According to latest research by Future Market Insights, wood panel market is set to witness steady growth during 2021-2031. Rapid expansion of the construction industry in recent years has positively influenced global market trends, owing to economic improvement in both developed and developing economies. As a result, the wood panel market is set to witness a CAGR of 6.1%-6.9%.
The key factor driving the demand for wood panel for cladding, roofing, ceiling, flooring and furniture application is fueled by low product cost combined with superior properties such as longevity and strength.
Increase investment in commercial and residential activities across several region are expected to propel the demand for wood panels. Furthermore, growing public-private partnerships for the development of the construction sector in the developing economies like India, China, and Saudi Arabia are expected to support market growth.
Moreover, in order to expand their customer base and gain a competitive advantage, major companies have invested in R&D for new, and improved products. Many entities have entered into alliances, acquisitions, and mergers with an aim to expand their global reach and expand their product portfolio. For instance, in February 2021, West Fraser announced the acquisition of all of the issued and outstanding common shares of Norbord, which led to strengthening the company's product portfolio.
However, the recent COVID-19 pandemic has had a significant impact on the global construction and furniture industries. People have been restricted from travelling and working in order to control the spread of the novel virus, which has hampered the completion of construction projects around the world.
The industry has also been impacted by supply chain bottlenecks caused by sudden restrictions on the supply of raw materials such as steel and glass. Furthermore, the construction sector has been harmed by the reduction in labor and financial losses caused by delays in funded projects, which has slowed the growth of the wood- panel industry.
Wood panels' high impact resistance and strength make them an ideal packaging material, particularly for long-distance transportation. Further, the market is expected to be driven by the rising product usage as an environment-friendly packaging material to replace non-recyclable packaging materials such as plastics.
Moreover, the rising demand for traditional furniture for living rooms and bedrooms is expected to upsurge the demand for the product over the forecast period. Rising product demand for manufacturing small accent pieces and Ready-to-Assemble (RTA) furniture is further expected to propel the industry forward.
In the U.S, the wood panel market is booming over the past few years and is expected to rise owing to robust growth in residential construction spending in the country.
Further, significant growth in single family housing construction and rising consumer spending on aesthetically appealing furniture products are likely to drive the regional product demand over the projected period.
The demand for wood panel market in the European market is estimated to grow significantly in the upcoming years. The regional demand is mainly driven by Germany, which is the leading furniture market in the region.
The growth of the furniture industry in the region is also anticipated to positively influence the demand for particleboard in the forthcoming years. A rise in packaging applications is supporting the demand for the products owing to increasing industrial exports from the country.
Increasing R&D activities by regional players in Europe to develop cost-effective and high-performance wood panels are estimated to boost market growth.
Some of the leading manufacturers of wood panel market include
The report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, inputs from industry experts and industry participants across the value chain.
The report provides in-depth analysis of parent market trends, macro-economic indicators and governing factors along with market attractiveness as per segments. The report also maps the qualitative impact of various market factors on market segments and geographies.
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Wood Panel Market
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