Europe Polyurethane Adhesives Market Size & Share Analysis - Growth Trends & Forecasts UP TO 2028

Europe Polyurethane Adhesives Market Trends

Significant growth of food & beverage industry in Europe to escalate packaging industry

• Packaging is one of the major sectors of Europe region. The region is the second-largest producer of packaging products in the world, which holds about 24% of global packaging production after the Asia-Pacific region. Germany, Russia, Spain, and the United Kingdom are major producers of packaging products in Europe. It is seen that packaging production reduced by 7.14% in 2020 compared to 2019 due to the impact of the COVID-19 pandemic. During the year, a nationwide lockdown imposed by several countries halted the production facilities for three to four months in the region.
• Russia is a leading producer of packaging products producing 213.8 million tons in 2021, which is the highest in Europe. The Russian packaging industry has majorly been driven by the rapid growth of the food and beverages industry in recent years. Russia is a major exporter of food products worldwide, which further influences packaging sales to meet the need for sophisticated packaging across various-end use industries.
• Germany is the major producer of plastic packaging in Europe. Plastic packaging which nearly accounts for around 79% of the packaging produced in 2021. The plastic packaging industry is majorly driven by the rapid growth of the food and beverages industry in the country. With the rise in busier lifestyles, greater spending power, and related factors in the region, the demand for quick and on-the-go packaged products is increasing. This trend will rise in packaging products in the coming years in Europe.

Rapid growth of new construction along with rising need for renovation activities will drive the industry

• The overall revenue of construction showed a steep decrement in 2020 because of the impact of the pandemic situation due to COVID-19, which led to an overall recovery slowdown and social distancing measures on work sites.
• The overall revenue of the construction sector in Europe grew tremendously, with the highest year-on-year growth in 2021 compared to that of 2020 because of the initiatives and measures taken by the EU Commission, such as the infusion of EUR 750 billion for all sectors under the COVID recovery plan named Next Generation EU. Under the Next Generation EU plan, the construction sector received the maximum investment because of the European objective of green and digital transition in buildings which led to growth in the annual renovation rate of existing buildings and structures.
• As per the EUROCONSTRUCT report, among the segments of the European Union based on political geography, Central and Eastern Europe are expected to register a CAGR of 6.4%, followed by Western Europe at a CAGR of 6.1% in 2022-2024. 
• The policymakers at European Union and national level are prioritizing the construction of new buildings and conversion of existing buildings to be energy efficient through various policies including Energy Performance of Buildings Directive and others. These policies will lead to an increase in overall revenue for construction in the forecast period.

OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT

Segment Analysis: End User Industry

Packaging Segment in Europe Polyurethane Adhesives Market

The packaging segment dominates the European polyurethane adhesives market, holding approximately 37% market share in 2024. This significant market position is primarily driven by the extensive use of PU adhesives in flexible packaging applications, particularly in food packaging where water-based polyurethane adhesives are preferred due to their environmental friendliness and low VOC levels. The segment's dominance is further strengthened by the robust packaging industry in key markets like Germany and the United Kingdom, where increasing e-commerce activities and rising consumer preference for packaged food and beverages are driving demand. Additionally, the segment benefits from technological advancements in sustainable packaging solutions and the growing focus on recyclable materials, particularly in Western European countries.

Building and Construction Segment in Europe Polyurethane Adhesives Market

The building and construction segment is emerging as the fastest-growing segment in the European polyurethane adhesives market, with an expected growth rate of approximately 5% through 2029. This growth is primarily driven by the European Union Commission's initiatives, particularly the Next Generation EU recovery plan, which allocates substantial funding for constructing energy-efficient buildings and reducing carbon footprints. The segment's growth is further supported by increasing renovation activities across Europe and the rising demand for sustainable construction adhesives. The adoption of polyurethane adhesives in this sector is particularly strong due to their excellent resistance to environmental factors, superior bonding properties with various construction materials, and their role in improving overall building energy efficiency.

Remaining Segments in End User Industry

The other segments in the European polyurethane adhesives market, including healthcare, automotive, woodworking and joinery, footwear and leather, and aerospace, each contribute significantly to the market's diversity. The healthcare segment is particularly noteworthy due to Europe's well-established medical device manufacturing industry, while the automotive sector benefits from the growing electric vehicle market, utilizing automotive adhesives. The woodworking and joinery segment maintains steady demand due to Europe's strong furniture manufacturing base, particularly in countries like Germany and Italy. The footwear and leather segment, though smaller, remains important in specialized applications, while the aerospace sector continues to drive innovation in high-performance adhesive solutions.

Segment Analysis: Technology

Water-borne Segment in Europe Polyurethane Adhesives Market

Water-borne polyurethane adhesives dominate the European market, holding approximately 37% market share in 2024. These adhesives are formulated as dispersions or emulsions with spherical polymer particles typically ranging from 50-300 nm in diameter. Their popularity stems from being environmentally friendly with low VOC emissions, making them particularly attractive for flexible adhesives in food packaging applications. The segment's strong position is driven by increasing adoption in automotive, aerospace, and healthcare industries due to their quick processing capabilities and superior adhesion to plastic materials. Water-borne adhesives are helping medical device manufacturers achieve sustainable development goals while meeting stringent environmental regulations across Europe.

Hot Melt Segment in Europe Polyurethane Adhesives Market

The hot melt adhesives segment is experiencing robust growth in the European market, with an expected growth rate of approximately 8% during 2024-2029. These adhesives, which operate within a temperature range of 60-200 degrees Celsius, are gaining significant traction across various industries. The segment's growth is primarily driven by increasing demand from the healthcare sector, particularly in countries like Germany, the United Kingdom, and France. The expansion is further supported by the rising adoption in medical device manufacturing, where hot melt adhesives are preferred for their versatility and performance characteristics. The segment is also benefiting from technological advancements in application methods and increasing focus on energy-efficient bonding solutions, including two-component adhesives and one-component adhesives.

Remaining Segments in Technology

The European polyurethane adhesives market features several other important technology segments, including solvent-borne, reactive, and UV-cured adhesives. Solvent-borne adhesives maintain a significant presence in packaging and industrial applications, despite environmental concerns about VOC emissions. Reactive adhesives are particularly valued in automotive and construction applications for their exceptional strength and durability under various environmental conditions. UV-cured adhesives, while representing a smaller market share, are gaining importance in specialized applications requiring rapid curing and high precision, particularly in electronics and medical device assembly. Each of these segments serves specific market niches and contributes to the overall technological diversity of the polyurethane adhesives market.

Europe Polyurethane Adhesives Market Geography Segment Analysis

Polyurethane Adhesives Market in Germany

Germany dominates the European polyurethane adhesives landscape, commanding approximately 17% of the market value in 2024. The country's market leadership is primarily driven by its robust automotive adhesives sector, hosting 41 assembly and engine production plants that contribute one-third of Europe's total automobile production. The presence of well-established medical device manufacturers and a thriving construction sector further solidifies Germany's position. The country's construction sector demonstrates particular resilience, with residential development comprising the largest segment, followed by commercial and public construction projects. The ongoing housing shortage and sustained demand for home renovation projects continue to fuel the market's growth. Additionally, Germany's position as Europe's largest packaging market, coupled with the rapid growth of e-commerce and increasing consumer preference for packaged food and beverages, creates substantial opportunities for polyurethane adhesive applications.

Polyurethane Adhesives Market in Russia

Russia emerges as the most dynamic market in the European polyurethane adhesives sector, projected to grow at approximately 7% annually from 2024 to 2029. The country's market is experiencing significant transformation driven by its expanding wood construction industry and increasing vehicle production capabilities. Russian manufacturers particularly value reactive adhesives for their superior adhesion properties to sheet molding composites, achieving impressive tensile strength of nearly 8.5 N/mm2. The country's packaging industry, particularly in food and beverage applications, shows remarkable potential due to Russia's position as a major food product exporter. The market benefits from the country's strategic focus on sustainable development and eco-friendly manufacturing processes. Furthermore, Russia's commitment to modernizing its industrial infrastructure and increasing emphasis on quality standards in construction and automotive applications continues to drive market expansion. The growing adoption of advanced manufacturing technologies and increasing focus on product innovation further accelerates market growth.

Polyurethane Adhesives Market in France

France maintains its strong position in the European polyurethane adhesives market, supported by its thriving aerospace and automotive sectors. The country's market is characterized by significant technological advancement in adhesive applications, particularly in electric vehicle manufacturing and sustainable construction practices. French manufacturers are increasingly adopting water-borne and elastic adhesives technologies, aligning with stringent environmental regulations and sustainability goals. The country's robust healthcare sector and medical device manufacturing industry create substantial demand for specialized adhesive solutions. The market also benefits from France's strong focus on research and development, particularly in developing innovative adhesive solutions for emerging applications. The growing trend of home office furniture and renovation projects, coupled with the government's emphasis on energy-efficient building construction, continues to drive market growth. Additionally, France's position as a leader in aerospace manufacturing creates consistent demand for high-performance adhesive solutions.

Polyurethane Adhesives Market in Italy

Italy's polyurethane adhesives market demonstrates strong fundamentals, supported by its diverse industrial base and manufacturing expertise. The country's market is particularly driven by its position as the largest producer of footwear in the European Union, producing significant volumes annually and accounting for nearly 50% of European footwear production. The Italian market benefits from its strong furniture manufacturing sector, where industrial adhesives are extensively used for wood bonding applications. The country's commitment to technological advancement, particularly in adopting Industry 4.0 practices in manufacturing, enhances market growth potential. Italy's strong presence in luxury goods manufacturing and high-end furniture production creates unique demands for specialized adhesive solutions. The market also benefits from the country's extensive network of small and medium-sized enterprises that specialize in various industrial applications requiring advanced adhesive solutions. Furthermore, Italy's focus on sustainable manufacturing practices and eco-friendly products drives innovation in adhesive formulations.

Polyurethane Adhesives Market in Other Countries

The remaining European countries, including Spain, the United Kingdom, Belgium, Netherlands, Switzerland, and other nations, collectively represent a significant portion of the polyurethane adhesives market. These markets are characterized by diverse industrial applications and varying levels of technological advancement. The United Kingdom's market is particularly driven by its strong aerospace sector and growing electric vehicle manufacturing capabilities. Spain's market benefits from its expanding automotive sector and increasing focus on sustainable construction practices. The Benelux region demonstrates strength in packaging and industrial applications, while Nordic countries show growing demand in the construction and renovation sectors. These markets collectively benefit from strong trade relationships within the European Union, shared technological advancements, and common regulatory frameworks. The emphasis on sustainable development and environmental protection across these nations continues to shape market dynamics and drive innovation in assembly adhesives technologies.

Free With This Report

We provide a complimentary and exhaustive set of data points on global and regional metrics that present the fundamental structure of the industry. Presented in the form of 24+ free charts, the section covers rare data on various end-user production trends including automobile production, newly built construction floor area, packaging production, aircraft deliveries, footwear production, and regional data on adhesives and sealants demand, etc.