Analysis of the Domestic and International Development Trends of the Adhesive Industry in 2025

As an important supporting material for modern industry, the adhesive industry's future development trend is driven by multiple factors such as technological innovation, environmental policies, and market demand. The following is a brief analysis of the domestic and international development trends of the adhesive industry in 2025 and the impact of the global trade war on the adhesive industry. We hope it can be helpful to those who are confused in the industry, and we also hope that everyone can provide their opinions on any mistakes:
01 Environmental Protection and Sustainable Development
The rise of low VOC and water-based adhesives
With the tightening of global environmental regulations, such as restrictions on VOCs emissions, traditional solvent based adhesives are gradually being replaced by water-based and solvent-free products. Due to its low pollution characteristics, water-based adhesives are experiencing rapid growth in demand in packaging, construction, and other fields. It is expected that the global market size will reach $66.59 billion by 2030, with a compound annual growth rate of 9.5%. China's 14th Five Year Plan also clearly proposes to promote the development of environmentally friendly adhesives, and the localization rate of mid to high end products is expected to increase to 40%.
Application of biobased and biodegradable materials
The research and development direction is shifting towards bio based raw materials (such as vegetable oils, sugars) and biodegradable adhesives to reduce dependence on fossil resources and lower carbon emissions. For example, biobased polyurethane adhesives have made breakthroughs in the application of wood and paper.
02 High performance and multifunctionality
Improved adaptability to extreme environments
The fields of aerospace, new energy vehicles, etc. have higher requirements for the high temperature resistance, corrosion resistance, and electrical/thermal conductivity of adhesives. For example, the introduction of nanofillers such as graphene significantly enhances the mechanical strength and thermal stability of adhesives. The growth rate of the global high-performance adhesive market is expected to exceed that of traditional products by 2025, especially in the fields of electronics and healthcare where demand is prominent.
Breakthrough in Intelligent Adhesive Technology
Intelligent adhesives can adjust their performance according to environmental changes such as temperature and humidity, such as the application of self-healing adhesives in electronic devices and the increasing demand for reversible adhesive materials in wearable devices. It is expected that by 2030, the market size of wearable device specific adhesives will reach 3.1 billion US dollars, with an annual growth rate of 10%.
03 Market Regional Differentiation and Emerging Field Expansion
Asia Pacific region leads growth
China's adhesive production continues to grow, reaching 8.248 million tons in 2023, with an expected market size of 13.5 million tons by 2025, accounting for a significant global share. Southeast Asia and India have become emerging growth poles due to manufacturing expansion and infrastructure demand. North America and Europe focus on high-end applications such as medical and automotive adhesives.
Driven by emerging application fields
In the field of new energy, the demand for photovoltaic module packaging adhesive and power battery structural adhesive has surged.
Wearable devices and healthcare: The application of biocompatible adhesives in medical monitoring devices is expanding, such as heart rate monitoring patches.
Intelligent packaging and electronics: flexible displays and miniaturized devices drive the demand for conductive and optical adhesives.
Chip photoresist: Manufacturing of integrated circuits, flat panel displays, and semiconductor separation devices, etc
04 Industrial chain integration and intensified technological competition
Domestic substitution acceleration
Domestic enterprises such as Huitian New Materials and Silicon Treasure Technology have gradually replaced imported products in the mid to high end markets of automobiles, electronics, etc. through technological breakthroughs. For example, the localization rate of microelectronic adhesives and touch screen adhesives has significantly increased.
Competition between international giants and local enterprises
Multinational corporations such as Henkel and 3M dominate the high-end market with their technological advantages, while domestic companies enhance their competitiveness through mergers and acquisitions (such as HB Fuller's acquisition of Sanglier) and research and development investment. In the future, industry concentration may further increase, and small and medium-sized enterprises will seek differentiation breakthroughs in segmented fields.
05 Policies and Standardization Promote Industry Upgrading
Improvement of environmental regulations and standards China has introduced multiple VOCs emission standards and participated in the development of international standards (such as ISO) to promote the green transformation of the adhesive industry. The European Union has restricted the use of harmful substances through REACH regulations, promoting the development of non ortho benzene plasticizers.
The technological path under the goal of carbon neutrality
Enterprises are exploring clean production processes (such as enzymatic polymerization) and carbon capture technologies to reduce carbon emissions in the production process. For example, the production energy consumption of water-based adhesives is reduced by more than 30% compared to traditional products.
Analysis of the Impact of the 06 Trade War on the Adhesive Industry Rising cost pressure
Rising raw material and logistics costs: The tariff policies of China and the United States have led to a significant increase in the import costs of key chemical raw materials required for adhesive production, such as epoxy resin and polyurethane. For example, the United States has imposed a cumulative tariff of 79% on Chinese adhesive tape products, and the import cost of some special resins has increased significantly, squeezing the profit margins of enterprises.
Fluctuations in transportation costs: Trade policy adjustments have led to global logistics route restructuring, resulting in increased transportation costs and further driving up business operating costs. International giants such as Henkel and Wacker Chemicals announced price increases of 5% -10% due to cost pressures, creating a chain reaction in the industry.
Market demand and changes in competitive landscape
Shrinking market share in the United States: Due to a decrease in price competitiveness, some American customers have turned to Southeast Asian or European suppliers for adhesive products directly exported from China to the United States. For example, the export volume of construction adhesives to the United States has significantly declined, and some companies have lost market share.
Price War and Differentiated Competition: In order to maintain market share, some companies choose to sell at lower prices, intensifying industry price competition; Enterprises with cost advantages avoid tariffs and restructure their supply chains to enhance competitiveness by setting up factories overseas, such as in Southeast Asia and Mexico.
Supply Chain Restructuring and Localization Acceleration
Overseas production capacity layout: Chinese companies such as Yongguan New Materials are accelerating the construction of production bases in Southeast Asia, Mexico and other places to reduce the impact of tariffs. Multinational corporations such as Henkel and Wacker also diversify risks through regional procurement.
Domestic substitution of raw materials: Domestic enterprises increase cooperation with local suppliers, increase the proportion of localized procurement of key raw materials (such as acrylic acid and epoxy resin), reduce dependence on imports, and enhance supply chain resilience.
Industry integration and accelerated technological upgrading
Concentration improvement: Small and medium-sized enterprises are struggling to survive under cost pressure, and there is an increase in industry mergers and acquisitions. Top enterprises are seizing the high-end market through technological advantages. For example, Huitian New Materials and Silicon Treasure Technology have achieved domestic substitution in fields such as electronic adhesives and new energy adhesives, occupying the share of foreign-funded enterprises.
Driven by technological innovation: The trade war has forced companies to increase their R&D investment and develop high-performance, environmentally friendly products to break through technological barriers. For example, bio based adhesives, high-temperature conductive adhesives, and other products have become the focus of technological breakthroughs.
Long term impact and industry transformation
Policy orientation and standard upgrading: China accelerates the industry's green transformation through countermeasures such as imposing a 125% tariff on US goods and promoting environmental regulations such as VOCs restrictions, forcing companies to upgrade their production processes.
Globalization strategy adjustment: enterprises have shifted from "export orientation" to the dual track system of "global layout+domestic demand tapping", expanding emerging markets by participating in the "the Belt and Road" and RCEP, and reducing dependence on a single market.
07 Summary and Outlook
1. The future adhesive industry will present a pattern of "environmental protection led, technology driven, and diversified applications". Enterprises need to closely follow policy guidance, increase research and development investment, especially in the fields of smart materials, bio based technology, and high-end applications, to cope with global competition and the trade war between China, the United States, and the world.
2. The impact of the trade war on the adhesive industry is a double-edged sword: in the short term, it intensifies cost pressure and market competition, while in the long term, it promotes the industry's transformation towards high-end, localized, and globalized directions. In the future, enterprises need to build risk resistance capabilities through technological innovation, supply chain optimization, and market diversification, while seizing opportunities in environmental upgrades and emerging fields such as new energy and smart devices to achieve sustainable development.