Hot Melt Adhesives Market Size, Share, Opportunities, And Trends By Product Type (Ethylene Vinyl Acetate, Amorphous Poly Alpha Olefin, Polyamide, Polyurethanes, Styrenic Block Copolymers, Others), By End-User Industry (Packaging, Automotive, Construction, Textiles, Travel And Transport, Others), And By Geography - Forecasts From 2024 To 2029

The hot melt adhesives market is expected to grow at a CAGR of 4.26% during the forecast period, reaching US$11.910 billion in 2029 from US$8.892 billion in 2022.

Industrial grade adhesives that are thermally melted and then allowed to cool to obtain their adhesive characteristics are known as hot melt adhesives (HMA). They are typically composed of one or more polymers and several additives, such as resins and pigments, that give individual adhesives their distinct features. Packaging, product assembly, carpentry, bookbinding, and product labelling are among the sectors and applications where they are used.

Hot Melt Adhesives Market Trend

The global hot melt adhesives market is expected to grow substantially due to its increasing adoption in packaging and the automotive industry. The demand for hot melt adhesives has also increased due to innovations in automotive technology, leading to increased market size. However, environmental concerns over such adhesives may decrease demand. The Asia Pacific region has been reported to have the largest market share due to the rapid developments in countries like China, India, and Japan, and it is expected to continue leading the market in the forecasted period.

HOT MELT ADHESIVES MARKET DRIVERS:

• Increase in Online Shopping and Delivery

The increase in e-commerce and delivery activities affects the HMA market to a large extent. Online purchasing trends are steadily increasing, with shoppers preferring a wider range of products that can be ordered from the comfort of their homes or offices, therefore requiring the proposal of efficient packaging solutions. Hot melt adhesives are integral to this sector, as they are widely used in packaging applications such as sealing boxes, attaching labels, and ensuring the integrity of shipments. Due to the short setting time and good bonding properties, HMAs are suitable for high-line production, which is crucial for online selling. However, hot melt adhesive rather than solvent bond use is increasing because of its environment-friendly disposition and safety. They are solvent-free, which aligns with the increasing consumer and regulatory demand for sustainable practices in manufacturing and packaging. The versatility of hot melt adhesives extends beyond packaging. They are also utilized in various applications across automotive, construction, and non-woven hygiene products, further contributing to market growth.

This increase in online shopping and e-commerce growth has led to increased usage of packaging equipment and processes and increased demand for the hot melt adhesive market. According to the UK’s Office for National Statistics, 28.1% of the total retail sales were internet sales, an increase of almost 9% from the previous year. In 2021, internet sales accounted for 30.7% of total retail sales, an increase of more than 2%. Furthermore, the retail sales for 2022, 2023, and 2024 were 25.8%, 25.6% and 26.2T% respectively indicating growth. According to Barclaycard UK, the takeaway sector recorded an increase in expenditure of 11.4% due to the pandemic. The packaging sector has grown substantially with the prevalence of online shopping and food delivery, which is expected to increase the demand for the hot melt adhesive market.

Hot Melt Adhesives Restraints

• Better Alternatives

Industrial adhesives are used by manufacturers and distributors worldwide. A trustworthy adhesive is important, whether for binding books, packing items, applying labels, or manufacturing paper products. However, hot melt adhesives are not environmentally friendly. Hence, more industries are now exploring plastic-free glue alternatives. As they evaluate the impact of utilizing plastics in their products, the demand for hot melt adhesives may suffer. Industries like packaging have already implemented environment-friendly alternatives to hot melt adhesives.

Gelatin-based glue is biodegradable and comes from sustainable sources, such as recycled pharmaceutical capsule netting. Most hot melts, on the other hand, are neither biodegradable nor environment-friendly since they use substances like polyurethane, EVA, and polyolefins. Manufacturers are increasing their use of natural glues and other plastic-free raw materials in response to customer demand. Companies that have introduced gelatine-based glues are now experiencing a surge in demand for such products, which might, in turn, reduce the demand for hot melt adhesives.

Moreover, hot melt adhesives are expensive, and owing to the recent price hike in raw materials for hot melt adhesives, the prices have yet to increase. The price hike is due to the global shortage of raw materials in various sectors. This has also led to a shortage of adhesives on a global scale and has affected many industries and the global economy. Most companies have reported a 4% - 20% increase in their product prices. Additionally, with the introduction of better alternatives for traditional hot melt glues, the market may face a serious decline. LD Davis, a gelatine-based glue manufacturer, has claimed that gelatin-based glues would be substantially more economical and efficient than traditional hot melt adhesives.

The hot melt adhesives market key developments:

• April 2023: Avery Dennison and Dow collaborated to develop an innovative and sustainable new hot melt label adhesive solution. This enables polyolefin film labels and polypropylene (PP) or polyethylene (PE) packaging to be mechanically recycled together in one stream. It is based on AFFINITY™ GA Polymers from Dow and sold by Avery Dennison under the name CF3050 in Europe, the Middle East, and North Africa (EMENA).
• June 2022: Henkel expanded its hot melt adhesives manufacturing facilities by opening a plant in Nuevo Leon, Mexico.
  

The hot melt adhesives market is segmented and analyzed as follows:

• By Product Type
  • Ethylene Vinyl Acetate
  • Amorphous Poly Alpha Olefin
  • Polyamide
  • Polyurethanes
  • Styrenic Block Copolymers
  • Others
• By End-User Industry
  • Packaging
  • Automotive
  • Construction
  • Textiles
  • Travel and Transport
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • United Kingdom
    • Germany
    • France
    • Italy
    • Spain
    • Rest of Europe
  • Middle East and Africa
    • Saudi Arabia
    • Saudi Arabia
    • United Arab Emirates
    • Rest of the Middle East and Africa
  • Asia-Pacific
    • China
    • India
    • Japan
    • South Korea
    • Taiwan
    • Thailand
    • Indonesia
    • Rest of Asia-Pacific

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base and Forecast Years Timeline

1.8. Key benefits for the stakeholders

2. RESEARCH METHODOLOGY  

2.1. Research Design

2.2. Research Process

3. EXECUTIVE SUMMARY

3.1. Key Findings

3.2. Analyst View

4. MARKET DYNAMICS

4.1. Market Drivers

4.1.1. Increasing demand from the packaging industry

4.1.2. Rising Demand from Construction Sector

4.1.3. Other Drivers

4.2. Market Restraints

4.2.1. Volatility in Raw Material Prices 

4.2.2. Threats from Substitutes

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. The Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

5. HOT MELT ADHESIVES MARKET BY PRODUCT TYPE

5.1. Introduction

5.2. Ethylene Vinyl Acetate

5.3. Amorphous Poly Alpha Olefin

5.4. Polyamide

5.5. Polyurethanes

5.6. Styrenic Block Copolymers

5.7. Others

6. HOT MELT ADHESIVES MARKET BY END-USER INDUSTRY

6.1. Introduction

6.2. Packaging

6.3. Automotive

6.4. Construction

6.5. Textiles

6.6. Travel and Transport

6.7. Others

7. HOT MELT ADHESIVES MARKET BY GEOGRAPHY

7.1. Global Overview

7.2. North America

7.2.1. United States

7.2.2. Canada

7.2.3. Mexico

7.3. South America

7.3.1. Brazil

7.3.2. Argentina

7.3.3. Rest of South America

7.4. Europe

7.4.1. United Kingdom

7.4.2. Germany

7.4.3. France

7.4.4. Italy

7.4.5. Spain

7.4.6. Rest of Europe

7.5. Middle East and Africa

7.5.1. Saudi Arabia

7.5.2. United Arab Emirates

7.5.3. Rest of the Middle East and Africa

7.6. Asia-Pacific

7.6.1. China

7.6.2. India

7.6.3. Japan

7.6.4. South Korea

7.6.5. Taiwan

7.6.6. Thailand

7.6.7. Indonesia

7.6.8. Rest of Asia-Pacific

8. COMPETITIVE ENVIRONMENT AND ANALYSIS

8.1. Major Players and Strategy Analysis

8.2. Market Share Analysis

8.3. Mergers, Acquisitions, Agreements, and Collaborations

8.4. Competitive Dashboard

9. COMPANY PROFILES

9.1. 3M

9.2. Avery Dennison Corporation

9.3. H. B. Fuller

9.4. Huntsman Corporation

9.5. Hexcel Corporation

9.6. Bostik Inc.

9.7. Dynea Oy

9.8. Jowat SE

9.9. Henkel Adhesives AG & Co

3M

Avery Dennison Corporation

H. B. Fuller

Huntsman Corporation

Hexcel Corporation

Bostik Inc.

Dynea Oy

Jowat SE

Henkel Adhesives AG & Co