Woodn’t it be nice: Construction spending will continue to rise buoying industry revenueAbstractSawmills & Wood Production in the US
The Sawmill and Wood Production industry’s performance relies heavily on sales to the residential and nonresidential construction markets. In recent years, the number of new housing units and spending on home improvement projects both have increased tremendously. Stronger construction activity has bolstered demand for lumber and other wood products, raising industry revenue. Over the five years to 2022, revenue is forecast to rise at a more modest rate than the industry average over the five years prior. As interest rates are expected to creep up during the next five years, new developments and construction projects will become less affordable, slowing demand for industry products.
Companies in this industry primarily saw dimension lumber, boards, beams, bolts, poles, shingles, siding and wood chips from logs. Industry operators also chemically treat lumber to preserve and protect it from fire, moisture, mold and insects. This industry excludes establishments that plane purchased lumber and manufacture shapes, veneer and engineered lumber products and cut and transport timber.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.