ADHESIVES AND SEALANTS MARKET ANALYSIS

Market Challenges And Opportunities

Adhesives and Sealants Market Challenges – Environmental Impact

Adhesive and sealants such as silver epoxy-based Electronic Conductive Adhesive (ECA) release CO₂, which incurs adverse environmental impact. Moreover, due to stringent government regulation on release of VOC emission, end-use industries are actively opting for alternative to organic solvents. For instance, SIKA AG introduced a new-generation adhesive SikaBond AT-75 for wood floor bonding, meeting highest EHS regulation. This is expected to be a major challenge for growth of the adhesive and sealants market over the forecast period. Bio-based products such as soybean-derived polyols, vegetable-based polyamides, epoxies, and polyisoprenes are increasingly replacing the use of synthetic materials and additionally reducing carbon footprint. Water based formulations contribute to a major share in the adhesive market, whereas silicone-based sealants contribute major share in the sealants market. The market is highly dependent on raw materials such as synthetic fibers, resins, and crude oil, prices of which are highly volatile and hamper growth of the adhesives and sealants market.