In 2019, the global market for medium density fiberboard was worth USD 61.3 billion. It is projected to grow at a 6.6% compound annual growth rate (CAGR), between 2020 and 2027. The forecast period will see a rise in product applications in furniture and construction.
In the global economy, there has been a steady increase in approvals for building projects due to low interest rates and consistent economic growth. Companies are expanding their office infrastructure to be competitive in global markets, which is increasing the demand for interior design materials and furniture. This has a positive effect on product demand.
Due to its widespread use in both structural and non-structural construction applications, standard medium density fiberboard dominates the U.S. market. Standard MDF is expected to be in high demand due to its low price and durability.
The manufacturing of medium density fiberboard has been made possible by technological innovations and improvements to the production process. This board is durable and long-lasting. High-quality adhesion techniques using low formaldehyde resins like phenol-formaldehyde has led to product innovation in the industry.
Medium density fiberboard is actively working to reduce its dependence on naturally-derived wood fiber for raw material. Alternatives include rice, sugarcane bagasse and MDF that can be recycled. These alternative raw materials will be more economically viable and less harmful to the environment than traditional ones.
Medium density fiberboard can be used as a substitute for natural wood or wood-based panels like plywood and oriented-strand boards. It is also very affordable. Industry growth will be impeded by the availability of substitutes such as wood-plastic composites, glass and fiber for high-end applications.
The standard MDF segment was responsible for 80.5% of the overall revenue share in 2019. This is expected to increase at a CAGR 6.4% during the forecast period. The primary drivers of the segment are expected to be the growing product applications in construction and the furniture manufacturing sector.
Standard MDF can be painted to look like wood and can therefore be used as an alternative to wood. Because of their low cost, they are in high demand in furniture manufacturing. These factors will likely increase the demand for standard MDFs over the forecast period.
Standard MDFs can be damaged by moisture and damp. These products are not suitable for outdoor use. Manufacturers have created moisture-resistant MDFs using moisture repellent resins to overcome this problem.
Due to the growing emphasis worldwide on fire safety and reducing fatalities from fire, there has been an increase in demand for fire-rated furniture. The highest volume-based CAGR for fire-resistant MDF is 6.8%, which will be achieved by 2027.
The market leader in MDF type E1 was more than 78.0% of global revenue in 2019.E0 is a fast-growing medium density fiberboard. This type of medium density fiberboard uses Polymeric Methylene Diphenyl Diisocyanate resin (polymeric MDI). The E0 medium density fiberboard has zero formaldehyde levels during its lifecycle.
The primary driver of global demand for E0 medium density fiberboard panels is the adoption of strict formaldehyde emission standards in countries like the U.S.A., Canada and Japan. Due to its higher price, however, the product has not been as popular in emerging markets like India, China and Brazil.
E2 medium density fibreboard was the second largest type of medium density fibrousboard accounting for 15.4% total market revenue in 2019. The gradual adoption of strict formaldehyde emission norms around the globe will cause a slow erosion of market share in this segment over the forecast period.
The E1 medium density fiberboard boards use phenol-formaldehyde as a binding material. This medium density fiberboard emits approximately 90.0% less formaldehyde than E2 medium density fiberboard. The E1 MDF is expected to be popular due to its moderate pricing and growing demand from consumers for furniture with low formaldehyde.
With a 60.2% revenue share in 2019, furniture application dominated medium density fiberboard markets. This was mainly due to factors such as the replacement of wood with medium density fiberboard panels, extensive use in production residential and commercial furniture, and ready-to-assemble products.
Panels of medium density fiberboard are used extensively in the manufacture of furniture for homes, hotels, or workplaces. These panels can be carved to create attractive designs that add beauty and appeal to the spaces. These factors will drive furniture demand over the forecast period.
Over the next period, interior decoration will experience a revenue-based CAGR at 7.2%. Because of their fine carving abilities and durability, medium-density fiberboard is gaining popularity in interior decoration. These products can be used to make large-sized walling and decorative boards.
In order to attract more customers, the rise in commercial spaces such as hotels, restaurants, cafes and lodging spaces will likely increase demand for decorative materials. The demand for MDF-based decorative materials will rise due to rising interior decoration and renovation costs.
Asia Pacific was the dominant market for MDF panels in 2019, accounting for 61.0% of the market. The forecast period will see an increase in construction spending in emerging markets to meet rising residential housing. China was the biggest consumer of MDF panels due to its high product penetration in construction and furniture manufacturing industries.
India's MDF demand is expected to grow at 11.8% CAGR over the forecast period. The rapid expansion of India's manufacturing capacity and growing demand for MDF products as an alternative to plywood, as well as the growth in the furniture manufacturing industry, are some of the factors expected to drive India's MDF demand.
Europe was the second largest market for medium density fibreboard, accounting for more than 20% of market revenue in 2019. The European market is expected to grow in the future due to increased product utilization in residential renovations and modular construction.
The Toxic Substances Control Act Title VI, Act 2017, effectively bans the production and use of E2 MDF in America. The high awareness of formaldehyde fumes among consumers is expected to increase the demand for E0 MDF in the U.S. The E0 segment will see a volume-based CAGR in the U.S. of 7.3% over the next period.
These players compete on the basis of product differentiation, price, and geographic reach. These players also focus on securing long-term supply of wood fibers to ensure uninterrupted production.
To sustain their businesses, the MDF industry's key players are actively involved in building a strong distribution network. Most manufacturers have their own distribution channels to lower the final product price. These players manage warehouses, distribution centers, retail shops, and other areas to deliver their products to end consumers. The market leader in medium density fiberboard is:
Kronospan Limited
EGGER Group
Nordbord Inc.
Kastamonu Entegre
ARAUCO
Up Market Research published a new report titled “Medium Density Fiberboard Market research report which is segmented by Application (Construction, Furniture), by Product (Moisture Resistant MDF, Standard MDF), By Players/Companies ARAUCO, Nordbord Inc, EGGER Group, Kronospan Limited, Kastamonu Entegre”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.
Report Attributes | Report Details |
Report Title | Medium Density Fiberboard Market Research Report |
By Application | Construction, Furniture |
By Product | Moisture Resistant MDF, Standard MDF |
By Companies | ARAUCO, Nordbord Inc, EGGER Group, Kronospan Limited, Kastamonu Entegre |
Regions Covered | North America, Europe, APAC, Latin America, MEA |
Base Year | 2020 |
Historical Year | 2018 to 2019 (Data from 2010 can be provided as per availability) |
Forecast Year | 2028 |
Number of Pages | 250 |
Number of Tables & Figures | 175 |
Customization Available | Yes, the report can be customized as per your need. |
The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.
The market is segmented by Application (Construction, Furniture), by Product (Moisture Resistant MDF, Standard MDF).
Medium Density Fiberboard Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.
Key Benefits for Industry Participants & Stakeholders:
Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.
We have studied the Medium Density Fiberboard Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.
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