Market Research Future (MRFR)’s new exhaustive study reveals that the Balsa Wood Market was worth USD 146.53 Million in the year 2016 and can expect to touch USD 217.23 Million by the end of the year 2023. It is also estimated that the market size can boom at a rate of 5.89% from 2015 to 2023 (which is the evaluation period) in the MRFR report.
The COVID-19 outbreak has had a detrimental impact on the balsa wood industry, in view of the temporary shutdown of manufacturing facilities and weakened demand. Even as the world is trying to curb the spread of SARS-CoV-2, various leading companies are trying to bolster their supply chains and accelerate operations to control further losses. Additionally, with the gradual lifting up of the lockdown across countries and the novel coronavirus under control, the global market can expect to recover quickly in the following years.
Growing Commercial Importance of Balsa Wood to Benefit Global Market
Balsa wood has been gaining commercial significance worldwide as a result of its lightweight as well as insulating properties. Its use is rising exponentially in various industries such as renewable energy, aerospace & defense, industrial, road & rail and marine, to name a few. Considerable specific stiffness and rigidity along with impressive moisture resistance have made balsa wood a highly sought-after component across an array of important applications.
Rising Preference for Lightweight Components in Aircraft to be Present Opportunity
Balsa wood is increasingly being used for construction of aircraft or wight reduction and to provide high tensile and compressive strength. In the UK, aircraft manufacturers and aerospace designers are progressively opting for balsa wood core for aircraft, helicopter and hovercraft manufacture.
Another significant opportunity can be the soaring preference for lightweight composite materials in developing countries like India, Korea, Australia, Japan and China.
Significant Material Costs to Pose a Massive Challenge
High material costs incurred can be a major challenge for the top manufacturers in the years to come.
Grain B to Witness Highest Demand
The different types available in the global market are ‘Grain A’, ‘Grain B’ and ‘Grain C’. Grain B’ balsa wood type is the most preferred one among end-use industries and has attained the highest share of 41.0% in the global market, as of 2016. Grain B is extensively deployed as all-purpose balsa wood and therefore, can continue to lead the global industry throughout the evaluation period.
Aerospace & Defense Segment Secures the Leading Spot
The global market, with respect to application, has been split into renewable energy, aerospace & defense, industrial, road & rail, marine & more. The aerospace & defense segment stands to achieve the highest growth rate to touch USD 77.76 million by 2023-end, as the light weight nature of balsa wood drives it use in the sector for multiple applications.
APAC Market to Stay Dominant
Asia Pacific shows huge growth potential and has emerged as the top-performing market for balsa wood Market. The APAC market should record a growth rate of 5.97% and touch USD 71.25 million by 2023, as a result of the mounting number of balsa wood vendors, lower labor cost and the extensive application range in the region. China stands as the biggest market in the region and has the potential to acquire a CAGR of 6.16% over the next couple of years, in view of the rising military & aerospace spending and the drastic increase in the renewable energy segment.
North America to Procure the Second Lead
North America is a well-developed market for balsa wood while Europe also rakes in massive revenues. North America is predominantly headed by the US, which is a prominent consumer of balsa wood. Dramatic expansion of the aerospace industry and the growing applications of balsa wood in the same has also resulted in a favorable scenario in the region. Europe is advancing at a robust rate, with Germany touted to emerge as a lucrative market for balsa wood in the coming years. Poland is also anticipated to make a mark in the regional market over the next several years.
Competition Rises with Firms Trying to Bolster their Production Capacity
The global balsa wood industry is fairly fragmented and is mostly filled with medium and small vendors. The market is growing consolidated with the renowned manufacturers that are increasingly adopting strategies including acquisition and partnerships. Expansion of production capacity is another significant competitive strategy usually undertaken by companies to further establish themselves in the market
The report Balsa Wood Market overview outlines the balsa wood market share owned by the leading firms, balsa wood market growth rate, extensive balsa wood market analysis, latest balsa wood market trends and the future balsa wood market size. The report has assessed the top challenges, barriers and drivers affecting the market growth. The market study also comprises some of the key developments post the COVID-19 pandemic and the effects of the novel coronavirus as well as the lockdown on the global market. The report also throws light on the latest business scenario covering the expected as well as the historical value, in terms of volume and value, technological developments that induce growth. Besides, the affluent balsa wood market manufacturers and the prominent strategies they adopt to remain relevant in the competitive industry are also listed in the MRFR report.
The scope of the report presents the balsa wood market forecast, focusing mainly on the balsa wood market definition, balsa wood market price, balsa wood market demand, and more.
Frequently Asked Questions (FAQ) :
The Global balsa wood market is estimated to grow to USD 217.23 MN by 2023 from USD 146.53 MN in 2016, expanding at a CAGR of 5.89% during the review period (2017-2023).
Synthetically obtained musk aromas, also known as white musk perceives wider applications than naturally obtained musk aromas, only due to the convenience of obtaining. As, the stringent laws against animal cruelty restrict the trade of musk acquired from animals.
increasing consumption of balsa wood composites in the aerospace & defense, wind energy segments.
The aerospace & defense is the largest segment in the balsa wood market, which is estimated to create a valuation of USD 77.76 MN by 2023, due to its demand for lightweight components.
Gurit (Spain), 3A Composites (Switzerland), DIAB International AB (Sweden), The Gill Corporation (US), The PNG Balsa Company Ltd (Papua New Guinea), CoreLite Inc. (US) and Sinokiko Balsa Trading Co., Ltd (China), are some of the leading players in the global balsa wood market.