April 24, 2024

Packaging Adhesives Market is Growing in Importance Due to Increasing E-Commerce Sales

Packaging adhesives are bonding materials used to join various packaging components including boxes, cartons, bags and wrappers. Adhesives offer numerous advantages over conventional assembly techniques like stapling, sewing or welding by providing leak and moisture proof packaging solutions. The growing e-commerce industry is driving demand for attractively designed, easy to open yet durably sealed packages which has increased the relevance of packaging adhesives.

The global packaging adhesives market is estimated to be valued at US$ 9.81 Bn in 2024 and is expected to exhibit a CAGR of 4.4% over the forecast period 2024 to 2031.

Key Takeaways

Key players: Key players in The Packaging Adhesives Market include Solvay, Sakai Chemical Industry, Quimicos Aragonesas, Jinyan Strontium Industry, Joyieng Chemical, Hongkong XinRunDe Chemicals, Huaqi Fine Chemical, Barium & Chemicals, American Elements, ABASSCO.

Key opportunities: Growing e-commerce sales and demand for sustainable, innovative packaging solutions from FMCG companies present significant opportunities for adhesive manufacturers. Innovation in adhesive technologies to enable recyclable and compostable solutions will accelerate market adoption.

Global expansion: Leading players are expanding production capacity and distribution networks across Asia Pacific, Latin America, Middle East and North Africa to capitalize on high growth opportunities. Mergers and acquisitions help companies gain access to new geographies and product portfolios.

Market drivers
Rising e-commerce sales: Increasing online shopping is driving demand for robust, appealing and easy open/resealable packaging. Adhesives offer durable and customized solutions matching online packaging needs. This is a major growth driver for the market.

PEST Analysis

Political: Various government policies and regulations such as legislation on hazardous chemicals and strict environment protection acts impact the packaging adhesives market. Government initiatives to boost manufacturing also support market growth.
Economic: Factors like changing GDP, disposable income, and growth in end-use industries drive the economic growth of the packaging adhesives market. Growth in e-commerce is fueling market demand.
Social: Changes in lifestyle and shopping habits increase the demand for packaged and convenient food products boosting the packaging adhesives market. Growth in nuclear families increases the consumption of packaged goods.
Technological: New product innovations in terms of adhesive chemistry and applications expand market scope. Developments in adhesive application technologies improve production efficiency.

The Asia Pacific region holds the largest value share in the packaging adhesives market owing to robust growth in the manufacturing sector. China dominates the Asia Pacific market supported by a well-established manufacturing base and growing exports.

North America is projected to be the fastest growing regional market between 2024 to 2031 driven by high demand from the food and beverage industry in the US and Canada. Growth in e-commerce is also propelling adhesive demand for packaging applications in the region.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it