Wood Based Panel Market Size, Share, Growth Analysis, By Product(Particleboards, Plywood, Oriented Strand Board, Medium Density Fiberboard), By Application(Construction, Furniture, Packaging, Others), By End User(Residential, Non-residential), By Region(North America, Europe, Asia-Pacific, Latin America), By Region - Industry Forecast 2024-2031

Global Wood Based Panel Market size was valued at around USD 177.10 billion in 2022 and is expected to rise from USD 189.32 billion in 2023 to reach a value of USD 322.86 Billion by 2031, at a CAGR of 6.9% over the forecast period (2024–2031).

The primary aspect driving demand for wood-based panels for ceiling, cladding, roofing, floors, and furniture uses is low cost of manufacture combined with exceptional qualities such as durability and strength. Rising investments in residential and commercial buildings across major areas are likely to drive demand for wood-based panels. Furthermore, increased public-private collaborations for construction sector development in emerging economies such as India, China, and Saudi Arabia are expected to promote market expansion.

The United States dominated the North American market for wood-based panels in 2022 with a share of 85.52%, owing to the country's substantial expansion in residential building investment. Rising consumer expenditure on visually pleasing furniture products, as well as significant expansion in single-family house development, are predicted to fuel regional product demand over the forecast period.

Raw materials for the production of wood-based panels, such as fiber wood and lumber, are obtained from sawmills, log merchants, and recycled fiber brokers. Price volatility and instability in raw material availability are projected to be major sources of concern for market participants.

To obtain a competitive advantage, key market participants are focused on capacity development to meet increased demand for wood-based products from end-use industries. For example, Dongwha Group invested in a new MDF production line in Vietnam to address rising domestic demand for wood-based panels. Rising issues such as dust, total organic carbon, and formaldehyde emissions during product manufacture are expected to slow growth. However, manufacturers' increased efforts to develop novel production techniques and lower environmental effects are projected to favor market expansion.

US Wood Based Panel Market is poised to grow at a sustainable CAGR for the next forecast year.