The European sealing and filler market (sealants, adhesives, PU foams, joint sealing tapes) increased in value by 9.6% in 2018, reaching a market volume of EUR 1.2 billion. Driven by the increase in the construction industry, the market is expected to maintain its momentum in the coming years. According to a new study by Interconnection Consulting, the industry in the surveyed countries (Germany, Austria, Switzerland, France, the Benelux region, and Italy) will increase in value at an average rate of 9.0% until 2021.

Nearly 60% of total sales in Europe are generated in the non-residential building segment. In terms of value, however, price increases, which must be passed on to the customer due to increased raw material costs, are also a major driving force. Germany is by far the largest market for joint sealants in Europe, which is expected to grow at an annual rate of roughly 9.5% and reach EUR 547.2 million by 2021. France, the next largest market, had a share in value of over 25.0% of total sales in 2018.

Sealants Dominate

Sealants, accounting for 45.6% of total value in 2018, were the strongest product group on the market. It is dominated by silicones, whose share in terms of value accounted for 56.2%. Nevertheless, the market share of silicones is decreasing in favor of hybrids/MS polymers. “Industry insiders feel that hybrids, which will pick up the market share losses in the silicon segment, have great potential in the European marketplace,” states Julia Tarasenko, author of the study. The second largest product group is joint sealing tapes. Adhesives are close behind, though, with a share of 23%. They also stand a good chance of further increasing their market share. Until the year 2021, their projected average growth will be 10.0%, which is higher than the industry average. Joint sealants are largely employed in the window and door segment, which garners a share of 26.9%, followed by sanitary engineering and flooring. In addition to these applications, roofing, curtain wall facades, EIFS, HVAC, drywall and other applications were each analyzed, separately for indoor and outdoor use.

Green Trend Increases Market Concentration

As the study shows, market concentration is likely to increase in the sealing and filler market in Europe’s top 6 regions. This is because companies need resources for research and development in order to keep up with the current “green trends” and to meet the corresponding regulatory requirements. The Italian market is already considered to be very saturated. As a result, local market players are having a tougher time expanding and are forced to either focus on other products and solutions, or to implement new solutions and technological innovations in order to gain market share from competitors.There is an abundance of companies in the European market for joint sealants, whereby the main players include Arkema Group, DOW Chemicals, EGO Sealants, Griffon, Henkel, Herrmann Otto, Mapei, Otto Chemie, Sika, Soudal, Tremco Illbruck etc.

07/06/2022

Copyright: Interconnection, Publication free of charge for coverage regarding the study and InterConnection Consulting.