2014 PSA Outlook: Market Streams toward Water-Based Products, Smart Production

Label 2014 a good year for PSA tape and label manufacturers.

We expect the PSA tape and label markets to grow three to five percent globally this year, with significant contributions from Asia and South America. Use of aqueous PSAs – already the leading label technology – will increase at a higher pace as end users move from solvent and hot melt PSAs. Regulatory pressures and a focus on better health and safety are driving this shift toward water-based PSAs, which are inherently safe for workers and the environment.

Increased interest in water-based PSAs is keeping with general trends toward green technologies, such as linerless technology and recyclable and compostable PSA labels. Faster coating speeds, thinner films – and, essentially, “doing more with less” – also are areas of focus.

From a supply standpoint, costs of feedstock propylene, acrylic and methacrylic monomer derivatives, and vinyl acetate monomer remain volatile and could continue to increase in 2014.  Adhesives suppliers must innovate to find new ways to improve process efficiencies and develop new polymers to limit increased costs to our customers.

Though many of our larger competitors focus on “off the shelf” products, we at Franklin Adhesives & Polymers are fully equipped to develop and customize adhesives that will work well in your specific processes. We enter 2014 with excitement and optimism, as well as with plans to launch three new “Next Generation” water-based PSAs. All three of these “Next Generation” products outperform our existing offerings and will challenge traditional solvent-based products. We look forward to sharing these and other developments with you this year.