Vinyl Acetate-Ethylene Emulsions Market Trends

Growth Drivers

• Expansion of the Construction Industry – The demand for vinyl acetate-ethylene (VAE) emulsions in the construction industry is rising considerably owing to the higher water resistance, great temperature resistance, plasticizers, and superior processing qualities. Furthermore, vinyl acetate-ethylene (VAE) is considered a better option for binding purposes to non-porous surfaces, such as coatings, plastic laminates, vinyl, metals, glass, aluminum, and others. Thus, the expansion of the construction industry is anticipated to bring lucrative opportunities for market growth. For instance, the global construction industry amounted to almost USD 6 trillion in 2020, and it is expected to reach almost USD 14 trillion by 2030.
• Rapid Growth of the Automotive Industry - Vinyl acetate-ethylene (VAE) emulsion is a vital component in the automotive industry for its usage as a high-quality adhesive, plastic, and aesthetic coating. Thus, the rapid growth of the automotive industry is anticipated to generate opportunities for increasing the utilization rate of vinyl acetate-ethylene (VAE) emulsion, thereby aiding a robust revenue generation for market growth in the forecast period. Recently, it has been calculated that the global automotive manufacturing industry amounted to almost USD 3 trillion by the end of 2021.
• The Boom in the Textile Sector – It has been stated that the global textile industry garnered almost USD 2 trillion in 2022, and is further projected to rise with a steady CAGR of around 5%.
• Escalation in the Chemical Industry – As per recent statistics, it has been revealed that the revenue generated by the global chemical industry stood at around USD 5 trillion in 2021 which is forecasted to grow during the near future.

Challenges

• Constant Fluctuation in the Prices of Raw Materials – The manufacturing process of vinyl acetate-ethylene (VAE) emulsions requires a lot of raw materials. Unfortunately, the prices of these raw materials keep on fluctuating owing to the rising government rules and regulations and other factors. As a result, the raw materials become less accessible for small to medium-sized enterprises, which subsequently hampers the growth of the market in the forecast period.
• Rising Stringent Government Rules
• Less Awareness Level about the Advantages