Global Engineered Wood Adhesive Market Overview
The Engineered Wood Adhesive Market Size was estimated at 3.49 (USD Billion) in 2022.The Engineered Wood Adhesive Industry is expected to grow from 3.63(USD Billion) in 2023 to 5.2 (USD Billion) by 2032. The Engineered Wood Adhesive Market CAGR (growth rate) is expected to be around 4.06% during the forecast period (2024 - 2032).
Key Engineered Wood Adhesive Market Trends Highlighted
The engineered wood adhesive market is projected to experience steady growth over the coming years, driven by the rising demand for engineered wood products across various end-use sectors. The increasing construction activities in developing countries, coupled with the growing popularity of lightweight and eco-friendly building materials, are key market drivers.Recent trends include the adoption of advanced adhesives with enhanced bonding properties and durability, as well as the development of environmentally sustainable adhesives that meet regulations and consumer preferences. Additionally, the emergence of new technologies, such as nanotechnology and UV-curable adhesives, is creating opportunities for the development of innovative products with improved performance characteristics. The rising awareness of the environmental impacts of traditional adhesives is also driving the development of bio-based and renewable adhesives.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Engineered Wood Adhesive Market Drivers
Increasing Demand for Engineered Wood Products
Engineered wood products have gained increasing popularity in the construction industry. These products, including plywood, oriented strand board and laminated veneer lumber, offer improved strength and durability and are less expensive than conventional solid lumber. Given their increasing use in the construction of both residential and commercial buildings, as well as in the manufacture of furniture and other wooden products, the Engineered Wood Adhesive Market Industry will keep growing.To create engineered wood products, adhesives are used to bond the layers of wood together. Once the processed wood is turned into a product, it is highly unlikely that it will be disassembled back into its constituent layers, but only specialized adhesives can ensure the maximum durability and safety of engineered wood products.
Growing Construction Industry
Publications by Faywonder, AGAThisWeek, McCloud Consulting Group and McCaughern Consulting Limited identify the use of engineered wood products in the construction industry as a driver of the industry. The construction industry, especially in emerging economies, is growing as a result of urbanization and population growth. Most of the people are now preferring urban areas forcing infrastructure providers and companies to provide new housing and infrastructure.This phenomenon is increasing the consumption of engineered wood and its adhesive products. The construction industry is expected to continue growing; therefore, the market will continue.
Technological Advancements
The technological advancement made in the development of engineered wood adhesive is also accelerating the growth of the Engineered Wood Adhesive Market Industry. The advancements made in this area can be related to the formulation of novel adhesive formulations that can bond the engineered wood properly with high strength, durability and resistance of moister and heat. Besides, the use of nanotechnologies and other advanced methods to develop novel adhesives adds positive affects to the industry and might lead to the growth of the market in the future.
Engineered Wood Adhesive Market Segment Insights
Engineered Wood Adhesive Market Resin Type Insights
The increasing demand for engineered wood products in the construction and furniture industries is a major factor driving the growth of the engineered wood adhesive market. Polyurethane (PUR) adhesives are expected to hold the largest market share in the engineered wood adhesive market due to their high strength, durability, and resistance to moisture and chemicals. Polyvinyl Acetate (PVAc) adhesives are also widely used due to their low cost and ease of application. Phenol-formaldehyde (PF) adhesives are commonly used in the production of plywood and oriented strand board (OSB).Urea-formaldehyde (UF) adhesives are primarily used in the production of particleboard and medium-density fiberboard (MDF). Melamine-formaldehyde (MF) adhesives are gaining popularity due to their high heat resistance and durability. The Asia-Pacific region is expected to witness the highest growth in the engineered wood adhesive market due to the increasing construction activities in the region. The growing demand from the furniture industry is also expected to contribute to the growth of the market in this region. North America and Europe are mature markets for engineered wood adhesives, but they are expected to witness steady growth due to the increasing demand for high-performance adhesives in these regions. 
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Engineered Wood Adhesive Market Application Insights
The engineered wood adhesive market is divided on the basis of application into structural gluing, laminating, edge banding, assembly and veneering. Among these applications, structural gluing held the highest market share in 2023 and will continue its dominance throughout the forecast period. Growth of this division is driven by the increase in demand for engineered wood products in the construction sector. Laminating appeared to be another highly important division, which will grow significantly throughout the forecast period due to the increasing popularity of engineered wood flooring and furniture.Edge banding is also a growing division, which is supported by the high popularity of engineered wood in furniture manufacturing. Two other divisions, assembly and veneering, are likely to grow as well and contribute to the overall growth of the engineered wood adhesive production.
Engineered Wood Adhesive Market Wood Type Insights
The Engineered Wood Adhesive Market is segmented by Wood Type into Softwood, Hardwood, Plywood, Oriented Strand Board (OSB), and Medium Density Fiberboard (MDF). The Softwood segment is expected to hold the largest market share in 2023, owing to its wide usage in construction applications. The Hardwood segment is projected to witness the highest CAGR during the forecast period due to its increasing demand in furniture and flooring applications. Plywood is expected to account for a significant market share due to its versatility and strength, making it suitable for various applications such as construction, packaging, and furniture.OSB is projected to witness steady growth, driven by its use in structural applications such as wall sheathing and roofing. MDF is expected to gain traction due to its affordability and ease of machining, making it suitable for furniture and interior applications.
Engineered Wood Adhesive Market End-Use Industry Insights
The Engineered Wood Adhesive Market segmentation by End-Use Industry comprises Construction, Furniture Manufacturing, Packaging, Automotive and Marine. The construction segment held the largest market share of 42.3% in 2023 and is expected to continue its dominance throughout the forecast period. The growth of the construction industry, particularly in developing countries, is driving the demand for engineered wood adhesives. The furniture manufacturing segment is projected to witness a significant growth rate of 4.5% from 2023 to 2032, owing to the increasing demand for furniture in the residential and commercial sectors.The packaging industry is also expected to contribute to the market growth, as engineered wood adhesives are used in the production of corrugated boxes, crates, and other packaging materials. Moreover, the automotive and marine industries are exploring the use of engineered wood adhesives for lightweight and durable components, further contributing to the market growth.
Engineered Wood Adhesive Market Product Form Insights
The Engineered Wood Adhesive Market is segmented by product form into liquid, solid, hot melt, film and powder. Among these, liquid adhesives held the largest market share in 2023 and are projected to maintain their dominance throughout the forecast period. This is attributed to their ease of application, versatility and cost-effectiveness. Solid adhesives are expected to witness the highest growth rate during the forecast period due to their high strength and durability. Hot melt adhesives are also gaining popularity due to their fast setting time and ability to bond a wide range of materials.Film adhesives are used for bonding thin materials and are expected to grow at a steady pace during the forecast period. Powder adhesives are used for bonding porous materials and are expected to experience moderate growth.
Engineered Wood Adhesive Market Regional Insights
The Engineered Wood Adhesive Market is segmented into North America, Europe, APAC, South America and MEA. Among these regions, North America and Europe are the largest markets for engineered wood adhesives, accounting for over 60% of revenue. The growth in these regions is attributed to the increasing demand for engineered wood products in the construction industry. APAC is expected to be the fastest-growing region in the coming years, due to the rising urbanization and industrialization in the region. South America and MEA are expected to witness moderate growth due to the growing construction sector in these regions. 
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Engineered Wood Adhesive Market Key Players And Competitive Insights
Engineered Wood Adhesive Market major players are focusing on constant investment in R to develop new products with enhanced performance and sustainable properties, which is anticipated to drive Engineered Wood Adhesive Market growth over the forecast time frame. Moreover, the leading players in the Engineered Wood Adhesive Market are focusing on premium geographical expansion by forming joint ventures or partnerships with regional players. For instance, Bostik, a leading provider of adhesives, launched its first production plant for construction adhesives in Russia in 2017. Such expansion will increase the availability of formulated adhesives in Russia and support Engineered Wood Adhesive Market growth. Moreover, the developing demand for engineered wood products is another major factor driving Engineered Wood Adhesive Market to grow. Engineered wood products gained huge popularity in construction owing to properties such as high strength, durability, and versatile usage. This will in turn, drive Engineered Wood Adhesive demand.Henkel AGCo. KGaA is the major leader in the Engineered Wood Adhesive Market. Henkel is the dominant leader in adhesives, and it supplies various Engineered Wood Adhesive types. Henkel Engineered Wood Adhesive is used for different applications, including furniture manufacturing, construction, and packaging. The company is focusing on developing new Engineered Wood Adhesive as a part of its expansion strategy. For instance, in 2019, the company launched Technomelt AWS 112 in response to growing wood bonding requirements in the furniture industry. Another significant player in Engineered Wood Adhesive Market is Sika AG. Sika is a specialty chemicals leader, and it supplies varied types of Engineered Wood Adhesives. The product finds wide applications in overall construction, transportation, and industry. Moreover, the company is focusing on issuing eco-friendly Engineered Wood adhesives.
Key Companies in the Engineered Wood Adhesive Market Include
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Celanese
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Kyowa Chemical Industry
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Kasai Kogyo
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Ashland
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Dow
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Sika
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Henkel
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Jowat
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3M
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Ingevity
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Univar Solutions
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H.B. Fuller
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Huntsman
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Avery Dennison
Engineered Wood Adhesive Market Industry Developments
The Engineered Wood Adhesive market is projected to grow from USD 3.63 billion in 2023 to USD 5.20 billion by 2032, exhibiting a CAGR of 4.06% during the forecast period. Increasing demand for engineered wood products in residential and commercial construction, coupled with rising disposable income and urbanization, is driving market growth. Moreover, growing awareness of sustainable building practices and the need for durable and cost-effective adhesives are contributing to the market expansion.Recent developments include the launch of new products with enhanced bonding strength and durability, such as Jowat's Jowapur 681.80 adhesive, designed for the structural bonding of engineered wood components. Additionally, strategic partnerships and acquisitions are shaping the market landscape. For instance, in 2023, Henkel acquired the wood adhesives business of AkzoNobel, strengthening its position in the engineered wood adhesive market.
Engineered Wood Adhesive Market Segmentation Insights
Engineered Wood Adhesive Market Resin Type Outlook
Engineered Wood Adhesive Market Application Outlook
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Structural Gluing
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Laminating
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Edgebanding
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Assembly
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Veneering
Engineered Wood Adhesive Market Wood Type Outlook
Engineered Wood Adhesive Market End-Use Industry Outlook
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Construction
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Furniture Manufacturing
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Packaging
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Automotive
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Marine
Engineered Wood Adhesive Market Product Form Outlook
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Liquid
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Solid
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Hot Melt
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Film
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Powder
Engineered Wood Adhesive Market Regional Outlook
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North America
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Europe
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South America
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Asia Pacific
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Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
3.49(USD Billion) |
| Market Size 2023 |
3.63(USD Billion) |
| Market Size 2032 |
5.2(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
4.06% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Celanese, Kyowa Chemical Industry, Kasai Kogyo, Ashland, Dow, Sika, Henkel, Jowat, 3M, Ingevity, Univar Solutions, H.B. Fuller, Huntsman, Avery Dennison |
| Segments Covered |
Resin Type, Application, Wood Type, End-Use Industry, Product Form, Regional |
| Key Market Opportunities |
Growing construction increasing demand for sustainable building materials rising awareness of environmental concerns technological advancements expanding applications in furniture and automotive |
| Key Market Dynamics |
Rising consumer demand technological advancements growing construction industry increasing environmental concerns expanding automotive sector |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Engineered Wood Adhesive Market was expected to reach a valuation of 3.63 Billion USD in 2023.
The Engineered Wood Adhesive Market is expected to reach a valuation of 5.2 Billion USD in 2032.
The Engineered Wood Adhesive Market is expected to grow at a CAGR of 4.06% from 2024 to 2032.
The Asia Pacific region is expected to hold the largest market share in the Engineered Wood Adhesive Market.
The construction industry is expected to hold the largest market share in the Engineered Wood Adhesive Market.
Key competitors in the Engineered Wood Adhesive Market include Henkel, Sika AG, and H.B. Fuller.
Key challenges faced by the Engineered Wood Adhesive Market include the fluctuating prices of raw materials and the increasing competition from alternative adhesives.
Key opportunities for the Engineered Wood Adhesive Market include the growing demand for sustainable building materials and the development of new and innovative adhesive technologies.
Key trends in the Engineered Wood Adhesive Market include the increasing use of bio-based adhesives and the development of adhesives with improved performance properties.
Key trends in the Engineered Wood Adhesive Market include the increasing use of bio-based adhesives and the development of adhesives with improved performance properties.
