Adhesives & sealants

Adhesives and Sealants Industry is growing steadily by implementing cost-savings programs including staff reductions. The industry is consolidating as major producers are acquiring product lines in construction, flexible packaging, and other sectors with growth rates above GDP. Many producers are also expanding production facilities to keep up with demand. They are minimizing their manufacturing steps to lower costs and improve efficiency along with substituting certain lower-cost raw materials such as different fillers or tackifiers for their usual more expensive product. They have increased products prices to match raw materials costs. Many producers are seeking to acquire product lines and small or mid-size firms that offer new technology. Producers also set their sights on acquiring firms in high-growth sectors including construction and maintenance, which account for the major share of the adhesive and sealants market.