Plywood Market

Plywood Market Size Analysis

According to a research survey conducted by ChemView Consulting, in 2022, the Global Plywood Market was worth US$ 72,456.0 Mn and is expected to grow at a CAGR of 5.8% over the forecast period. The market is expected to hit US$ 1,27,330.1 Mn by 2032 end. From 2017–2021, when the market’s CAGR was 5.0%, the market underwent significant growth.

The plywood market depends on various factors influencing its growth and behavior. These include population size, GDP, urbanization, and many others.

Market Dynamic

THE GROWTH IN THE CONSTRUCTION INDUSTRY DRIVES THE MARKET GROWTH

The growth of this industry is attributed to the rising construction activity, which will ensure the development of alternative materials used in construction activities. It is mainly used to build houses and office buildings as it is easy and cheap to install and has a smooth finish. Moreover, they also provide excellent thermal insulation properties. It is expected that the increase in the growth and development of commercial buildings is boosting the fuel to develop the plywood market size.

ALTERNATIVE OF PLYWOOD & HIGH RAW MATERIALS COSTS MAY HAMPER THE MARKET GROWTH

The main constraint that restrains the plywood market growth is the availability of substitute products. Recently many products have been available at low cost and used as substitutes for plywoods. Because raw material costs may negatively impact business development in the plywood market. The impact of the price fluctuation of the raw materials on the Plywood Market is one of the major factors which leads to the restraint of growth in this industry.

Many manufacturers adopt a technique that involves positioning their products at a lower price than manufacturing and other costs. This practice has helped them manage their worth, but if there is some fluctuation in this, it can lead to a decrease in their profit margin.

GROWING DEMAND FOR VARIOUS APPLICATIONS CREATES OPPORTUNITIES

Using Plywood in various industries is resulting in the market’s growth. These features are that it can retain its flexibility and strength for the long term, remain the same against chemical, fire, and easy installation, and protect the building from heat and sound. Consequently, this is used in constructing ship hulls and transom panels. Plywood products manufacture decking, seating, flooring, transoms, and other interior construction materials.

Market Segments Covered in Report

By Size

• 4′ x 8′ Plywood
• 4′ x 6′ Plywood
• 4′ x 10′ Plywood
• 3′ x 6′ Plywood
• Others

By Thickness

• < 8mm Plywood
• 8mm – 18mm Plywood
• 18mm Plywood

By Grade

• MR Grade Plywood
• BWR Grade Plywood
• Fire Resistant Grade Plywood
• BWP Grade Plywood
• Structural Grade Plywood

By Wood Type

• Softwood
• Hardwood

By Number of Ply

• 3 Ply
• 5 Ply
• 7 ply and More

By Sales Channel

• Direct Sales
• Distributors/Retailers

By Application

• Furniture
• Flooring & Construction
• Automotive Interiors
• Packaging
• Marine Use
• Others

By Region and Country:

• North America (U.S., Canada)
• Latin America (Brazil, Mexico, Rest of Latin America)
• Europe (Germany, Italy, France, UK, Spain, Netherlands, Norway, Russia, Rest of Europe)
• Asia-Pacific (China, Japan, South Korea, India, Indonesia, Thailand, Vietnam, Australia & New Zealand, Rest of Asia-Pacific)
• Middle East (Saudi Arabia, Turkey, UAE, Rest of Middle East)
• Africa (South Africa, Nigeria, Egypt, Rest of Africa)

Segment-Wise Analysis

Why is softwood wood type plywood projected to have the largest market share?

Softwood plywood held the largest share in the plywood market, up to 31.0% in 2021. Plywood’s popularity has increased due to its versatility, high-impact chemical resistance, resistance, durability, stiffness, high structural stability, and dimensional surface stability.

Softwood plywood is a manufactured wood that can be found in many forms. It is used for various uses, including decking and other exterior applications. Softwood plywood is suitable for building and construction projects such as boats, decks, sheds, and garages. The high tensile strength and density make it an ideal material for structural applications requiring high handling strength and resistance to moisture, oxygen, and humidity.

Why is the MR grade segment expected to expand the fastest during the forecast period?

The MR grade is expected to expand the fastest during the forecast period. MR stands for moisture resistance and comprises a higher density of vertical panels than other grades. This grade has excellent internal strength, which is also the highest among all Plywood grades.

This property is considered ideal for use in construction, kitchen rooftops, wardrobes, doors, etc. MR grade plywood is best suited for indoor services like construction, kitchen rooftops, cabinets, and doors. It has good internal strength, the highest amongst all grades of Plywood. It is comparatively cheaper than waterproof Plywood.

Region-Wise Analysis

The regions analyzed for the market include North America, Europe, Latin America, Asia Pacific, Middle East, and Africa.

• The Asia-Pacific region held the largest share in the plywood market in 2021, up to 63.8%, due to the construction activities in the region. Increased spending on residential construction is an impacting factor in the construction industry’s recovery. As a result, the adaption of the plywood market has been encouraged by government initiatives. The global economy has also begun recovering from the impact of a weak oil price on growth. This is expected to impact consumption expenditure and the resulting rise in construction activities.
• North America region is expected to grow at a CAGR of 5.2% through the forecast period owing to the construction activities in the area. As the construction market improves, many houses will be built, creating a demand for Plywood. The value of residential construction is estimated to increase substantially. Due to low interest on home loans and low mortgage rates are an opportunity for the industry.

Competition Analysis

Some of the key developments that have taken place in the Plywood Market include:

• In March 2021, according to information released by Greenply Industries Ltd., the company will spend about INR 75 crores to build a manufacturing facility for Plywood and related goods in Sandila Industrial Area in Hardoi, Uttar Pradesh. By Q4 of 2021–2022, the new project is anticipated to be operational
• In December 2021, To develop its Joensuu mill for UPM Plywood, UPM announced that it would invest 10 million euros. Plywood and plywood parts are made for demanding industrial applications by UPM Joensuu.

A list of some of the key suppliers present in the market are:

• Weyerhaeuser Company
• Boise Cascade Company
• Greenply Industries Limited
• Georgia-Pacific, LLC
• Uniply Industries Ltd
• JAYA TIASA HOLDINGS BERHAD
• UPM-Kymmene Oyj
• SUBUR TIASA HOLDINGS BERHAD
• Sveza-Les LLC

Global Plywood Market 2022-2032: Report Coverage and Highlights

• Assessment of the historical and current market size (2017-2021), market projections (2022-2032), and its contribution to the parent market
• Key drivers, restraints, opportunities, and key emerging trends impacting market growth
• Predictions on critical supply, demand, and technological trends and changes in consumer behavior
• Value chain analysis (list of manufacturers, distributors, end-users, average profitability margins, etc.)
• Segment-wise, country-wise, and region-wise market analysis
• Competition mapping, market share analysis, key strategies adopted by top players, and competitive tactical intelligence
• Key product innovations and regulatory framework
• Covid-19 impact on the market and how to navigate
• Strategic market analysis and recommendations on crucial winning strategies