Global Automotive Adhesive Market to Be Valued at US$ 7 Bn by 2030



The global market for automotive adhesives is projected to reach a valuation of US$ 7 billion by the end of 2030.

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The global market for automotive adhesives is projected to reach a valuation of US$ 7 billion by the end of 2030. The sector has been adversely affected by the ongoing COVID-19 outbreak, owing to lockdowns and restrictions on automotive production and raw material supply chains, which has hurt the production and delivery of automotive adhesives.

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However, the industry is expected to reflect steady growth in the near future, supported by investments towards product development aimed at longer durability and eco-friendliness, and transition by the automotive industry towards sustainability through hybrid and electric vehicles.

Leading participants in the automotive adhesive market are focused on product improvements and long-term contracts with major end-user entities to improve their product offerings and maintain revenue streams, aiding their overall growth in the global market space.

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Key Takeaways from Automotive Adhesive Market Study

  • The global automotive adhesive market is projected to expand at a 5% CAGR through 2030, with more than 10 pounds of adhesives being increased per car, as compared to vehicles a couple of decades ago.
  • In terms of adhesive type, structural adhesives will account for a major revenue contributions till 2030, owing to the diminishing popularity of conventional spot welds in the automotive industry.
  • As per end use, upholstery and powertrain applications are reflecting relatively faster growth in the automotive adhesive market, owing to demand in electric and hybrid vehicles and growing importance of interiors in aesthetics and comfort.
  • Asia Pacific is projected to hold a major market share in the automotive adhesives sector, aided by the expansion of regional facilities by key international market players seeking to leverage the massive automotive industries of India and China, in addition to low labor and material costs.
  • With sluggish activities going on in automotive and manufacturing industries, demand for automotive adhesives will be adversely affected in the near term.

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With frequent advancements in automotive technology, and a wide range of materials for interior components and electronics, demand for adhesives has shot up, particularly in emerging economies such as China and India. However, mature markets in North America and Europe will witness steady albeit slower growth over the coming years,” says a Fact.MR analyst.

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Product Development and Industry Collaborations Remain Crucial

Leading players in the automotive adhesive market include Henkel AG & Co., KGaA, Arkema S.A., DuPont, Huntsman International LLC, Sika AG, Jowat SE, Dow Inc., 3M, Ashland, H.B. Fuller Company, and Franklin International, among others. The market is moderately fragmented, and the industry has largely been characterized by product development and industry partnership strategies.

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