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    Lumber & Plywood Product Manufacturing Industry Profile

    Report Page Length: 10-12
    Last Quarterly Update: 5/10/2021
    SIC Codes: 2421, 2435, 2436, 2439
    NAICS Codes: 3212, 321113
    Chapters Include:
    Industry Overview Trends & Challenges Industry Forecast
    Quarterly Industry Update Call Prep Questions Website & Media Links
    Business Challenges Financial Information Glossary & Acronyms
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    Excerpt from Lumber & Plywood Product Manufacturing Industry Profile

    Companies in this industry manufacture and engage in sawing dimensional lumber, boards, beams, and other reconstituted wood products, as well as the use of sawmills to plane rough lumber. Major companies include divisions of Georgia-Pacific, Louisiana-Pacific (LP), UFP Industries, and Weyerhaeuser (all based in the US), as well as Canfor and West Fraser (both based in Canada), Ilim Timber (Germany), Stora Enso (Finland), and Sumitomo Forestry (Japan).

    Annual worldwide sawnwood (lumber) production totals about 530 million cubic meters, and wood-based panel production is about 400 million cubic meters, according to the Food and Agriculture Organization of the United Nations. The global wood panel market is expected to see annual growth of nearly 7% through 2027, according to Grand View Research. The top lumber and plywood producing countries include Canada, China, Germany, Russia, and the US.

    About 4,300 lumber and plywood product manufacturing establishments (single-location companies and units of multi-location companies) operate in the US, generating annual revenue of about $50 billion.

    COMPETITIVE LANDSCAPE

    Demand is closely tied to the level of home construction. The profitability of individual mills depends on efficient operations, because most products are commodities. Large companies enjoy economies of scale in purchasing. Small companies can often compete successfully by focusing on a local market. Sawmills can operate with only a modest investment of capital, but plywood mills require expensive equipment and therefore are usually plants with high annual volume.

    The plywood, ...

     
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