The liquid adhesives market is projected to grow from USD 35.8 billion in 2020 to USD 44.6 billion by 2025, at a CAGR of 4.5%, between 2020 and 2025. Liquid adhesives are the adhesives that are in fluid form or state and have low viscosity. The wetting properties of these adhesives enable us to hold the substrate so that molecular contact between the substrate and adhesive is activated. The demand for liquid adhesives is increasing in the paper, packaging & related products, building & construction, medical, assembly, etc. Liquid adhesives form an integral part of many fabricated products. They can be successfully used as a cost-effective means to replace mechanical fastening methods such as welding, brazing, or riveting. Liquid adhesives are used in motor vehicles, aircraft, appliances, electrical & electronic components, houses, bonded wood, furniture, carpets, shoes, medical, and many other applications. These adhesives for bonding non-porous substrates such as plastic, metal, rubber, and glass can create growth opportunities for the market in the coming years.

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Based on technology, the liquid adhesives market is segmented into water-based, solvent-based, and reactive & others. Based on chemistry, the water-based segment is segmented into acrylic polymer emulsion, vinyl acetate-ethylene emulsion, polyvinyl acetate emulsion, styrene-butadiene latex, polyurethane dispersions, and others. The solvent-based segment is classified into synthetic rubber, polyamide, and others. The reactive & others segment is segmented into polyurethane, epoxy, cyanoacrylate, methyl methacrylate, anaerobic, and silicone. Reactive liquid adhesive is the fastest growing technology segment in terms of volume and value, due to the increasing demand for high-grade liquid adhesives in the aerospace and automotive industries.

Based on end-use industry, paper, packaging & related products is estimated to account for the largest share during the forecast period. The growth of this segment can be attributed to the increased use of liquid adhesives in a wide variety of paper bonding applications ranging from corrugated box construction and the lamination of printed sheets to packaging materials used in all types of consumer products and the production of large industrial tubes and cores. Liquid adhesives are also extensively used in building & construction applications such as ceramic tile & flooring installation, pipe cement, roofing, and wall coverings. These factors are driving the usage of liquid adhesives in these end-use industries.

The market in APAC is projected to register high growth, and the trend is projected to continue during the forecast period. The growth of the market can be attributed to the growing population and urbanization in the region. The emerging economies, such as India, China, and South Korea, are investing in various industrial developments that are also driving the liquid adhesives market.

The markets in most of the developed economies, including the US, Germany, the UK, France, and Japan, have reached the maturity stage. As a result, most of the market players are focusing on countries that offer sustained demand to avoid a decline in their sales. The major challenges for global adhesives manufacturers include economic uncertainty, fluctuation in raw material prices, the US-China trade war, the impact of COVID-19, slow economic growth, decline in automotive production & demand, and reduction in consumer expenditure.

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The liquid adhesives market has various small, medium, and large players. Some of the major market players include Henkel AG (Germany), Avery Dennison Corporation (US), H.B. Fuller (US), The 3M Company (US), Arkema (France), and Sika AG (Switzerland) among others, have framed their strategies to penetrate and create bases in these emerging markets. Moreover, major companies are focusing on strengthening their R&D facilities to provide efficient and sustainable products. These products are manufactured adhering to regulations implemented by associations and governments. All such developments are expected to lead to the sustainable development of players in the liquid adhesives market over the next five years.

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