Strong Suburban Housing and Furniture Sales Propel the American Reconstituted Wood Product Market
IndexBox has just published a new report: ‘U.S. Reconstituted Wood Product Market. Analysis And Forecast to 2025’. Here is a summary of the report’s key findings.
The U.S. reconstituted wood product market is estimated at approx. $12B, shaped by the performance of the construction and furniture industries. As a result of the lockdown, in February-April 2020, there was a sharp drop in wooden furniture imports and production. Over May-June 2020, production and imports recovered and continued to grow. According to preliminary data, both the American construction industry and the furniture market saw an upturn by the end of 2020.
Single-family construction is the fastest-growing segment, especially in suburbs and rural communities, according to the National Association of Home Builders. This reflects the pandemic-related shifts in remote work and social isolation, as well as changing the accommodation to more affordable suburban areas.
Record growth of housing sales boosted reconstituted wood product market growth in 2020. New construction and the need to equip home offices have spurred demand for furniture. This is also true for those who did not buy new homes. People began to work more remotely and pay more attention to their homes, which led to a wave of interior and furniture updates.
Is the American Reconstituted Wood Product Market Independent From Imports?
Reconstituted wood product imports amount to near $2.5B (IndexBox estimates), comprising near 20% of the market. The U.S. features a strong wood material industry, however, room for Canadian products still exists, which is expected to continue in the medium term.
Canada ($1.6B) constituted the largest supplier of reconstituted wood products to the U.S., comprising 66% of total imports. The second position in the ranking was occupied by Chile ($219M), with an 8.8% share of total imports. It was followed by Germany, with a 6.6% share.
What is the Market Prospect Over the Next Decade?
Strong demand for housing, boosted by low interest rates and a shift to more affordable suburban single-family homes, promotes the related downstream industries. In the medium term, subject to maintaining macroeconomic stability, the growth of the housing market is expected to continue, which is to drive the reconstituted wood product market. Should the pandemic wane in 2021, the market is to continue measured growth. Driven by the above-mentioned fundamentals, it is expected to reach $14B by 2030.
What Are Major Players in the American Reconstituted Wood Product Market?
Louisiana-Pacific Corporation, Huber Engineered Woods, Polyglass U.S.A., Dominance Industries, Fiberesin Industries, Forest Hambro Products, Norbord Mississippi, Advanced Environmental Recycling Technologies, Clarion Boards, Craftmaster Manufacturing, RTS Packaging, Building Materials Corporation of America, Del-Tin Fiber, Norbord Georgia, Norbord Georgia, Industrial Timber, Martco, Norbord Texas Limited Partnership, Bmca Holdings Corporation, RLC Industries Co., Aconcagua Timber Corp., US Test Company 210, Plum Creek Mdf, Norbord Texas, Panolam Industries International, Collins Timber Company, Morehouse Bioenergy
Source: IndexBox AI Platform