The global automotive tapes market size is projected to reach USD 6.40 billion. The increasing applications of the product will fuel it demand across diverse industries. According to a report published by Fortune Business Insights, titled “Automotive Tapes Market Size, Share and Global Trend by Type (Specialty, Double-sided, Masking, Others), By Function (Bonding, Masking, Noise, vibration, and harshness {NVH}, Others), By Application (Interior, Exterior, Wire Harnessing, Others) and Geography Forecast till 2026,” The global automotive tapes market size was valued at USD 5.17 billion in 2018 is projected to reach USD 6.40 billion by 2026, exhibiting a CAGR of 3.16% during the forecast period from 2019 – 2026. North America dominated the automotive tapes market with a market share of 14.06% in 2018..
The automotive industry continues to evolve, with innovations and advanced technologies influencing every facet of vehicle design and production. One key component that often flies under the radar is the use of automotive tapes. These specialized tapes play a critical role in various automotive applications, from bonding and insulation to sound damping and surface protection. As the demand for lightweight materials, enhanced performance, and sustainability grows, the automotive tapes market is set for significant expansion in the coming years.
Overview of the Automotive Tapes Market
Automotive tapes are specially designed adhesives that offer solutions in vehicle assembly, repair, and customization. They are used for various purposes such as joining parts, reducing noise and vibrations, protecting surfaces, and even as an alternative to mechanical fasteners like bolts and screws. The global automotive tapes market is projected to experience robust growth, with an estimated compound annual growth rate (CAGR) of around 6-7% between 2023 and 2030. This growth is largely driven by advancements in automotive design, a surge in electric vehicle (EV) production, and increasing demand for lightweight and sustainable materials.
Some of the leading companies that are operating in the global automotive tapes market are:
Tesa SE
3M Company
Arkema S.A.
Nitto Denko Corporation
Avery Dennison Corporation
Sika AG
Saint-Gobain
LINTEC Corporation
Scapa
Henkel AG
Others
Automotive tapes are widely used across the automotive industry. The increasing emphasis on development of sustainable and durable tapes has derived huge investments from manufacturers across the world. This has caught the eye of companies from other industries, as well, and has encouraged them to deviate from their core strategies and invest in automotive tapes. The increasing emphasis on product R&D has yielded a few exceptional products in recent years and has attracted attention from consumers from consumers across the world. Variations in product offerings have allowed widespread applications, subsequently aiding the growth of the market. The healthy market competition has encouraged competitors to adopt newer strategies. Altogether, these factors will have a positive impact on the growth of the market in the coming years.
Increasing Number of Company Mergers Will Aid Market Growth
The report encompasses several factors that have contributed to the growth of the market in recent years. Among all factors, the increasing company mergers and collaborations have made a massive impact on the growth of the market. In August 2019, Bostik announced that it plans to acquire Prochimir. Through this acquisition, the company plans to expand its thermos-bonding solutions. Considering the massive global reach of both of these companies, the collaboration will have a huge impact, not just on their businesses, but also on the global market. The report includes a few of the major company collaborations of recent times and gauges their impact on the growth of the market.
Asia Pacific to Emerge Dominant; Increasing Disposable Income in Major Countries to Aid Growth
The report analyzes the ongoing automotive tapes market trends across North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. Among these regions, the market in Asia Pacific currently holds the largest market share. The increasing disposable income in emerging countries such as India and China will emerge in favor of market growth. Besides Asia Pacific, the market in North America will also witness considerable growth. As of 2018, the market in North America was worth USD 726.99 million and this value is projected to increase further in the coming years.
Source: https://www.fortunebusinessinsights.com/automotive-tapes-market-102417
Industry Developments:
August 2019 - Toray Advanced Composites signed an agreement with BASF SE for manufacturing and supply of continuous fibre-reinforced thermoplastic (CFRT) tapes.
Challenges Facing the Automotive Tapes Market
Fluctuating Raw Material Costs
Automotive tapes are largely dependent on raw materials such as plastics, foams, and adhesive chemicals. Any fluctuation in the price of these materials, particularly petroleum-based products, can affect the overall cost of production. This volatility may challenge manufacturers' profit margins and result in higher prices for end users.
Stringent Industry Regulations
The automotive industry is subject to stringent safety and environmental regulations. Adhesive tapes used in vehicle manufacturing must meet specific performance standards related to durability, thermal resistance, and bonding strength. As regulations become more stringent, particularly in Europe and North America, tape manufacturers must continually innovate and ensure compliance.
Growing Competition
The automotive tapes market is highly competitive, with a range of established players and new entrants offering diverse products. Market players must differentiate themselves through product innovation, quality assurance, and strategic partnerships to stay ahead of competitors.