Product Code: 52359
The automotive adhesives and sealants market is projected to register a CAGR of greater than 4% during the forecast period. The major growth factor include the stringent environment regulations, which are promoting the use of low volatile organic carbon (VOC) adhesive tapes. However, declining automotive industry is expected to hinder the market's growth.
- The polyurethane segment dominated the market, and is likely to witness significant growth during the forecast period. The segment's growth is primarily due to various innovations in the automotive industry, primarily to reduce the vehicle's weight.
- The development of lightweight vehicles and high-performance adhesive tapes for advanced applications is likely to provide growth opportunities for the market studied during the forecast period.
- The Asia-Pacific region dominated the global market. In this region, the demand for automotive adhesives and sealants is majorly due to the increasing production of automotive.
Key Market Trends
The Polyurethanes Segment is expected to Dominate the Market
- Polyurethane is the most widely used resin for producing automotive adhesives and sealants.
- They are thermosetting polymers, which do not melt when heated. Polyurethane polymers are formed by the reaction of isocyanate and polyol.
- Polyurethane adhesives are the most commonly used adhesives, which provide extremely strong bonding.
- Furthermore, they provide good resistance against heat, moisture, and chemicals. They are flexible and durable, as well as provide good impact resistance.
- Adhesives and sealants are witnessing high demand from the automotive industry. Factors, such as ability toward high temperature endurance, exceptional bonding strength, and durability, make adhesives and sealants suitable for automotive applications.
- Therefore, with innovation and R&D in the automotive industry, primarily to reduce the vehicle's weight, polyurethane resins are expected to witness high demand.
- Hence, the aforementioned factors are expected to drive the demand for polyurethane resins in the automotive adhesives and sealants market.
The Asia-Pacific Region is expected to Dominate the Market
- The Asia-Pacific region dominated the global market share. In the region, China is the largest adhesives and sealants market and is expected to remain so in the coming years, irrespective of the economy witnessing slow economic growth.
- Despite being the largest region for automotive industry across the globe, Asia-Pacific is witnessed a decline in the recent past. This decline in turn is impacting the demand for adhesives and sealants in the country.
- Despite decline in the region's automotive industry, Asia-Pacific is still the largest consumer of automobiles and hence automotive adhesives and sealants.
- On a bright side, the Chinese government is majorly focusing on increasing the production and sale of electric vehicles in the country. Thus, the country is planning to increase the production of electric vehicles (EVs) to 2 million a year by 2020, and 7 million a year by 2025. Such trends are expected to drive the Chinese automotive industry's growth during the forecast period.
- However, the Japanese automotive industry has been witnessing slow growth from the past two years, primarily due to the drastic drop in the sale and production of motor vehicles.
- Such factors are in turn expected to boost the market demand at a steady rate.
The global automotive adhesive and sealant market is fragmented, with top two players accounting for a third of the market, and the remaining players vying to increase their market shares. Some of the key players include Henkel, Sika, ITW Performance Polymers, Avery Dennison., and Dow.
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Table of Contents
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
- 4.1 Drivers
- 4.1.1 Stringent Environment Regulations Demand Use of Low Volatile Organic Carbon (VOC) Adhesive Tapes
- 4.1.2 Other Drivers
- 4.2 Restraints
- 4.2.1 Declining Automotive Industry
- 4.3 Industry Value Chain Analysis
- 4.4 Porter's Five Forces Analysis
- 4.4.1 Bargaining Power of Suppliers
- 4.4.2 Bargaining Power of Consumers
- 4.4.3 Threat of New Entrants
- 4.4.4 Threat of Substitute Products and Services
- 4.4.5 Degree of Competition
5 MARKET SEGMENTATION
- 5.1 Technology
- 5.1.1 Adhesive
- 220.127.116.11 Water-borne
- 18.104.22.168 Solvent-borne
- 22.214.171.124 Reactive
- 126.96.36.199 Other Adhesives
- 5.1.2 Sealant
- 5.2 Function
- 5.2.1 Structural
- 5.2.2 Non-structural
- 5.3 Resin
- 5.3.1 Epoxy
- 5.3.2 Acrylic
- 5.3.3 Polyurethane
- 5.3.4 Silicone
- 5.3.5 Other Resins
- 5.4 Geography
- 5.4.1 Asia-Pacific
- 188.8.131.52 China
- 184.108.40.206 India
- 220.127.116.11 Japan
- 18.104.22.168 South Korea
- 22.214.171.124 Rest of Asia-Pacific
- 5.4.2 North America
- 126.96.36.199 United States
- 188.8.131.52 Canada
- 184.108.40.206 Mexico
- 5.4.3 Europe
- 220.127.116.11 Germany
- 18.104.22.168 United Kingdom
- 22.214.171.124 France
- 126.96.36.199 Italy
- 188.8.131.52 Rest of Europe
- 5.4.4 South America
- 184.108.40.206 Brazil
- 220.127.116.11 Argentina
- 18.104.22.168 Rest of South America
- 5.4.5 Middle East & Africa
- 22.214.171.124 Saudi Arabia
- 126.96.36.199 South Africa
- 188.8.131.52 Rest of Middle East & Africa
6 COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Market Ranking Analysis**
- 6.3 Strategies Adopted by Leading Players
- 6.4 Company Profiles
- 6.4.1 3M
- 6.4.2 Arkema Group (Bostik SA)
- 6.4.3 Avery Dennison Corp.
- 6.4.4 Dow
- 6.4.5 HB Fuller (Royal Adhesives and Sealants)
- 6.4.6 Henkel AG & Co. KGaA
- 6.4.7 Huntsman International LLC
- 6.4.8 ITW Performance Polymers
- 6.4.9 Jowat SE
- 6.4.10 Sika AG
- 6.4.11 TESA SE - A Beiersdorf Company
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
- 7.1 Development of Lightweight Vehicles
- 7.2 High-performance Adhesive Tapes for Advanced Applications