Global Reclaimed Lumber Market: Information by Application (Furniture, Flooring, Paneling & Siding, Beams, Others), End Use (Commercial Construction, Residential Construction, Industrial), and Region (North America, Europe, Asia-Pacific, Latin America, Middle East & Africa)—Forecast till 2027

MARKET SYNOPSIS

According to MRFR analysis, the global reclaimed lumber market is projected to register a CAGR of around 5% during the forecast period, 2020–2027, with Europebeing the dominant regional market globally.

Reclaimed lumber is milled wood which is recovered from its initial installation in buildings (such as old barns, factories, and warehouses) for reuse in new applications. Old wood is also increasingly being recovered from smaller structures such as wood packaging, old houses, boxcars, and ​pallets. The use of reclaimed lumber reduces the disturbance to forest ecosystems by decreasing the consumption of new timber, helps to reduce landfill waste, and reclaimed lumber has a lower carbon footprint than new lumber production.

The prominent factor driving the growth of the global market is the increasing demand for the reclaimed lumber and the products manufactured using reclaimed lumber in the building & construction industry. The growth of the construction industry in the developing countries of Asia-Pacific and the Middle East & Africa due to the rise in residential and commercial construction activities has fueled the demand for building materials and especially sustainable materials, and hence, for reclaimed lumber. The growing urbanization with increasing per capita disposable income and changing lifestyles are important factors driving the growth of the construction industry in the developing markets. Additionally, investments in commercial construction activities by the private organizations for aesthetic and luxury appearances are fueling the demand for reclaimed lumber-based products. Moreover, the increasing trend toward green and sustainable buildings is further expected to favor the market growth during the forecast period.

The surge in the construction sector in the developing economies and the increasein non-residential construction spending in the developed economies is expected to boost the demand for reclaimed lumber in the years to follow. However, processing of reclaimed wood is a costly procedure as typically any fasteners or other metal is to beremoved manually and adds to the cost. If further milling of reclaimed wood is required, additional metal detection must be undertaken of each piece prior to processing to avoid damage to milling tools. This is considered to be a challenge for the market players.

REGULATORY FRAMEWORK

Green Building Initiatives and Certification Systems, such as LEED and BREEAM, assess the sustainable performance of building materials and the performance of the whole building (e.g., energy efficiency). Such initiatives are of growing importance and will consequently influence the market demands for construction products.

Some of the International Standards concerning Green Building materials:

• Leadership in Energy and Environmental Design (LEED)


• BREEAM (BRE Environmental Assessment Method)


• WELL Building Standard


• Green Globes


• National Green Building Standard (ICC 700)


• International Green Construction Code (IgCC)

MARKET DRIVERS

• Increasing demand for reclaimed lumber in the commercial constructions


• Increased focus on use of sustainable building materials


• Growing need for construction of green buildings


• Robust growth of the residential and commercial construction in the emerging economies

MARKET RESTRAINTS

• High cost associated with the product

SEGMENTATION

By Application

• Furniture:The furnituresegment held the largest share of the global market in 2019, with a share of over 35%. Reclaimed lumber in furniture applications offers a rustic look, which is becoming increasingly popular especially in North America and Europewhere all interior decorating and design magazines suggest this for home’s interior aesthetics.


• Flooring: This segment held the second-largest share of the market, around 25%, in 2019.


• Reclaimed lumber flooring provides a long-lasting, classic, and time-honored look that lends style and elegance to interior of homes.


• Paneling & Siding


• Beams


• Others

By EndUse

• Commercial Construction: The commercial construction sector is the major end-use segment ofthe reclaimed lumber market, with a share of around 50% in 2019. The impetus provided by the growth of the commercial sector in the developed economies is expected to boost the growth of the segment in the years to follow.


• Residential Construction: Widely used in the residential construction applications, such as furniture, flooring, and sidings and fences.


• Industrial

By Region

• North America


• Europe


• Asia-Pacific


• Latin America


• Middle East & Africa

REGIONAL ANALYSIS

• North America


• Europe:Europe dominated the market and accounted for over 40% of global revenue in 2020 owing to resurgence in the residential constructions and increased private investments in the construction sector. The regional market will expand further at a moderate CAGR from 2020 to 2027 owing to the steadily growing residential sector in the region and rising product demand from developed economies, such as Germany, France, and the UK.


• Asia-Pacific: The market in Asia-Pacific for reclaimed lumbersaccounted for thesecond-largestshare of over 30% in 2019 and is projected to remain the fastest-growing regional market during the forecast period. This is mainly attributed to the high demand for the product in theexpanding residential and commercial construction sector as well as increasing commercial construction projects in China, India, and Southeast Asian countries.


• Latin America


• Middle East & Africa

• Longleaf Lumber, Inc (US)


• Altholz - Baumgartner & Co GmbH (Germany)


• A/S Global Timber (Denmark)


• Viridian Reclaimed Wood (US)


• MONTANA RECLAIMED LUMBER Co. (US)


• IMONDI FLOORING (China)


• Fine Lumber Co (US)


• T. MOORE MANUFACTURING, INC (US)


• TerraMai (US)


• reSAWN TIMBER co.(US)


• Vintage Timberworks Inc (US)


• Sustainable Lumber Company (US)