Plywood Market

Plywood Market: Strong Demand for MR Grade Plywood to Drive Growth: Global Industry Analysis 2013 - 2017 and Opportunity Assessment 2018 - 2028

  • 2018-11-12
  • REP-GB-3463
  • 400 pages
  • Format: PDF/PPT/Excel

An Incisive, In-depth Analysis on the Plywood Market

This study offers a comprehensive, 360 degree analysis on the Plywood market, bringing to fore insights that can help stakeholders identify the opportunities as well as challenges. It tracks the global Plywood market across key regions, and offers in-depth commentary and accurate quantitative insights. The study also includes incisive competitive landscape analysis, and provides key recommendations to market players on winning imperatives and successful strategies.

Market Introduction

Plywood is a wood panel made of veneer sheets called plies, pasted together using an adhesive to create a panel equally strong or stronger than wood. Plywood consists of odd number of plies, which helps in keeping the grains of the adjacent layers perpendicular. The veneer layers or plies on the outside are called front and back face while the plies in between make up the core.

The most common sizes in plywood are 4’ x 8’, 4’ x 6’, 4’ x 10’, 3’ x 6’. Throughout the forecast period, the 4’ x 8’ size plywood segment is anticipated to maintain its dominance in the global market as these plywood lead to minimum wood wastage in downstream applications, making them the most economical size among all sizes.

Apart from different sizes, different thicknesses are also available in plywood. Based on thickness, the market can be categorized into < 8mm thickness, 8mm – 18mm thickness, and > 18mm thickness segments. It is proven fact that a thicker plywood offers higher mechanical stability and dimensional stability. Hence, plywood with thickness greater than 18mm are generally preferred in high load bearing applications while 8mm – 18mm thick plywood are significantly consumed during the manufacturing of furniture. Globally as well as regionally, the > 18mm thickness segment is anticipated to remain dominant throughout the forecast period.

The global market is estimated to be valued at US$ 64.5 Bn by the end of 2018 and is expected to reach a market value of US$ 115.1 Bn by the end of 2028 while expanding at a CAGR of 6.0% over the forecast period. The global market is anticipated to represent incremental opportunity worth US$ 50.5 Bn between 2018 and 2028.

Global Plywood Market Is Expected to Witness Robust Growth During the Forecast Period

Plywood is used in construction & flooring applications where it is used to provide enhanced mechanical strength while substantially reducing the overall weight of the structure. Plywood also offers better insulation properties and is largely water and weather proof. Due to the rising development of residential and office spaces and growing inclination of homeowners towards interior designing, home decor and aesthetic furnishing, the furniture industry is indirectly impacting the plywood market. Growing use of ready-made and easy-to-install furniture can be attributed to the lightweight properties of plywood and increasing disposable income of the users.

The fact that plywood consumption boosts plantation and cultivation of timberlands is expected to work in favor of the market and is expected to have an optimistic impact on the overall market. Several market players have been observed to be developing a backward integrated supply chain and are owning or possessing licenses to maintain and cultivate forest lands in an attempt to maintain cultivation as well as production of plywood and other wood-based panel products. Regulations and codes and conducts of doing business are completely in line with the Sustainable Forest Management initiatives in every region.

China Dominates the Global Plywood Market While Eastern Europe Is Estimated to Be a Slow Growing Market During the Forecast Period

From a regional perspective, the plywood market is dominated by China, in terms of production as well as consumption. Owing to rapidly developing infrastructural activities and over 35% share in total global furniture production, China is estimated to account for a larger market share in value – volume terms throughout the forecast period. Rising infrastructural investments by public and private entities around the world are widening the demand for plywood. With international events, such as Summer Olympics 2020 in Tokyo, Japan and Expo 2020 in Dubai, The U.A.E., nearing, the plywood market is estimated to create lucrative opportunities for market participants throughout the forecast period. The structural grade and MR grade are estimated to witness high demand throughout the forecast period.

Push from public authorities in Japan in the form of regulations, such as the “The Act for Promotion of Use of Wood Products in Public Buildings, 2010”, is boosting the use of plywood in the construction industry as well as building materials. Similarly, several wooden skyscrapers projects are well under way and are estimated to have a significant impact on the plywood market, thereby creating opportunities throughout the forecast period.

Presence of Several Small- and Medium-Scale Manufacturers in the Global Plywood Market Make the Market Moderately Fragmented

The global plywood market is fragmented due to the presence of numerous local manufacturers. SME manufacturers, especially in China, are mainly focused on exporting plywood to other parts of the world. Ease of doing business coupled with low labor cost in the country allow the manufacturers to produce large amounts of plywood. The India plywood market is estimated to be divided into an almost 70:30 proportion with unorganized players accounting for 30% share and organized players accounting for 70% share. However, with the introduction of GST (Goods and Services Tax) and reduced tax rate on plywood, i.e. from 28% to 18%, the market is estimated to move from an unorganized state to an organized state. The prominent manufacturers in the plywood market are reported to hold a major share in their respective regions and in the global plywood market. Significant amount of plywood is exported to Europe and North America regions but with anti-dumping duties coming into picture, the export of lower quality plywood is expected to downsize. Local and smaller players in the market are listed under the Tier 3 category of the global plywood market and the prominent manufacturers are listed under Tier 1 category. The rest of the manufacturers are listed under the Tier 2 category.

Key Trends

Supply and demand of plywood in different regions depends on various macro-economic factors affecting the market. The market players are focusing on domestic and neighboring countries to expand their geographic reach. Moreover, increased use of internet as a medium to market is gaining momentum. Social media platforms and e-commerce and search engines can play a vital role in deepening the presence of small and medium scale players in the supply chain. Rising use of plywood as a substrate in inkjet printing applications is one of the new trends in the market. Plywood offers better weather resistance and is non-reflective when compared to aluminium and plastic sheets. An even surface of plywood is considered to be a suitable substitute in digital printing applications.

However, the cost of plywood acts is one prominent restraining factor in the market. Other wood-based panel products, such OSBs (Orient Strand Boards), MDFs (Medium Density Fiberboard) and particleboards and other composite wood products, are relatively inexpensive as compared to plywood. Furthermore, the glue used to attach the veneer layers emits VOCs (Volatile Organic Compounds). This is compelling manufacturers to use zero – VOC emitting adhesives. Modifying manufacturing technologies increases the cost of the product and high cost is a restrain for the market.

Key Players

Some of the players reported in this study include Weyerhaeuser Company, Boise Cascade Company, Century Plyboards (India) Ltd, Greenply Industries Limited, Georgia-Pacific, LLC, Uniply Industries Ltd, JAYA TIASA HOLDINGS BERHAD, UPM-Kymmene Oyj, SUBUR TIASA HOLDINGS BERHAD and Sveza-Les LLC, among others.

Plywood Market: Report Description

This FMI study offers a ten-year analysis and forecast for the global plywood market for the period between 2018 and 2028. The study considers 2017 as the base year with market values estimated for the year 2017 and forecast developed for the duration between 2019 and 2028. The Compound Annual Growth Rate (CAGR) has been calculated from 2018 to 2028. The study covers various perspectives of the market, including market dynamics, value chain, pricing analysis, competition analysis, regional and segmental growth comparison and macro-economic and industry growth analysis, along with segment level projections in a comprehensive manner. As per the findings of the study and perspectives of industry participants, the global plywood market is projected to grow at a CAGR of 6.0% between 2018 and 2028, in terms of value. Growing construction activity, rising demand for readymade and easy-to-assemble furniture and growing demand for plywood from the packaging sector are some of the factors positively impacting the consumption of plywood in the global market.

The FMI report on plywood market carefully analyses the market at a global and regional level through market segmentation on the basis of key parameters, such as size, thickness, grade, wood type, number of ply, sales channel and application. The primary objective of the report is to offer key insights on market updates, competition positioning, current trends, market potential, growth rates and other relevant information and statistics in a suitable manner to the readers or various stakeholders of the market.

Plywood is a wood panel made of thin veneer sheets called plies which are pasted together using a glue or adhesive to create a panel that is equally strong or stronger than wood. A plywood panel generally consists of odd number of plies, which helps in keeping the grains of the adjacent layers perpendicular. The veneer layers or plies on the outside are called front and back face while the plies in between make up the core.

The report is structured in such a way that it will allow the reader to develop a thorough understanding of the market. It begins with market definitions, followed by the market background, market dynamics and market analysis by key segments, regional analysis and competition landscape. Each section covers a qualitative and quantitative assessment of the market on the basis of facts, historical developments and key opinions collected from industry participants through dedicated interviews and trends in the market.

Plywood Market: Segmentation




Wood Type

  • 4’ x 8’

  • 4’ x 6’

  • 4’ x 10’

  • 3’ x 6’

  • Others

  • < 8mm

  • 8mm – 18mm

  • > 18mm

  • MR Grade

  • BWR Grade

  • Fire Resistant Grade

  • BWP Grade

  • Structural Grade

  • Softwood

  • Hardwood


Number of Ply

Sales Channel



  • 3 Ply

  • 5 Ply

  • 7 ply and More

  • Direct Sales

  • Distributors/Retailers

  • Furniture

  • Flooring & Construction

  • Automotive Interior

  • Packaging

  • Marine

  • Others

  • North America

  • Latin America

  • Western Europe

  • Eastern Europe

  • Southeast Asia & Pacific

  • China

  • India

  • Japan

  • Middle East & Africa             

The report begins with market introduction, which covers the market taxonomy and product definitions for the global plywood market assessment. In the next section, the report describes the market development background and covers macro-economic factors, industry factors, forecast factors, regional weighted average pricing analysis, value chain overview covering approximate margins, an indicative list of stakeholders involved in each stage and an assessment of the plywood market for the base year considered for the study.

The next section of the report discusses market dynamics, such as drivers, restraints and trends, impacting the market growth at a global level. Market opportunities for manufacturers have been presented in the subsequent section of the same chapter. This section also includes the impact assessment of market dynamics on the global plywood market at a qualitative level, based on analysis facts and insights.

Subsequent sections of the report provide value (US$ Mn) and volume (‘000 cubic meters) projections for the plywood market on the basis of the aforementioned segments at a global level. The global market values represented in these sections have been agglomerated by collecting data and information at a regional level. The market information, along with key facts and insights, covers unique analysis frameworks, such as absolute $ opportunity analysis, year-on-year growth trend comparison, market share and attractiveness analysis, for each of the sub-types covered in each segment.

The next section of the report presents a summarised view of the global plywood market, based on nine prominent regions considered in the study. The section includes the regional market position, growth potential, trends and market attractiveness analysis for each of these regions.

The market analysis sections cover Y-o-Y growth trends, market share analysis, market attractiveness and incremental $ opportunity assessment for each of the aforementioned segment. These sections analyse the degree to which the global drivers are influencing this market in each region.

All the above sections evaluate the present market scenario and growth prospects in the global plywood market, while the forecast presented in the sections assess the market size in terms of volume and value.

In order to offer an accurate forecast, we started by sizing the current market, which forms the basis of how the global plywood market is expected to develop in the future. Given the characteristics of the market, we triangulated the outcome of three different types of analysis, based on primary research, secondary research and our own analysis. However, forecasting the market in terms of various plywood segments and regions is more a matter of quantifying expectations and identifying opportunities rather than rationalising them after the completion of the forecast exercise.

In addition, it is imperative to note that in an ever-fluctuating global economy, we not only conduct forecasts in terms of CAGR, but also analyse the market on the basis of key parameters, such as Year-on-Year (Y-o-Y) growth, to understand the predictability of the plywood market and identify the right opportunities available.

As previously highlighted, the plywood market is split into a number of sub-segments. All the plywood sub-segments, in terms of type, grade, application and region, have been analysed on the basis of Basis Point Share (BPS) to understand each individual segment’s relative contribution to the market growth. This detailed level of information is important for the identification of various key trends being witnessed in the plywood market.

Another key feature of this report is the analysis of all the key segments in the plywood market, sub-segments and the regional adoption and revenue forecast in terms of absolute dollar opportunity. This is traditionally overlooked while forecasting the market; however, the absolute dollar opportunity is critical in assessing the level of opportunity that a provider can look to achieve as well as to identify potential resources from a sales and delivery perspective in the plywood market.

In order to understand the key market segments in terms of the growth and consumption of plywood across concerned regions, FMI has developed the attractiveness index, which will help providers to identify real market opportunities.

In the final section of the report, a competitive landscape of the plywood market has been included to provide report audiences with a dashboard view, categorised on the basis of providers present in the value chain, their presence in the plywood market and key differentiating factors and strategies. The primary category of providers covered in the report is plywood manufacturers. This section is primarily designed to provide clients with an objective and detailed comparative assessment of the key providers specific to a market segment in the value chain of the plywood market. Report audiences can gain segment-specific vendor insights to identify and evaluate key competitors on the basis of in-depth assessment of their capabilities and success in the plywood marketplace. Detailed profiles of providers have also been included under the scope of the report to evaluate their long- and short-term strategies, key offerings and recent developments pertaining to the plywood market. Examples of some of the key competitors covered in this report include Weyerhaeuser Company, Boise Cascade Company, Century Plyboards (India) Ltd, Greenply Industries Limited, Georgia-Pacific, LLC, Uniply industries Ltd, JAYA TIASA HOLDINGS BERHAD, UPM-Kymmene Oyj, SUBUR TIASA HOLDINGS BERHAD and Sveza-Les LLC, among others.

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