Global Bio-Based Hot Melt Adhesive (HMA) Market – Industry Trends and Forecast to 2031

Global Bio-Based Hot Melt Adhesive (HMA) Market, By Resins Type (Ethylene Vinyl Acetate (EVA), Styrenic Block Copolymers (SBC), Metallocene Polyolefin (MPO), Amorphous Polyalphaolefins (APAO), Polyolefins, Polyamides, Polyurethane (PU)), End-User (Packaging Solutions, Disposable Hygiene Products, Furniture & Woodwork, Automotive & Transportation, Footwear, Textiles, Electronics, Bookbinding) – Industry Trends and Forecast to 2031.

Bio-Based Hot Melt Adhesive (HMA) Market Analysis and Size

The packaging industry is a major driver as hot melt adhesives are extensively used for sealing and bonding in the packaging sector due to their quick bonding capabilities. Hot melt adhesives offer fast bonding, making them ideal for industries that require high-speed production, such as automotive and textiles. Continuous product innovation and the development of specialized formulations for various applications can drive market growth and maintain their dominance throughout the forecast period.

Data Bridge Market Research analyzes that the global bio-based hot melt adhesive (HMA) market is expected to reach USD 665.1 million by 2031, which was USD 332.7 million in 2023, registering a CAGR of 9.1% during the forecast period of 2024 to 2031. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include in-depth expert analysis, geographically represented company-wise production and capacity, network layouts of distributors and partners, detailed and updated price trend analysis and deficit analysis of supply chain and demand.

 Report Scope and Market Segmentation

Market Definition

Bio-based hot melt adhesive is a type of adhesive that is derived from renewable and sustainable sources, primarily plant-based materials. Unlike traditional hot melt adhesives, which are often derived from petroleum-based raw materials, bio-based hot melt adhesives are manufactured using ingredients such as natural polymers, resins, and waxes. These adhesives are designed to provide a more environmentally friendly and sustainable alternative for bonding and sealing applications.

Global Bio-Based Hot Melt Adhesive (HMA) Market Dynamics

Drivers

• Increasing environmental awareness and stringent regulations

The Increasing environmental awareness and stringent regulations related to VOC (volatile organic compounds) emissions, toxic chemicals, and sustainability have encouraged industries to seek eco-friendly adhesive alternatives. Bio-based hot melt adhesives often have lower or zero VOC emissions, making them an attractive option to comply with environmental regulations. The production of bio-based adhesives typically results in a lower carbon footprint compared to petroleum-based adhesives. The use of renewable feedstocks and reduced energy consumption in the manufacturing process contribute to this advantage. Companies and industries committed to reducing their environmental impact are opting for bio-based alternatives, which is driving market.

• Consumer demand for eco-friendly products

Many consumers are actively seeking products that have a reduced environmental footprint and are produced with minimal harm to the planet. They want to align their purchases with their personal values, which often include sustainability and environmental responsibility. Eco-friendly products are often perceived as safer and healthier choices. Consumers are concerned about exposure to harmful chemicals and toxins in everyday products. Bio-based hot melt adhesives, derived from natural sources, are seen as safer alternatives, which can be an appealing feature for products that come into direct contact with people, such as in food packaging or textiles. It is drving the market.

Opportunity

• Technological advancements in bio-based formulations

Researchers are working to improve the adhesion properties of bio-based adhesives to ensure they can bond various substrates effectively. Technological advancements focus on enhancing the heat resistance of bio-based adhesives, making them suitable for use in these demanding environments. This development allows bio-based adhesives to replace traditional, heat-resistant adhesives in specific application. Ongoing research aims to improve the durability of bio-based adhesives, ensuring they maintain their structural integrity over extended periods. Enhanced durability makes these adhesives suitable for long-term applications in construction, aerospace, and marine industries. This will create opportunities for the market growth.

 Restraints/ Challenges

• Cost of Raw Materials

The cost of raw materials is a significant factor affecting the competitiveness of bio-based hot melt adhesives, especially when compared to petroleum-based alternatives. Bio-based adhesives rely on renewable feedstocks, such as plant-based materials or biomass. These raw materials are typically derived from agricultural or forestry sources. The cost of sourcing these materials depends on factors like crop yields, land use, and the availability of these feedstocks in a given region. The machinery and equipment used in this process can be expensive, and the energy required for these operations can contribute to production costs.

• Supply Chain Disruption

The availability of bio-based raw materials, such as agricultural crops, can be influenced by factors like weather conditions, crop yields, and market forces. Supply chain disruptions due to natural disasters or agricultural challenges can affect the consistency and reliability of bio-based adhesive production. The productivity of agricultural crops can vary from year to year due to natural factors, including climate conditions and soil quality. Lower-than-expected crop yields can result in insufficient feedstock for bio-based adhesive production. This inconsistency can lead to production delays and supply shortages. Ensuring the resilience of the bio-based raw material supply chain can be challenging. Developing contingency plans and alternative supply sources can add complexity to supply chain management, which may be less developed compared to established petroleum-based supply chains

Recent Developments

• In September 2023, Bostik, the adhesives division of Arkema, is pleased to introduce its new lineup of Bio-based Specialty Hot Melt Adhesives. This range includes Copolyesters and Copolyamides, uniquely designed to cater to the growing need for eco-friendly materials in the production of technical textiles, automotive interior components, filters, electronics, footwear, and various other industries
• In 2021, Prochimir and Fixatti were purchased by Bostik. The business thinks that with its vertically integrated resin formulation capabilities and distinctive global supply chain, it can take the lead in the sector
• In October 2020, Applied Adhesives, a company specializing in adhesives, acquired Premier Packaging Solutions, a distributor based in Chattanooga, Tennessee, that specializes in hot-melt and water-based adhesives. This acquisition bolstered Applied Adhesives' presence in North America, enhancing their commitment to offering localized technical assistance, problem-solving expertise, and adhesive product solutions to their customer base

Impact and Current Market Scenario of Raw Material Shortage and Shipping Delays

Data Bridge Market Research offers a high-level analysis of the market and delivers information by keeping in account the impact and current market environment of raw material shortage and shipping delays. This translates into assessing strategic possibilities, creating effective action plans, and assisting businesses in making important decisions. Apart from the standard report, we also offer in-depth analysis of the procurement level from forecasted shipping delays, distributor mapping by region, commodity analysis, production analysis, price mapping trends, sourcing, category performance analysis, supply chain risk management solutions, advanced benchmarking, and other services for procurement and strategic support.

Expected Impact of Economic Slowdown on the Pricing and Availability of Products

When economic activity slows, industries begin to suffer. The forecasted effects of the economic downturn on the pricing and accessibility of the products are taken into account in the market insight reports and intelligence services provided by DBMR. With this, our clients can typically keep one step ahead of their competitors, project their sales and revenue, and estimate their profit and loss expenditures.

Global Bio-Based Hot Melt Adhesive (HMA) Market Scope

The bio-based hot melt adhesives market is segmented on the basis of resin type, and end-user. The growth amongst these segments will help you analyse meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Resin Type

• Ethylene Vinyl Acetate (EVA)
• Styrenic Block Copolymers (SBC)
• Metallocene Polyolefin (MPO)
• Amorphous Polyalphaolefins (APAO)
• Polyolefins
• Polyamides
• Polyurethane (PU)
• Others

End-User

• Packaging Solutions
• Disposable Hygiene Products
• Furniture & Woodwork
• Automotive & Transportation
• Footwear
• Textiles
• Electronics
• Bookbinding
• Others

Global Bio-Based Hot Melt Adhesives (HMA) Market Regional Analysis/Insights

The bio-based hot melt adhesives market is analyzed and market size insights and trends are provided by resin type and end-user as referenced above.

The countries covered in the market report are U.S., Canada. Mexico, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific, Saudi Arabia, U.A.E., South Africa, Egypt, Israel, rest of Middle East and Africa, Brazil, Argentina and rest of South America.

North America is expected to dominate the market due to the rising demand rising demand from sectors like footwear, packaging options, disposable hygiene products, textiles, and automotive & transportation, as well as the nation's rapidly expanding population and economy.

Asia-Pacific is expected to show fastest growth due to the growing middle-class population coupled with the rising per capita income of consumers in the growing economies including China, Japan, India, and South Korea in the region.

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.  

Competitive Landscape and Global Bio-Based Hot Melt Adhesive (HMA) Market Analysis

The bio-based hot melt adhesive (HMA) market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to bio-based hot melt adhesive (HMA) market.

Some of the major players operating in the bio-based hot melt adhesive (HMA) market are:

• 3M Company (U.S.)
• Arkema (U.S.)
•  Avery Dennison Corporation (U.S.)
• Beardow & Adams (Adhesives) Ltd. (U.S.)
•  DOW Inc. (U.S.)
•  HB Fuller Company (U.S.)
• Henkel AG & Co. KGaA (Germany)
• Jowat Se (Germany)
• Sika AG (Switzerland)
• Tex Year Industries Inc. (Taiwan)
•  Adtek Malaysia SDN BHD (Malaysis)
• Buhnen GmbH & Co. Kg (Germany)
• Cherng Tay Technology Co., Ltd. (China)
•  Evonik Industries AG (Germany)