$29.4bn
$X.Xbn
94,326
14,821
$X.Xbn
The price of wood saw record-high growth in 2021, contributing to industry expansion as demand surged from the booming housing market stimulated by historically low mortgage rates. The key materials in this industry—such as round or hewn wood products, rough and dressed softwood lumber and various types of veneer and plywood—are sensitive to price fluctuations, which directly impact industry revenue. Pandemic-induced supply chain disruptions further exacerbated the issue by limiting the wood supply, leading to unprecedented price increases and profit volatility. However, as mortgage rates climbed by more than double in the latter half of the current period, residential construction slowed, curbing demand for wood products and resulting in industry contraction when wood prices plummeted in 2023.<br />As the industry looks toward 2024, modest growth is anticipated despite the muted expectations for the housing market, driven largely by the persistently high mortgage rates. While these rates are expected to gradually decline in the latter half of the year, they will remain elevated, compelling potential homebuyers to adjust their housing plans. Nevertheless, favorable demographics, especially in the starter home segment, will sustain demand for new housing. The industry's revenue growth is expected to benefit from improvements in home sales and a resurgence in wood prices. However, emerging risks, such as prolonged inflation, could temper industry growth in 2024. Overall, industry revenue is projected to grow at a CAGR of 1.3% to reach $31.4 billion by 2029.<br />Projected declines in mortgage rates are expected to stimulate residential construction, subsequently increasing demand for wood panels. Growth in the housing market will contribute to industry growth, which is anticipated to be in the low-single-digit range over the outlook period, in line with historical trends. This growth projection assumes stable prices for input materials, as any significant fluctuations could substantially impact revenue. Additionally, competition from imported goods is expected to decline due to a combination of factors, including exchange rates and tariffs on imports. Overall, industry revenue is projected to increase at a CAGR of 1.3% to reach $31.4 billion by 2029.
Industry revenue has grown at a CAGR of 0.9 % over the past five years, to reach an estimated $29.4bn in 2024.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
---|---|---|---|---|
Weyerhaeuser Company | 2,644.9 | 1,218.9 | 46.1 | |
Louisiana-Pacific Corporation | 2,559.5 | 372.0 | 14.5 | |
Boise Cascade Company | 1,222.9 | 333.6 | 27.3 |
To view the market share and analysis for all 15 top companies in this industry, view purchase options.
Industry revenue is measured across several distinct product and services lines, including Reconstituted wood products, Softwood veneer and plywood and Trusses. Reconstituted wood products is the largest segment of the Wood Paneling Manufacturing in the US.
Reconstituted wood products are known for their affordability and uniformity
The industry includes companies that manufacture veneer, 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.
Purchase this report to view all 15 major companies in this industry.
NAICS 32121 - Wood Paneling Manufacturing in the US
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Wood prices reached record highs in 2021, boosting industry growth. Higher prices were driven by strong housing market demand and low mortgage rates as well as supply chain d...
Learn about an industry's products and services, markets and trends in international trade.
Reconstituted wood product manufacturing dominates the market with a 33.1% share. Reconstituted wood benefits from its versatility and cost-effectiveness, appealing widely ac...
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Wood panel manufacturers choose to locate themselves near downstream markets, making the Southeast the most popular choice to set up establishments. This region is also home ...
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.
Fluctuations in raw material costs, primarily the price of wood, directly impact competitive dynamics for manufacturers. Firms that can secure stable and cost-effective wood ...
Learn about the performance of the top companies in the industry.
Weyerhaeuser Company experienced a 29% decline in wood products revenue in 2023. This decline is generally consistent with the industry trend driven by lower wood prices.
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Wood panel manufacturers are under heavy environmental and noise regulation. These include the Clear Water Act, Resource Conservation and Recovery Act, Clean Air Act, the Clu...
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Input materials are the biggest expense. Purchases include bolts and logs, hardwood and softwood veneer and plywood, rough and dressed softwood lumber, resins and plastics, p...
Including values and annual change:
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.
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 the US include:
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:
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.
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.
Unlock comprehensive answers and precise data upon purchase. View purchase options.
The market size of the Wood Paneling Manufacturing in the US industry in United States is $29.4bn in 2024.
There are 14,821 businesses in the Wood Paneling Manufacturing in the US industry in United States, which has declined at a CAGR of 0.6 % between 2019 and 2024.
The market size of the Wood Paneling Manufacturing in the US industry in United States has been growing at a CAGR of 0.9 % between 2019 and 2024.
Over the next five years, the Wood Paneling Manufacturing in the US industry in United States is expected to grow.
The biggest companies operating in the Wood Paneling Manufacturing market in United States are Weyerhaeuser Company, Louisiana-Pacific Corporation and Boise Cascade Company
Veneer manufacturing and Plywood manufacturing are part of the Wood Paneling Manufacturing in the US industry.
The company holding the most market share in United States is Weyerhaeuser Company.
The level of competition is moderate and increasing in the Wood Paneling Manufacturing in the US industry in United States.