The construction industry, which is already a seven-trillion-dollar sector will stimulate wood adhesives and binders market, driven by its surging need for cabinets, plywood, doors, windows, and flooring applications. According to Global Market Insights, Inc., “Worldwide wood adhesives and binders market worth over USD 14 billion in 2015 will record an annual growth rate of more than 4% over the period of 2016 to 2024.” The introduction of bio-based wood adhesives and binders will create lucrative business opportunities for the industry players over the coming timeframe. Furthermore, swift industrialization in BRIC nations coupled with the rise in the number of commercial and residential construction activities will support the market expansion.
The windows & door, furniture & subcomponents, flooring & plywood, and cabinets are some of the major applications of the wood adhesives and binders industry. The furniture & subcomponents application worth USD 4 billion in 2015, is expected to experience a significant growth over the next few years, driven by the extensive use of wood adhesives and binders for non-residential projects. Moreover, shifting focus of consumers towards the luxurious products as well as surging expenditure on household services and goods will further boost wood adhesives and binders market size in furniture & subcomponent sector. Flooring and plywood applications will exhibit a growth rate of more than 5% over the coming seven years, driven by the expanding flooring industry size.
U.S Wood Adhesives And Binders Market size, by application, 2015 & 2024 (USD Million)
The various notable products of the wood adhesives and binders industry are Melamine-Urea-Formaldehyde (MUF), Soy-based, Urea-formaldehyde (UF), Isocyanates (MDI, TDI, HDI), and Phenol-Formaldehyde (PF). Phenol-formaldehyde based products in wood adhesives and binders industry are expected to grow at a CAGR of 4% over the coming period of 2016 to 2024, driven by their chemical resistance, low surface energy, and enhanced performance in moist environment.
Urea-formaldehyde based products collected a revenue of USD 3 billion in 2015 and will grow noticeably over the coming timeframe, driven by low price and high bonding strength. Additionally, non-structural and structural applications such as furniture, cabinets, flooring, and plywood will influence the industry share positively. Furthermore, escalating window and door market will also substantially contribute toward the wood adhesives and binders industry size.
Considering the regional trends, Asia Pacific wood adhesives and binders market worth USD 3.5 billion in 2015, is anticipated to grow substantially over the coming years, owing to the expanding construction industry. Latin America and MEA will also witness notable developments in the wood adhesives and binders industry over the next few years.
North America wood adhesives and binders market share is anticipated to record an annual growth rate of more than 4.5% over the coming seven years. The attributing factor towards the industry growth is changing consumer lifestyle along with growing construction activities across the commercial and residential sectors. U.S will be the major revenue pocket of the region.
The market is consolidated with five of the major giants having covered 40% of the overall market share in 2015. Ashland Inc., 3M Company, Henkel AG & Co. KGaA, Avery Dennison, H.B Fuller Company, BASF SE, Dow Chemical Company, and Huntsman Corporation are few of the notable participants in wood adhesives and binders market.