Automotive Market Helping to Drive Southeast Asia Polyurethane Adhesives Demand
The Southeast Asia polyurethane (PU) adhesives market is expected to reach $262.5 million by 2020, according to a recent study by Grand View Research Inc. Southeast Asia has become a major automobile manufacturing hub due to its close proximity to demand centers and low manufacturing costs; this is expected to drive the regional PU adhesives demand.
In addition, the increase in construction spending due to growing urbanization rates across major countries has contributed to the market growth. Government support to increase inflow of foreign direct investment (FDI) in Indonesia and Vietnam will have a positive influence on the overall market. Volatile raw material prices may emerge as a major challenge over the next six years.