According to a study by the consulting firm Kusumgar, Nerlfi & Growney, global consumption of formulated adhesives was 10.24 MM tons in 2014 worth $29.4 billion. Volume has increased modestly since the 2009 recession and a 5% annual rate of growth is forecast through 2019. Growth in Europe and North America is forecast at a mature 2% annual rate while the Asia-Pacific region, led by China, is forecast to expand at an 8% annual rate.
China represented two-thirds of the formulated adhesive volume in the Asia-Pacific region in 2014 and 32% of the global share. Adhesive growth in China is moderating but a still robust 8% annual rate of increase is forecast through 2019. Japan is the second largest consumer in Asia-Pacific with 8% of the volume with growth forecast at only 1%/yr. India is third in the region with 6% of the volume but will surpass Japan by 2019 owing to its forecast double digit rate of growth.
Brazil is the leading consumer of adhesives in South and Central American countries accounting for over 60% of the region’s volume. A modest 5% annual rate of growth is forecast for Brazil and the region. Figure 1 shows the global consumption of formulated coatings by region.
Pressure sensitive products (tapes, labels, decals, etc.) are the largest end use for formulated adhesives representing 27% of the volume in 2014 (Figure 2). Packaging tapes is the largest end use with modest growth prospects but many specialized applications are growing faster. Packaging is the second largest adhesive end use with 22% of the volume and a 4% yearly rate of growth is forecast. Flexible packaging was 15% of the packaging volume and one-quarter of the value and is growing 6%/yr.
Woodworking was an outlet for 19% of the adhesive tons and includes furniture, building products and other applications. Construction was the other larger volume adhesive end use with 14% of the volume. The top four formulated adhesive end uses combined for 82% of the volume in 2014 and 63% of the dollars. Smaller, higher dollar value, end uses include aerospace, electronic, disposable products, windmill blades, etc.
