According to a new report published by Allied Market Research, titled, “Plastic Adhesives Market," The plastic adhesives market was valued at $8.3 billion in 2023, and is estimated to reach $13.4 billion by 2033, growing at a CAGR of 4.9% from 2024 to 2033.

Introduction

Plastic adhesive, commonly referred to as plastic glue or plastic bonding agent, serves the purpose of securely joining different types of plastics. Referred to as plastic glue or bonding agent, it is designed to effectively join different types of plastics. These adhesives form robust molecular bonds between plastic surfaces, facilitating strong connections. They are available in diverse forms, such as liquids, tapes, and hot melt sticks, each serving specific purposes and compatible with various materials.

One of the primary uses of plastic adhesive is in the manufacturing industry, where it is utilized in the assembly of plastic components in products ranging from electronics to automotive parts. In electronics manufacturing, plastic adhesives play a crucial role in bonding plastic housings, circuit boards, and other components together, ensuring the structural integrity of devices such as smartphones, computers, and consumer electronics.

In the electronics industry, plastic adhesives play a crucial role in the assembly of electronic devices and components. These adhesives are used to bond plastic housing components, circuit boards, and other plastic parts together, providing both structural support and electrical insulation. Plastic adhesives are also used in the repair and maintenance of electronic devices, allowing technicians to securely bond broken or damaged plastic parts back together.

Market Dynamics

Advancements in adhesive technologies are expected to drive the growth of the plastic adhesive market. Technological advancements enable the development of plastic adhesives tailored for specific applications and substrates. This versatility opens new opportunities across a wide range of industries, including automotive, aerospace, electronics, packaging, healthcare, and construction. For example, specialty adhesives formulated for bonding dissimilar plastics or for use in extreme environments can address specific market demands and expand the market's reach. In April 2024, Bostik, a leading provider of adhesive solutions under Arkema, made a strategic investment in expanding its UV acrylic hot melt pressure sensitive adhesive (UV acrylic HMPSA) capabilities. This expansion involved increasing the manufacturing of UV acrylic HMPSAs within its North American facilities, enabling the company to introduce its high-performance portfolio to the market.

Advances in bonding techniques, such as performance adhesives, structural adhesives, pressure-sensitive adhesives, and reactive adhesives, offer new possibilities for joining plastics in diverse applications. For instance, structural adhesives provide high-strength bonds suitable for load-bearing structures in automotive and aerospace applications, while pressure-sensitive adhesives offer ease of use and repositionability in consumer products and packaging. In February 2022, Arkema completed the acquisition of Ashland's performance adhesives business, bolstering its adhesive solutions segment. This acquisition, valued at $1.65 billion, expanded Arkema's portfolio to include structural adhesives. It strategically aligned with Arkema's goal of transitioning into a focused specialty materials company in 2024.

However, limited temperature resistance is expected to hamper the growth of the plastic adhesive market. In automotive manufacturing, plastic adhesives are commonly used for bonding interior trim components, exterior body panels, and structural elements. However, within the engine compartment, temperatures reach levels that exceed the capability of many plastic adhesive formulations. Bond failure under such conditions compromises the structural integrity of critical components, leading to safety hazards and operational issues. Industrial processes often involve machinery and equipment operating at elevated temperatures. Plastic adhesives used in these environments must withstand heat exposure without experiencing degradation or loss of bond strength. For example, in the manufacturing of appliances, electronics, or machinery components, adhesive failure due to temperature sensitivity results in product defects, production downtime, and increased maintenance costs.

Segments Overview

The plastic adhesive market is segmented into resin type, technology, end-use, and region. On the basis of resin type, the market is classified into epoxy, polyurethane, acrylic, silicone and others. On the basis of technology, the market is divided into solvent based, water based. By end-use, the market is categorized into automotive, construction and building, electrical and electronics, medical packaging, and others. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA.

On the basis of resin type, epoxy is the fastest growing segment in the plastic adhesive market growing with a CAGR of 5.7% during the forecast period.  Plastic adhesive in epoxy finds applications in the construction industry for bonding plastic pipes, fittings, and fixtures in plumbing and HVAC systems. It is also used for installing plastic windows, doors, and architectural elements, providing reliable bonds that withstand exposure to harsh weather conditions and environmental stressors. In February 2022, Hexion Holdings Corporation (Hexion) concluded the transaction of selling its epoxy-based coatings and composite businesses. This deal comprised the transfer of assets such as epoxy specialty resins, base epoxy resins, and intermediates product lines to Westlake Chemical Corporation for an estimated $1.2 billion.

On the basis of technology, solvent based segment is the most lucrative segment accounting for more than half of the market share in the plastic adhesives market. In the electronics industry, solvent-based plastic adhesives are utilized for bonding plastic casings, enclosures, and components in electronic devices. These adhesives offer excellent adhesion to a variety of plastics commonly used in electronics manufacturing, providing secure bonds that protect sensitive electronic components from moisture, dust, and other environmental factors.

By end-use, packaging dominated the plastic adhesive market during the forecast period. Plastic adhesive usage in packaging extends to specialized applications such as food packaging, pharmaceutical packaging, and industrial packaging. Plastic adhesives are formulated to meet specific regulatory requirements and performance standards for these applications, ensuring the safety, quality, and efficacy of packaged products.

Regional Analysis

Region-wise, Asia-Pacific dominated the plastic adhesive market. India, with its growing manufacturing sector and expanding consumer market, utilizes plastic adhesives in diverse industries such as automotive, construction, packaging, and consumer goods. The Asia-Pacific region holds significant influence in the automotive industry, being key contributors to both the production and consumption of vehicles. Plastic adhesives serve a crucial function in connecting diverse plastic parts within automobiles, spanning from interior decorations to exterior shells and structural frameworks.

In the automotive sector, Indian manufacturers employ plastic adhesives for bonding plastic components and assemblies, while the construction industry utilizes these adhesives for various building applications, including PVC pipe bonding and insulation installation.

Recent Key Developments in the Plastic Adhesive Industry

In September 2021, SpecialChem XlynX materials launched BondLynx, a class of adhesives named molecular glues. The adhesive permanently adheres to difficult-to-bond polymers such as polyethylene (PE) and polypropylene (PP). BondLynx has successfully undergone adhesive testing on a wide range of polymers and polymer-metal combinations. Remarkably, even elastomers and damp surfaces bonded with BondLynx, opening broad opportunities for novel medical and dental applications.

In February 2022, H.B. Fuller Company completed the acquisition of Apollo, a leading manufacturer specializing in liquid adhesives, coatings, and primers for the roofing, industrial, and construction sectors. This strategic move is anticipated to bolster H.B. Fuller's presence in key markets across the UK and Europe, particularly in lucrative segments known for their high value and margins. Apollo is set to integrate seamlessly into H.B. Fuller's existing business structure, operating within its Construction Adhesives and Engineering Adhesives divisions.

Competitive Analysis

The major players operating in the plastic adhesive market include Henkel Corporation, 3M, H.B. Fuller Company, SIKA CORPORATION, Arkema, Huntsman International LLC., Dow, MAPEI Corporation, Jowat Corporation, and Avery Dennison Corporation.

Key Market Insights

• By resin type, the epoxy segment is expected to be the fastest growing segment representing 5.7% CAGR in the market during the forecast period.
• By technology, water-based is expected to be the fastest growing segment at a CAGR of 5.0% from 2024 to 2033.
• By end use, electrical and electronics is expected to be the fastest growing segment from 2024 to 2033 in the market.
• By region, Asia-Pacific is expected to be the fastest growing region at a CAGR of 5.4% during the forecast period.