Resonac to transfer Asian adhesives businesses to Sika Group

Resonac has entered definitive agreements to transfer portions of its adhesives businesses in Japan, Taiwan and China to the Sika Group, a Swiss specialty chemicals company. The Target Businesses are centered on the Goi Plant (Noda) in Japan, the Dapumei and Minxiong plants of Resonac Li-Bond Materials (Taiwan), and Resonac Li-Bond Materials (Wuxi) in China. Completion is scheduled during 2027, subject to closing conditions, and Resonac expects the impact on its consolidated financial results to be immaterial.

Key facts

Market context

Adhesives are engineered bonding materials used to join parts without mechanical fasteners, and they are central to modern vehicle assembly, where they bond interior trim, panels and body components while reducing weight and noise. Solvent-based, solvent-free, hot-melt, polyurethane and epoxy formulations serve different bonding and curing needs, and automotive makers and their tier suppliers are the largest drivers of demand in Asia, alongside construction, electronics and packaging. When a specialty chemicals company takes over an adhesives operation, the change can affect local supply continuity, qualification of approved products for automotive customers, and competitive positioning among regional adhesive suppliers. Buyers typically watch whether production sites, product lines and technical service move intact, since requalifying an adhesive in a vehicle program can take considerable time. Market-wide price effects from a transfer of this kind are usually limited, but shifts in capacity ownership can influence how suppliers compete for multi-year automotive contracts.

Source: official release on resonac.com. Summary and context written by Market Krystal.