Wood Adhesives Global Market Report 2024

The wood adhesives market size has grown strongly in recent years. It will grow from $5.13 billion in 2023 to $5.48 billion in 2024 at a compound annual growth rate (CAGR) of 6.9%. The growth in the historic period can be attributed to the expansion of the construction and furniture industries, increased housing and infrastructure development, consumer preferences for wooden products, growth in renovation and remodeling activities, and global trends in woodworking.

The wood adhesives market size is expected to see strong growth in the next few years. It will grow to $7.18 billion in 2028 at a compound annual growth rate (CAGR) of 7.0%. The anticipated growth in the forecast period is driven by the adoption of sustainable and eco-friendly practices, the increasing demand for engineered wood products, urbanization trends, and interior design preferences. Additionally, there is a focus on high-performance adhesives for various applications, including wooden flooring. Major trends expected in this period include the increasing application of hot-melt adhesives, the growing importance of digital printing in wood paneling, a focus on fire-retardant adhesives in construction, the application of adhesives in prefabricated and modular construction methods, and collaborations for research and innovation in the industry.

The surge in consumer spending on luxury furniture and home decor products is anticipated to fuel the expansion of the wood adhesives market. Wood adhesives, widely used in various wood joinery applications, serve as a reliable choice for assembling home decor items and wooden furniture. Despite facing substantial supply chain obstacles, RH, a luxury furniture and home goods retailer, maintains an optimistic outlook regarding sustained robust consumer spending. RH aims to transition from merely curating and selling products to conceptualizing and marketing complete settings. In the second quarter of 2021, RH reported a notable upswing in net revenue, reaching $989 million, marking a 39% increase from the previous year and a 40% rise compared to the second quarter of 2019. Projecting a full-year sales growth of 31% to 33% for 2021, RH has revised its earlier forecast of 25% to 30%, attributing this upward adjustment to the company's operational stability. Consequently, the heightened consumer expenditure on luxury furniture and home decor products acts as the primary catalyst propelling the growth of the wood adhesives market.

The burgeoning construction sector is poised to fuel the expansion of the wood adhesives market. Construction involves the assembly and creation of infrastructure, buildings, and various structures. Within this industry, wood adhesives play a crucial role by bonding and reinforcing wooden components, significantly bolstering the structural durability and longevity of buildings, furniture, and other wooden structures. For instance, as reported by the U.S. Census Bureau and the U.S. Department of Housing and Urban Development in December 2023, construction spending in October 2023 reached a seasonally adjusted annual rate of $2,027.1 billion, marking a 0.6% (±1.0%) increase from the revised September estimate of $2,014.7 billion. Moreover, October figures reflected a 10.7% (±1.6%) rise from October 2022, which was estimated at $1,830.5 billion. In the initial ten months of that year, construction spending totaled $1,646.0 billion, marking a 5.6% (±1.2%) increase from the same period in 2022, which totaled $1,559.1 billion. Consequently, the upward trajectory of the construction industry serves as the driving force behind the growth of the wood adhesives market.

Strategic collaborations are playing a pivotal role in shaping the wood adhesives market, offering manufacturers a broader distribution range that contributes to market growth. For instance, in June 2021, HB Fuller signed a distribution deal with Jubilant Agri and Consumer Products, a subsidiary of Jubilant Industries, to address the growing demand for adhesives in the B2B woodworking industry. This strategic partnership enables HB Fuller to expand the reach of its high-performing adhesive solutions, including water-based, hot melt moisture cures, and polyurethanes, to meet specific adhesion and sustainability requirements. Additionally, it provides access to global experts and local expertise, service, and technical support. Similarly, in April 2021, Innovative Chemical Products Group (ICP Group) acquired Choice Adhesives, enhancing the ICP BSG family's ability to support professional clients in the roofing adhesive sector. This acquisition strengthens the ICP BSG family's position in the market, allowing it to provide comprehensive solutions and support to its customers.

Prominent companies in the wood adhesives market are intensifying their efforts to introduce high-performance adhesives, such as G6520 and SG6518, to enhance their competitive position in the market. SG6520 and SG6518 are high-performance polyurethane adhesives renowned for their exceptional bonding strength and versatility in various construction and assembly applications. For example, in May 2022, Bostik, a France-based adhesive manufacturing company, unveiled a new series of adhesive solutions named SG6520 and SG6518. These hot melt polyurethane reactive (HMPUR) adhesive solutions are specifically designed for woodworking applications, offering superior bonding strength, sealing performance, water resistance, and increased durability for finished woodworking products.

In August 2021, Arkema, a France-based company specializing in specialty chemicals and advanced materials, acquired Ashland Performance Adhesives for $1.65 billion. This strategic acquisition is in line with Arkema Group's goal of transitioning into a pure specialty materials player by 2024, emphasizing the development of sustainable and high-performance solutions. Ashland Global, based in the US, is a chemical company known for manufacturing wood adhesives.

Major companies operating in the wood adhesives market report are The Dow Chemical Company, 3M Company, BASF SE, Henkel AG & Co., Arkema SA, AkzoNobel N.V, Sika AG, Avery Dennison Corporation, ITW Devcon Inc., The Reynolds Co., Harvey Benjamin Fuller, Bostik SA, Aica Kogyo Company Limited, Huntsman Corporation, Jowat SE, Pidilite Industries Ltd., LORD Corporation, Jubilant Industries Ltd., Beardow Adams Ltd., Dymax Corporation, Chemence Inc., Adhesives Research Inc., AJ Adhesives Inc., W.F. Taylor, Surebonder, Permabond LLC, L.D. Davis Industries Inc., RPM International Inc., Master Bond Inc., Cattie Adhesives, Collano Adhesives AG, DAP Products Inc., Franklin Adhesives & Polymers, Ashland Global Holdings Inc., Chemique Adhesives Inc., Chemtura Corporation, Dow Corning Corporation, Eastman Chemical Company.

Asia-Pacific was the largest region in the wood adhesives market in 2023. Asia-Pacific is expected to be the fastest-growing region in the wood adhesives market report during the forecast period. The regions covered in the wood adhesives market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the wood adhesives market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Wood adhesives encompass various products such as urea-formaldehyde, melamine-urea-formaldehyde, phenol-formaldehyde, isocyanates, polyurethane, polyvinyl acetate, soy-based adhesives, and others. Urea-formaldehyde is a significant formaldehyde resin adhesive, resulting from the polymeric condensation of formaldehyde and urea. It is widely used in the manufacturing of wood-based composite panels. Wood adhesives are available in different technologies such as solvent-based, water-based, and others, utilizing various types of resins, including natural and synthetic varieties. These adhesives find applications in flooring, decks, plywood, furniture, cabinets, windows, doors, and other woodworking applications.

The wood adhesives market research report is one of a series of new reports that provides wood adhesives market statistics, including wood adhesives industry global market size, regional shares, competitors with a wood adhesives market share, detailed wood adhesives market segments, market trends and opportunities, and any further data you may need to thrive in the wood adhesives industry. This wood adhesives market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The wood adhesives market consists of sales of cyanoacrylates and epoxy wood adhesives. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.