Global Pressure Sensitive Adhesives Market:High demand for pressure sensitive adhesives from the packaging and medical & healthcare industries owing to the widespread COVID-19.

Published Date: 12/05/2021

The global pressure sensitive adhesives market size is projected to grow from USD 9.9 billion in 2020 to USD 13.96 billion by 2027, at a CAGR of 6.5% during the forecast period. There exists a high demand for pressure sensitive adhesives from the packaging and medical & healthcare industries owing to the widespread coronavirus pandemic. PSA is a type of non-reactive adhesive, which forms a bond when pressure is applied to bond a surface with an adhesive. The special feature of PSAs is that they do not solidify, but remain viscous. As a result, they remain permanently tacky and have the potential to wet surfaces on contact. Wide acceptance owing to their ease of adaptability, their growing use in tapes and labels, and their high demand in APAC are driving the market for PSAs.

The market is anticipated to be driven by the significant demand for pressure sensitive tapes and labels from the packaging industry. Pressure sensitive adhesives (PSAs) are easy to use and have the ability to tackle adhesion challenges in a variety of substrates and coatings in packaging industry.

Packaging requirements are becoming increasingly complex, especially in the food & beverages industry, due to product proliferation and rising competition. This will open new avenues for the market as PSAs offer the flexibility to meet these complex requirements. PSAs are also used in other industries, such as automotive, wherein it finds applications in safety and warning labels and component identification labels in the supply chain.

About 1 square meter of label is typically used in an average car, wherein only 10 to 15% of the labels are tire pressure and warning labels, which are visible to car owners. The rest of the labels, that remain unseen to the car owner, are applied on automotive parts. They are used to denote the part number and product sepecification, during its assembly.

However, increasing prices of raw materials is the significant factor affecting the manufacturers, which may hinder market growth. The primary raw materials used in the manufacturing of PSAs include acrylic polymers, rubber based polymers, silicone polymers, tackifiers, and additives.

The key players of pressure sensitive adhesive market include Henkel AG & Company KGAA (Germany), The Dow Chemical Company (US), Avery Dennison Corporation (US), H.B. Fuller (US), 3M Company (US), Arkema Group (France), Sika AG (Switzerland), Scapa Group PLC (UK), and Ashland Inc., (US). Henkel AG & Company KGAA (Germany), is one of the largest pressure sensitive adhesive companies. This company manufactures customized solutions catering to particular industries and applications. The company has leveraged its strong financial background and distribution network to expand its business across countries of AAPC, North America, and Europe

APAC is the largest and the fastest-growing market in the global PSAs market. Countries, such as China, India, Japan, and South Korea, have a prime role in the PSAs market in this region. Global growth is expected to be fueled by China, which was the largest market for PSAs in APAC in 2019. This region encompasses a diverse range of economies with different levels of economic development and a large variety of industries. The key industries in this region include manufacturing, mining, semiconductors, electronics, oil & natural gas, textiles, automobiles, financial services, pharmaceuticals, and telecommunication. Packaging and FMCG sectors are growing at a very fast pace due to the increasing needs of the population. The automotive, electronics, and packaging industries are continuously boosting the PSA market in this region.