SAN FRANCISCO, CA -- The global electronic adhesive market is expected to reach USD 7.80 billion by 2022, according to a new report by Grand View Research, Inc. Electronic adhesives have enhanced intrinsic conductive and thermal properties which enable them to substitute soldering systems. Increasing significance of compact devices including flash drives, CDs, and communication drives is expected to drive demand over the forecast period.
A shift in trends toward miniaturization of electronic components has created need for these adhesives. Replacement of PCBs with multi-chip modules has also prompted product demand. PCBs are laminated plastic boards that utilized these adhesives in surface-mount components, bonding conformal coatings, wire tacking and encapsulating components. High installation costs for laminating & packaging machinery and product assembly are expected to remain key challenges for industry participants.
Electrically conductive adhesive emerged as the largest product segment and accounted for over 40% of total market volume in 2014. The segment is expected to gain share over next seven years on account of high demand across key end-use industries including automotive, building & construction and medical. UV curing adhesive market is expected to witness significant gains over the forecast period on account of their increasing penetration across medical industry.
Further key findings from the report suggest:
•Global electronic adhesive market demand was 1,103.3 kilo tons in 2014 and is expected to grow at a CAGR of 10.6% from 2015 to 2022.
•Surface-mount devices were the leading application segment and accounted for over 40% of the total market volume in 2014. The segment is also expected to witness most significant growth in its market size owing to significant development in chip-bonding and replacement of conventional PCBs with these components in key applications such as mother boards, processors, and flash drives.
•Asia Pacific was the largest regional market and accounted for over 50% of global demand in 2014. Large scale conformal coatings and surface mount devices manufacturing may be attributed to market size. This trend is expected to continue over the next seven years on account of rapid expansion of electronics industry in China, India, Taiwan and South Korea.
•China and India emerged as major markets both in terms of production and consumption. Favorable government initiatives such as "Make in India" have created significant avenues for future investments in terms of FDI for enhancing production capabilities within the region.
•Major companies with global electronic adhesives market share include Henkel AG & Co, Dow Chemicals and Hitachi Chemicals, HB Fuller, Kyocera Chemical Corp, 3M Company, Mitsui Chemicals LG Chemical Limited, and Indium Corporation.
Browse full research report with TOC on "Electronic Adhesives Market Analysis By Product (Thermal Conductive, Electrically Conductive, & UV Curing), By Application (Surface-Mount Devices, Potting & Encapsulation & Conformal Coatings) And Segment Forecasts To 2022" at http://www.grandviewresearch.com/industry-analysis/electronic-adhesives-market