Rising Housing Starts Expected to Boost Engineered Wood Demand
After dropping from near-record highs in 2021 and 2022, inflation has plateaued at around 3% in North America and Europe. What that means for the global economy in general and the engineered wood products industry in particular, is revealed in the 2024 Structural Panel & Engineered Wood Yearbook. The Yearbook focuses on factors impacting the demand for engineered wood products.
Updated information in the 2024 Yearbook includes:
• Historical and current production statistics for structural panels (oriented strand board and plywood).
• North American product import and export levels.
• U.S. and Canadian residential construction statistics, including new and repair/remodeling.
• Demand and production for engineered wood products, such as glued laminated timber, I-joists and laminated veneer lumber.
Positive Outlook for 2024
Economic growth exceeded analysts’ expectations in 2023, thanks to strong consumer spending and incentives for business investment in manufacturing facilities. This was especially true with plants for producing chips, semiconductors and electronics, and government spending on defense and infrastructure. Homebuilders used mortgage buydowns to counteract rising mortgage rates, which supported greater new home sales than expected a year ago. With low unemployment, strong investment in artificial intelligence and continued incentives to drive sales by homebuilders, the economy and single-family housing starts are expected to grow in 2024. An upward revision to the outlook for U.S. single-family starts provides a slight lift for structural panel and engineered wood product demand in 2024.
The entire 2024 market forecast, including all market segments and production outlook, as well as statistical data, is included in APA’s 2024 Structural Panel & Engineered Wood Yearbook, Form MKO-E189. The Yearbook can be purchased for $1,290 HERE.
About APA – The Engineered Wood Association
APA – The Engineered Wood Association is a nonprofit trade association representing manufacturers of engineered wood products. APA supports product standards, quality assurance, building code acceptance, and industry education to advance safe, durable, and sustainable construction.
