Electronic Adhesives Market Size, Share & Trends Analysis Report By Resin Type (Epoxy, Silicone, Acrylics, Polyurethane, Others), By Form (Liquid, Paste, Solid), By Applications (Conformal Coatings, Surface Mounting, Encapsulation, Wire Tacking, Other Applications), By End-User Industry (Consumer Electronics, Commercial Aerospace and Defense, Automotive, Telecommunications, Medical Devices, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2025-2033

Electronic Adhesives Market Size

The global electronic adhesives market size was valued at USD 5.11 billion in 2024 and is projected to reach from USD 5.40 billion in 2025 to USD 8.52 billion by 2033, growing at a CAGR of 5.58% during the forecast period (2025-2033).

In recent years, with the ongoing digitization, there has been a rapid proliferation of consumer electronics like smartphones, laptops, and wearable devices, amongst others, which is a major driver of the market. Moreover, the automotive industry's shift towards electric vehicles (EVs) and autonomous driving technologies increases the demand for automotive electronics, which is estimated to create lucrative opportunities for market growth. 

Electronic adhesives are specialized materials that bond, encapsulate, coat, and protect electronic components and assemblies. These adhesives are crafted to meet the specific demands of electronic applications, including electrical conductivity, thermal management, and environmental protection. They come in various types, such as conductive adhesives (both electrically and thermally conductive), non-conductive adhesives, UV-curable adhesives, and epoxy resins.

There is expected to be a rising demand for electronic adhesives in the near future, driven by growth in multiple industries.

The Cellular and Electronics Association of India forecasts that the global electronics market will grow at an annual rate of 6.5% over the coming years. As electronic devices continue to shrink in size, the need for high-performance adhesives to secure small components will be crucial. By the end of the decade, investments in high-performance adhesives are projected to reach $60 billion.

The Organisation for Economic Co-operation and Development (OECD) also estimates that the automotive industry will expand from $350 billion in 2023 to $450 billion by 2028. The rise of electric and autonomous vehicles will further drive demand for advanced adhesives to support innovative designs and technologies.

Moreover, the International Energy Agency (IEA) predicts that the solar photovoltaic (PV) industry will grow to $350 billion by 2030, with renewable energy advancements increasing the demand for durable and high-quality adhesives. As technology continues to evolve, the demand for superior adhesives is poised to grow significantly across various sectors.

Electronic Adhesives Market Trends

Growing demand for eco-friendly adhesives

The global market is experiencing a notable shift toward environmentally friendly products as manufacturers prioritize sustainability. With increased regulation on the use of hazardous substances, the demand for non-toxic and eco-friendly adhesives has surged. Companies in sectors like consumer electronics and automotive are striving to reduce their carbon footprint and meet stringent environmental standards, driving innovation in adhesive solutions.

One key trend is the rise of water-based and bio-based adhesives, which are gaining popularity as alternatives to traditional solvent-based adhesives. These sustainable options not only meet performance requirements but also appeal to eco-conscious consumers.

• For instance, water-based adhesives provide the same bonding strength without environmental risks, making them a preferred choice among manufacturers.

This shift toward sustainability is not just about regulatory compliance but also about enhancing brand image among environmentally aware customers. As a result, eco-friendly adhesives are poised to lead the market, with sustainability becoming a key driver of industry transformation in the years to come.

Growth Factors

High use in consumer electronics

The rising demand for consumer electronics is a pivotal driver of the market. The proliferation of smartphones, tablets, laptops, and wearable devices necessitates advanced adhesive solutions for compact and intricate assemblies.

• For example, the global smartphone shipment reached 1.17 billion units by 2023, underscoring the sheer volume of production requiring reliable adhesives. These adhesives are essential for ensuring the durability and functionality of electronic components, which must withstand various operational stresses.

Moreover, the trend towards miniaturization in electronics increases the complexity of assemblies, further boosting the demand for high-performance adhesives. This surge in consumer electronics propels the need for innovative adhesive materials and drives continuous advancements in adhesive technology to meet the evolving demands of the electronics industry.

Restraining Factors

Volatility in raw material prices

The market faces significant challenges owing to the volatility in raw material prices, which directly affects production costs and profit margins. Key raw materials such as epoxy resins, silicones, and polyurethanes are primarily derived from petrochemicals, making their prices highly sensitive to fluctuations in crude oil markets.

• For instance, in 2021, epoxy resin prices surged by approximately 60% due to supply chain disruptions and increased crude oil costs. This unpredictability complicates budgeting and pricing strategies for manufacturers, potentially leading to increased costs for end-users and reduced market competitiveness.

As a result, companies are focusing on developing alternative raw materials and improving supply chain resilience to mitigate these risks.

Market Opportunities

Growing demand from automotive sector

The rapid advancements in automotive electronics, particularly in electric vehicles (EVs) and autonomous driving technologies, present significant growth opportunities for the market. As these innovations become more prevalent, the need for high-performance adhesives to secure electronic components, manage thermal stress, and ensure long-term reliability under varying conditions intensifies. The global EV market, which is projected to grow at a robust CAGR of 41.6% from 2020 to 2027, exemplifies this increasing demand.

Electronic adhesives play a critical role in essential automotive systems such as battery management, power electronics, and advanced driver-assistance systems (ADAS). These adhesives are designed to provide strong bonding, enhance heat dissipation, and offer protection against environmental factors such as moisture and vibration.

As automotive electronics grow more complex, the demand for innovative adhesive solutions that can meet these challenges is accelerating, positioning electronic adhesives as a key enabler in the evolution of the automotive sector.

Regional Analysis

Asia-pacific is a dominant region

The Asia-Pacific region leads the global market and is poised for significant growth due to its dominant electronics manufacturing industry and robust economic development. China, with its large electronics sector and supportive government policies like the "Made in China 2025" initiative, is a key driver of this market, supported by major players such as Huawei and Xiaomi.

Moreover, India's market is also expanding, fueled by government programs like "Make in India," which attract foreign investment and establish new manufacturing hubs. This growth is further boosted by the focus on electric vehicles (EVs) and battery management systems, positioning India as a crucial player in the electronic adhesives sector.

North america is the fastest growing region

The North American market is poised for significant growth, fueled by technological advancements and rising demand in key sectors such as consumer electronics and automotive. In the U.S., the booming consumer electronics industry is projected to reach $512 billion by 2024, with major players like 3M and Dow Inc. driving market expansion through cutting-edge adhesive solutions.

Meanwhile, in Canada, the growth of the automotive sector-particularly electric vehicles (EVs)-is accelerating market demand, as evidenced by record EV registrations. Government incentives, along with a strong emphasis on innovation and sustainability, are further propelling this growth.

Countries Insights

• China: China has a large role to play in consumer electronics and automotive manufacturing. The country's advanced production capabilities and large-scale electronics industry require reliable adhesives for a range of applications.
• United States: The US has a strong presence in consumer electronics, commercial, and defense. The country has a focus on innovation and advanced technology that requires high-performance adhesives.
• Japan: Japan is a leader in consumer electronics and medical devices. The country's emphasis on precision and high-quality manufacturing supports the use of specialized glues in electronics and healthcare products.
• Germany: Germany's automotive and commercial aerospace sectors have a high demand for electronic adhesives. The country's reputation for engineering excellence and innovation requires durable and effective adhesives for complex applications.
• India: India's growing consumer electronics and telecommunications industries reflect an increasing need for electronic adhesives. The expansion of these sectors supports the demand for adhesives.
• South Korea: South Korea has a strong focus on consumer electronics and telecommunication. In high-tech electronics and communication devices, the country's advanced technology and production capabilities support the use of adhesives.
• Russia: Russia's defense sector is in demand for electronic adhesives. The country's focus on military and aerospace technology drives the need for robust adhesives in critical applications.
• Italy: Italy's automotive industry contributes to the demand. The country's focus on high-quality manufacturing in automotive parts supports the use of specialized adhesives for performance and reliability.
• Mexico: Mexico's role in consumer electronics and automotive manufacturing has led to increased demand for electronic adhesives. The country's expanding production capabilities are a reason for the need for effective adhesives in electronic and automotive applications.
• France: France's focus on medical devices leads to a steady demand for electronic adhesives. The country has advanced technology and high standards that support the use of adhesives in critical applications.

Segmental Analysis

By resin type

The epoxy segment is prominent due to its excellent mechanical properties and versatility. Epoxy adhesives offer high bond strength, chemical resistance, and adhesion to various substrates, making them ideal for electronic assembly and encapsulation. They are extensively used in bonding components, sealing circuit boards, and encapsulating microelectronics.

Moreover, their ability to be customized for specific needs, such as thermal conductivity and electrical insulation, drives their continued growth across consumer electronics, automotive, aerospace, and telecommunications.

By form

The liquid adhesives segment is notable for its versatility and ease of application. These adhesives provide excellent wetting properties, adjustable viscosity, and customizable curing characteristics, making them suitable for bonding, coating, and encapsulation. Advancements in formulation technologies have enhanced their performance attributes, such as high thermal conductivity and resistance to moisture and chemicals, contributing to the segment's steady growth.

By application

The surface mounting segment holds the largest market share. Surface mounting technology (SMT) involves attaching components directly to PCB surfaces, which is crucial for modern electronics manufacturing. Adhesives in this segment secure components, enhance electrical conductivity and provide thermal and mechanical stability. The trend towards miniaturization and advanced packaging techniques like chip-on-board (COB) and system-on-chip (SoC) highlights the importance of these adhesives in efficient and reliable surface mounting processes.

By end-user

The telecommunications sector is a major end-user, driven by the rapid expansion of 5G networks and high-speed internet demand. Electronic adhesives are essential for assembling and protecting telecommunication equipment such as antennas and fiber optic cables. They ensure reliability and durability under harsh conditions and improve thermal management, supporting the growth of 5G technology and the need for advanced adhesive solutions in new telecommunication infrastructure.

Company Market Share

Key market players in the electronic adhesives market are focusing on innovation and strategic initiatives to strengthen their market position and meet the growing demand for advanced adhesive solutions.

Henkel AG & Co. KGaA: A Leader in the Market

Henkel AG & Co. KGaA, a German multinational company, is a prominent player in the market and is renowned for its diverse portfolio of high-performance adhesive solutions.

Recently, Henkel announced the expansion of its Loctite brand with the launch of a new series of electronic adhesives specifically designed for automotive applications, enhancing reliability and performance under extreme conditions.

The company is also investing heavily in research and development to enhance its product offerings, particularly in areas like smart electronics and automotive applications.

Henkel’s commitment to sustainability and innovation solidifies its position as a leader in the market, catering to the evolving needs of various industries.

Recent Developments

• January 2024- DELO Industrial Adhesives, a manufacturer of adhesives based in Germany, entered the field of medical electronics applications. The company intends to utilize its proficiency in advanced adhesives, miniaturization, and raw materials to create medical technologies such as glucose monitoring patches, biosensors, and microfluidics.
• February 2024- Panacol and Hönle UV Technology announced their collaboration to provide comprehensive solutions consisting of versatile adhesives and UV curing equipment, which can be customized for use in the Photovoltaic and flexible electronics industries.

Analyst’s Opinion

According to research analysts, the electronic adhesives market is on a robust growth trajectory, driven by technological advancements and expanding applications, particularly in the consumer electronics sector.

These adhesives are essential in ensuring the functionality, reliability, and innovation of modern devices, making them irreplaceable within the industry. As consumer electronics evolve, the demand for high-performance, revolutionary, and eco-friendly adhesive solutions is expected to rise significantly.

Manufacturers that prioritize research and development (R&D), material compatibility, and sustainability will be well-positioned to capitalize on the expanding market opportunities. By focusing on these key aspects, companies can not only meet the increasing demand but also lead in providing cutting-edge solutions that align with the industry's progression toward more sustainable and efficient technologies.