Engineered Wood Market Analysis

Global Engineered Wood Market Overview

The engineered Wood Market Size was valued at USD 280.9 billion in 2022. The Engineered Wood industry is projected to grow from USD301.15289Billion in 2023 to USD 525.6170002billion by 2032, exhibiting a compound annual growth rate (CAGR) of 7.21% during the forecast period (2024 - 2032). The energy conservation and waste reduction market in the construction sector is driven by stringent carbon emission regulations, the urgent need to address deforestation, and the growing emphasis on sustainable practices are the key market drivers enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Engineered Wood Market Trends

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  Growing demand from the non-residential sector is driving the market growth.

  
  

India has allocated a budget of USD 429.55 million for the Revitalizing Infrastructure and Systems in Education (RISE) program by 2022. The MEA region is set to witness the construction of approximately 709 healthcare projects worth USD 65 billion, according to the BNC Network. Moreover, under the "Let Girls Learn" initiative, developing countries like Jordan receive funding from the United States to construct 25 new schools. This factor drives Market CAGR.

Additionally, manufacturers are actively promoting its benefits with the increasing demand for engineered wood. Engineered wood offers superior quality and durability compared to solid natural wood at a lower cost. It is also easier to maintain, making it an attractive choice for kitchen cabinets. The expanding use of engineered wood in modern kitchen applications presents promising market opportunities. Additionally, the adoption of unmanned aerial vehicles (UAVs) or drones is anticipated to contribute to the growth of the engineered wood market

Engineered Wood Market Segment Insights

Engineered Wood Product Type Insights

Based on product type, the Engineered Wood market segmentation includes plywood, laminated veneer lumber (LVL), Glulam, I-beams, and Cross Laminated Timber (CLT). The plywood segment dominated the market because it holds a significant presence due to its wide-ranging applications, durability, and cost-effectiveness. It is commonly used in construction, furniture manufacturing, packaging, and other industries. Plywood's popularity can be attributed to its versatility, widespread availability, and ease of use.

Engineered Wood Application Insights

Based on Application, the Engineered Wood market segmentation includes residential and non-residential. The residential segment dominated the market due to the increased housing construction, renovation projects, and the demand for wood-based materials in residential buildings. Engineered wood products, such as plywood, Laminated Veneer Lumber (LVL), and Cross Laminated Timber (CLT), are commonly used in residential construction due to their strength, versatility, and cost-effectiveness.

Figure 1: Engineered Wood Market, by Application, 2022 & 2032 (USD billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Engineered Wood Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. Europe's Engineered Wood market area will dominate this market due to the rising infrastructure development and growing construction projects. Further, the German Engineered Wood market held the largest market share. The Engineered Wood market in the UK experienced significant growth and emerged as the fastest-growing market in Europe.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure2: ENGINEERED WOOD MARKET SHARE BY REGION 2022 (%)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

North America accounts for the second-largest market share. This is due to the use of farming equipment and sophisticated construction equipment.

The Asia-Pacific Engineered Wood Market is expected to grow at the fastest CAGR from 2023 to 2032 due to the rising number of investors emerging into the power and utilities, agriculture, transport, and logistics sectors. Moreover, China’s Engineered Wood market held the largest market share. The Engineered Wood market in India witnessed rapid growth and became the fastest-growing market in the Asia-Pacific region.

Engineered Wood Key Market Players& Competitive Insights

Leading market players are investing heavily in research and development to expand their product lines, which will help the engineered wood market grow even more. Market participants are also undertaking various strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Engineered Wood industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the Engineered Wood industry to benefit clients and increase the market sector. The Engineered Wood industry has offered some of the most significant advantages recently. Major players in the Engineered Wood market include CelulosaArauco y Constitución (Chile), Boise Cascade Company (U.S.), Lowe's Companies, Inc.(U.S.), Roseburg Forest Products (U.S.), Weyerhaeuser (U.S.), Georgia Pacific Wood Products, LLC (U.S.), Universal Forests Products, Inc. (U.S.), Huber Engineered Wood LLC (U.S.), CST Timber Co (U.S.), Rockshield Engineered Wood products ULC (U.S.) and Kahrs Group (Sweden).

Boise Cascade Company, a leading manufacturer of wood products and distributor of building materials, has expanded its distribution centers in Walterboro, SC, and Hondo, Texas. With a strong presence in North America, Boise Cascade continues to grow its operations and meet the increasing demand for wood products and building materials.

Norbord Inc., a prominent Canadian manufacturer of wood-based panels, including oriented strand boards, particleboard, and medium-density fiberboard, has been acquired by West Fraser. West Fraser, a diversified wood products company in western Canada and the southern US, produces a wide range of wood products, such as lumber, laminated veneer lumber (LVL), plywood, pulp, and more. The acquisition strengthens West Fraser's position in the industry and expands its product portfolio.

Key Companies In The Engineered Wood Market Include

• Boise Cascade Company (U.S.)


• Kahrs Group (Sweden)


• Huber Engineered Wood LLC (U.S.)


• Celulosa Arauco y Constitución (Chile)


• Lowe's Companies, Inc (U.S.)


• Universal Forests Products, Inc. (U.S.)


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  Rockshield Engineered Wood products ULC (U.S.)


• CST Timber Co (U.S.)


• Roseburg Forest Products (U.S.)


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  Weyerhaeuser (U.S.)

Engineered Wood Industry Developments

October 2023: Researchers at the University of California, San Diego, have developed a new type of engineered wood that is stronger and more fire-resistant than traditional wood. This new material could have a wide range of applications in the construction industry.November 2023: Weyerhaeuser Company, another major manufacturer of engineered wood products, announced that it was expanding its production capacity for laminated veneer lumber (LVL) at its facility in Osage, Minnesota. The expansion is expected to be completed by the end of 2024 and will increase Weyerhaeuser's LVL production capacity by 25%.

Engineered Wood Market Segmentation

Engineered Wood Product Type Outlook

• Plywood


• Laminated Veneer Lumber(LVL)


• Glulam


• I-beams and Cross Laminated


• Timber(CLT)

Engineered Wood Application Outlook

• Residential


• Non-residential

Engineered Wood Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America