Spray Adhesive Market Driven by Growing Construction and Packaging Industries

Spray Adhesive Market Driven by Growing Construction and Packaging Industries

By Knowledge Sourcing Intelligence Thought Articles

The Spray Adhesive Market was valued at US$3.816 billion in 2020 and is expected to grow at a CAGR of 7.51% to reach a market size of US$6.334 billion in 2027.

Spray adhesives are multipurpose adhesives that are applied to a surface from a pressurised container. As they withstand moisture and heat while establishing a solid, long-lasting bond, spray adhesives are appropriate for a variety of applications, including automotive, building and construction, leather and footwear, paper and packaging, and others. In addition to these, spray adhesive can also be used on carpets, foam, assembly lines, and plastics. The increased use of spray adhesive across a variety of end-user industries, with the most demand coming from sectors like construction, packaging, and automobiles and transportation, among others, is responsible for the market's rapid growth. Additionally, the growing involvement of market participants in the form of partnerships and product launches to further spread the adoption of the spray adhesive and improve their market share is bolstering the market's growth prospects during the course of the forecast period. The market is expected to be retained by the volatility of the raw material prices.

The growing packaging industry is expected to boost the Spray Adhesive market growth potential

The demand for spray adhesive is expected to rise as it is increasingly used in packaging materials like labels, tapes, and envelopes. Future growth in the market for spray adhesives is anticipated to be driven by rising consumer demand for hygienic food packaging. The demand for a wide range of consumer goods, including food and beverages, electronics, sanitary items, and personal care products, among others, is driving current changes in the packaging sector. Due to the growing disposable income of the middle-class and low-income population and their increased tendency to spend in developing nations like China, India, and Brazil, this demand is accelerating. In addition, the expansion of online retail outlets due to their attractive discounts and convenience is contributing to this growing demand. This is due to the rising sales of goods through e-commerce channels.

Furthermore, the e-commerce players' aim to maximise their profits as well as acquire a competitive edge over their rivals is also responsible for this rising adoption. As a result, this component is boosting the market's expansion during the forecasted period. Additionally, it is crucial to make sure that the quality and finish of the finished product depend on the adhesives in order to guarantee their efficacy in serving a variety of applications in different industries.

The market players are actively engaged in the market through investments and the introduction of new products with the goal of improving the efficacy and efficiency of spray adhesive products in order to address these issues. For instance, 3MSuper 77 Multipurpose Spray Adhesive can be used on plastic, cardboard, Bonds paper, insulation, fabric, metal, and wood, which are the materials generally used by the packaging industry.

Growing construction industry demands for spray adhesives

The main factor driving up demand for spray adhesives in the global market is the rapid expansion of the building and construction sectors, particularly in emerging economies. The product is used to glue fibreglass, drywall, plaster, and ceiling inserts. The construction industry is expanding globally as a result of rising disposable income and expanding government programmes to support residential construction and infrastructure development. One of the main factors boosting demand for spray adhesives for the construction sector will be the improved economic conditions in many regions of the world. For instance, the US Department of Commerce reports that the total value of building in the US—public and private—for both the residential and non-residential sectors has climbed from USD788,332 million in 2011 to USD1,303,469 million by 2019.

Spray adhesives are used in the construction industry for flooring, roofing, and insulation. In new and re-roof applications, spray adhesives may adhere a range of roof building materials to many different roof substrates. Additionally, they can be used to bind board stocks with one another. Spray adhesives are used in flooring applications to attach rubber floor tiles, carpets, and carpet tiles to the floor. Spray adhesives are used in the application of insulation to join insulation materials like expanded polystyrene foam, fibreglass, and extruded polystyrene foam. For instance, 3M launched Hi-Strength 90 Spray Adhesive in April 2021. Spray adhesive has been proven to be effective for both big and small projects, from construction to crafts. It also offers professional and industrial strength for demanding applications.

Additionally, as more green buildings are constructed, there is a growth in demand for water-based spray adhesives because they are environmentally benign and contain little to no volatile organic compounds (VOCs). These factors are expected to boost the demand for spray adhesives in the construction industry.

Asia-Pacific is expected to hold a major share due to increased automobile production and construction activities

In 2020, the Asia-Pacific region accounted for a sizeable portion of the global spray adhesives market, and it is anticipated that it will continue to expand at a healthy rate over the coming years. This expansion is linked to the existence of significant market participants as well as the region's well-established steel sector. Due to rising demand from numerous applications, including building and construction, automotive, paper, and packaging, Asia-Pacific is anticipated to grow at the quickest rate during the forecast period. Because of a growth in auto sales and manufacturing, demand for spray adhesive is anticipated to expand in developing nations like Vietnam, China, and India.

Due to the rising automotive and construction sectors in developing nations like China and India, the spray adhesive market in the Asia-Pacific region is predicted to experience exponential expansion. For instance, as per the International Organization of Motor Vehicle Manufacturers, the number of automobiles produced in India went from 3,898.425 million in 2013 to 5,174.645 million in 2018. Furthermore, the easy accessibility of raw materials, the comparatively low cost of labour, and the use of innovative development methods by the leading players are contributing to the expansion of the regional market.

Highly Volatile raw material prices and adverse environmental impact to restrain the growth of Spray Adhesive market

The cost of raw materials used to produce spray adhesives is being impacted by the rising price of crude oil in the global market. Prices for adhesive raw materials are more affected by fluctuations in supply and demand across the supply chain. In addition, the cost of basic intermediates and chemicals has increased dramatically, and there is a high demand worldwide and a restricted supply of the raw ingredients for adhesives. Due to a lack of shipping containers, logistics costs have skyrocketed, and firms constantly deal with supply chain issues. These elements are hindering the worldwide spray adhesives market's revenue growth and adversely hurting manufacturers' profitability. Considering epoxy resin is a petroleum derivative, it is frequently employed in the industry and its costs are quite volatile. Along with problems with price instability, solvent-based adhesives' high VOC emissions are impeding market expansion.