Wood Markets 2013: Optimism Prevails

Sales for 2013 are expected to match or beat 2012 figures. That is the consensus of a majority of representatives from the major woodworking markets.

Backing that optimism are projections by the National Association of Home Builders (NAHB) and other groups for gains in new housing and remodeling projects in 2013.

NAHB forecasts 949,000 housing starts in 2013, an increase of 21.5 percent. In a statement, NAHB Chief Economist David Crowe noted, “Nearly every measure of housing market strength — sales, starts, prices, permits and builder confidence — has been trending upward in recent months and we expect to see gradual but steady growth along these lines in 2013.”

Single-family starts are projected to rise 22 percent to 650,000 units in 2013, while multi-family also is expected to grow 22 percent to 299,000 units. With continued optimism, NAHB also is forecasting increases in 2014; a 30 percent jump in single-family units to 844,000, and a 6 percent gain in multi-family units, to 317,000.

Residential remodeling is also expected to show steady improvement in 2013 and 2014. “That outlook is consistent with the indicators of future activity in our recent Remodeling Market Index survey,” Paul Emrath, NAHB’s vice president for survey and housing policy research said in a statement. He added that many remodelers have been reporting increases in calls for bids and appointments for proposals.

Read more about the different market segments below.

	Cabinet Sales Continue Growth in 2013 After closing 2012 on a positive note for the first time in six years, expectations for 2013 cabinet sales are upbeat as the economy continues to improve. Read more
	Business & Institutional Furniture Outlook Good for 2013 Things are looking up for the office and contract furniture industry, which is projecting its best year for shipments since 2008. Read more
	Residential Furniture Growth Rises with Consumer Confidence Rising consumer confidence, combined with improvements in the new housing construction and residential remodeling markets, all bode well for the home furnishings industry in 2013. Read more
	Retail Environments Continue Sales Growth Trend in 2013 For the fourth straight year, overall sales of retail fixtures look to continue to improve. Read more
	Steady Course for Architectural Woodworking Business in 2013  Architectural woodworking sales should “mimic” those of 2012, “with a bit of optimism that prices will go up a bit.” Read more
	Wood Components Sales Project Moderate Growth in 2013 Although 2012 wood component sales “ended with a fizzle,” 2013 sales are projected to increase from 2 to 5 percent. Read more
	Composite Panels See Slight Rise, Veneer Plywood Holds for 2013 North American composite panel shipments are projected to rise 7 percent in 2013. Although holding steady, different challenges face the hardwood plywood & veneer industry. Read more