Electric Vehicle Adhesives Market 2024 – Market Size & Segments Analysis, Industry Trends, Manufacturers Analysis, Opportunities and Forecast 2032

Electric vehicle adhesives are bonding materials used in the manufacturing and assembly of electric vehicles (EVs). These adhesives play a crucial role in joining different components of EVs, including body panels, battery modules, electric motors, and electronic components. Unlike traditional mechanical fastening methods such as welding and riveting, electric vehicle adhesives offer several advantages such as weight reduction, vibration damping, and corrosion resistance. They also help enhance the overall safety, performance, and efficiency of electric vehicles by providing seamless bonding, sealing, and insulation properties.

Electric vehicle adhesives are formulated to withstand the unique operating conditions and environmental challenges encountered in EVs, including high temperatures, humidity, and exposure to chemicals. The more the demand for electric vehicles continues to rise, the market for electric vehicle adhesives grow.

MARKET OVERVIEW

The global market valuation of Electric Vehicle Adhesives Market was valued at approximately USD 1.4 Billion in 2022 and is projected to reach USD 11.5 Billion in 2032 exhibiting a CAGR of 20% during the forecast period of 2023-2032. Electric Vehicle Adhesives is an essential material for bonding components in EVs, providing structural integrity, weight reduction, and resistance to environmental factors. The market is aligned with automotive sector, which makes it a sustainable and growing market.

GROWTH DRIVERS

The rise in popularity of electric vehicles (EVs) is a significant driver for the electric vehicle adhesives market. The more the consumers prioritize sustainability and emission reduction, the demand for EVs is grows significantly, creating opportunities for electric vehicle adhesives. Electric vehicle adhesives have emerged as a better alternative to traditional joining methods such as welding and mechanical fastening. They offer several advantages, including reduced weight, improved structural integrity, and enhanced corrosion resistance.

These benefits have led to their increased use in electric vehicle assembly. Electric vehicle manufacturers are focusing more on lightweight materials to improve vehicle efficiency and range. Electric vehicle adhesives play a critical role in bonding lightweight materials, contributing significantly to overall weight reduction.  Companies are investing heavily in research and development to innovate new adhesive formulations tailored for electric vehicle applications. Government incentives like Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles (FAME), The “Eco-bonus” program and The Inflation Reduction Act (IRA) aimed at promoting electric vehicle adoption are creating a conducive environment for market growth.

This leads to growth in awareness among consumers about the environmental benefits and long-term cost savings associated with electric vehicles is boosting market demand. The stringent emission regulations imposed by governments worldwide like Euro standards, China 5 and China 6a and 6b drives the adoption of electric vehicles, contributing towards market growth.

MARKET SEGMENTATION:

·         By Form– liquid, film, tape and others

·         By Resin Type – epoxy, polyurethane, silicone, acrylic and others

·         By Application – powertrain system, optical element, sensors and communication, body frame

·         By Vehicle Type– electric cars, electric buses, electric bikes, electric trucks

·         By Substrate- plastic, composite, metals and others

·         By Region- North America, Europe, Asia Pacific, The Middle East and Africa, South America

Electric Vehicle Adhesives Market By Form Segment Review:

Liquid adhesives are versatile and commonly used in various electric vehicle assembly processes. They are dispensed and applied in precise quantities to bond different materials together. Liquid adhesives offer excellent wetting properties, allowing them to spread evenly over the bonding surfaces and create strong, durable bonds. They are often preferred for bonding large surface areas or complex geometries, such as battery packs, body panels, and structural components. Film adhesives are pre-formed adhesive films that are cut accordingly and applied to the bonding surfaces. They offer advantages such as ease of handling, uniform thickness, and consistent adhesive properties.

Film adhesives are commonly used in electric vehicle assembly for bonding components like insulation materials, thermal management systems, and electronic components. Tape adhesives consist of an adhesive layer coated onto a flexible backing material, such as paper, film, or fabric. They are convenient to use and offer quick and easy application, making them suitable for rapid assembly processes in electric vehicle manufacturing. Tape adhesives are commonly used for temporary or semi-permanent bonding applications, such as securing cable harnesses, mounting electronic components, and sealing joints and seams.

Electric Vehicle Adhesives Market By Resin Type Segment Review:

Epoxy adhesives are known for their exceptional strength, chemical resistance, and durability. They form strong bonds to a wide range of substrates, including metals, plastics, and composites, making them suitable for bonding various components in electric vehicles. Epoxy adhesives helps at room temperature or with heat, providing high bond strength and excellent adhesion even in harsh operating conditions. They are commonly used in electric vehicle assembly for structural bonding applications, such as bonding battery modules, chassis components, and body panels.

Polyurethane adhesives suitable for bonding dissimilar materials and components with thermal expansion. They provide excellent adhesion to metals, plastics, and composites and can withstand thermal cycling, vibration, and mechanical stress in electric vehicle applications. Polyurethane adhesives help to form tough, resilient bonds that maintain their integrity over a wide temperature range, making them ideal for bonding battery packs, structural components, and interior trim panels in electric vehicles.

Silicone adhesives offer excellent adhesion to various substrates, including metals, glass, and plastics, and provide reliable sealing and bonding performance in battery enclosures, electrical connectors, and exterior trim components. Acrylic adhesives are known for their quick, high bond strength, and resistance to impact and environmental factors. They offer good adhesion to a variety of substrates and provide excellent durability and weatherability in electric vehicle applications. Acrylic adhesives are commonly used for bonding lightweight materials, such as plastics and composites, in electric vehicle assembly.

Electric Vehicle Adhesives Market By Application Segment Review:

The powertrain system of an electric vehicle includes components such as electric motors, inverters, and battery modules, which require strong bonding solutions to ensure reliable performance and efficiency. Electric vehicle adhesives are used in powertrain assembly for bonding and sealing applications, including motor encapsulation, battery module bonding, and inverter assembly. These adhesives provide strong, durable bonds that withstand thermal cycling, vibration, and mechanical stress, ensuring the integrity and longevity of the powertrain system in electric vehicles.

Optical elements in electric vehicles include components such as headlamps, taillights, and displays, which require precision bonding solutions to maintain optical clarity, durability, and aesthetics. Electric vehicle adhesives are used in optical element assembly for bonding and sealing applications, such as lens bonding, display assembly, and light module encapsulation. Sensors and communication systems in electric vehicles play a crucial role in monitoring vehicle performance, controlling functions, and transmitting data for vehicle-to-vehicle (V2V) and vehicle-to-infrastructure (V2I) communication.

Electric vehicle adhesives are used in sensor and communication system assembly for bonding and encapsulation applications, including sensor mounting, antenna bonding, and electronic module encapsulation. These adhesives provide secure, moisture-resistant bonds that protect sensitive electronic components and ensure reliable operation of sensors and communication systems in electric vehicles. The body frame of an electric vehicle comprises structural components such as chassis, body panels, and frame members, which require strong, lightweight bonding solutions to enhance vehicle safety, stability, and performance. Electric vehicle adhesives are used in body frame assembly for structural bonding and reinforcement applications, including chassis bonding, panel bonding, and frame reinforcement. These adhesives provide high bond strength, corrosion resistance, and fatigue resistance, helping to reduce vehicle weight, improve structural integrity, and enhance crashworthiness in electric vehicles.

Electric Vehicle Adhesives Market By Vehicle Type Segment Review:

Electric cars, also known as electric vehicles (EVs) or battery electric vehicles (BEVs), are passenger vehicles powered entirely by electric motors and rechargeable batteries. Electric car manufacturers require adhesives that provide strong, lightweight bonding solutions for various applications throughout the vehicle, including powertrain assembly, body frame construction, interior components, and exterior trim. Electric buses, also known as electric transit buses or e-buses, are public transportation vehicles powered by electric motors and onboard battery packs.

Electric bus manufacturers require adhesives that offer reliable bonding solutions for structural components, body panels, interior fittings, and electrical systems. Adhesives used in electric buses must provide high bond strength, impact resistance, and flame retardancy to ensure the safety, comfort, and performance of passengers and operators while meeting regulatory standards for public transportation vehicles. Electric bikes, also known as e-bikes or electric bicycles, equipped with electric motors and rechargeable batteries.

Electric bike manufacturers require adhesives that offer lightweight bonding solutions for frame construction, component assembly, and electrical system integration. Electric trucks, also known as electric commercial vehicles or e-trucks, are heavy-duty vehicles powered by electric motors and large battery packs designed for freight transport, logistics, and commercial fleet operations. Electric truck manufacturers require adhesives that offer robust bonding solutions for chassis construction, body assembly, cargo handling equipment, and onboard systems.

Electric Vehicle Adhesives Market By Substrate Type Segment Review:

Plastic substrates are commonly used in electric vehicle components such as interior trim, exterior panels, and structural parts due to their lightweight, cost-effective, and design flexibility properties. Adhesives used for bonding plastic substrates in electric vehicles offers excellent adhesion to a variety of plastics, including polypropylene, polyethylene, acrylonitrile butadiene styrene, polycarbonate, and polyamide. These adhesives should provide strong, durable bonds that withstand thermal cycling, vibration, and exposure to environmental factors such as moisture, UV radiation, and chemicals.

Composite substrates, such as carbon fiber reinforced polymer and glass fiber reinforced polymer, are used in electric vehicle body structures, chassis components, and battery enclosures to reduce weight, improve strength-to-weight ratio, and enhance energy efficiency. Adhesives used for bonding composite substrates in electric vehicles offer exceptional adhesion to composite materials, ensuring robust and durable bonds that withstand mechanical loads, fatigue, and environmental conditions. Metal substrates are used in electric vehicle manufacturing for structural components, powertrain systems, and chassis assemblies due to their strength, durability, and thermal conductivity properties. Adhesives used for bonding metal substrates in electric vehicles offer high bond strength, corrosion resistance, and thermal stability to ensure reliable performance under demanding operating conditions.

Electric Vehicle Adhesives Market Regional Analysis:

North America is a growing market driven by the presence of government initiatives promoting electric vehicle adoption and presence of EV companies like Tesla in this region. Europe is a significant market due to the presence of strong automotive manufacturing hub and supportive government policies for adoption of EVs. Asia Pacific is another significant market driven by rapid urbanization and industrialization and government initiatives for the adoption of EVs. The Middle East and Africa market is expected to grow due to factors including the need to reduce dependency on fossil fuels and infrastructure development which includes EV charging infrastructure. South America market is expected to grow driven by the factors like urbanization and industrialization.

Key Challenges:

The primary challenges faced by electric vehicle adhesives is ensuring compatibility with a wide range of substrate materials used in EV manufacturing, including plastics, composites, and metals. The cost of electric vehicle adhesives, including material costs, manufacturing processes, and assembly labor, may impact the overall cost of EV production which may hinder the market growth. Electric vehicles operate in diverse and often harsh environments, including high temperatures, humidity, vibration, and exposure to chemicals and more. Adhesives used in EV assembly must demonstrate reliable performance under these extreme conditions, maintaining bond strength, durability, and resistance to degradation over the vehicle's lifecycle.

Competitive Landscape:

In the highly competitive Electric Vehicle Adhesives market, companies are investing heavily in research and development to innovate and improve the product and services. They are also collaborating, forming strategic partnerships, or acquiring other companies to gain access to new market segments, enhance distribution networks, and increase market share. Recent developments includes Henkel AG & Co. acquired Nanoramic Laboratories Thermal Management Materials. H.B. Fuller company acquired Apollo to strengthen the market position in Japan.

Global Key Players:

·         Ashland Inc.

·         H.B. Fuller

·         Jowat SE

·         PPG Industries

·         Sika AG

·         3M

·         Wacker Chemie AG

·         Arkema S.A.

·         Parker Hannifin Corporation

·         Illinois Tool Works Inc.