Global Analysis of the Hot Melt Adhesives Market Asia-Pacific Market is Likely to Maintain Growth Momentum
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September 2013
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Research Team
Sandeepan Mondal Industry Analyst
Chemicals, Materials & Foods
91-80-6702-8070
S d M d l
Lead Analyst Research Director
Leonidas Dokos Research Director
Chemicals, Materials & Foods
(44)-(0)-1865-398-685
Special Thanks
Deepan Kannan Industry Manager
Deepak Karthikeyan Industry Analyst
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Contents
Section Slide Number
Executive Summary 4
Market Overview 8
Introduction to Hot Melt Adhesives 15
Total Hot Melt Adhesives Market -
• Drivers and Restraints 24
• Forecasts and Trends 32
• Market Share and Competitive Analysis 48
North American Hot Melt Adhesives Segment 56
European Hot Melt Adhesives Segment 78
Asia-Pacific Hot Melt Adhesives Segment 100
The Last Word 122
Appendix 125
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Executive Summary
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Executive Summary
• The global hot melt adhesives (HMA) market is expected to grow from $3,561.6 million in
2012 to $5,013.5 million in 2019 at a compound annual growth rate (CAGR) of 5.0%.
• Although the contribution of Asia-Pacific market for hot melts is meagre compared to other
regions, it is better positioned to have high growth for hot melt formulations.
• Overall, ethylene-vinyl acetate- (EVA) and polyolefin-based HMAs are likely to dominate
throughout the forecast period and there is a substitution trend between the 2 chemistries
as supply of their raw material dictates.
• HMA prices will increase, but it will not be a substantial increase as in 2010 and 2011
because of supply shortages and diversion of raw materials to more profitable end markets.
• From the application point of view, packaging and non-rigid bonding will continue to
dominate among all end-user applications because of steady growth in these sectors, while
automotive, tapes, and construction will have greater growth rates because of higher
penetration of reactive and pressure sensitive hot melts.
Source: Frost & Sullivan
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Executive Summary—Market Engineering Measurements
Market Stage
Growth
Market Revenue
$3,561.6 M
(2012)
Market
Units/Volume
818.6 kT
(2012)
Average Price
per Kilogram
$4.4
Market Size for
Last Year of
Study Period
$5,013.5 M
(2019)
Base Year
Market Growth
Rate
7.6%
Compound
Annual Growth
Rate
5.0%
(CAGR: 2012–2019)
Market
Concentration
76.1%
Degree of
Technical
Change
7
(scale: 1 [Low] to 10 [High])
Total Hot Melt Adhesives Market: Global, 2012
Stable Increasing Decreasing g
(% of market share held by top 4 companies)
For a tabular version click here.
Number of
Competitors
30-40
(active market competitors in base year)
Market Overview
Note: All figures are rounded. The base year is 2012. Source: Frost & Sullivan
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Executive Summary—CEO’s Perspective
2 EVA and polyolefins are likely to remain the dominant base polymer chemistries used in hot melts globally.
3
Technological advancements are focusing on extending open times, lowering odour, and enabling lower density and higher green strength.
4 The price of HMAs is likely to increase, but there would be a decrease in the total cost of ownership for the customer.
5 The HMAs market is highly consolidated due to a series of mergers and acquisitions (M&A) that took place in the past 4 years.
1 Global HMAs market is likely to expand at a single-digit growth rate.
Source: Frost & Sullivan