While the adhesive dispensers market is expanding at a significant rate, it is still in the nascent stage. It is likely to remain in the growth phase during the forecast period, with the advent of new adhesive technologies and rising automation across the industrial sector driving progress. The electronics sector is pegged to spearhead the application of adhesive dispensers as they are extensively used in assembling various consumer electronics. Increasing focus on miniaturization across the electrical and electronics industry, coupled with the rising demand and declining prices of consumer electronics, is expected to generate sales in large volumes for adhesive dispensers in the electronics segment in the coming years.
Advantages of Adhesives over Traditional Bonding Methods
Adhesives offer an array of benefits over traditional bonding methods, which drives their prominence today in a plethora of sectors, from automotive to construction. For a long time, mechanical fastening and welding were the predominant binding methods used in components and automotive assembly. In the 1980s, adhesives came to the forefront with the emergence of lighter and thinner gauge substrates, enabling the joining of similar/dissimilar substrates.
Over the past few decades, adhesive manufacturers have developed different ways of making products more attractive. Traditional bonding methods, such as bolding, welding, riveting, and using screws, have their own limitations and disadvantages. They also damage the materials being bonded or joined. Even thermal techniques, such as welding, end up altering the material's specific properties within the heat-affected zone.
Compared with welding and soldering/brazing, the bonding process requires relatively little heat input with adhesives. And unlike rivets and screws, adhesive bonding does not damage the surface. Adhesive bonding in industrial production can accelerate production and lead time savings, giving rise to specific economic benefits. These superior advantages drive the demand for adhesives across end-user markets.
Growth of End-Users Markets
Fast-growing trends and advancements in several industries are expected to propel the adhesive dispensers market in the near future. Almost every sector, including robotics, automotive, and electronics that use adhesive dispensers extensively is observing tremendous development in terms of technology upgrades, advanced features, and lightweight structure.
Since the early 1960s, robots have been significantly contributing to the industrial sector. The flexibility of these machines is an essential parameter for their efficient working, owing to which these machines are increasingly being constructed and manufactured using adhesive technologies. Currently, even robot arm elements can be bonded with structural adhesives. The extensive application has further boosted the demand for adhesives across the industry, and subsequently, the demand for technologies, such as adhesive dispensers, that can control the precise dispensation of adhesives.
North America's robotic companies are offering lucrative opportunities for the adhesive dispensers market. The order revenue of robots in the first quarter of 2017 grew by 28% over the first quarter of 2016; a total of 9,773 robots with a net worth of USD 516 million were ordered from North America companies.
In addition, the continuously growing population, coupled with the improving GDP per capita, has resulted in an increase in the demand for automobiles across the globe. The automotive market is more inclined to lightweight vehicles due to benefits, such as better fuel economy and advanced emission control. The demand for lightweight vehicles drives the application of advanced structural adhesives in automotive components and assembly. The preference for lightweight vehicles is expected to remain stable in the coming years; thus, the automotive industry's growth is expected to provide an impetus to the adhesive dispensers market in the coming years.
As per the China Association of Automobile Manufacturers, the sale of motor vehicles reached an all-time high of 3,060,271 units in December 2017. In April 2020, China's motor vehicle sales reached a record of 2,069,962 units compared to the previous month's 1,430,217 units.
Miniaturization and Automation Boom in the Electrical and Electronics Sector
The miniaturization and automation trend advancing in the electrical and electronics industry is creating a need for devices that can allow precise manipulation and fabrication of ever-smaller electronic products and devices. Human assembly cannot achieve high speed dispensing and inspection at the rate demanded by modern production operations and the precision placement of components considered essential in electronics manufacturing. Thus, many manufacturers in the industry are focusing on the adoption of robotics to increase throughput and reduce lead times in electronics manufacturing.
The trend of adopting robots in electronics manufacturing can be observed principally in manufacturing MEMS and semiconductors, where decreasing device sizes have become an important factor in delivering cost-benefit results. The prominence of the trend propels the demand for more precise robotics systems for fabrication and assembly. Thus, the increasing miniaturization across the electrical and electronics industry will bolster the demand for robotic adhesive dispensers in assembling micro-mechatronics and microsystems in years to come.
Increasing Demand for Adhesive Technology in Lightweight Solutions
Lightweight solutions are gaining traction across a wide variety of design and assembly applications, including transportation, packaging, and industrial processes, primarily driven by their indisputable benefits. Flexibility in product design, reduced energy consumption, eco-friendly nature, superior performance, and potentially reduced end-user cost have led to an increase in the demand for lightweight solutions across end-user markets.
Adhesive technology plays a vital role in the development of lightweight solutions, as it exhibits transformative results in joining lightweight, similar/dissimilar substrates. The technology's high-speed processing, reduced labor cost, ability to fill gaps, improve aesthetics, and provide even stress load over the entire bonded joint for enhanced load-bearing capacity and resistance to cyclic fatigue drives its application.
Additionally, the use of adhesives also offers protection against galvanic corrosion in metal assemblies, which makes them the ideal choice for structural bonding applications. In conclusion, the adhesive dispensers market will grow in tandem with the demand for lightweight solutions, and the growth of these end-use markets will positively influence market growth.
China Adhesive Dispensers Market Analysis
China is expected to register the fastest growth rate in the global adhesive dispenser market owing to the burgeoning automobile and packaging sectors. China's automotive market is growing rapidly, and it plays a significant role in the global automobile market. The presence of key automakers with high production capacities in the nation has built a platform for the growth of the adhesive dispenser market. Today, automakers prefer adhesives, sealants, oils, and coatings more than ever before. Typically, vehicles contain as much as 40 pounds of adhesive.
To minimize waste, ensure quality, and increase productivity, automakers are demanding advanced adhesive dispensers. Local OEMs are booming and ramping up production to meet the escalating demand for automobiles and vehicles in the coming future. Moreover, government programs, such as 'Made in China 2025', seek to focus on high-end products in target sectors, such as electric vehicles, aerospace, and electrical equipment, and present ample growth opportunities for adhesive dispensers. New policies touted by the Chinese government aim to raise investments, open market access, and boost private sector participation in the nation, making it easier for adhesive dispenser firms.
Figure 1: Electric Car Deployment in China, 2012–2019 (in Million)
As per the IEA, the number of battery electric vehicles (BEV) in 2019 reached 2.58 million from 1.75 million in 2018. The COVID-19 pandemic, which originated in China in December 2019, led to complete nationwide lockdowns. With social distancing norms and lockdowns, production and operational activities in China came to a standstill, resulting in a decline in economic growth. Moreover, the recent outbreak in Beijing has alerted the nation for the second wave of infections, casting uncertainties for future growth.
Adhesive Dispensers Market: Segmentation
Central and South America and the Caribbean
The Middle East
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