Escalating demand for cost-effective, green building products drives market growth for engineered wood products in North America, Europe, despite construction downturn: Frost & Sullivan
August 10, 2011
– The North American and European markets for engineered wood are growing as demand escalates for cost-effective wood products for building applications, according to a new report from Frost & Sullivan.
The report, entitled Strategic Analysis of the North American & European Engineered Wood Markets in Construction & Buildings, says consumption of engineered wood products is expected to increase due to growing customer acceptance, despite the decline in housebuilding and remodeling, U.K. timber industry magazine TTJ reported.
The growing trend for buildings with improved environmental performance is also driving growth in the engineered wood market. The report notes that comprehensive green building standards have been implemented in several U.S. states, providing impetus for certified wood and wood products that are associated with low emissions.
In Europe, the European Commission’s Competitiveness and Innovation Programme could help to increase the use of engineered wood, as well as new policies to promote green buildings.
The report notes that Europe has the highest level of penetration for engineered wood products in industrial applications, with particleboard, MDF, and plywood benefiting in particular from this trend. The majority of products catering to industrial applications are specialty and value-added products, such as fire rated and melamine faced, the report says.
The use of glulam is increasing in Europe, where a higher market penetration has been achieved than in North America. Europe is also seeing greater penetration of engineered wood products in the non-residential construction and industrial markets than in North America, where the products are more widely used in housebuilding.
The report notes that although the prospects for the market look bright, it could be affected by volatile energy costs.
The primary source of this article is TTJ, The Timber Industry Magazine, Sidcup, U.K., on Aug. 9, 2011.