Hot Melt Adhesives Market (By Product: Polyurethane, EVA, Polyolefin, Rubber, and Others; By Application: Assembly, Packaging, Woodworking, Nonwovens, Automotive, and Others) - Global Market Size, Trends Analysis, Segment Forecasts, Regional Outlook 2020 - 2027
The global hot melt adhesives market was valued at USD 6.53 Billion in 2019 and expected to reach USD 9.95 billion by 2027, with at a compound annual growth rate (CAGR) of 5.4% during the forecast period 2020 to 2027.
Rising demand from the non-woven and packaging applications is a key factor that expected to drives the market growth. Increasing preferences for flexible packaging that provides extended shelf life and offer convenience in storage of products is the prime factors that expected to open new horizons for the hot melt adhesives market and hence drives its growth in the upcoming years.
Unlike their water- or solvent-based counterparts, hot melt adhesives (HMAs) does not require curing or drying. They can be used in their liquid state and, hence, can be bonded instantly after the application; this provides them a distinct advantage in terms of faster processing times across various applications that includes nonwovens (female hygiene products and diapers), packaging, industrial assembly, furniture, and others. Furthermore, the product has gained significant popularity in the recent past because of their superior durability and low processing cost.
Apart from all its advantages, the industry has witnessed a prominent decline in the year 2020 because of notable supply chain disruption as well as diminishing demand caused by the outbreak of COVID-19 pandemic. Out of the global market, the market for U.S. is the most affected one from this pandemic outbreak; however, it is likely to proliferate remarkably in the year 2021 and recover its demand similar to pre COVID-19 situation mainly due to rising demand from industrial assembly, packaging, and non-woven industries.
Ethylene-Vinyl Acetate (EVA) dominated the global hot melt adhesives market accounting for a revenue share of over 40% in the year 2019. EVA is highly versatile, durable, and holds strong adhesion properties because of which, it is broadly used in woodworking and packaging sectors.
On the other hand, rubber (styrene block copolymer) predicted to expand at the fastest rate of around 5.5%, in terms of value, during the analysis timeframe. The product is generally used in the manufacturing of pressure-sensitive products such as labels, tapes, and graphics. Increasing demand for labels and tapes especially from the packaging industry estimated to prosper the growth of the segment over the upcoming years.
Apart from above discussed segments, polyolefin hot melts is the other most widely used product categories. Excellent chemical resistance, low moisture permeability, and good barrier properties are some of the prime factors that contribute towards the significant growth of the segment. Additionally, the aforementioned properties of the polyolefin product are significantly used in the nonwoven product manufacturing as well as packaging industries.
Packaging application segment captured the major market share accounting for over 34% of value share in 2019. Hot melt adhesives superior bonding, speed, and adhesion capabilities makes them an ideal packaging solution in corrugated cases, sealing bottles, and paper board cartons compared to other packaging products.
Besides this, nonwovens segment expected to exhibit the fastest growth rate during the forecast period ranging from 2020 to 2027. Increasing disposable income levels along with growing awareness among consumers related to personal hygiene are the major factors anticipated to boost the market demand for nonwoven products that includes diapers and other hygiene products mainly used by females that in turn expected to fuel the growth of the segment.
In woodworking, hot melt adhesives are largely used as a general-purpose adhesive material for bonding wooden substrates in furniture application. Increasing number of restoration and refurbishment projects across developed nations along with new construction projects in developing countries predicted to flourish the demand for hot melt adhesives in woodworking applications.
The Asia Pacific emerged as a dominating market and accounted for the revenue share of more than 48% in 2019. In addition, the region also registers the fastest growth rate of approximately 5.7%, in terms of value, during the forthcoming years. Significant expansion of manufacturing base for packaging industry along with rapid rise in demand for nonwoven products in the region accounted as the prominent factor that drives the market growth for hot melt adhesives over the forecast timeframe.
North America estimated to grow at a rate near to 4%, in terms of value, from the year 2020 to 2027. The region is a hub of some major packaging manufacturers that are International Paper, Ball Corporation, and Owens-Illinois packaging sector is the major factor that expected to be the crucial factor that drives the market growth for hot melt adhesives.
Key Companies & Market Share Insights
The global hot melt adhesives industry is highly consolidated in nature because of few market players capturing major market share. These industry players face stiff competition primarily on the basis of application characteristics and price of the product. Further, these players adopt strategies such as regional expansion and merger & acquisition to retain their competitive edge in the market.
Certain prominent players in the hot melt adhesives market include:
- B. Fuller Company
- Henkel AG & Co. KGaA
- Dow Inc.
- Jowat SE
- Sika AG
- Arkema Group
- Ashland Inc.
- Beardow Adams
- Avery Dennison Corporation
Segments Covered in the Report
This research study comprises complete assessment of the market by means of far-reaching qualitative and quantitative perceptions, and predictions regarding the market. This report delivers classification of marketplace into impending and niche sectors. Further, this research study calculates market size and its development drift at global, regional, and country from 2016 to 2027. This report contains market breakdown and its revenue estimation by classifying it on the basis of product, application, and region:
By Regional Outlook
- North America
- Asia Pacific
- South Korea
- Rest of the World
Frequently Asked Questions About This Report
The global hot melt adhesives market size was valued at USD 6.53 Billion in 2019 and expected to reach USD 9.95 billion by 2027.
The global hot melt adhesives market is growing at a CAGR of 5.4% during the forecast period 2020 to 2027.
Ethylene-Vinyl Acetate (EVA) dominated the global hot melt adhesives market accounting for a revenue share of over 40% in the year 2019.
Packaging application segment captured the major market share accounting for over 34% of value share in 2019.
The Asia Pacific emerged as a dominating market and accounted for the revenue share of more than 48% in 2019.
North America estimated to grow at a rate near to 4%, in terms of value, from the year 2020 to 2027.
Some of the key players operating in the market are H.B. Fuller Company, Henkel AG & Co. KGaA, Dow Inc., Jowat SE, Sika AG, Arkema Group, 3M, Ashland Inc., Beardow Adams, and Avery Dennison Corporation among others.
Hot melt adhesives refer to a type of thermoplastic adhesive that is generally supplied in sticks and is manufactured to be melted in a hot glue gun thus termed as hot melt adhesives. These adhesives do not contain any pre warming signs related to crucial diseases such as cancer. In addition, the hot melts do not contain formaldehyde that further aids in its popularity among other adhesive materials. Hot melt adhesives are complete solid materials that are less influenced by the humid weather conditions. Besides this, they do not require expensive start-up as well as shut down processes during lamination.
Tremendous growth in the non-woven, woodworking, and packaging industries play an eminent role towards the market growth for hot melt adhesives. Increasing for non-woven disposables pertaining to rising awareness for hygiene expected to offer attractive growth prospects during the forecast timeframe. In addition to this, rising consumption of packaged food products is likely to offer attractive growth opportunities in the years to come. Furthermore, significant rise in the demand of the healthcare products are anticipated to create new avenues for the market growth. Hence, changing consumer’s lifestyle with high impact of western habits in terms of eating and clothing estimated to propel the market growth for hot melt adhesives in the near future.