SPECIALTY ADHESIVES MARKET ANALYSIS

Market Challenges And Opportunities

Global Specialty Adhesives Market Drivers:

Increasing demand from medical sector augment market growth

Specialty adhesives are widely gaining adoption across medical industry due to their strong mechanical bond strength. These adhesives are used in tapes, robes, and other medical devices to reduce weight and improve their versatility. According to India Brand Equity Foundation, the healthcare market in India is expected to reach US$ 372 billion by year 2022, due to the rise in incomes, greater health awareness, lifestyle diseases, and increasing access to insurance. The hospital industry is expected to grow at a CAGR of around 16-17% to reach US$ 132.84 billion by year 2022 from US$ 61.79 billion in year 2017...

Growing use of adhesive bonding for composite materials in aerospace sector to foster market growth

They are widely gaining acceptance in aerospace sector for bonding composite materials owing to their excellent properties, such as ability to distribute the load over a wider surface, increase fatigue, greater design flexibility, minimize stress concentrations, and corrosion resistance of bonded joints. Key players are focusing on introducing innovative products especially for aerospace application. For instance, in June 2019, Henkel AG & Company opened a new production facility for aerospace applications in Spain. Henkel aims to serve the constantly rising demand for high-performance solutions from the global aerospace industry by supporting the key trends, such as, fuel efficiency, light weight and automation...

Global Specialty Adhesives Market Opportunities:

Increasing adoption of In-line manufacturing of adhesives is expected to provide significant growth opportunities for key players in terms of reducing environmental impact. In-line manufacturing of adhesives is a great option for coating/converting operations that want to save on energy costs. In-line manufacture can significantly reduce the amount of adhesive that is needed for a given application, resulting in lower overall costs. This is because it takes less energy to melt the adhesive, to transport it from a manufacturer to the user, and to manufacture, package and dispose of the adhesive packaging...

Specialty adhesive are cost-effective and are expected to gain strong demand in the near future as well. This is expected to hold bright market opportunities. Adhesives are also a cost-effective way to bond two products together. This can be useful for a wide variety of purposes, such as creating a bond for an air-tight seal in a packaging container or forming a waterproof and chemically resistant barrier in an automotive body...

Global Specialty Adhesives Market Restraints:

Declining automobile production to hamper market growth

According to Society of Indian Automobile Manufacturers (SIAM), automotive sales in India witnessed its sharpest decline in July, 2019 dropping by 18.71%. Passenger vehicles and two- wheelers stood at 18, 25,148 units in July, 2019, decreased from 22, 45,223 units in July 2018. This gradual decrease is due to liquidity crunch faced by non-bank vehicle financiers, prompting major auto makers to cut production. Hence, declining automobile sector is hindering specialty adhesive market growth...

Low stability at high temperatures to restrict market growth

Low stability at high temperatures, difficulty in bonding large objects with a small bonding surface area, and in separating objects during testing process are key factor restricting market growth. However, ongoing research &development activities for developing product with improved properties is expected to positively impact the market growth.