The specialty adhesive tape market is projected to grow at a CAGR of 6.41% during the forecast period. Specialty adhesive tapes are designed for specific purposes such as construction, electrical, automotive and more. Increasing research and development in the adhesive tapes market is budding the applicability and features that these tapes offer, resulting in increasing their demand across industry verticals. Furthermore, global expansion in the electrical, construction and healthcare industries will result in a further boost in the demand for these tapes.
Tapes used for applications in the electronics and electrical purposes, the materials may be either electrically conductive, thermally conductive or can be non-conductive as well. Examples include EMI copper foil shielding tape, circuit plating tape, aluminium foil tape, and high-performance adhesive transfer tape among others. The North American region followed by Europe is expected to hold a substantial market share owing to the early technology adoption and continuous innovation of new products by major players in the region is continuing to propel the market growth during the forecast period. In addition, according to the IPC-Association Connecting Electronics Industries, in December 2017, the sales of semiconductors, electronics manufacturing services, and printed circuit boards (PCBs) continued to perform better than the previous year, which led to strong growth in the sales of electronics products, further providing strong prospects for market growth during the forecast period and in the upcoming years, due to the application of adhesive tapes in the electrical and electronic products. Additionally, the market in the North America and European regions is propelled to grow at a significant pace due to high investments being made in the fields of automotive, healthcare and construction industry. The successful market growth in the North American region is attributed to the strict regulations by US Federal Agencies for use of electrical and electronic equipment in addition to successful business models. Also, the presence of a high tech-savvy population adopting smart electrical and electronic devices for carrying out their daily activities is further contributing to stable market growth in the United States by the end of the forecast period. The Asia Pacific is expected to show high market growth owing to the growing electronics industry especially in emerging economies like China, and India. According to NITI Aayog, Government of India estimates, the total hardware production in the year 2014-2015 accounted for an estimated value of USD 32.46 billion. Segments include consumer electronics, electronic components, industrial electronics, computer hardware, communication and broadcast equipment, and strategic electronics. In addition, the adoption of electric household appliances in the Asia Pacific region is further propelling the market growth in this region owing to the rising disposable income. The manufacturers of these appliances are working on offering smart and automatic devices to their customers by the integration of electronics with intelligent sensors and machine programming, thus reducing the human work and providing superior home care.
Furthermore, the budding electronics, healthcare and construction industries in these emerging economies of the world are bolstering the market growth in the forecast period.
In Israel, from the Middle East and Africa region, the fastest growth rates (averaging 8 percent annually in recent years) are to be found in the hi-tech sectors. These sectors are skilled and capital intensive and require sophisticated production techniques, in addition, a considerable investment in research and development, on which 4.9 percent of Israel's GDP is spent - the highest among OECD countries (source: Israel Ministry of Foreign Affairs). The demand for specialty adhesive tapes is growing due to their potential applications in the country’s growing hi-tech industry. Additionally, the companies in Israel are among the world leaders in the designing and manufacturing of the building metal structures, prefabricated parts, and components that are marketed at the international level. These include the use of the building and construction adhesive tapes required in various building applications which include duct tape for a quick repair, joining and sealing ducting, protection and masking of delicate surfaces, electrical insulation and many more.
On the other hand, in between 2000 and 2017, the original equipment manufacturers (OEM) invested USD 14 billion in their operations in Turkey. These investments significantly extended their manufacturing capabilities, which in turn, led Turkey to become an important part of the global value chain of international OEMs (source: Investment Agency and Promotion Agency of Turkey, ISPAT). Thus, the specialty adhesive tape technology finds immense utilization in automotive assembly and manufacturing applications providing solutions for automotive masking and protection, electronics and external internal bonding and mounting applications promoting market growth in Turkey. In addition, the fastest-growing defense and aerospace sectors, growing infrastructure due to rapid urbanization is further contributing to achieving a sustainable market growth in this region.
South Africa’s fastest-growing manufacturing industry which includes automotive, electronics, textiles, and footwear are driving the market growth where specialty adhesive tapes may find huge applications.
Furthermore, with Egypt’s promising automotive industry and booming construction industry owing to the strong demands for energy and infrastructure projects, the specialty adhesive tapes will be in high use promoting the market growth in this region in the forecast period and in the upcoming years.
With the increasing new construction activities globally, the market is projected to surge during the forecast period.
The rising construction activities, especially in the developing economies of the world, are driving the market growth in the forecast period. The growing construction activities are attributed to the rapid urbanization along with the technological advancements and growing innovations in the field of construction materials. This is further resulting in faster production of products in addition to a reduction in time-to-market, hence, contributing to market growth as well.
With growing urbanization, there is a constant shift of people from rural areas to the urban areas. Hence, this is creating a need for the new developments to take place which include novel construction to be carried out in different sectors, residential, commercial, and industrial. Furthermore, for the facilitation of movement of the newly shifted urban population, construction of new roads and highways are highly demanded. Additionally, the provision of an improved healthcare facility is further propelling the construction of new and better healthcare infrastructure, burgeoning the market demand for specialty adhesive tapes in the forecast period. The increasing infrastructure spending on new construction projects, improvement, and repair of existing buildings is further anticipated to drive the market growth in the forecast period.