For the fifth straight year, the cabinet industry remains the largest end-use market for wood component products, although its market share is falling. Second largest is building products industry followed by the furniture industry. These and other trends are in the “2013 Dimension & Components Market Study” by the Wood Component Manufacturers Association.
According to the study, the cabinet industry currently accounts for 28.2% of WCMA members’ total business in 2012, compared to 36.5% reported previously. The residential cabinetry segment declined 5.9%, to 24.3% and the commercial cabinetry segment dropped 2.5%, to 3.9%.
Though still significant, sales to the building products industry — trim, mouldings, millwork, staircase parts, etc. — declined 9.5% in 2012 to 26.4%. However, the long-term trend is still positive, as an improving economic environment bodes well for new housing and remodeling projects.
The furniture industry remains the third largest sales segment for dimension and component products, rising 7.7% to 22.9%. Inshoring of manufacturing and improved housing conditions factor in on the gains.
The market for decorative/specialty products also grew, reaching 12.1% compared to 6.9% in 2012. Industrial products — handles, brush parts, etc. — represented 10.2% of the total, up from 5.3% in 2012.
The majority of dimension and component products being sold are to North American customers. Of those surveyed, 45% said they were exporting products, up sharply from 29% noted last year. They also reported that exports represented an average of 8% of total company sales.
At 28%, China was the top market among U.S. WCMA exporting members, followed by Canada at 24%.