Adhesives and Sealants Market Challenges – Environmental Impact
Carbon dioxide (CO2) and Volatile Organic Compound emission are major environmental issues. Adhesive and sealants such as silver epoxy-based Electronic Conductive Adhesive (ECA) release CO2. Moreover, due to stringent government regulation on release of VOC emission to the atmosphere, end-use industries are actively opting for alternative to organic solvents and dispersing media. For instance, SIKA AG introduced new-generation adhesive SikaBond AT-75 for wood floor bonding, meeting highest EHS regulation. This is expected to be one of the key challenges for adhesive and sealants market during the forecast period. Bio-based based products such as soybean-derived polyols, vegetable-based polyamides, epoxies, and polyisoprenes are increasingly replacing the synthetic materials and additionally reduce the carbon footprints. Water based formulation contribute to a major share in adhesive whereas silicone-based sealant capture major share in sealants market. Adhesives and sealants market is highly dependent on the raw materials such as synthetic fibers, resins, and crude oil. The prices of these raw materials are highly volatile and hamper the growth of the adhesives and sealants market.
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Adhesives and Sealants Market – Regulatory Scenario:
United States Environmental Protection Agency (EPA), September, 2008, published Control Technique Guideline (CTG) for industrial adhesives with requirement on Volatile Organic Compound (VOC) content of adhesive application method at facility to have VOC emission of 15 lb/day or more.
United States Environmental Protection Agency (EPA), September 20, 2011, enforced regulation on use of adhesive and sealants which contains chloroform, ethylene dichloride, methylene chloride, perchloroethylene or trichloroethylene.
United States Environmental Protection Agency (EPA), January 01, 1993, banned on use of Adhesives, Sealants, Adhesive Bonding Primers, Adhesive Primers, Sealant Primers, or any other Primer which have a VOC content in excess of 250 g/L less water and less Exempt Compounds.
The Council of The European Communities on May 16, 1983, amending directive 77/728/EEC on the approximation of the laws, regulations and administrative provisions of the Member States relating to the classification, packaging and labelling of adhesives, paints, varnishes, printing inks and similar products (83/265/EEC).
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Some of the key companies dominating the market are 3M, The Dow Chemicals Company, Henkel AG & Co. KGaA, Avery Dennison, Royal Adhesives & Sealants LLC, Ashland Inc., Akzo Nobel NV, Arkema SA, BASF SE, Bemis Company Incorporated, Berry Plastics Corporation, RPM International, DuPont, and Evans Adhesive Corporation Limited, among others. Manufacturers are working closely with OEMs and R&D centers of the major automotive players to bridge the demand gap and offer tailor-made products