Wood Panelling Manufacturing in Canada - Market Research Report (2014-2029)
New York, United States
Last Updated: June 2024
NAICS 32121CARevenue
$12.0bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
16,782
Businesses
411
Wages
$X.Xbn
Wood Panelling Manufacturing in Canada industry analysis
Wood panelling manufacturers supply plywood, veneer, medium-density fibreboard, oriented strand board (OSB) and particleboard. These products are primarily used in residential and commercial construction. While domestic construction markets are a significant source of industry demand, a notable portion of the industry's revenue stems from exports to the United States. As a result, industry performance is closely tied to the health of the housing markets in Canada and the United States. A boom in spending on housing renovation and construction during 2020 and 2021 raised industry revenue, but as spending dropped in response to higher interest rates in 2022, revenue experienced a decline. Overall, revenue has grown at a CAGR of 5.9% to $12.0 billion, reflecting a net increase over the period as a whole. Revenue is expected to fall 0.2% in 2024 as buyer markets weaken.
Trends and Insights
- In 2024, revenue is projected to decline due to a downturn in construction spending. Higher interest rates and inflation are mainly to blame. Export conditions, supply chain issues, and deforestation have added volatility to the industry.
- Canada's wood panelling industry primarily exports to the U.S., catering to both residential and commercial construction. While there's been a slight decline in the residential market, commercial construction and household spending on furniture have risen, particularly amidst the pandemic.
- Quebec leads Canada's wood panelling industry with the most establishments. These companies focus on making structural wood products, including laminated veneer lumber, plywood, strand board, and particleboard. They supply essential materials for construction.
- The wood panelling manufacturing industry faces moderate competition due to many companies offering similar products. Price and quality are primary competitive factors. Although barriers to entry are low, fluctuating lumber supply can deter new entrants.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 5.9 % over the past five years, to reach an estimated $12.0bn in 2024.
Trends and Insights
The main drivers of demand for industry products are residential construction markets
- The industry has seen a surge in demand for wood panelling, thanks in part to a rebound in residential construction activities which started in 2020.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Low but steady growth is expected over the next five years
- The wood panelling manufacturing industry in Canada primarily relies on the home construction market.
Biggest companies in the Wood Panelling Manufacturing in Canada
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
West Fraser | 1,684.3 | 61.1 | 3.6 | |
LP | 746.2 | 124.7 | 16.7 | |
Weyerhaeuser | 313.6 | 32.4 | 10.3 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Hardwood veneer and plywood, Softwood veneer and plywood and Structural wood products. Hardwood veneer and plywood is the largest segment of the Wood Panelling Manufacturing in Canada.
Trends and Insights
Waferboard is used widely in home construction
- Waferboard products, such as oriented strand board (OSB), are made from layers of wood flakes that are pressed with adhesive in a cross-oriented pattern to increase the panel's strength.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- There are no industries to display.
Complementors
- Logging in Canada
- Sawmills & Wood Production in Canada
- Millwork in Canada
- Paper Mills in Canada
International industries
- Wood Paneling Manufacturing in the US
- Wood Flooring Manufacturing in the US
- Fabricated Wood Manufacturing in Australia
- Fabricated Wood Manufacturing in New Zealand
- Veneer Sheet & Wood-Based Panel Manufacturing in the UK
Table of Contents
About this industry
Industry definition
The Wood Panelling Manufacturing industry in Canada manufactures veneer or plywood, engineered wood or reconstituted wood products. The industry does not include companies that primarily engage in sawmilling or wood preservation, nor does it include companies that primarily produce dimensions stock.
What's included in this industry?
Plywood manufacturingReconstituted wood products manufacturing (including sheets and boards)Plastic-faced plywood manufacturingOriented strand board (OSB) manufacturingMedium-density fibreboard (MDF) manufacturingLaminated structural wood members manufacturingFabricated structural wood members manufacturingParticleboard manufacturingRoof trusses manufacturingCompanies
West FraserLPWeyerhaeuserPurchase this report to view all 3 major companies in this industry.
Related Terms
ORIENTED STRAND BOARD (OSB)VENEERMEDIUM-DENSITY FIBREBOARD (MDF)Industry Code
NAICS 3212 - Wood Panelling Manufacturing in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
In 2024, revenue is projected to decline due to a downturn in construction spending. Higher interest rates and inflation are mainly to blame. Export conditions, supply chain ...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Canada's wood panelling industry primarily exports to the U.S., catering to both residential and commercial construction. While there's been a slight decline in the residenti...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2024
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Quebec leads Canada's wood panelling industry with the most establishments. These companies focus on making structural wood products, including laminated veneer lumber, plywo...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each province in 2024
- Number and share of revenue each province accounts for in 2024
- Number and share of wages each province accounts for in 2024
- Number and share of employees in each province in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
The wood panelling manufacturing industry faces moderate competition due to many companies offering similar products. Price and quality are primary competitive factors. Altho...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Louisiana-Pacific Corporation, based in Tennessee, sold several wood-based production plants to streamline operations. This strategic divestment from the engineered wood prod...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of West Fraser's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of LP's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Weyerhaeuser's performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for West Fraser, and factors influencing its performance in the industry
- Description and key data for LP, and factors influencing its performance in the industry
- Description and key data for Weyerhaeuser, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The wood panelling industry's revenue is influenced by the residential housing market and trade conditions. Economic factors, timber supply issues due to wildfires and pests,...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Purchases like wood fibre, resin, and wax are the highest cost for wood panelling manufacturers. Despite rising lumber prices, they've managed to offset increased expenses by...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Assets (2017-2022)
- Liabilities (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Wood Panelling Manufacturing industry in Canada in 2024?
The market size of the Wood Panelling Manufacturing industry in Canada is $12.0bn in 2024.
How many businesses are there in the Wood Panelling Manufacturing in Canada industry in 2024?
There are 411 businesses in the Wood Panelling Manufacturing industry in Canada, which has declined at a CAGR of 2.5 % between 2019 and 2024.
Has the Wood Panelling Manufacturing industry in Canada grown or declined over the past 5 years?
The market size of the Wood Panelling Manufacturing industry in Canada has been growing at a CAGR of 5.9 % between 2019 and 2024.
What is the forecast growth of the Wood Panelling Manufacturing industry in Canada over the next 5 years?
Over the next five years, the Wood Panelling Manufacturing industry in Canada is expected to grow.
What are the biggest companies in the Wood Panelling Manufacturing market in Canada?
The biggest companies operating in the Wood Panelling Manufacturing market in Canada are West Fraser, LP and Weyerhaeuser
What does the Wood Panelling Manufacturing in Canada include?
Plywood manufacturing and Reconstituted wood products manufacturing (including sheets and boards) are part of the Wood Panelling Manufacturing industry.
Which companies have the highest market share in the Wood Panelling Manufacturing in Canada?
The company holding the most market share in Canada is West Fraser.
How competitive is the Wood Panelling Manufacturing industry in Canada?
The level of competition is moderate and increasing in the Wood Panelling Manufacturing industry in Canada.
