The compound annual growth rate of plywood market is 6.1%

Future Market Insights (FMI) reveals some of the key factors that increase the revenue of the global plywood market. Plywood is increasingly used in a variety of applications including furniture, flooring and packaging of high-value goods. This is expected to boost plywood sales in the global market, according to Future Market Insights.

Growth in residential and commercial spaces across the world has further fueled the demand for ready-to-wear and aesthetically designed furniture, in which plywood is widely used. The demand for plywood in the furniture industry has peaked as people opt for designer furniture, which is expected to boost the revenue of the global plywood market.

In the past few years, global infrastructure construction has reached new heights, and a large number of residential and commercial buildings have sprung up in first- and second-tier cities around the world. This has led to impressive growth in the global building and construction industry and has consequently positively impacted the revenues of the ancillary industries. Plywood is an inherent part of the construction industry and is widely used in the manufacture of off-the-shelf and bespoke furniture.

According to the Decorative Hardwood Association, imports of Russian hardwood plywood in the first four months of this year increased by 44% compared to the same period last year, despite the turmoil in Russia and Ukraine and the storm of tariffs.

In April, direct imports from Russia slowed after the US imposed tariffs, but birch plywood imports from Vietnam rose 206% to 427 million square feet. Russia may become a source of large imports of birch plywood from Vietnam.

Global plywood consumption is expected to grow at a rate of 4.6% per decade to reach 164,402 cubic meters by the end of 2022. This growth is attributed to continued demand from end-use industries, especially furniture production.