by C5 resins find extensive application across adhesives and sealant manufacturing. They are primarily used as tackifiers in hot melt, pressure sensitive, and structural adhesives. The global adhesives industry has been steadily gaining momentum over the past few years, owing to factors such as rapid urbanization, infrastructural development projects, and growing demand from automotive and construction industries. Improving economic conditions and expansion of end-use industries have fueled the demand for adhesives and sealants. C5 resins are mixed in adhesives formulations to enhance tack, viscosity, and other required properties.
The global C5 Resins Market is estimated to be valued at US$ 861.82 Mn in 2023 and is expected to exhibit a CAGR of 6.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The increasing use of hot melt adhesives is expected to drive the C5 resins market over the forecast period. Hot melt adhesives find widespread application in packaging, construction, bookbinding, footwear, automotive, and other industries owing to their fast setting properties. C5 resins are primarily used as tackifiers in hot melt adhesives formulations to enhance tack and adhesion. Their compatibility with thermoplastic polymers and ability to rapidly strengthen the initial bond makes them a preferred material for hot melt adhesives. Growing demand from the packaging and non-woven industry is also boosting the consumption of hot melt adhesives, which in turn is propelling the C5 resins market growth.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in Global C5 Resins Market Size is low as it requires high initial capital investments and long gestation period for plants. Established players have economies of scale.
Bargaining power of buyers: The bargaining power of buyers in C5 Resins Market is low to moderate as products are differentiated and switching costs are moderate.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as resin manufacturers can switch to alternative feedstock suppliers and source feedstock globally.
Threat of new substitutes: The threat of new substitutes is low to moderate as substitute materials like acrylic and polyolefins have properties different from C5 resins limiting direct substitution.
Competitive rivalry: The competitive rivalry in the market is high due to presence of large multinational players and regional players competing on pricing and product differentiation strategies.
Key Takeaways
The global C5 Resins market is expected to witness high growth over the forecast period. In terms of region, the Asia Pacific region dominates the C5 Resins market and is expected to grow at the fastest rate during the forecast period. China, Japan, and India are some of the major producers and consumers of C5 resins in the Asia Pacific region.
Regional analysis:
The Asia Pacific region accounts for the largest share in the global C5 Resins market owing to significant growth of end use industries like paints & coatings, adhesives & sealants, and printing inks in countries like China and India. Growth of the automotive industry in Asia Pacific is also driving demand for C5 resins.
Key players: Key players operating in the C5 Resins market are Arakawa Chemical Industries Ltd, Cray Valley, DuPont, Eastman Chemical Company, ENEOS Holdings Inc., Exxon Mobil Corporation, Henan Anglxxon Chemical Co. Ltd, Kolon Industries Inc., Lesco Chemical Limited, Neville Chemical Company, Puyang Ruisen Petroleum Resins Co. Ltd, Seacon Corporation, Shanghai Jinsen, Hydrocarbon Resins Co., Limited, Zibo Luhua Hongjin New Material Co. Ltd, and ZEON CORPORATION.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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