Polyurethane Adhesives and Sealants - Global Market Outlook (2021 - 2028)

Polyurethane Adhesives and Sealants - Global Market Outlook (2021 - 2028)

According to Stratistics MRC, the Global Polyurethane Adhesives and Sealants Market is accounted for $17.63 billion in 2021 and is expected to reach $24.81 billion by 2028 growing at a CAGR of 5.0% during the forecast period. Polyurethane adhesives are those glues that are made of urethane polymers with chemical-based of isocyanate group. Polyurethane adhesives and sealants offer strong bonding and tight seals in a variety of applications. Polyurethane adhesives offer the advantage of the quick development of ""green strength,"" where the adhesive provides an early bond before fully curing. Polyurethane sealants provide excellent stress recovery to retain shape after being bent or pulled, fast curing rates and even adherence to non-primed concrete.

Market Dynamics:

Driver:

Growing production of eco-friendly polyurethane adhesives and sealants

Vegetable oils, lactic acid, potato starch, and other bio-renewable sources provide a rich source of polyol synthesis that is considered for the manufacturing of “eco-friendly” polyurethane adhesives and sealants. Bio-renewable sources used during manufacturing of polyurethane adhesives and sealants has been utilized extensively and replace chemical based PU adhesive due to their lower environmental impact, low cost, easy availability, and biodegradability. Also, The USEPA (United States Environmental Protection Agency), Europe's Registration, Evaluation, Authorization and Restrictions of Chemicals (REACH), Leadership in Energy and Environmental Design (LEED), and other regional regulatory bodies have all pushed adhesive and sealant producers to create eco-friendly products with zero or low VOC levels. Thus, the growing production of more sustainable and eco-friendly products is anticipated to raise the demand for eco-friendly polyurethane adhesives and sealants.

Restraint:

Limitations of polyurethane based adhesives

Despite the advantages polyurethane-based adhesives also have some limitations. These include the uncured material being sensitive to moisture, as well as having a shorter shelf life – generally 3 – 12 months for both 1K and 2K adhesives. Although they adhere to most substrates, some substrates may also require a primer for the polyurethane-based adhesive to adhere. Due to the formation of carbon dioxide, which can cause foaming, assemblies made using polyurethane adhesives may also need to be held in a press under sufficient pressure whilst the adhesive cures to stop this occurring. They will also have some additional limitations in that the cure time and pot life will be very dependent on the ambient conditions. Due to the moisture cured nature of the material, once the container is open it will start to react with moisture in the air – shortening its shelf life and increasing its viscosity. As well as requiring sufficient moisture to fully cure, this may mean appropriate level of water misting before application of the second substrate.

Opportunity:

Increasing demand in the automotive industry

The polyurethane adhesives are used extensively in automotive application for improving performance, developing lightweight designs, and fabricating structure using multi-materials, such as glass fiber-reinforced composite, carbon fiber composites, and aluminium. Interior pillars, headliners, door panels, instrument panels, seating, and package trays are among the other significant components of automotive interiors that utilize PU adhesives and sealants. Moreover, adhesives are still a viable alternative to traditional fastening solutions for achieving reliable assembly. Furthermore, PU adhesives and sealants can also easily join dissimilar substrates. Vehicle manufacturers have been able to use a variety of lightweight materials without sacrificing safety, functionality, or comfort as a result of this. Globally, the rising production of automotive is estimated to raise the growth of the PU adhesives and sealants market.

Threat:

Volatility in raw material prices

The rise in prices of raw materials used in the production of polyurethane adhesives and sealants, such as toluene diisocyanate, succinic acid, and polyols, combined with the instability of crude oil prices, has hindered the market's overall development. Also, polyurethane sealants often have a poor shelf life due to hydroscopic (water absorption) characteristics and longer cure times. As a result, polyurethane adhesives and sealants need more complicated handling and curing processes, which acts as a constraint for the growth of the polyurethane adhesives and sealants market during the forecast period.

The thermoset segment is expected to be the largest during the forecast period

The thermoset segment is estimated to have a lucrative growth. Owing to its excellent versatility, excellent resistance to water, heat, and chemicals, and easy application, the demand for thermoset polyurethane adhesives and sealants is estimated to rise. Thermoset polyurethane adhesives are typically two-component formulations including higher-functional isocyanates that crosslink at higher temperatures. Moreover, increasing use of thermoset PU adhesives in footwear, packaging, lamination, and many other applications has raised the growth of the market. Therefore, with an increase in the demand for thermoset polyurethane adhesives and sealants in several applications the market is anticipated to rise.

The building & construction segment is expected to have the highest CAGR during the forecast period

The building & construction segment is anticipated to witness the fastest CAGR growth during the forecast period. The polyurethane adhesives and sealants cure quickly and have a low strength, making them ideal for woodworking and other construction applications. They offer the necessary strength to keep construction components together. In addition, polyurethane adhesives and sealants are versatile, when it comes to product assembly adhesives. It is widely used on glass, plastics, aluminum, PVFs, stainless steel, and other metals, regardless of bond substrate toughness. As a result, rising construction and building activities in emerging countries have increased demand for adhesives and sealants, supporting the market growth for polyurethane adhesives and sealants.

Region with highest share:

North America is projected to hold the largest market share during the forecast period owing to the increasing geriatric population and the mounting requirement for medical facilities for the treatment of chronic diseases. The United States stands to be the largest market for PU adhesives in the region, owing to the presence of largest aerospace, healthcare packaging, automobile and electrical and electronics market in the country as compared to other countries in the region. The healthcare sector is by far one of the most advanced sectors in the country. United States has the largest aerospace industry in the world. Also, the US main-liner carrier fleet is expected to grow at a rate of 54 aircraft per year due to the existing fleet getting older. Therefore, the presence of strong production base and such growth prospects in the end-user industries are expected to drive the consumption of PU adhesives in the region.

Region with highest CAGR:

Asia Pacific is projected to have the highest CAGR over the forecast period. In the APAC region, the demand for polyurethane additives and sealants is majorly driven from various end use industries such as building and construction, transportation, and packaging. China has the second largest packaging industry in the world. The country is expected to witness a consistent growth during the forecast period, owing to the rise of customized packaging, increased demand for packaged consumerist goods, in the food segment, like microwave food, snack foods, and frozen foods, etc.

Key players in the market

Some of the key players profiled in the Polyurethane Adhesives and Sealants Market include Avery Dennison Corporation, Dow, Dymax Corporation, Franklin International, H.B. Fuller Company, Henkel AG & Co. KGaA, Hexcel Corporation, Huntsman International LLC, ITW Performance Polymers, LORD Corporation, Master Bond, Sika AG, and Wacker Chemie AG.

Key Developments:

In April 2021, Sika has agreed to acquire Hamatite, the adhesives business of The Yokohama Rubber Co., Ltd. Hamatite is a market leader in Japan, offering adhesives and sealants to the automotive and construction industries. The acquisition will significantly strengthen Sika’s market position in Japan, increase market access to all major Japanese OEMs, and notably extend the product offering for sealing and bonding applications in the Japanese construction industry.

In June 2021, Ashland Inc announced that it signed a definitive agreement with Air Products and Chemicals, Inc. for an asset purchase of its pressure-sensitive adhesive business and its atmospheric emulsions business. The $92 million transaction includes manufacturing facilities in Elkton, Md and Piedmont, S.C.

Types Covered:
Thermoset
Thermoplastic

Technologies Covered:
Hot-Melt
Solvent Based
Water Based

Applications Covered:
Packaging
Healthcare
Footwear and Leather
Electrical and Electronics
Building & Construction
Automotive
Wood Processing
Transportation
Furniture
Industrial

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

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
Company Profiling
Comprehensive profiling of additional market players (up to 3)
SWOT Analysis of key players (up to 3)
Regional Segmentation
Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
Competitive Benchmarking
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances