In 2019, the global wood-based panel market was valued at USD 144.67 million. It is expected to grow at 6.9% revenue-based CAGR between 2020 and 2027. Wood based panels are highly sought after for their low cost and superior properties, including strength and durability, in ceiling, roofing, flooring, and other furniture applications.
Wood-based panels will be in demand due to increased investments in commercial and residential construction across all major geopolitics. The market will be supported by increasing public-private partnerships in developing the construction sector of emerging economies like India, China, and Saudi Arabia.
The U.S. was the dominant market in North America for wood-based panels in 2019, with an 85.52% share. This is due to strong growth in domestic construction spending. Other factors that will drive regional product demand are rising consumer spending on attractive furniture products and substantial growth in single-family house constructions.
The raw materials required for the manufacture of wood-based panels, including fiber wood and lumber, are obtained from sawmills and log merchants. Market participants should be concerned about price fluctuations and inconsistency in raw material supply.
To meet the growing demand from end-use industries for wood-based products, market leaders are focusing their efforts on capacity expansion. This will allow them to compete in a highly competitive market. To meet increasing domestic demand for wood-based panels, Dongwha Group purchased a new MDF production plant in Vietnam in 2017.
The growth is expected to be hampered by rising concerns like dust, total organic matter, and formaldehyde emissions during product manufacturing. The market will likely benefit from the increased efforts of the manufacturers to improve manufacturing processes and reduce environmental impact.
Plywood was the most-loved product category in 2019. This is made by glueing thin veneer layers together. The product's superior properties such as strength, durability, impact resistance, fire and chemical resistance are expected to propel the wood-based panel market during the forecast period.
Particleboard is more dense and uniform than plywood and traditional wood products, and this will have a positive effect on the market over the forecast period. Particleboards come in a variety of grades and are in high demand for furniture, flooring and roofing.
The segment of MDF wood-based panels was valued at USD 25.6 Billion in 2019. It is expected to grow at a 6.4% CAGR over the forecast period. This product is considered a superior alternative to traditional products because it lacks rings and knots. Because of its consistent particle size, good strength, and high demand, the product will see a rise in sales.
The OSB panel segment will grow at 7.8% CAGR in terms of revenue over the forecast period. These products are made using rectangular-shaped wood strips and waterproof heat-cured adhesives. Cross-oriented layers allow for greater strength and product performance than plywood.
Wood-based panels are strong and impact resistant, making them a great packaging material for long-distance transport. The market is expected to grow over the forecast period due to rising product utilization as an environment-friendly packaging material that will replace non-recyclable packaging material such as polys. The market will be driven by the growing preference for traditional furniture in bedrooms and living rooms over the forecast period. The growth is expected to be boosted by an increase in product demand for small accent pieces and ready-to-assemble (RTA) furniture.
In 2019, the value of wood-based panels used in China's construction industry was USD 19.23 billion. This figure is expected to rise at a CAGR 9.8% over the forecast period. In the coming years, the demand for wood-based panels will be positive due to the availability of a wide variety of sizes, colors, and grades.
In terms of revenue, the demand for construction applications is expected to grow at a rate of 8% over the forecast period. The rise in construction projects in emerging countries has been attributed to a combination of rising consumer purchasing power and low interest rates. In the near future, market growth will be stimulated by increased investments in commercial space construction.
Asia Pacific held the largest market share at 54.34% in 2019. It is expected to grow at a CAGR 7.9% during the forecast period. China, India, Japan and other emerging economies are expected to drive demand for the product in packaging applications and construction. China is the Asia Pacific's largest consumer and producer of wood-based panels. This is due to the country's high population growth. Due to the country's increasing industrial exports, the product demand is being supported by an increase in packaging applications.
Europe was responsible for more than 24.12% of the market share in 2019. Germany is the largest furniture market in the region, driving the regional demand. In the coming years, the growth of the furniture market in the region will also positively impact the demand for particleboard.
Market growth will be boosted by the increased R&D activity of regional players in Africa and Middle East to develop high-performance, cost-effective wood-based panels. Due to the low level of production, the distribution costs in Middle Eastern countries are higher than those in North America and Asia Pacific.
Due to the many manufacturers, this market is extremely competitive. North America and Europe are the main markets for players. Companies compete on the basis of product quality and production volume. Profit margins will be affected by increasing market competition and rising wood prices. Key players are focused on integration throughout the value chain via mergers and acquisitions, as well as joint ventures. To strengthen its North American distribution network, CanWel Building Materials Group Ltd. purchased Lignum Forest Products LLP in April 2019.
This report predicts revenue growth at the global, regional and country level and offers an analysis of industry trends in each sub-segment from 2016 to 2027. Grand View Research has divided the wood-based panel market by product, region, and application.
Product Outlook (Volume: Thousand Cubic Meters; Revenue: USD Million, 2016-2027)
Medium density fiberboard (MDF).
High density fiberboard (HDF).
Particleboard
Oriented Strand Board
Softboard
Hardboard
Plywood
Application Outlook (Volume: Thousand Cubic Meters; Revenue: USD Million, 2016-2027)
Furniture
Construction
Packaging
Regional Outlook (Volume: Thousand Cubic Meters; Revenue, USD Million; 2016-2027)
North America
U.S.
Canada
Mexico
Europe
Germany
U.K.
France
Spain
Italy
Russia
Asia Pacific
China
Japan
India
South Korea
Singapore
Australia
Malaysia
Thailand
Indonesia
Vietnam
Philippines
Pakistan
Taiwan
Central & South America
Brazil
Argentina
Middle East & Africa
South Africa
Saudi Arabia
Qatar
UAE
Kuwait
Oman
Iran
Israel
Algeria
Egypt
Lebanon
b. Global wood-based panels market was valued at USD 144.67 Billion in 2019, and is forecast to grow to USD 148.6 Billion by 2020.
What is the growth rate of the wood-based panel market?b. The global wood-based panels market will grow at 6.1% compounded annual growth rates between 2020 and 2027 to reach USD 247.23 trillion in 2027
Which market segment had the largest share of wood-based panels?b. With a market share of 54.4%, Asia Pacific was the dominant region in wood-based panels. China, India and Japan are expected to drive demand for the product in packaging applications and construction.
What are the major players in the wood-based panel market?b. Dongwha Malaysia Holdings Sdn are some of the key players in the wood-based panels market. Bhd., Kronospan Limited and Klenk Holz GmbH are some of the key players in the wood based panels market.
What are the key factors that drive the wood-based panel market?b. The market for wood-based panels is growing due to its low production cost and superior properties, including strength and endurance.
Up Market Research published a new report titled “Wood Based Panel Market research report which is segmented by Product (Particleboard, OSB, Plywood, MDF, Hardboard, HDF), by Application (Construction, Furniture), By Players/Companies SGS Industrial Services, Dongwha Malaysia Holdings Sdn BhdKlenk Holz GmbH, Kronospan Limited”. 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 | Wood Based Panel Market Research Report |
By Product | Particleboard, OSB, Plywood, MDF, Hardboard, HDF |
By Application | Construction, Furniture |
By Companies | SGS Industrial Services, Dongwha Malaysia Holdings Sdn BhdKlenk Holz GmbH, Kronospan Limited |
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 | 245 |
Number of Tables & Figures | 172 |
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 Product (Particleboard, OSB, Plywood, MDF, Hardboard, HDF), by Application (Construction, Furniture).
Wood Based Panel 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 Wood Based Panel 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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