Transcript Slide 1
The World of Epoxy Adhesives
TRFA Annual Meeting Philadelphia PA November 11, 2003 David P. Nick DPNA International Inc.
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Global Formulated Adhesive Market Demand Asia Pacific 27% Rest of World 3% North America 34% West & East Europe 34% Latin America 2%
2002 Global Formulated Adhesive Market Demand: 18.0 billion pounds ♦ $24.5 billion ♦ AGR 3.0% Source: DPNA International Inc.
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Global Formulated Adhesive Resin Demand Others 31% Acrylic 17% Epoxy 4% Polyurethane 3% Rubber 17% Vinyl 28%
2002 Global Formulated Adhesive Market Demand: 18.0 billion pounds ♦ $24.5 billion ♦ AGR 3.0% Source: DPNA International Inc.
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Global Liquid Epoxy Resin Production Other 28% Adhesives 31% Coatings 41%
2002 Total Liquid Epoxy Resin Demand: 2.14 billion pounds ♦ 970 thousand metric tons ♦ $2.0 billion ♦ Source: DPNA International Inc.
AGR 4%-5%
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Major Epoxy Resin Producers
Dow Chemical Resolution Performance Products Vantico Nan Ya Chang Chun Others
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Construction Assembly Consumer/DIY Transportation Major Adhesive End Use Segments North America West Europe Latin America Japan China/ Other
Source: DPNA International Inc.
Mature Growth 6
Major North America Epoxy End Use Segments Construction Mature Growth DIY Transportation Assembly Large Market Small Market 7
New Technical Developments Affecting Epoxy Demand
Toughened Epoxies
High Performance Underwater Curing
< 5 Minute RT Curing
One Pack Systems
Hybrid Polymers
Dispensing Equipment
Curing Systems
Expanding Assembly Applications 8
Global Assembly Market
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Global Fastening Market-2002 Bolts & Nuts 30% Crimps 5% Other 2% Adhesives 4% Rivets 12% Tabs 4% Screws/Nails 15% Total Market Value: $802 Billion Source: DPNA International Inc.
Weld/Braze 28% 10
Assembly Market Percent Growth Rate 5% 4% 3% 2% 1% 0% Electronics Medical
Source: DPNA International Inc.
Sub-Assemblies 11
800 700 600 500 400 300 200 100 0 Comparison of Competing Adhesives (Million Pounds)
3,0% AGR 4,0% AGR 5,0% AGR 4,0% AGR 3,0% AGR 7,0% AGR
Epoxy Poly urethane Cyano acrylates Mod. SGA Acrylics Silicone
Source: DPNA International Inc.
M-S Polymer 2002 2005 12
Epoxy Adhesive Regional Growth Comparison Percent Growth Rate 8% 7% 6% 5% 4% 3% 2% 1% 0% North America West Europe Asia Pacific China Japan Others
Source: DPNA International Inc.
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Global Epoxy Adhesive Market Driving Forces
Economic recession in the USA and Europe
Stagnant growth in Japan
Recent price increases
Fluctuating oil prices
War in Iraq 14
Global Epoxy Adhesive Market Driving Forces (Continued)
Continued growth in China
Environmental and health concerns (Europe/Japan)
Consolidation and changing suppliers
Customer and market relocation 15
Macro Trends and Issues
E-Commerce
Rising Energy Costs
Shrinking Profits
Backward Facing Support
Partnering for Success
Consolidation/Globalization
Niche Marketing 16
New Market Trends and Opportunities
Fastening options
Changing substrates
New polymers
Market dislocations 17
Future Outlook
Growth will come from new bonding applications and polymer developments
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David P. Nick President DPNA International, Inc.
126 Allendale Circle Troutman, NC - USA Tel (704) 528-3985 Fax (704) 528-3986 Email: [email protected]
Website: www.dpna-international.com
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