Global Plywood Market Insights Forecasts to 2032

• The Global Plywood Market Size was valued at USD 73.9 Billion in 2022.
• The Global Plywood Market Size is growing at a CAGR of 6.5% from 2022 to 2032.
• The Worldwide Plywood Market Size is expected to reach USD 138.7 Billion by 2032.
• North America is expected to grow the fastest during the forecast period

The Global Plywood Market Size is expected to reach USD 138.7 billion by 2032, at a CAGR of 6.5% during the forecast period 2022 to 2032.

Plywood is a flat sheet made from wood veneers that have been glued together. While it can be adapted to a wide variety of uses, the standard product is made up of at least three plies, with the grooves in the alternate plies crossing at right angles. Plywood is a highly adaptable material that is utilized for a variety of structural, interior, and external applications ranging from framework to internal paneling. Plywood, as a wood-based material, can withstand a relatively uncommon short-term overload of up to double the design capacity. This is important in areas where earthquake activity or hurricanes usually occur. This property can also be utilized to create construction flooring or concrete structure. Because of its outstanding rigidity and stiffness-to-weight metrics, plywood is an excellent choice for construction uses such as flooring, shearwalls, formwork, and webbed beams. Furthermore, plywood is resistant to corrosion and can be utilized as an economically viable, long-lasting material in chemical plants and cooling systems when preservative-treated. Plywood is utilized in a variety of applications where high-quality, high-strength sheet material is required. Because it bends easily with grain, plywood is frequently used to make curved surfaces. The boom in the construction sector has become one of the most significant developments that may improve the market for plywood materials. Because of its durability and resilience, plywood is appropriate for use in flooring, walls, ceilings, shipping containers, furniture, musical instruments, shipbuilding, and other applications.

Driving Factors

Plywood can be classified in a variety of ways, and these groups tend to depend on many different features of plywood, such as the type of wood used, the number of plies, the degree to which it can be utilized for use indoors or outdoors, whether it complies with quality requirements, and the functions to which it is intended. Because of its numerous advantageous properties, plywood is a widely used building material. Globally, growing population density has increased the number of construction projects. As such, many businesses and housing developments are emphasizing building strength to survive natural disasters such as earthquakes. A significant amount of money is being invested in the widespread utilization of plywood products. Companies are investing a lot of money in these because of their great structural durability and adaptability.

In addition, the industry is experiencing growth in technical breakthroughs, which may improve the working abilities of plywood. These developments will undoubtedly aid in the scaling of plywood production, lowering manufacturing costs, enhancing profitability, and improving quality. Furthermore, one of the primary market trends is the spike in the interior designing and furnishing trade. These industries are using plywood as an alternative to raw wood, indicating the growing popularity of plywood goods in households. This is because plywood is more flexible than raw wood and may be utilized for a wide range of purposes. Moreover, rising remodeling and infrastructure building activities among residents, as well as individuals' growing desire to integrate unique highlights in their interior designs, are driving up demand for the plywood market.

Market Segmentation

By Type Insights

The softwood segment is dominating the market with the largest revenue share over the forecast period.

On the basis of type, the global plywood market is segmented into the hardwood and softwood. Among these, the softwood segment is dominating the market with the largest revenue share of 38.6% over the forecast period. Soft plywood is constructed from softwoods such as pine, redwood, cedar, and others. They are appropriate for outside framing, roof sheathing, and subflooring. Softwood is also useful for building sheds, temporary flooring, and shelving. As a result, it is mostly employed for structural applications in the building industry. The best grades are often utilized for ornamental reasons like furniture and cabinetry. Softwood has a greater adoption rate for furniture than hardwood, owing to its lower cost. This is because softwood trees grow more rapidly and are hence easier and less expensive to manufacture. Softwood is also more environmentally friendly than hardwood since it is more easily regenerated.

By Grade Insights

The MR grade segment is witnessing significant CAGR growth over the forecast period.

On the basis of grade, the global plywood market is segmented into fire resistant grade, MR grade, BWR grade, BWP grade, structural grade, and others. Among these, the MR grade segment is witnessing significant CAGR growth over the forecast period. MR grade plywood is an internal grade plywood, making it ideal for indoor applications such as buildings, kitchen roofs, wardrobes, doors, and so on. This grade has high internal durability, which also makes it the greatest of all plywood grades. It is less expensive than waterproof plywood. Because of the adhesives and chemicals employed, MR grade plywood has strong termite protection.

By Thickness Insights

The greater than 18mm segment is expected to hold the largest share of the global plywood market during the forecast period.

Based on the Thickness, the global plywood market is divided into less than 8mm, 8mm-18mm, and greater than 18mm. Among these, the greater than 18mm segment is expected to hold the largest share of the global plywood market during the forecast period. The most significant advantage of using plywood thicker than 18mm is that it is extremely durable. Despite its strength, plywood thicker than 18mm is significantly lightweight than solid lumber. As a result, the provided segment is appropriate for furniture building. Also, the greater than 18mm segment is difficult to divide due to its cross-layered construction. Likewise, they are more durable than genuine wood. Aside from that, plywood of this thickness gives equal durability along grains in any direction.

By End-Use Application Insights

The building & construction segment accounted for the largest revenue share of more than 36.2% over the forecast period.

On the basis of end-use application, the global plywood market is segmented into building & construction, industrial, furniture, packaging, transportation, and others. Among these, the building & construction segment is dominating the market with the largest revenue share of 36.2% over the forecast period. Plywood is a common building material due to its extreme durability, high panel impact, versatility, moisture, chemical, and fire resistance, and good thermal and acoustic insulation. Plywood is utilized in architecture and construction because of these qualities, especially when used for walls, floors, roofs, doors, exterior siding, and interior finishing. More houses will be built as the construction sector improves, increasing demand for plywood. The market value of residential construction is predicted to rise significantly as a result of low mortgage rates and low-interest rates on house loans, which constitute an opportunity for the industry. As a result, an increase in residential construction fuels growth in the building and construction industry segment.

Regional Insights

Asia Pacific dominates the market with the largest market share over the forecast period.

Asia Pacific is dominating the market with more than 47.2% market share over the forecast period. Rapid growth in the economy rates, expanding manufacturing sectors, inexpensive labor, and a global movement of goods and manufacturing capacity from established countries to developing nations in the region are driving the expansion of the Asia Pacific plywood market. The Chinese market has an enormous share of the worldwide market and is expected to sustain the majority position during the forecast period. Rising infrastructure investments by governments, as well as private companies worldwide, are increasing demand for the plywood market. Furthermore, several wooden skyscraper projects are already underway, with a considerable influence on the plywood industry expected.

North America, on the contrary, is expected to grow the fastest during the forecast period. In North America, which has a diverse market, there are various manufacturing enterprises. These companies are mostly focused on developing novel products to meet the increasing demand from end users. The North American plywood market is driven by technological advancements and high-quality products utilized in a variety of residential and commercial applications. Furthermore, the US plywood market had the highest share, while the Canadian plywood industry had the most rapid expansion in the area.

The Europe market is expected to register a substantial CAGR growth rate during the forecast period. Europe maintains the world's largest plywood shipbuilding business, demonstrating plywood's enormous potential in the maritime sector. Moreover, the German plywood industry dominated, while the UK plywood market was the most rapidly developing in the European region.

List of Key Market Players

Boise Cascade Company

Latvijas fineries AS

Weyerhaeuser Company Ltd

Upm-Kymmene Oyj

Sveza Forest Ltd.

Austral Plywoods Pty Ltd.

Potlatchdeltic Corporation

Greenply Industries

Metsä Wood

Centuryply

Austin Plywood

Jaya Tiasa Holdings Berhad

LIXIL Corporation

Key Market Developments

• On February 2023, Lumin, a prominent timberland and forest products firm, is investing US$ 136 million in Uruguay to develop its third industrial unit, increasing the country's sustainable plywood production. The development is part of Lumin's goal to capitalize on the rising global demand for sustainable wood products for the construction and furniture industries.

• On April 2023, Diamond Hill Plywood, a wholesale distributor of building supplies, has been acquired by Palmer-Donavin. Customers throughout the Southeast are served by five distribution hubs in Virginia, Tennessee, and the Carolinas.

• On June 2023, HG Industries Ltd, a subsidiary of Greenlam Industries Ltd, announced the establishment of a greenfield project to produce plywood and related goods in Tindivanam, Tamil Nadu, with an anticipated investment of 125 crore. The aforementioned manufacturing facility, with an installed capacity of 18.9 million square meters per year, began commercial production on June 9, 2023, and can produce income of Rs. 400 Crores per year at full capacity utilization. The overall capital expenditure for the project is estimated to be Rs. 130 crores until commercial production begins.

Market Segment

This study forecasts revenue at global, regional, and country levels from 2020 to 2032. Spherical Insights has segmented the Global Plywood Market based on the below-mentioned segments:

Plywood Market, Type Analysis

• Hardwood
• Softwood

Plywood Market, Grade Analysis

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

Plywood Market, Thickness Analysis

• Less than 8mm
• 8mm-18mm
• Greater than 18mm

Plywood Market, End-Use Application Analysis

• Building & Construction
• Industrial
• Furniture
• Packaging
• Transportation
• Others

Plywood Market, Regional Analysis

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Uk
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of Middle East & Africa