Italy Adhesives - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2017 - 2028

Emerging furniture market and evolving trend of flexible packaging expected to boost the consumption of adhesives in Italy

• Adhesives play an important role in bonding and joining various substrates that are used across industries. These adhesives help manufacturers lower the weight of their components and assemblies and form joints quickly, easily, and accurately. The COVID-19 pandemic impacted the country in 2020, which reduced consumption by 10.38% compared to 2019.
• The packaging sector has been experiencing significant growth in the country. The packaging industry has specific applications, such as cold chain solutions and transport packaging for electronics, consumer goods, medical, and food industries. The Italian packaging industry is one of the largest industries in Europe. There are nearly 7,000 active major and minor packaging companies in the country. The increasing importance of supermarket retailing and the changing consumer buying habits are increasing the demand for adhesives in packaging applications in the country.
• Italy is known for its Italian furniture, which is popular around the world. Therefore, adhesives are largely consumed in the woodworking industry in Italy. In 2021, around 63,030 tons of adhesives were consumed by this industry, which is the second-largest end user of adhesives in the country during that year. Water-borne adhesives are largely consumed in this industry, as they are eco-friendly and cheaply available compared to other types of adhesives. The cost of these adhesives is nearly half compared to other adhesives.
• The rising trend of flexible packaging and home renovation in the country is expected to drive the demand for adhesives in the coming years in Italy.

Italy Adhesives Market Trends

Rising trend of cheap and lightweight packaging in Italy drives the demand for flexible and rigid plastic packaging

• Italy has a GDP of USD 34,780 per capita with a growth rate of 2.3% Y-o-Y in 2022. The packaging industry sector contributes to around 0.36% of the country's GDP. Italy is the second-largest packaging industry in Europe after Germany. Factors that are affecting the Italian packaging industry are trade exchange, employment, wine production, government policy support, etc.
• The country witnessed an economic slowdown because of the impact of the COVID-19 pandemic. The production volume was reduced by 3.75% in the same year compared to 2019. This happened due to a supply chain disruption, labor shortages, and a lockdown in the country for nearly three months. International borders were opened in 2021 because of the economic recovery, which resulted in a regular supply of raw materials for production that increased by 3500 tons in 2021.
• In the European Union, packaging production reaches USD 400 billion annually, out of which 15% of the share is produced in Italy. The packaging industry in the country is dominated by the paper and paperboard packaging segment, which is the second largest in Europe. Packaging is majorly used in food and beverages (29%) and healthcare and beauty products packaging (26%).
• Italy is the second largest in corrugated box packaging in Europe. The rising trend of cheap and lightweight packaging in France is expected to drive the demand for flexible packaging and rigid plastic packaging in the coming years. Hence, it is expected to lead to the growth of the packaging industry in the country. Italy is the world's largest producer of wine. However, declining wine production in the country may hinder packaging products in the future. Wine production was reduced by 9% Y-o-Y in 2021.

Rising electric vehicles demand is likely to boost automotive production

• Italy is one of the major automotive manufacturers in Europe. Compared to 2017, automotive vehicle production in the country contracted by 9.26% in 2018 and 22.2% in 2019, as in 2018 and 2019, factors like the fallout from Brexit, the implementation of more complex environmental regulations, and the tensions between the United States and China negatively affected the market for automotive vehicles in Italy.
• The automotive vehicle production volume contracted by 20% in 2020 compared to the same period in 2019. The COVID-19 pandemic resulted in disruptions in car manufacturing and had a negative impact on the whole supply chain. Many suppliers additionally suffer from increased raw material costs (e.g., for steel, plastics, and resin) and higher energy prices, affecting the automotive market in the country.
• In 2020, the country's electric vehicle growth further increased. Registrations for pure EVs in the first six months of 2020 were up by 86% compared to 2019. Almost 31,000 pure EVs were sold in 2020 till the end of June. Total sales of all plug-in vehicles rose to 50,500 units. The average pure-electric market share also increased significantly, driving the market for adhesives and sealants in the country.
• Similarly, the year 2021 witnessed continued growth in the Italian EV market. In recent years, electric vehicle sales increased by six-fold in just three years. Similarly, the market share of electric vehicles increased to 4.6% in 2021. Thus, it is expected to improve the market for adhesives and sealants in the country.

Italy Adhesives Industry Overview

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