The California hot-melt adhesives market is expected to reach $159.7 million by 2022, according to a new report by Grand View Research Inc. The California hot-melt adhesives market size was 105.1 million lbs in 2014, and it is expected to reach 131.3 million lbs by 2022, growing at a compound annual growth rate (CAGR) of 2.8% from 2015 to 2022. The increasing requirement for quicker bonding time in high-speed product assembly and industrial applications is expected to boost industry growth over the forecast period.

Rising environmental concerns regarding volatile organic compounds (VOCs) emissions have driven substitution of conventional adhesive technologies, such as solvent-based, with hot melts. Stringent environmental regulations regarding adhesive additives implemented by federal agencies such as the U.S. Environmental Protection Agency (EPA) and U.S. Chemical Safety Board are expected have a major impact on industry dynamics, particularly in terms of product formulation and production.