|
Forecast
Period
|
2026-2030
|
|
Market
Size (2024)
|
USD
574.03 Million
|
|
Market
Size (2030)
|
USD
737.40 Million
|
|
CAGR
(2025-2030)
|
4.22%
|
|
Fastest
Growing Segment
|
Polyurethane
|
|
Largest
Market
|
South
Central
|
Market Overview
China Automotive Adhesives Market was
valued at USD 574.03 Million in 2024 and is expected to reach USD 737.40
Million by 2030 with a CAGR of 4.22% during the forecast period. The automotive adhesives market plays
an essential role in the broader adhesives market in China, contributing
significantly to its overall growth. Adhesives are widely used in diverse
sectors, including construction, automotive, and packaging. The versatility and
reliability of adhesives make them a preferred choice for various applications
in these industries. However, the utilization of adhesives in the automotive
industry is increasingly dominating the market, driven by the unique demands
and requirements of this sector.
Several factors are driving the growth of the
automotive adhesives market in China. One key factor is the increasing adoption
of lightweight materials in the automotive industry. As automakers strive to
improve fuel efficiency and reduce emissions, the use of lightweight materials
such as aluminum, composites, and plastics has become more prevalent. These
lightweight materials offer benefits such as improved fuel economy and enhanced
performance. However, their successful integration and assembly in vehicles
necessitate the use of high-performance adhesives. This demand for specialized
adhesives tailored to lightweight materials is expected to continue to drive
the market forward.
Government initiatives are also playing an
instrumental role in the market's growth. The Chinese government has been
implementing policies to promote the manufacturing sector, including the
automotive industry. These policies aim to enhance domestic production
capabilities, increase technological innovation, and strengthen the
competitiveness of Chinese automakers in the global market. As a result, there
has been rapid industrialization and expansion in the automotive sector,
leading to increased demand for automotive adhesives. The China Automotive Adhesives
Market is a dynamic and competitive sector that offers numerous opportunities
for growth and innovation. The market's growth is driven by the increasing
adoption of lightweight materials, government initiatives, and a strong focus
on research and development. As the automotive industry continues to evolve and
advance, the demand for specialized adhesives that can meet the unique
requirements of modern vehicles will continue to rise, presenting exciting
prospects for the automotive adhesives market in China.
Key Market Drivers
Growth in Automotive Industry
One of the key factors driving the growth of the
automotive adhesives market in China is the increasing use of lightweight
materials in car manufacturing. As automotive manufacturers strive to enhance
fuel efficiency and reduce emissions, they are turning to these lightweight
materials. Consequently, the demand for high-performance adhesives capable of
effectively bonding these materials has surged. In 2022, YG ventured into the automotive
film industry by establishing a 120-acre production facility dedicated to
automotive adhesive film materials, which includes a 4,000-square-meter Class
1000 cleanroom. This facility covers the entire production process, from base
material manufacturing to calendering and coating. In 2023, YG introduced TPU
paint protection film, TPU color casting film, and PET color change film. By
2024, the company launched the “TUNI” brand, with the goal of bringing Chinese
automotive films to the global market and benefiting millions of car owners
worldwide.
Furthermore, advancements in adhesive technologies
have significantly contributed to the expansion of the market. Ongoing innovations
in this field have led to the development of more efficient and cost-effective
adhesive solutions, meeting the evolving needs of the automotive industry.
These advancements have not only improved the performance and durability of
adhesives but have also enhanced design flexibility.
Government initiatives have played a crucial role
in fostering the growth of the automotive adhesives market in China. Various
policies aimed at promoting the manufacturing sector have led to rapid
industrialization, consequently increasing the demand for automotive adhesives.
The government's support has created a favorable environment for the market to
thrive and expand. In April 2021, DuPont announced today
that it will invest around USD 30 million to establish a new manufacturing
facility in Zhangjiagang, Jiangsu Province, East China. The facility will
produce adhesives to support customers in the transportation industry, with a
focus on two major industry trends: vehicle electrification and lightweighting.
Construction is set to begin in Q3 2021, with the facility expected to be
operational by early 2023.
China's emergence as the largest automotive
producer globally has not only benefited the country's automotive industry but
also its automotive adhesives market. With car production showing no signs of
slowing down, the demand for automotive adhesives in China is well-positioned
for continued growth. The growth of China's automotive
industry serves as a significant driver for the expansion of the automotive
adhesives market. As the industry continues to evolve and embrace new
technologies and materials, the demand for advanced automotive adhesives is
expected to rise, propelling further growth in this dynamic market.
Surge in Technological Advancements
The automotive adhesives market is a vital and
integral component of car manufacturing, playing a crucial role in various
aspects such as weight reduction, improved stress distribution, and enhanced
design flexibility. As China continues to hold the position of the largest car
producer globally, the demand for automotive adhesives remains consistently
high. In October 2022, H.B. Fuller officially
opened a new technical center at its plant in the Yonghe sub-district of
Guangzhou, China. This new center strengthens the company’s R&D
capabilities in the Asia Pacific region, enabling H.B. Fuller to better serve
its customers and markets. It will significantly accelerate the growth of the
company’s businesses in various sectors, including hygiene, packaging, medical,
automotive, woodworking, industrial assembly, and consumer electronics across
the Asia Pacific region.
Technological advancements have paved the way for
the development of more efficient and cost-effective adhesive solutions. These
innovative adhesive solutions are designed to meet the evolving needs of the
automotive industry, particularly in response to the increasing utilization of
lightweight materials aimed at improving fuel efficiency and reducing
emissions. Consequently, the demand for high-performance adhesives capable of
effectively bonding these lightweight materials has experienced a significant
surge, driving the continued growth of the automotive adhesives market.
Moreover, the rapid progression of digital
technologies has also played a pivotal role in shaping the growth trajectory of
the automotive adhesives market. The global COVID-19 pandemic has acted as a
catalyst for the widespread adoption of digital technologies across various
sectors, including the automotive industry. The application of these digital
technologies in manufacturing processes, including the production of automotive
adhesives, has resulted in enhanced efficiency, productivity, and overall
operational effectiveness.
Furthermore, emerging technologies such as
industrial robots, artificial intelligence (AI), and machine learning are
advancing at an unprecedented pace. These transformative technologies hold
immense potential to revolutionize the production processes within the
automotive adhesives market, further augmenting its growth potential and paving
the way for new possibilities and opportunities.
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Key Market Challenges
Complexities Associated with High Performance and
Durability Requirements
Automotive adhesives play a crucial role in the
construction of vehicles, offering numerous advantages over traditional
mechanical fasteners. These adhesives not only contribute to weight reduction
but also improve stress distribution and provide enhanced design flexibility.
However, meeting the stringent performance criteria for these adhesives is no
easy task. They must exhibit resistance to high temperatures, corrosion, and
vibration, ensuring their durability under harsh operating conditions.
Manufacturers face constant challenges in
developing adhesives that can withstand these demanding conditions while
maintaining their bonding capabilities. Achieving such high-performance
adhesives requires extensive research and development efforts, which, in turn,
lead to increased costs.
Adding to the complexity is the introduction of
lightweight materials in the automotive industry. These materials, adopted to
enhance fuel efficiency and reduce emissions, necessitate the use of special
types of adhesives. The development of adhesive solutions that can effectively
bond these lightweight materials without compromising durability is a complex
and intricate task.
Furthermore, the ever-evolving safety regulations
and environmental standards impose additional challenges on manufacturers in
the automotive adhesives market. Ensuring that their products meet these
standards requires meticulous attention to detail and thorough testing, further
complicating the landscape.
In addition to these challenges, the automotive
industry's shift towards electric vehicles (EVs) introduces a whole new set of
requirements. EVs have different design and manufacturing needs compared to
traditional vehicles. Therefore, the development of new adhesive solutions tailored
to these specific requirements becomes imperative.
The automotive adhesives market is
continuously evolving, driven by the need to meet demanding performance
criteria, adapt to lightweight materials, comply with safety regulations, and address
the unique requirements of electric vehicles. This dynamic landscape calls for
ongoing innovation and collaboration within the industry to develop advanced
adhesive solutions that meet the ever-growing demands of the automotive sector.
Key Market Trends
Growing Emphasis on Lightweighting
As the largest car producer globally, China's
automotive industry plays a pivotal role in driving the country's economy. With
a growing emphasis on sustainability and reduced carbon emissions, the industry
has experienced a significant shift towards lightweight vehicles.
This shift towards lightweight vehicles has led to
an increased demand for automotive adhesives, which offer numerous advantages
over traditional mechanical fasteners. These adhesives play a crucial role in
vehicle assembly, allowing for the bonding of dissimilar materials like metals
and composites, commonly used in lightweight vehicles. This not only enhances
design flexibility but also improves stress distribution, ensuring the
structural integrity of these vehicles.
The lightweighting trend has been further fueled by
government regulations aimed at reducing carbon emissions. Manufacturers are
increasingly adopting lightweight materials to comply with these regulations
and meet their sustainability goals. This includes the use of automotive
adhesives, which enable the construction of lighter and more fuel-efficient
vehicles. In June 2023, Henkel officially broken
ground on a new manufacturing facility for its Adhesive Technologies business
unit at the Yantai Chemical Industry Park in Shandong Province, China. With an
investment of around 120 million Euros (RMB 870 million), the plant, named "Kunpeng"
in Chinese, will boost Henkel's production capacity for high-impact adhesive
products in China. It will also further streamline the supply network, enabling
the company to better meet the increasing demand from both domestic and international
markets.
Moreover, the growth of the electric vehicle (EV)
market has contributed significantly to the lightweighting trend. EVs often
rely on lightweight materials to offset the weight of the battery, making
automotive adhesives even more crucial in ensuring the overall efficiency and
performance of these vehicles.
In conclusion, the automotive industry's focus on
lightweight vehicles, driven by sustainability goals and the growth of the EV
market, has created a substantial demand for automotive adhesives. These
adhesives not only facilitate the assembly of lightweight vehicles but also
offer a range of benefits, making them indispensable in the production of
modern automobiles.
Segmental Insights
Formulation Insights
The hot-melt segment was projected to experience
rapid growth during the forecast period. Hot melt adhesives have experienced a
substantial surge in demand from the packaging sector, making them a key driver
of overall market growth. With packaging being a critical component of the
automotive industry, this increased demand directly impacts the automotive
adhesives market, which is poised for significant expansion. Furthermore, hot melt adhesives are not only in
high demand but also known for their eco-friendliness and solvent-free nature.
This makes them particularly appealing in today's era where environmental
sustainability is a growing concern. As the automotive industry increasingly
focuses on adopting green manufacturing practices, the use of hot melt
adhesives aligns perfectly with these sustainability goals.
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Regional Insights
South Central emerged as the dominant region in the
China Automotive Adhesives Market, holding the largest market share in
terms of value. The South Central region, encompassing various states, is home
to a multitude of industries such as manufacturing and automotive. These
industries, with their diverse requirements, present a significant demand for a
wide range of adhesives that cater to their specific needs and applications.
China's remarkable growth as a global manufacturing
hub has been particularly evident in the South Central region. The region's
strategic location, combined with China's competitive advantage in production
capabilities, has contributed to its prominence in the adhesives market. The
rising demand for innovative adhesive solutions across different manufacturing
processes has further fueled this growth, as industries seek efficient and
reliable bonding solutions to enhance their productivity.
The automotive industry, in particular, has
witnessed the dominance of China, specifically within the South Central region.
Its high productive capacity, facilitated by large-scale production and a vast
consumer market, has positioned the region as a key player in the automotive
sector. This has not only propelled the demand for adhesives but has also
fostered advancements in adhesive technologies to meet the stringent requirements
of this dynamic industry.
Recent Developments
- In September 2024, Covestro unveiled a
range of locally developed adhesive solutions at the 27th China Adhesive and
Tape Annual Conference, which took place in Hefei on September 5. These
innovative products, branded Dispercoll® U and Dispercoll® U PLUS are designed
to address the evolving needs of industries like automotive and footwear.
Focusing on performance, efficiency, and sustainability, these solutions aim to
drive progress in downstream industries by incorporating raw material
innovations that support continuous improvements.
- In March 2024, Jowat has launched a new
manufacturing facility in China, marking a significant step in its commitment
to strengthening customer relationships worldwide and expanding its innovation
capabilities. Situated in Zhejiang province, approximately 70 kilometers from
Shanghai, the new plant will begin production in the second quarter of 2024. It
is set to produce around 9,000 tonnes of customized adhesives annually to serve
the growing Asian market.
- In September 2023, DuPont held a
ceremony to officially open its new adhesives production facility in
Zhangjiagang (ZJG), East China. The facility is dedicated to producing
adhesives for the transportation industry, focusing on lightweighting and the
rapidly growing vehicle electrification sector. With the capacity to meet
regional demands, the site is designed to provide a world-class customer
experience, offering advanced process capabilities, high-quality technical
support, and excellent transportation access for shipping and logistics
advantages. The facility also features a Manufacturing Execution System (MES)
that optimizes the manufacturing process, enhancing visibility, trackability,
and reliability throughout the production workflow.
- In December 2024, Covestro AG, the
German polymer manufacturer, plans to intensify its localization efforts in the
Asia Pacific region, with a focus on China, through continued investments based
on a region-for-region strategy, according to a company executive. Last month,
the company began producing a partially bio-based raw material for coatings at
its Foshan plant in Guangdong province. This raw material, commonly used in
construction and infrastructure applications, was first launched in Europe
during the third quarter. The move aims to reduce delivery times and ensure a
reliable supply of sustainable solutions to customers in the Asia Pacific
region.
Key Market Players
- Shanghai Huitian New Material Co., Ltd.
- Henkel (China) Investment Co. Ltd.
- H.B. Fuller (Nanjing) Chemical Co., Ltd.
- 3M China Limited
- Sika (China) Limited
- Hantec Building Materials Co.LtdWJLD
Co., Ltd.
- Hunan Magpow Adhesive Group Co.,Ltd.
- Kater Adhesive Industrial Co.,Ltd.
- Kejian Polymer Materials (Shanghai) Co.,
Ltd.
- Shanghai Junbond Building Material Co.,
Ltd.
|
By Type
|
By
Formulation
|
By Region
|
- Epoxy
- Polyurethane
- Acrylic
- Silicone
|
- Water-Based
- Solvent-Based
- Hot-Melt
- Others
|
- East
- North
- North-East
- Southwest
- South Central
- Northwest
|
Report Scope:
In this report, the China Automotive Adhesives
Market has been segmented into the following categories, in addition to the
industry trends which have also been detailed below:
- China Automotive Adhesives Market, By Type:
o Epoxy
o Polyurethane
o Acrylic
o Silicone
- China Automotive Adhesives Market, By Formulation:
o Water-Based
o Solvent-Based
o Hot-Melt
o Others
- China Automotive Adhesives Market, By Region:
o East
o North
o North-East
o Southwest
o South Central
o Northwest
Competitive Landscape
Company Profiles: Detailed analysis of the major companies present in the China
Automotive Adhesives Market.
Available Customizations:
China Automotive Adhesives Market report with the
given market data, TechSci Research offers customizations according to a
company's specific needs. The following customization options are available for
the report:
Company Information
- Detailed analysis and profiling of additional
market players (up to five).
China Automotive Adhesives Market is an upcoming
report to be released soon. If you wish an early delivery of this report or
want to confirm the date of release, please contact us at sales@techsciresearch.com