According to a new report from Grand View Research in San Francisco, California, the global wood-based panel market is expected to reach 174.55 billion US dollars by 2025, with a compound annual growth rate (CAGR) of 7.7% during the forecast period.
“Wood-based Panel Market Size, Share & Trends Analysis Report by Product (plywood, MDF), Particleboard, Flexible Board, Hardboard), Application (Furniture, Construction, Packaging) and Industry Forecast, 2018-2025 Od, particleboard, softboard, hardboard, by Application (furniture, construction, packaging), and Segment Forecasts), “The high demand for insulation materials for wall cladding, ceiling, roof and floor applications is expected to drive market growth in the next few years.
The report shows that investment, asset divestiture and regional expansion are key strategies adopted by participants to strengthen their presence in the market. On the other hand, the rising prices of raw materials and the lack of technological innovation are expected to be the main concerns of the industry.
Innovations in the traditional woodworking industry have resulted in more sustainable products, such as medium density fiberboard (MDF), particleboard, oriented particleboard (OSB) and high density fiberboard (HDF), which can be used in specific application areas and are expected to boost market growth in the forecasting period.
Relevant data show that the total output of wood-based panels in China in 2017 was 294.86 million cubic meters, a decrease of 1.9% compared with the same period last year, the first decline in nearly two decades. Among them: plywood 17.19 million cubic meters, fiberboard 62.97 million cubic meters, particleboard production 27.78 million cubic meters, other wood-based panels 32.16 million cubic meters (blockboard 53%).
In 2017, the output of plywood decreased slightly, accounting for 58.3% of the total output of wood-based panels and 0.8% of the year-on-year decrease. In the future, the output will decline steadily, but it will still maintain the position of the first largest wood-based panels in China. The supply and demand of fiberboard will be balanced, accounting for 21.3% of the total output of wood-based panels in China, and it will continue to maintain the second largest wood-based panels in China. The production of particleboard increased by 4.8%, which accounted for 9.4% of the total output of wood-based panels and 0.6% of the total output of wood-based panels. The output of particleboard will further increase after two consecutive years of recovery.