Reflective Tape Market Expected to Reach $6.8 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Reflective Tape Market," The reflective tape market was valued at $3.5 billion in 2021, and is estimated to reach $6.8 billion by 2031, growing at a CAGR of 6.9% from 2022 to 2031.

Reflective tape is a self-adhesive, reflective, safety unique tape, and illuminating material that bonds instantly on plastic, metals, cement, wood, fiber, and provides permanent adhesions. It possesses strong adhesion, UV resistant, reflectivity, and waterproof quality due to which it is used as a protective, safety, and effective indicator in various end-use sectors such as building & construction, automotive & transportation, packaging, industrial, electrical & electronics, and others.

Increase in investments in building infrastructure in countries such as the U.S., China, Japan, Mexico, and India, has led the building & construction sector to witness a significant growth where reflective tapes are used for flooring, indoor & outdoor applications, mounting wall, and roofing applications. In addition, sustainable economic growth coupled with increasing demand for consumer goods has led the automotive & transportation sector to witness a significant increase in demand where reflective tape is widely used for UV and moisture protection applications in under hood parts, engine components, interior of containers, and storage vessels. These factors are anticipated to contribute toward the global market growth.

However, availability of alternative substitute over reflective tape may hamper the growth of reflective tape market. In response to this, several acts and government norms on use of reflective tape are expected to act restraining factor for the growth of reflective tape market. These factors are expected to restrain the market growth during the forecast period.

The emergence of reflective tape in industrial sector has enhanced the performance of reflective tape during the forecast period. Furthermore, several manufactures have increased their production capacities for reflective tapes due to its high demand in manufacturing plants, construction sites, factories, and petrochemical sector. For instance, reflective hazardous warning tape from Acme Supplies Limited, are widely used as safety measures, effective indicator, and signage in factories, chemicals industry, construction sites, and among others.  This is anticipated to increase the sales of reflective tape in petrochemical and manufacturing plants; thus, creating lucrative opportunities for the market.

The reflective tape market is segmented on the basis of material type, product type, application, and region. By material type, the market is segregated into plastic resin, foam, rubber, silicone, and others. The plastic resin segment dominated the global market in terms of revenue in 2021, with 31% of the total share. The plastic based red retro-reflective tapes are micro-prismatic with high strength and high tenacity due to which it is widely used in manufacturing of heavy vehicles. In addition, it is useful in preventing leakage and fill cracks & joints of various plastic based components. Reflective tapes are good source of illumination and reflection and moreover, it is visible during night time owing to which it is used as traffic sign material and safety conspicuity. These factors are increasing the overall potential sales of reflective tape in near future..   

By product type the market is categorized into single-sided reflective tape and double-sided reflective tape. The double-sided reflective tape segment dominated the reflective tape market in 2021, with total share of 63%. Double-sided reflective tape is easy peelable and double coated adhesive tape that are used mainly in outdoor and indoor applications, as a safety measures and warning signage. There are different types of double-sided reflective tapes such as rubber based double-sided reflective tape, double-sided butyl tape, double-sided box reflective tape, and among others are widely used in building and construction industry, automotive, and packaging industry.

By end-use industry, the market is fragmented into building & construction, automotive, sports & leisure, marine, and others. The building & construction segment dominated the global market in terms of revenue in 2021, with 33% of the total share. Reflective tapes are used as safety measures in various residential and commercial building & construction sites such as hotels, hospitals, homes, flats, warehouses, showrooms, garages, and offices, for protecting pipelines and sealing warehouse floors. Growth in demand for building & construction activity, increase in government focus toward adoption of underground parking, and subway station have escalated the demand for reflective tape where it is used as effective indicator on ledges, steps, bollards and posts. These factors are expected to drive the market growth in upcoming years.

Region-wise, the reflective tape market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. The Asia-Pacific reflective tape market size is projected to grow at the highest CAGR during the forecast period, and accounted for a major reflective tape market share in 2021. The rising building & construction, chemical manufacturing, marine, packaging, automotive, and other sectors have enhanced the performance of the reflective tape in the Asia-Pacific region. China's consumer electronics sector is increasing rapidly, which in turn has enhanced the performance of the reflective tape market in the region. The use of reflective tape in sectors such as consumer electrical & electronics, automotive, packaging, building & construction, industrial, and others, is the major key market trend in the Asia-Pacific region. In addition, countries such as India and Australia are constantly engaged in building highways and high-speed railway tracks which in turn has led the automotive sector to witness a significant growth. This may foster the demand for reflective tape market in the growing automotive sector.  

Key players operating in the global reflective tape market include includes The 3M company, Acme Supplies Limited, Ajit Industries Pvt. Ltd., DuPont, GOMEC, Henkel AG & Co, Honeywell International Inc., HS Tape, Kohinoor Enterprises, Nitto Denko Corporation, ORAFOL Europe GmbH, REFLOMAX, Scapa Group plc, Shiva Industries, and TapeIndia.

Key findings of the study:

• By material type, the plastic resin segment is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 7.4% from 2022 to 2031.
• By product type, double-sided reflective tape segment is holds highest growth rate, in terms of revenue, registering a CAGR of 7.1% from 2022 to 2031.
• By end-use industry, the building and construction end user industry segment is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 7.1% from 2022 to 2031.
• By region, Asia-Pacific garnered the highest share of 46% in 2021, in terms of revenue, growing at a CAGR of 7.8%.