Automotive Adhesives Market Expected to Reach $9.0 Billion by 2033

According to a new report published by Allied Market Research, titled, “Automotive Adhesives Market," The automotive adhesives market size was valued at $5.3 billion in 2023, and is estimated to reach $9 billion by 2033, growing at a CAGR of 5.4% from 2024 to 2033.

Introduction

Automotive adhesive refers to a type of bonding agent specifically formulated for use in the automotive industry. It is designed to create strong, durable bonds between various materials used in vehicle construction and repair, such as metals, plastics, glass, and composites. Automotive adhesives play a critical role in enhancing the structural integrity, safety, and performance of vehicles.

Market Dynamics

Electric vehicles incorporate advanced materials, such as lightweight composites and high-strength metals, to optimize battery efficiency and overall vehicle performance. Automotive adhesives play a crucial role in bonding these materials, which are used extensively in the construction of EVs to reduce weight and enhance structural integrity. For example, adhesives are employed in assembling battery packs, which must be securely and efficiently bonded to ensure safety and performance. This shift towards lightweight materials increases the demand for adhesives that offer superior bonding strength and durability while contributing to overall vehicle weight reduction. All these factors are expected to drive the demand for the automotive adhesives market during the forecast period.

However, the high cost of advanced adhesives affects the pricing structure of finished vehicles. Manufacturers need to pass these costs onto consumers, potentially making the vehicles less competitive in the market compared to those using less expensive alternatives. This impacts the adoption rate of vehicles incorporating advanced adhesive technologies and hampers the automotive adhesives market growth.

Sustainability is a key focus of technological advancements in adhesive formulations. The development of environment-friendly adhesives, such as those with low volatile organic compounds (VOCs) and made from renewable resources, is becoming increasingly important. As the automotive industry faces growing pressure to adopt greener practices, these sustainable adhesives offer a way to comply with environmental regulations and appeal to eco-conscious consumers. Moreover, the integration of smart adhesives with advanced properties, such as self-healing or self-diagnosing capabilities, presents new opportunities for enhancing vehicle reliability and safety. All these factors are anticipated to offer new growth opportunities for the automotive adhesives market during the forecast period.

Segments Overview

The automotive adhesives market is segmented into resin type, technology, vehicle type, application and region. On the basis of resin type market is classified into polyurethane, epoxy, acrylics, silicone, SMP, polyamide, and others. On the basis of technology, the market is segmented into hot melt, solvent based, water based, pressure sensitive, and others. On the basis of vehicle type, the market is classified into passenger vehicle, light commercial vehicle, and heavy commercial vehicle. On the basis of application, the market is classified into body-in-white (BIW), powertrain, paint shop, and assembly. Region-wise, the market is analyzed across North America, Europe, Asia-Pacific and LAMEA.

On the basis of resin type, the market is classified into polyurethane, epoxy, acrylics, silicone, SMP, polyamide, and others. The acrylics segment is anticipated to grow at the fastest CAGR of 6.7% during the forecast period. Acrylics are increasingly favored in automotive adhesives due to their excellent performance characteristics that makes them a vital component in modern vehicle manufacturing. Moreover, acrylic adhesives provide robust and reliable bonds that withstand harsh conditions such as temperature fluctuations, vibrations, and exposure to chemicals, ensuring long-lasting performance in diverse automotive applications. This capability is essential as automakers strive to create lighter, more fuel-efficient vehicles without compromising on structural integrity or safety that makes acrylic adhesives a preferred choice for bonding lightweight materials like aluminum and thermoplastics.

On the basis of technology, the market is segmented into hot melt, solvent based, water based, pressure sensitive, and others. The others segment is anticipated to grow at the fastest CAGR of 6.4% during the forecast period. UV curable adhesives are driven by their rapid curing times and the ability to form strong, durable bonds with minimal processing delays. In automotive applications, UV curable adhesives offer the advantage of fast setting, which accelerates production processes and reduces overall manufacturing time. These adhesives are exposed to ultraviolet light to initiate the curing process, allowing for precise control over bonding and enabling immediate handling of the parts. The ability to quickly achieve full cure without the need for heat or lengthy drying times is particularly beneficial in high-volume automotive manufacturing environments.

On the basis of vehicle type, the market is classified into passenger vehicle, light commercial vehicle, and heavy commercial vehicle. The heavy commercial vehicle segment is anticipated to grow at the fastest CAGR of 6.1% during the forecast period. Governments and regulatory bodies globally are imposing stricter emission standards on HCVs, prompting manufacturers to explore lightweighting solutions to improve fuel economy. Automotive adhesives enable the use of lightweight materials such as aluminum, composites, and high-strength plastics in the assembly of HCVs, replacing traditional mechanical fasteners that add weight. These adhesives contribute to weight reduction and provide strong, durable bonds that enhance the structural integrity and safety of heavy commercial vehicles, even under demanding operational conditions.

On the basis of application, the market is classified into body-in-white (BIW), powertrain, paint shop, and assembly. The assembly segment is anticipated to grow at the fastest CAGR of 6.1% during the forecast period. The automotive industry is shifting towards lighter vehicles to enhance fuel efficiency and reduce emissions.  Adhesives are increasingly preferred over traditional mechanical fasteners for their ability to bond various materials such as metals, plastics, and composites without adding significant weight. This trend towards lightweight construction drives the adoption of advanced adhesives in vehicle assembly. Adhesives offer cost benefits compared to traditional mechanical fastening methods, particularly in terms of reduced labor and material costs.

Regional Analysis

Region-wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. The Asia-Pacific region is anticipated to grow at the fastest CAGR of 5.7% during the forecast period. Countries such as China, Japan, India, and South Korea are major automotive hubs, accounting for a significant portion of global vehicle production. As these countries continue to see rising consumer demand for both commercial and passenger vehicles, automotive manufacturers are increasing production capacity and adopting advanced manufacturing technologies. Automotive adhesives are crucial in this context as they facilitate the use of lightweight materials such as aluminum, composites, and plastics, which help automakers meet fuel efficiency standards and reduce vehicle emissions. The lightweighting trend is particularly relevant in Asia-Pacific, where governments are imposing stricter emission regulations and fuel economy targets, driving manufacturers to shift from traditional metal fasteners to high-performance adhesives.

Key players in the automotive adhesives industry include Henkel AG & Co. KGaA, Bostik SA, 3M, DOW, Sika AG, H.B. Fuller Company, PPG INDUSTRIES, INC, Jowat SE, Illinois Tool Works Inc., and Solvay.

Key Market Insights

• By resin type, the polyamide segment was the highest revenue contributor to the market accounting for less than one-fourth of global automotive adhesives market share in 2023.
• On the basis of vehicle type, the passenger vehicle segment was the highest revenue contributor to the global automotive adhesives market share in 2023.
• By technology, the water based segment was the highest revenue contributor to the market accounting for less than half of global automotive adhesives market share in 2023.
• On the basis of application, the body-in-white (BIW) segment was the highest revenue contributor to the market accounting for more than two-fifths of the global automotive adhesives market share in 2023.
• Region-wise, Asia-Pacific was the highest revenue contributor of global automotive adhesives market analysis in 2023.