Saturated Polyester Based Adhesives Market - Forecast(2024 - 2030)

Saturated Polyester Based Adhesives Market Overview

The Global Saturated Polyester Based Adhesives Market size is forecasted to reach US$ 242.3 million by 2027, after growing at a CAGR of 6.4% during the forecast period 2022-2027. Saturated polyester-based adhesives are primarily composed of liquid saturated polyester resin that is produced through a condensation reaction between polybasic acids and polyols. They are used in a wide range of applications which include glass fiber laminates, furniture, optical products, concrete flooring, automobile body, fibers, films & sheets such as polyethylene terephthalate (PET), and other applications. According to the International Organization of Motor Vehicle Manufacturers (OICA), the total global automobile production reached 80.2 billion units in 2021, an increase of 3% as compared to 77.7 billion units in 2020. An increase in demand for saturated polyester-based adhesives from the automotive and textile industries acts as the major driver for the market. On the other hand, the availability of substitutes may confine the growth of the market.

COVID-19 Impact

There is no doubt that the COVID-19 lockdown has significantly reduced manufacturing, and production activities as a result of the country-wise shutdown of manufacturing sites, shortage of labor, and the decline of the supply and demand chain all over the world, thus, affecting the market. Studies show that the outbreak of COVID-19 sharply declined the production of raw materials in 2020 due to a lack of operations across multiple countries around the world. However, the COVID-19 pandemic has increased the demand for packaging all over the world. For instance, recent insights from Flexible Packaging state that the food packaging industry witnessed a sharp increase in demand during the pandemic due to a high number of consumers turning to online groceries shopping. By the end of 2021, U.S. online grocery sales accounted for 12.4% of the country’s overall e-commerce sales. It further states that the U.S. digital grocery buyers grew up to 137.9 million in 2021, a growth of 4.8% in comparison to 2020. Supermarkets witnessed a huge surge in demand for packaging materials for the wrapping of food and other grocery products. Hence, such an increase in demand for packaging is expected to increase the demand for saturated polyester-based adhesives composed of liquid saturated polyester resin as it is primarily used for bonding films & sheets used for packaging. This is expected to lead to market growth in the forecast period.

Report Coverage

The “Saturated Polyester Based Adhesives Market Report– Forecast (2022-2027)”, by IndustryARC covers an in-depth analysis of the following segments of the Global Saturated Polyester Based Adhesives Industry.

Key Takeaways

• Film segment held a significant share in the Global Saturated Polyester Based Adhesives market in 2021. Its wide range of characteristics, air permeability, and reliable processing made it stand out in comparison to other types of adhesive forms in the market.
• Packaging industry held the largest share in the Global Saturated Polyester Based Adhesives market in 2021, owing to the increasing demand for saturated polyester-based adhesives to laminate plastic films, such as polyethylene terephthalate (PET) used for packaging. Its wide range of characteristics, high peel strength, excellent color stability, moisture resistance, and clarity is driving its demand for the production of films and sheets used in the packaging industry.
• Asia-Pacific dominated the Global Saturated Polyester Based Adhesives Market in 2021, owing to the increasing demand for saturated polyester-based adhesives from the packaging sector of the region. According to a recent study published on Interpack, Asia accounted for the highest world share of packaging sales in 2020, an increase of 7.4% in comparison to 2019.

Figure: Asia-Pacific Saturated Polyester Based Adhesives Market Revenue, 2021-2027 (US$ Million)

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Saturated Polyester Based Adhesives Market Segment Analysis – By Form

The film adhesives held a significant share in the Global Saturated Polyester Based Adhesives Market in 2021, owing to its increasing demand due to the characteristics and benefits it offers over other types of adhesive forms. Film adhesives offer a cleaner, greener, and more reliable bonding process in comparison to paste, liquid, and other forms of adhesives. It offers a simpler bonding process for a wide range of materials from textiles to plastic films & sheets along with offering additional functionalities. Moreover, it offers better flexibility, air permeability, and enhanced sound insulation, along with bubble-free lamination as compared to paste, liquid, and other forms of adhesives. Furthermore, it is highly durable and ensures stable bonding properties over a long period of time. Hence, all of these properties are driving its demand over other forms of adhesives, which in turn, is expected to boost the market growth in the upcoming years.

Saturated Polyester Based Adhesives Market Segment Analysis – By End-Use Industry

The packaging industry held the largest share in the Global Saturated Polyester Based Adhesives Market in 2021 and is expected to grow at a CAGR of 6.6% between 2022 and 2027, owing to its increasing demand from the packaging industry. According to PMMI (The Association for Packaging and Processing), the North American beverage industry is expected to increase by 4.5% from 2018 to 2028, with the United States leading the beverage packaging sector. Likewise, recent insights from the Packaging Federation of the United Kingdom state that the UK packaging manufacturing industry reached an annual sales of GBP 11 billion (US$ 15.2 billion) in 2020, owing to the increasing demand for packaging from multiple sectors of the region. 

In this way, an increase in demand for packaging is expected to increase the demand for saturated polyester-based adhesives composed of liquid saturated polyester resin as it is primarily used for bonding films & sheets used for packaging. This is expected to boost the growth of the market during the forecast period.

Saturated Polyester Based Adhesives Market Segment Analysis – By Geography

Asia-Pacific held the largest share in the Global Saturated Polyester Based Adhesives Market in 2021 up to 30%. The consumption of saturated polyester-based adhesives is particularly high in this region due to its increasing demand from the packaging sector. . For instance, China holds the largest market share around the world when it comes to food packaging. According to a recent study published on Interpack, the consumption of food packaging is expected to increase to 447,066 million in 2023. Likewise, it also states that the Chinese packaging companies such as 3D, SIP, and WLCSP alone achieved a revenue of around US$5.88 billion with end packaging.

According to the Packaging Industry Association of India, the Indian packaging industry was valued at around US$ 50.5 billion in 2019 and is expected to increase up to US$ 204.81 billion by the end of 2025. It further states that packaging is considered to be one of the industries with high growth in India and is rising at 22-25% per year. Thus, the surging growth of the packaging sector in the region is expected to increase the demand for saturated polyester-based adhesives as a primary medium for the production of films and sheets required for packaging. This is expected to accelerate the market growth during the forecast period.

Saturated Polyester Based Adhesives Market Drivers

An increase in automobile production is most likely to increase demand for the product

According to a recent study published by the German Association of Automotive Industry during the fourth quarter of 2020, the new registration of motor vehicles reached up to 16,763 units in Europe, 37,467 units in Asia, 3080 units in South America, 17,421 units in North America, 12,733 units in Western Europe, and 5180 units in other regions worldwide. Likewise, a recent study published by the International Netherlands Group (ING) states that the demand for the production and development of electric vehicles has been increasing since the pandemic. It states that the global sales of new electric vehicles have increased by 50% in 2021, and it is expected to increase by 8% in 2022. Furthermore, in 2021, Ford invested US$ 11 billion to develop new electric vehicle facilities in Tennessee and Kentucky in the United States with the aim of increasing its electric vehicle production. In March 2022, Tesla launched its first automobile plant in Germany. The plant is capable of producing 500,000 electric vehicles annually as well as batteries for the cars.

Saturated polyester-based adhesives are commonly used for bonding various components of the automobile assembly which include joining seats, spoilers, bumpers, dashboards, headlights, and other similar components. Hence, an increase in automobile production is expected to increase the demand for saturated polyester-based adhesives, leading to the growth of the market in the upcoming years.

An increase in demand from the textile industry is most likely to increase demand for the product

Saturated polyester-based adhesives are commonly used in the textile industry for bonding fabrics, owing to their properties such as excellent peel strength, moisture resistance, enhanced sound insulation along with good thermal and tensile properties. For instance, in July 2021, India announced the Non-Woven Fabric Manufacturing Expansion Project worth INR 220 million (US$ 2.9 million) in Himachal Pradesh. A recent article published on fibre2fashion states that Vietnam’s garment manufacturing business accounts for around 70% of the majority of businesses. It also states that the import of textiles and clothing by the United States increased by 26.79% up to US$ 41.689 billion during the initial five months of 2021. Likewise, the value of U.S. man-made fiber, textile, and clothing shipments reached about US$ 64.4 billion in 2020. Furthermore, in 2021, United Nations Environment Programme (UNEP) announced the commencement of a new project that is targeted to provision the approval of eco-innovation along with the use of Product Environmental Footprint (PEF) within textile SMEs in Kenya, South Africa, and Tunisia.

In this way, an increase in textile operations across the world is expected to increase the demand for saturated polyester-based adhesives composed of liquid saturated polyester resin for bonding textile fabrics, owing to its above-mentioned properties. This is anticipated to drive the growth of the market in the upcoming years.

Saturated Polyester Based Adhesives Market Challenges

Availability of substitutes can cause an obstruction to the market growth

One of the major limiting factors for the saturated polyester adhesives market is the availability of other substitutes such as epoxy adhesives. Moreover, epoxy adhesives offer higher bonding abilities in comparison to polyester adhesives. Epoxy adhesives also offer better resistance to cracks, wear, and peeling, along with better chemical resistance. Furthermore, epoxy adhesives provide excellent resistance to moisture and corrosion. In addition to this, epoxy adhesives have a longer shelf life and it is capable of lasting for several years without losing their efficiency. Owing to these properties, epoxy adhesives are commonly used in automotive, building & construction, aerospace, and other industries. Thus, the availability of such substitutes may confine the growth of the market.

Saturated Polyester Based Adhesives Industry Outlook

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the Global Saturated Polyester Based Adhesives Market. Global saturated polyester based adhesives top 10 companies are:

• 3M
• American Chemical, Inc.
• Henkel AG & Co KGaA
• Adhesive Technologies, Inc.
• Bostik, Inc.
• Daubert Chemical Company, Inc.
• Alfa International Corporation
• Ashland, Inc.
• Dynea Oy
• Avery Dennison Corporation

Recent Development

• In September 2020, IPC launches its UV printable metalized polyester film which is self-adhesive polyethylene terephthalate (PET) that can be used in a wide range of applications such as electronics, graphics, industrial, and special packaging print markets.

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