The Electric Vehicle Adhesives Market is forecasted to grow at a high rate owing to the increasing sale and production of electric vehicles along with growing environmental concerns
The Global Electric Vehicle Adhesives Market was valued at USD 315.8 Mn in 2020 and is expected to reach USD 2,468.5 Mn by 2027, with a growing CAGR of 34.1 % during the forecast period.
The electric vehicle adhesives market is majorly growing owing to the increasing popularity of electric vehicles among consumers. This rising popularity of electric vehicles (EVs) is resulting in increased sales and production of EVs leading to higher demand for electric motors, batteries, instrument clusters, doors, infotainment systems, various panels, charging sockets, and seats. Adhesives are an important element in EVs and have a wide application in all these components, particularity in the batteries of the vehicles. Adhesives are lightweight materials used in EV batteries to reduce their weight and improve their overall efficiency. Apart from vehicle light weight management, thermal management and heat generation are some of the serious concerns for EV manufactures. To tackle these concerns, the battery manufacturers now prefer to use thermal interface materials, like adhesives, over mechanical fasteners for the smooth functioning of these crucial parts. Adhesives used for thermal interface bonding have good mechanical stability, thermal conductivity, and environment and vibration resistance. Owing to all these aforementioned factors, increasing demand for EVs is projected to directly influence the electric vehicle adhesives industry growth.
Moreover, rising environmental consciousness is also a prominent factor influencing the electric vehicle adhesives industry. Rising environmental concerns have resulted in greater demand for energy-efficient automobiles. Several nations have launched stringent regulations for controlling the CO2 emission in the environment from the automotive. For instance, California’s Zero-Emission Vehicle (ZEV) mandate, European Union CO2 emissions regulation for vans and cars, China’s New Energy Vehicles (NEV) mandate among many others. As per the data released by International Energy Agency (IEA), over 120 countries across the globe have pledged economy-wide net-zero emissions that aim at reaching zero emissions in the coming years. Along with this, governments in several major nations are providing favourable support for increasing the sale and production of EVs in their countries. For instance, in April 2019, the Indian government announced the launch of the second phase of the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme. This scheme aims at encouraging the adoption of electric vehicles and improving associated charging infrastructure within the country. Such policies and favourable government support are expected to immensely boost the EV market, thus positively impacting the electric vehicle adhesives industry growth.
Global Electric Vehicle Adhesives Market by Region Outlook (Revenue, USD Million, 2021-2027)
Based on region, the Asia-Pacific region has dominated the electric vehicle adhesives market across the globe in 2020 and is expected to hold a similar trend during the forecast year. The growth in the region is mainly attributed to the favourable government policies implemented by several developing economies in the region including India, Singapore, and China. For instance, in September 2017, the Ministry of Industry and Information Technology of China announced the launch of its new energy vehicle (NEV) quota that required all car manufacturers to produce 10% new electric vehicles in 2019 and 12% in 2020 that has an annual vehicle sale of more 30,000. Furthermore, the electrification of the automotive industry combined with the initiatives for setting up charging infrastructure is also a major factor driving the electric vehicle industry growth in the region. For example, India plans to set up 500,000 charging stations installed by 2030. Increasing EV charging station is a clear indication of rising EV sales in the region. Along with this many companies in the region are also coming up with innovative solutions to improve the EV charging infrastructure. For instance, in February 2020, Charzer, an EV start-up in Bengaluru, India, announced the launch of a low-cost smart EV charging station “Kirana Charzer” that only costs â¹10,000 and can turn any Kirana store, restaurant, and office into a charging station. All these factors are responsible for driving the electric vehicle adhesives industry growth in the region.
The Global Electric Vehicle Adhesives Industry Segmentation:
Global Electric Vehicle Adhesives Market by Resin Type Outlook (Revenue, USD Million, 2021-2027)
Global Electric Vehicle Adhesives Market by Application Outlook (Revenue, USD Million, 2021-2027)
Global Electric Vehicle Adhesives Market by Vehicle Type Outlook (Revenue, USD Million, 2021-2027)
Global Electric Vehicle Adhesives Market by Substrate Outlook (Revenue, USD Million, 2021-2027)
Global Electric Vehicle Adhesives Market by Form Outlook (Revenue, USD Million, 2021-2027)
Key Findings:
Company Profiles and Competitive Intelligence
The key players operating in the Electric Vehicle Adhesives market are:
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