollars.

Market Dynamics:

Driver:

High demand

The growing population and urbanization are boosting the residential construction segment in developing countries. There is a rising demand for everlasting houses in these countries, which, in turn, is growing the demand for adhesives & sealants. There are several applications of adhesives & sealants in the construction industry, such as carpet, tiling, wallpapers, and exterior insulation systems. Adhesives & sealants are used to grasp curtain wall panels and insulating glass units in place.

Restraint:

Environmental regulations in North America and Europe

Europe and North America are severely regulated by environmental laws concerning the production of chemical and petro-based products. Agencies such as the Epoxy Resin Committee (ERC) and the European Commission (EC) rule the manufacturing of solvent-based commodities in these regions. This is disturbing the production capabilities of manufacturers in Europe and North America. The strict environmental regulations are compelling manufacturers to concentrate on producing eco friendly adhesives.

Opportunity:

Rising requirement for non-hazardous and sustainable adhesives

The inflexible set of laws by USEPA (the United States Environmental Protection Association), Europe’s Registration, Evaluation, Authorizations and Restrictions of Chemicals (REACH), Leadership in Energy and Environmental Design (LEED), and other regional regulatory authorities have bound adhesive & sealant manufacturers to make eco-friendly products. The moves in the direction of more sustainable goods have provided essential growth opportunities for manufacturers. There is a mounting demand for environmentally-friendly or green buildings, which facilitates an opportunity for expansion of green and sustainable adhesive solutions prepared from renewable, recycled, remanufactured, or biodegradable materials.

Threat:

Shifting rules and changing standards

The adhesives & sealants market undergo recurrent alterations in conditions of standards and set of laws. The Construction Products Regulation (CPR) established new regulations for the marketing of construction products. With the new rules, manufacturers have to tolerate the extra burden, in terms of labelling, paperwork, and additional exterior test prices to demonstrate compliance. Supplementary substance alerts focusing on biocides and waste covering occur on a regular basis, leading to changes in regulatory standards. The adhesives & sealants manufacturers have to stand for the rules and changing standards to commercialize their products.

Covid-19 Impact

COVID-19 has posed many challenges for the automotive industry. COVID-19 has posed many challenges in the construction sector. Main economies over the world are among the strictly affected countries by the pandemic. Social distancing measures, supply chain disruptions, and workforce dislocation have led to the suspension of construction activities in most countries due to the disruptions in supply chains and lack of raw materials as well as labour.

The technology segment is expected to be the largest during the forecast period
Technology segment is segmented into Solvent-borne, Water-borne, Hot-melts, Reactive, and Other Technologies. Reactive segment held the largest share in the global adhesives market, in circumstances of volume. Reactive technology based goods propose several advantages and thus are the key aspects following the growth of the segment. These advantages contain high manufacturing speeds due to higher heat resistance, and strong adhesion properties to a wide range of substrates hot-melt segment is anticipated to grow at a profitable speed. The enlarged centre to offer soundproof ride is likely to push the product’s dispersion in the automotive industry during the forecast period.

The end user segment is expected to have the highest CAGR during the forecast period

Building & construction segment is expected as the highest CAGR share of the sealants market during the forecast period. Sealants do not contain high tensile strength like adhesives but consist superior durability and dependability when exposed to conditions of high humidity, chemical attack, or electrical stress. This is qualified to aspects such as growing population and rapid urbanization which in turn has led the building & construction sector to spectator a major increase in demand where adhesives & sealants are used to fill cracks, openings, and seal joints. Building & construction segment is projected to provide numerous opportunities in the industry. Airports, mining facilities, transportation routes & even housing projects are undergoing an enormous alteration in order to fulfil with transitioning standards & specifications.

Region with highest share:

Asia Pacific region has emerged as one of the important producers plus consumers of adhesives & sealants due to the rising domestic demand, increasing income levels, and easy access to resources. The automotive & transportation industry is one of the main consumers of adhesives & sealants in this region. The economic growth in the Asia Pacific region, mainly in the emerging markets, is causative to the boost the numeral of infrastructure projects that is anticipated to boost the demand for adhesives & sealants in the building & construction sector. COVID-19 pandemic formed a sizable crash on the numerous industries such as textile & garments, construction, and automotive, in which export trade was mostly impacted.

Region with highest CAGR:

Asia-Pacific is anticipated to grow at the highest CAGR during the forecast period. This is endorsed to boost in demand for adhesive & sealant in building & construction, automotive, packaging, and electrical & electronics in Asia-Pacific. In addition, manufacturers all over the globe find Asia-Pacific region as a good-looking market, owing to cheap labour cost, low cost of setting up manufacturing units, and low cost of adhesive & sealant. These aspects drive the adhesives and sealants market in this region.

Key players in the market

Some of the key players profiled in the Market include Dow DuPont, Adhesive Technologies Corp., 3M, Franklin International, The Reynolds Co., Illinois Tool Works Inc., Sika AG , Mapei Spa, Henkel AG & Co. KGaA, Arkema Group (Bostik SA), Wacker Chemie AG, Pidilite Industries Ltd, H.B. Fuller Company, LORD Corp., American Chemical Inc., Dymax Corporation, Master Bond, Permabond Engineering Adhesives Ltd.

Key Developments:

In February 2020, Henkel has officially inaugurated its new production facility in Kurkumbh, India, near Pune. With a total investment of about USD 57 million, the business unit aims to serve the growing demand of Indian industries for high-performance solutions in adhesives, sealants and surface treatment products. Designed as a smart factory, the new plant enables a wide range of Industry 4.0 operations and meets the highest standards for sustainability.

In November 2020, H.B. Fuller has launched Full-Care 5885 to meet industry’s growing demand for natural-based hygiene articles. This adhesive offers great value by combining high-performance 100% cotton bonding at low cost in use.

Technology Covered:
• Solvent-borne
• Water-borne
• Hot-melts
• Reactive
• Other Technologies

End User Covered:
• Electronics
• Transportation
• Healthcare
• Building & Construction
• Footwear & leather
• Paper, Board, & Packaging
• Woodworking & Joinery
• Other End-users

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements