Adhesives and Sealants Market in the United States was valued at USD 12.42 billion in 2019 and is estimated to reach USD 12.7 billion by the year 2020.
It is expected to grow at the CAGR of 2.2% within the time horizon of 2020-2025 because of. It will reach USD 14.16 billion by the year 2025.
- Definition / Scope
- Market Overview
- Market Risks
- Top Market Opportunities
- Market Trends
- Industry Challenges
- Technology Trends
- Pricing Trends
- Regulatory Trends
- Market Size and Forecast
- Market Outlook
- Technology Roadmap
- Distribution Chain Analysis
- Competitive Factors
- Key Market Players
- Strategic Conclusion
Definition / Scope
Adhesives is the substance applied in the thin layer between any two surfaces such as wood, glass in order to stick and hold the objects together and sealants is used to prevent the fluid leakage.
The resins used as its basis are epoxies, polyurethanes, silicones and polysulfide. They are used for the purpose of the sealing the gaps between the joints and cavities of two substrates.
The strength of the adhesives can be either less or high in accordance to the need of temporary or the permanent labels. For instance, less strength stickers are used for the temporary labels and high strength adhesives are used for the permanent and bigger products including wooden furniture, internal, engine parts, etc.
On the basis of the application, the adhesives and sealants market is categorized into building, transportation, packaging, product assemble and other sectors.
On the basis of the technology, this market consists of the solvent based, water based, hot melt and reactive products. The categorization of adhesives and sealants market in terms of the application, technology and resin is presented as follows:
Globally, the market size of the adhesives and sealants is estimated to value at USD 58.9 billion in 2019 and is expected to reach USD 73.8 billion by the end of the year 2024. It is expected to grow at the CAGR of 5% within the forecasted time horizon of 2020-2025.
In the context of North America, the adhesives and sealants market holds the market Share of almost 30% of total global adhesives and sealants market because of the increasing investment for the research and development activities in this sector.
The United States Adhesives and Sealant market is holding the largest market share of almost 90.1% of the North America Adhesives and Sealants market. Its market size is valued at USD 12.42 billion in 2019, increased from USD 11.9 billion in 2017 in the context of the US.
It is expected to grow at the CAGR of 2.2% within the forecasted time horizon of 2020-2025. It will reach USD 14.16 billion by the year 2025.
On the basis of the type of product, the water-borne segment is dominating the market with the market share of 45.83% because of their eco-friendly, low-toxic, high solid content and high initial adhesion properties.
As the application sector is considered, the construction is leading the market with the market share of almost 28% of total adhesives and sealants market in the United States followed by paper and packaging with market share of almost 22% of total adhesives and sealants market size.
The growth of the market is driven by the rising construction sector and increasing use of it composite joints. The key market players engaged in this market are 3M, Adhesive Technology Corporation, Arkema Inc., H.B. Fuller and Henkel AG & Co.
- Harmful health effects associated with adhesives
The solvent-based adhesives have the potential to cause serious health concerns among the exposed individuals. For instances, it includes respiratory inflammation, asthma and other lungs diseases.
It may affect the brain as the adhesives are capable to decline the quality of the air. It also causes the poisoning among the consumer if they breathe in glue fumes, which causes anxiety, convulsions, headache, irritability, seizures, etc among the affected individual.
These health effects might create the risk for the demand of the solvent-based adhesives. So, the market players should be focused to produce the bio-friendly products with the minimum or negligible health effects as far as possible.
Top Market Opportunities
- Replacement of the conventional joining techniques
The traditional joining techniques usually change the properties of the matter present in the substrates, which are supposed to be hold and join together.
For instances, the traditional methods such as welding, riveting results in the alterations of the specific properties of the materials such as gain in the weight within the heat affected zone.
Because of this, the automotive and transportation industries are using the adhesives and sealants products in the replace of the welding activities with a view to reduce the weight of the final product and increase the fuel efficiency.
This replacement is creating the significant opportunity for the growth of the adhesives and sealants market in the context of the United States.
- High adoption in medical sector
The use of the adhesives and sealants in the medical sector is in increasing trend as it is being used in the replace of the stiches for the wound closure. Along with this, its use is rising for the internal medical applications such as heart surgeries.
As a result, the medical adhesives market is expected to grow at the rate of 8% within the forecasted time horizon of 2020-2025. This significant market growth will create the opportunity for the development of the overall adhesives and sealants market.
- Rising demand in composite joints from growing construction industry
The adhesives and sealants have the ability to join the substances of the contrast nature and can withstand heavy loads, pressure and high temperatures. Because of the increasing use of the composite materials such as glass fiber, carbon fiber, Kevlar is in increasing trend in the industries (automotive, construction)
Globally, more than 90% of the automobiles are produced from the bonded windshields, rear windows through the use of the polyurethane sealants.
Along with this, in the context of the United States, the market value of the construction industry and paper and packaging industries are rising at the rate of 3% and 4.5% on the annual basis, which is driving the demand for the adhesives and sealants products in the US.
- Rising demand of water borne adhesives
As water is used as a carrier and diluting medium to disperse the resin in the water borne adhesives, it is considered eco-friendly and low- toxic in nature.
Because of this, its demand is rising along the rising consumer consciousness regarding the use of eco-friendly products in packaging, construction, and automotive and other industries.
- Stringent Environmental regulations regarding the VOC emissions
In the context of the United States, the Environmental Protection Agency (EPA) has developed the volatile organic compound limits for the broad range of the consumer products including the adhesives and sealants in order to maintain the air quality.
For instance, it has developed Control technology guideline to control its use. It will limit the use of the solvent borne adhesives and sealants, which might restrain the growth of the adhesives and sealants market in the context of the United States.
- Disturbance in availability of raw materials
The raw materials and chemicals used for the production of the adhesives and sealants such as ethylene, butadiene, propylene are also used for the production of other chemicals compounds.
For instance, butadiene is also used for the production of tires in vehicles. In the context of the United States, the fracking gas boom has increased the availability of lower-cost natural gas, which has resulted the shortages of the raw materials for the production of adhesives. It is quite challenging for the market players to sustain the availability of the raw materials in the market.
Advancement in science and technology is driving and widening the innovative ideas for the growth and development of the adhesives market through the reduction of the environmental and health effects. Some of the key technological innovations are discussed as below:
3-D vision systems: They use the combination of laser, which projects line and image sensor to identify the position and volume of the adhesives. They are quite useful for the inspection of the correct application of the adhesives at the right position to seal the part.
Ebeam technology: It is the powerful and cost-effective technology, which doesn’t produce any form of volatile organic compounds.
Automatic applicators: These systems dispense the adhesives in automatic manner by considering the surface preparation and configuration of the parts. It decreases labour cost, manufacturing cost and increases the speed productivity.
Robotics: They offers adaptability, artificial intelligence and high load bearing capacity to perform the complex tasks of applying the adhesives in the inhospitable environment.
The price of the products of this market depends upon the type of the equipment used for application, resin type, end users, strength of product, and type of technology.
For instance, the price of the gorilla super glue gel is USD 5.97 per 20 gram while the price of the kwikweld quick setting steel reinforces epoxy is USD 2.98 per 56 grams.
The cost of the Scotch super glue liquid is USD 4.3 per 2 gram while the cost of the gorilla heavy-duty construction adhesive is USD 4.84 per 70 gram. The price of the adhesives and sealants is in increasing.
The adhesives group is planning to increase the price of the adhesives by 5%-8% because of the constraints in supply of the propylene, ethylene, methanol, etc and cost changes.
In the context of the United States, Environmental Protection Agency (EPA) and the Adhesives and sealant Council are responsible for the regulation of the chemicals in the adhesives market. The regulations related to the use of adhesives are as follows:
Control technology guidelines: It is developed to control the emission of the volatile organic compounds from the industrial adhesives application processes. It includes the limit level for the VOC content and emissions.
Product category rule for sealants: It is developed by the Adhesive and Sealant Council, which defines the rules and requirements for the Environmental product declaration of sealants.
Standard Practice for symbolizing Adhesives Application: This standard enables engineers, designers and other end-users to represent the adhesives on computer-aided design drawings.
Market Size and Forecast
Globally, the market size of the adhesives and sealants is estimated to value at USD 58.9 billion in 2019 and is expected to grow at the CAGR of 5% within the forecasted time horizon of 2020-2025 to reach USD 77.49 billion by the end of the year 2025.
The adhesives and sealants market in North America accounts for almost 30% of total global adhesives and sealants market with the market value of USD 17.67 billion in 2019 because of the increasing investment for the research and development activities in this sector.
The United States Adhesives and Sealant market is holding the largest market share of almost 90.1%. Its market size is valued at USD 12.42 billion in 2019, increased from USD 11.9 billion in 2017. It is expected to grow at the CAGR of 2.2% within the forecasted time horizon of 2020-2025. It will reach USD 14.16 billion by the year 2025.
On the basis of the type of product
- The water-borne segment is dominating the market with the market share of 45.83% because of their eco-friendly, low-toxic, high solid content and high initial adhesion properties. The market size of this segment is estimated to value at USD 5.69 billion in 2019.
- The solvent based adhesives segment accounts for almost 21% of total adhesives and sealants market in the US with its estimated market value of USD 2.58 billion in 2019.
On the basis of the application
- The construction segment is leading the market with the market share of 28% of total adhesives and sealants market in the United States. Its market size is valued at USD 2.73 billion in 2019.
- The paper and packaging segment accounts for almost 22% of total adhesives and sealants market with the estimated market value of USD 3.48 billion in 2019.
- The transportation segment is holding the market share of about 20% of total US adhesives and sealants market.
The adhesives and sealants market in the United States is expected to grow at the CAGR of 2.2% within the forecasted time period of 2020-2025 because of the increasing demand of the adhesives from medical sector and rising construction market.
It is estimated to reach USD 14.16 billion by the year 2025.
The technological changes such as use of 3D, automatic applicators are introduced and initiated in the adhesives and sealants market. These changes are driving the environment for the growth and development of this market.
The adoption of the latest technologies such as robotics is increasing the efficiency, efficacy and durability of the adhesives products.
So, the market players engaged in this adhesives and sealants market should adopt and promote the use of the innovative technological ideas to sustain and foster the growth and development of this market.
Distribution Chain Analysis
The key stakeholders involved in the operation of this market are raw materials suppliers, product manufacturers, distributors, sales, and end users. Firstly, the essential raw materials either natural or synthetic are supplied to the manufacturers of the adhesives and sealant product.
The final product is available to consumers through variety of distribution channels such as online platforms, retail shops and others. The key end users of this market are construction sector, paper and packaging, and automotive sector.
The key market players engaged in this adhesives and sealant market are competing for the development of innovative adhesive formulations in order to be consistent with the specifications of the end-use industry and increase the durability, performance, and fuel efficiency for vehicles.
They are highly investing in the research and development activities to create these technologies. Along with this, they are competing for the price of the raw materials used for the production of the adhesives and sealants.
Key Market Players
Adhesive Technology Corporation: It is one of the leading manufacturer of the adhesives such as epoxies, urethanes, acrylics, polyureas, etc for construction industry . It is the largest manufacturers of private label epoxy in the context of the United States.
Adhesive Research Inc.: It develops and manufactures pressure sensitive adhesives, tapes, coatings, and drug delivery technologies globally.
American Chemical Inc.: It sells a wide variety of adhesives inventory such as hot melt adhesives, water based adhesives, glue sticks, glue guns, etc and offers the laboratory services. It is the reliable resource for the adhesives needs.
Arkema Inc.: It is the global organization engaged in the production of the specialty chemicals.
Ashland LLC: It is the manufacturer of chemical products such as adhesives, architectural coatings, automotive, etc. It is offering solutions to more than 100 countries in the world.
Dennison Corporation: It is the global manufacturing company specialized in the production of pressure sensitive materials for labels and graphic applications. It is offering the services in more than 50 countries with the sales of almost USD 7.2 billion.
Beardow Adams Inc.: It is the global leading company manufacturing the adhesives for packaging, labelling, woodworking, product assembly, bookbinding and converting industry.
DowDuPont: It is the world’s largest America based chemical company for agriculture, materials science, and specialty products including adhesives and sealants. It is ranked in 37th position in terms of the list of the largest United States Public corporations.
Drytac: It is the manufacturer of the adhesive-coated products for advertising agencies. Sign-makers, commercial printers, screen printers, and others.
Dymax Corporation: It is the leading manufacturer of light-curable adhesives, coatings, and fluid dispense systems and also provide the design engineers to improve the manufacturing efficiency at low costs.
Franklin International : It is one of the largest manufacturers of adhesives and sealants in the context of the United States. It sells adhesives and solve technical problems to improve the quality and enhance the quality of the product.
H.B. Fuller: It is the leading company providing the adhesives, sealants and other chemical products globally.
The adhesives and sealant Market in the United States is growing at the rate of 2.2% because of the rising demand from the composite joints, increasing adoption in the medical sector and growing construction sector.
However, harmful health effects associated with adhesives use and strict environmental regulations about the use of the adhesives might restrain the growth of its market. So, the market players must be focused on the production of eco-friendly adhesives products.
- VOC= Volatile Organic Compound
- USD= United States Dollar
- CAGR= Compound Annual Growth Rate