Construction Adhesives Market on Path to Hit $18.32 Billion by 2029 at 9% CAGR

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Construction Adhesives Market Outlook: What Size And CAGR Are Anticipated By 2025?
There has been a robust growth in the size of the construction adhesives market in the recent past. The market that was at $12.06 billion in 2024 is projected to rise to $12.95 billion in 2025, with a compound annual growth rate (CAGR) of 7.4%. The historic growth was driven by factors such as construction and infrastructure developments, renovation and repair works in buildings, escalation in demand for eco-friendly buildings, stronger regulatory compliance requirements, and factors like urbanization and population increase.

What Is the Expected CAGR for the Construction Adhesives Market Growth Through 2029?
In the upcoming years, a considerable growth is anticipated in the construction adhesives industry, with its market size projected to reach $18.32 billion by 2029, expanding at a compound annual growth rate (CAGR) of 9.0%. Factors such as the rise in digital construction processes, implementation of circular economy methods, adherence to construction safety norms, expansion in emerging markets, and increasing adaptability to varying climate conditions are expected to be contributing towards this growth during the forecast period. Leading trends during this period are predicted to be superior performance and specialty adhesives, groundbreaking prefabrication and modular construction patterns, the onset of sustainable and low-volatile organic compound (VOC) adhesives, technological innovation and integration, and the inception of intelligent building technologies.

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What Are the Primary Drivers Behind Construction Adhesives Market Growth?
The surge in construction endeavors is projected to spur the expansion of the construction adhesives market. Constructing involves assembling materials to form substantial structures. The escalation in construction projects for private and public buildings is bolstering the growth of the construction adhesives market. For example, according to data from the U.S. Census Bureau, an American federal statistical system agency, in August 2024, the rate of new residential construction has considerably diminished compared to past years. There were only 1.54 million housing starts in July 2024, which constitutes a 6.5% drop from the previous month, and a 20% drop compared to July 2023. Consequently, the surge in construction endeavors is stimulating the growth of the construction adhesives market.

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What Are the Key Segments Driving Construction Adhesives Market Growth?
The construction adhesives market covered in this report is segmented -

1) By Type: Water-based, Solvent-based, Hot-melt, Reactive
2) By Resin Type: Acrylic Adhesive, Polyurethane (PU), Polyvinyl Acetate (PVA), Epoxy
3) By Application: Residential, Commercial, Industrial

Subsegments:
1) By Water-based: Acrylic Adhesives, Polyvinyl Acetate (PVA) Adhesives, Latex Adhesives
2) By Solvent-based: Polyurethane Adhesives, Epoxy Adhesives, Contact Adhesives
3) By Hot-melt: Ethylene Vinyl Acetate (EVA) Adhesives, Polyamide Adhesives, Polyolefin Adhesives
4) By Reactive: Polyurethane Reactive Adhesives, Silane Modified Polymer Adhesives, Epoxy Reactive Adhesives

What Are the Technological Trends Impacting the Construction Adhesives Market?
Growing trends in the construction sector reveal an increased usage of bio-based adhesives by construction firms. This shift has been driven by rising environmental consciousness and shrinking fossil-based resources, prompting the creation of bio-based adhesives that have a minimal impact on carbon emissions and can effectively bond with a range of different materials. These adhesives are derived from renewable, bio-friendly sources and exhibit superior mechanical and chemical characteristics, making them more effective. For example, in March of 2023, the Germany-based chemical company, Henkel AG & Co. KGaA launched its innovative product, LOCTITE® HHD 5000, a high-quality bio-based polyurethane reactive (PUR) hot melt adhesive.

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Who Are the Major Competitors in the Global Construction Adhesives Market?
Major companies operating in the construction adhesives market include Minnesota Mining and Manufacturing Company., Adhesives Technology Corporation, Arkema SA, Avery Dennison Corporation, DAP Products Inc., H.B. Fuller Company, Henkel AG & Co. KGaA, ITW Performance Polymers, MAPEI S.p.A., Sika AG, Wacker Chemie AG, Ashland Inc., Don Construction Products Limited, Franklin International Group Ltd., Parker Hannifin Corp., LORD Corp., M-D Building Products Inc., RPM International Inc., BASF SE, Permabond LLC, ARDEX AMERICAS Inc., Huntsman International LLC, Bostik SA, Jowat SE, Pidilite Industries Limited, Royal Adhesives & Sealants LLC, The Dow Chemical Company, Akzo Nobel N.V., Chemence Inc., Collano Adhesives AG, Delo Industrial Adhesives LLC, Hexion Inc., Master Bond Inc., Parson Adhesives Inc.

Which Region Dominates the Construction Adhesives Market Share in 2025?
Asia-Pacific was the largest region in the construction adhesives market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the construction adhesives market report include Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

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