The global wood adhesives market is anticipated to grow at a CAGR during the forecast period (2021-2027). The global wood adhesive market is majorly driven by the factors which include growing construction activities which are increasing the applications of wood adhesives, growth in the housing sector due to urbanization, infrastructure development, and increasing consumer spending on home décor and luxury furniture products in high-income countries. For instance, Midwestern states such as Indiana, Iowa, Illinois, and Wisconsin, spend the most on average on home decor and renovations every year. Indiana spends over 25% above the national average. On the other hand, as per the survey conducted by Home Decors in the US, the average household spending on home services in 2020 was $13,138, an increase from 2019’s average of $9,081. The spending comprises designing a home furniture, flooring, among others. Furthermore, growing urbanization is also the factor driving market growth. According to the United Nations, 55.0% of the global population is residing in urban areas in 2018. Therefore, this increasing rate will pose a positive effect on the demand for home décor and design in the forecast period.

Besides these, the volatility in raw material prices associated with wood adhesive, and regulations associated with the use of wood adhesive which is derived from petrol and crude oil and have a negative impact on the environment, may expected slowdown their demand and market value during the forecast period. Therefore manufacturers are focusing on the development of eco-friendly adhesives such as green adhesive, which will provide growth opportunities in the market during the forecast period. 

Impact of COVID-19 on Global Wood Adhesives Market

The wood adhesives market has registered a decline in growth due to the COVID-19 pandemic. The halt in transportation facilities due to restrictions imposed by the Government of major economies has resulted in disruption in the raw material supply chain for wood adhesive. Due to the lockdown, the revenues of non-edible products such as hand sanitizers, disinfectants, and paper goods, were in high demand while sales of chemicals and materials such as adhesive, and resins were declined as demand for wood adhesive from end-user verticals has been decreased. Furthermore, the unavailability of raw material availability, which caused improper furniture manufacture also impacted the market during the COVID-19 pandemic. Post COVID-19, the market is expected to gain momentum with an increase in the number of remodeling and renovation, and growth in wooden houses in middle-income countries. 

Segmental Outlook  

The global wood adhesives market is segmented based on resin type, technology, and application. Based on resin type, the market is sub-segmented into natural, and synthetic. Among these, synthetic resin is anticipated to be the largest resin type segment during the forecast period. This is attributed to the increasing demand for wood adhesive in various applications such as furniture, flooring, plywood, and cabinets owing to their properties which include strong, durable adhesion at normal temperatures, and others. On the basis of technology, the market is bifurcated into solvent-based, and water-based. Whereas, on the basis of application, the market is categorized into Furniture, flooring & decks, furniture, windows & doors, and others. 

Global Wood Adhesives Market Share by Application, 2020 (%)

The Furniture Segment is Projected to Hold Significant Share in the Global Wood Adhesive Market

Among applications of wood adhesive, the furniture & decks segment is anticipated to account for significant market share during the forecast period. Due to urbanization, the residential and industrial sectors are growing, which is generating the demand for wood adhesive in furniture construction for these sectors. A wood adhesive has numerous benefits east-to-use, durable, cost-effective, among others, due to these, they are high in demand in various applications of wood construction and designing. Moreover, In high-income population countries, due to changing standard of leaving, people are inclining towards remodeling & renovation of their house. This is leading to the increasing in the number of remodeling & renovation activities which comprises designing of furniture and others.

Regional Outlook 

Geographically, the global wood adhesives market is classified into four major regions including North America (the US and Canada), Europe (UK, Germany, France, Italy, Spain, and Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, ASEAN, and Rest of Asia-Pacific), and Rest of the World (Latin America and the Middle East and Africa (MEA)). North America is likely to show a lucrative growth rate in the market during the forecast period. The factors such as increasing disposable income, changing standard of leaving, growing industrial wood construction activities, and growth in wood houses in the region are driving the market growth. Europe is expected to foresee moderate growth owing to the significant investment in renovation activities during the forecast period. However, environmental regulations in European countries act as a major restraint impacting the growth of the global wood adhesives market.

Global Wood Adhesives Market Growth, By Region 2021-2027

Asia-Pacific is Anticipated to be the Fastest Growing Region in Global Wood Adhesive Market

Geographically, Asia-Pacific region leads the global wood adhesive market, in terms of value and volume. China and India are major markets for wood adhesives in the Asia-Pacific region. The increasing investment across construction industries and infrastructural development are driving the Asia-Pacific wood adhesives market. Moreover, due to high population base, the residential sector is growing due to which the demand for remodeling and renovation activities are increasing in the region, which in turn, driving the market growth. Moreover, stringent regulations associated with the use of volatile chemical compound (VOCs) used in wood adhesive, is the factor that may hamper the market growth. 

Market Players Outlook

The key players in the wood adhesives market contributing significantly by providing different types of products and increasing their geographical presence across the globe. The key players of the market include 3M Co., Arkema Group, Akzo Nobel NV, Ashland Inc., Bostik SA, The Dow Chemical Co, Henkel AG & Co. KGaA, Jubilant Industries Ltd., Pidilite Industries Ltd., among others. These market players are adopting several market strategies including product launch and approvals, merger and acquisition, partnership collaboration, business, and capacity expansion, and others. For instance, in March 2021, Sika AG has acquired the flooring adhesives business of DriTac, a US-based floor covering adhesives company. The acquisition will contribute to Sika’s increased presence among floor covering installers and distributors, while accelerating Sika’s expansion in the Interior Finishing market in the USA. 

The Report Covers

• Market value data analysis of 2020 and forecast to 2027.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global wood adhesives market. Based on the availability of data, information related to pipeline products, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.