Cold Seal Adhesives Market Growth Analysis by Manufacturers, Regions

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Chinese Companies Maintain Business Performance amid COVID-19 Pandemic

Companies in the China cold seal adhesives market are ensuring robust business performance despite the onset of the COVID-19 pandemic. Henkel – a multinational chemical and consumer goods company is gaining popularity for ensuring employee safety, while maintaining robust business performance to support mission-critical projects in the food packaging and medical packaging sectors.

The global economic downturn has driven manufacturers to become more resilient in the China cold seal adhesives market. Stakeholders are ensuring business continuity despite a sharp decline in demand across industries. They are adopting the plug-and-play production strategy to overcome issues of volatile demand and supply. Companies with a comprehensive product portfolio in consumer and industrial businesses are balancing the impact of the pandemic on sales & earnings performance.

Lack of Chemical Resistance with Cold Seal Option Inhibits Market Growth

The China cold seal adhesives market is estimated to grow at a modest CAGR of ~4% during the forecast period. However, the primary disadvantage of cold seal option is the lack of chemical resistance and other properties that may be required by government authorities depending on the type of the product. Companies are boosting their R&D activities to expand revenue streams in confectionary products, cereal bars, and other temperature-sensitive products.

The cold seal adhesive option is being highly publicized as a self-seal method for the packaging of ice creams, medical packaging for bandages, and laminate structures for flow packaging.

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Transition from Heat Seal to Cold Seal Benefits Adhesive Manufacturers

Airtight seals, simplified maintenance, and limited product damage are advantageous attributes of cold seal adhesives. In order to boost credibility in the China cold seal adhesives market, manufacturers are increasing the availability of regulation-compliant adhesives meant for direct food contact. Companies are addressing concerns about a clients’ transition from heat seal to cold seal operations to increase product sales.

Stakeholders in the China cold seal adhesives market are increasing awareness that most seal packaging equipment and horizontal form fill equipment that run heat seal flow wrap can also run cold seal flow wrap. Such findings are translating into incremental opportunities for cold seal adhesives manufacturers. Manufacturers are collaborating with experts who guide large and small consumer packaged goods companies to transition from heat seal to cold seal.

Certified Recyclable Cold Seal Coatings Align with Sustainable Paper Packaging Designs

There is a growing demand for recyclable cold seal coating for paper packaging, as recyclability of a product is influencing consumers’ purchase decision. Stakeholders in the China cold seal adhesives market are setting their collaboration wheels in motion with other partners, along the value chain to develop sustainable and functional product solutions. They are increasing their production capacities in recyclable cold seal coatings to tap into growth opportunities in food and non-food applications. These coatings are increasing the possibility of new and sustainable packaging designs.

Companies in the China cold seal adhesives market are increasing their research in certified recyclable cold seal coatings for sustainable paper packaging designs.

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Use of Cold Seal Lamination Adhesives in Flexible Packaging Applications

Solvent-free and solvent-based lamination adhesives are being produced by manufacturers in the China cold seal adhesives market. With the help of these adhesives, manufacturers are establishing stable revenue streams in flexible packaging applications, right from snacks and confectionary to human & pet food retort. Water-based lamination adhesives are also being developed for flexible packaging applications.

In order to gain a competitive edge in the China cold seal adhesives market, manufacturers are adopting proprietary technologies to join the global bandwagon of sustainability of flexible packaging applications. The next-gen cold seal adhesives are helping stakeholders achieve these sustainability goals. Manufacturers are expected to team up with local experts and in-house R&D teams to innovate in sustainable adhesives.