Technology pushes pressure sensitive tape market.

The market for high performance pressure sensitive tapes is witnessing the refining effect of technology development and sophistication, according to a new report from Global Industry Analysts. New and improved products with higher functional performance are driving the application of pressure sensitive tapes into newer markets, while simultaneously resulting in its increased usage in current applications. The world market is expected to reach $25.8 billion by 2010.

New innovations effected in this field are encouraging a transition away from conventional and alternate bonding mechanisms and systems, and towards pressure sensitive tapes. For pressure sensitive tapes, which are required to be used in conjunction with cutting edge electronic and information technology equipment and devices, the need for sophisticated product performance functionalities is increasing, and is especially pronounced in high-end applications, i.e., information technology, and in the electronics sector. This presents a clear business opportunity for manufacturers to capitalize upon by designing pressure sensitive tapes, which responsively meet critical needs of end-use markets, according to GIA. Product features crucial for future market success include, among the many, vibration, heat and flame resistance, heat conductivity, peelability, soundproof, transparency and optical features, and characteristics such as glare prevention, and shielding.

The trend towards compact design architecture and miniaturization in electronic and information technology equipments and devices is additionally resulting in thinner adhesive tapes. Tape weight reduction, therefore, stands out as a noteworthy product trend, with thin tapes with optimal cushioning features expected to drive market gains in the future.

Water-based pressure sensitive adhesives (PSAs) are making it big in the pressure sensitive tapes market, effectively overthrowing the conventional use of solvent-borne PSAs. Today, water based emulsion acrylic PSAs corner a 45% share of the film labels and graphics end-use market. The rising popularity of water-based PSAs is largely due to the advancements effected in its functional performance, for instance, enhanced resistance to humidity, heat and blushing, in addition to being cost effective and environmentally friendly. Water based PSAs are gradually winning over application opportunities in electronics and automotive, the two major end-use industries which even today continues to be dominated by solvent acrylics and solvent rubber PSAs.

In terms of end-use applications, the rise in aging population worldwide is expected to trigger the demand for medical tapes used in healthcare settings. Adult incontinence tapes, baby diaper, wound-closure, surgical incision drapes and medical dressing products are expected to contribute towards the future growth of the world medical tapes market. Single-coated pressure sensitive tapes are expected to find lucrative market opportunities in automobile wire harness assembly. Globally, it is estimated that around two billion square feet of tape is consumed annually by the automotive industry in wire harness assembly applications.

Global volume sales of pressure sensitive tapes are expected to rise by 4,733 million square meters between the period 2007 to 2010, with Asia-Pacific, United States and Europe, the three largest markets, together poised to collar over 82% of the global market. Emerging over the international horizon is China, a country that lately took the lead position as the second largest manufacturer of pressure sensitive tapes next to the United States.

China, which is a large consumption as well as a production base for pressure sensitive adhesives, is expected to be the most promising and robustly growing market in Asia. The single sided tapes market, the largest product group, is dominated by Asia-Pacific, with a share of a little over 31% in the world market. Backed by strong industrial growth in emerging Asian countries and robust rise in GDP, and economic strength, the region is projected to post a CAGR in excess of 8% over the analysis period 2001 to 2010. The world double-sided tapes market is projected to rise by $559 million between the period 2007 to 2010. The U.S., the second largest market for double-sided tapes is projected to reach $901 million by the year 2010.