Global Hardwood Flooring Market - 2024-2031

Overview

Global Hardwood Flooring Market reached US$ 49.2 billion in 2024 and is expected to reach US$ 67.8 billion by 2031, growing with a CAGR of 3.8% during the forecast period 2024-2031.

The flooring industry has grown over the past several years due to changing trends in floor design and an increase in demand for beautiful, superior and long-lasting floor covering solutions. Increasing urbanisation, bettering consumer lifestyles and the increase of offices and workspaces are some factors that have fueled the market.

Global residential construction activities are positively impacted by an increase in immigration to Vancouver, Toronto, Edmonton, the Calgary and U.S., which also resulted in a boom in demand for hardwood flooring for domestic use. Furthermore, the Canadian government's and customers' growing emphasis on the use of highly efficient building techniques is expected to boost the market for wood flooring in the nation.

In 2023, Asia-Pacific is expected to be the fastest growing region holding about 25% of the global hardwood flooring market. Due to improved consumer awareness of safety, cleanliness and health regulations as well as easier access to these services, the region is expected to expand during the projection period. The Ministry of Agriculture, Forestry and Fisheries of Japan, for instance, has authorised a policy encouraging the use of wood products in public structures. Similarly, governments everywhere offer incentives to encourage the use of wood in the construction of infrastructure and buildings.

Dynamics

Growing Construction Projects

More money is being invested in residential buildings to improve comfort as a result of rising disposable income. The demand for the market is also being driven by the ongoing development of upscale residential housing structures and the ensuing, increasing preference for single-family housing structures. To meet the growing demand from a variety of application industries, both domestic and foreign manufacturers are making significant investments.

There are numerous building projects in U.S., like Amazon began construction of its HQ2 building in 2020; the structure is expected to cost US$ 2.5 billion. As Amazon aims for the massive project to be finished by 2023, it continues to turn heads in the construction business. It is expected that the growing amount of money being invested in these kinds of projects will increase demand for flooring and grow the market for hardwood flooring.

Rising Demand for Appealing Flooring Products

Hardwood flooring provide a sense of elegance and warmth that complements a variety of home design styles. The growing global demand for aesthetically pleasing and long-lasting wood flooring solutions is driving market expansion. The resilience of hardwood floors provides lifespan and decreases the need for regular replacements, resulting in a positive market outlook.

It has natural textures and different patterns that appeal to a wide range of consumers and contribute to a visually appealing environment while increasing the value of residential and commercial properties. Moreover, the flooring solutions save maintenance expenses and are appropriate for consumers wanting a long-term investment in their houses.

Pricing and Environmental Concerns

Global economic conditions, delays in the supply chain and the cost of raw materials can all affect the price of hardwood flooring. Compared to other flooring types, installing hardwood flooring can be more difficult and time-consuming. Consumers can select less expensive flooring options during economic downturns. The installation process may be too tough for certain customers to handle.

Strict regulations pertaining to logging practices, forestry practices and the trade in particular hardwood species may affect the availability and price of hardwood flooring supplies. Concerns about habitat destruction and deforestation could affect how much demand there is for hardwood products. Manufacturers find it challenging to adhere to these requirements. A preference for environmentally friendly flooring options over conventional hardwood floors could arise from a greater awareness of environmental sustainability.

Segment Analysis

The global hardwood flooring market is segmented based on type, finish, application, end-user and region.

Growing Migrants drive the Residential Construction

Residential is expected to be the dominant segment with about 1/3rd of the market share during the forecast period 2024-2031. The residential sector is the primary application for the global hardwood flooring market. The solutions provide for design flexibility and precision in building while limiting costs and minimizing construction time. The expanding number of migrants in U.S. is driving the development of residential infrastructure.

In 2021, the residential building sector in U.S. experienced an increase in growth. According to IBIS World, the overall value of residential building in U.S. in 2021 was US$ 719.40 billion, compared to US$ 649.90 billion in 2020. Rising demand for single-family homes is the primary growth driver. Furthermore, the introduction of engineered wood has greatly decreased the cost of wood flooring, thereby providing a big boost to product usage in new structures in North America.

Geographical Penetration

Growing Collaborations of Companies in North America

North America is the dominant region in the global hardwood flooring market covering more than 30% of the market in 2023. North America has the largest market share due to the increased quantity of construction activities and the abundance of timber resources. Furthermore, the increasing adoption of innovative manufacturing techniques is driving market expansion in North America. Individuals' increased need for durable and aesthetically appealing flooring solutions provides a good market outlook.

In accordance with this, the presence of established manufacturers helps to drive market expansion in the region. Shaw Industries Group, Inc. and Encina established a cooperation in March 2023 to recycle carpet production waste. Shaw Industries will give Encina with more than US$ 2.5 million in garbage each year. The agreement will help to reduce its greenhouse gas emissions and carbon footprint and reach its sustainability goal.

Competitive Landscape

The major global players in the market include AHF, LLC, UNILIN, Beaulieu International Group, Classen, FRITZ EGGER GmBH & Co. OG, Formica Group, Armstrong Flooring Inc., Boral Limited, Brumark Corporation and Kahrs Holding AB.

COVID-19 Impact Analysis

Lockdowns and economic uncertainty caused a delay in construction and refurbishment projects. Many projects were postponed or put on hold, affecting demand for hardwood flooring materials. With more people spending time at home, there may have been a shift in consumer preferences for house improvements. However, economic uncertainty and fears about the future can have caused some consumers to postpone or reduce their flooring projects.

Companies who successfully adapted to e-commerce trends have performed better throughout the pandemic. Social distancing has resulted in an upsurge in internet shopping, particularly for home improvement products. Manufacturing plants and distribution centers had staff availability issues due to illness, quarantine procedures or government restrictions.

AI Impact

AI-powered predictive maintenance solutions can be used to monitor and repair the machinery used in the manufacture of hardwood flooring. AI is used to optimize supply chain processes, allowing businesses in the hardwood flooring industry to better manage inventories, minimize waste and streamline manufacturing. It can cut downtime and improve overall operational efficiency.

AI-based image identification and machine learning algorithms can be used to ensure quality control during the manufacturing process. It ensures that only high-quality hardwood flooring goods enter the market. As smart homes become more common, AI can be implemented into hardwood flooring products to provide smart features like temperature adjustment, lighting control and even responsive surfaces that adapt to user preferences.

Russia-Ukraine War Impact

If conflict impairs the region's hardwood flooring supply chains or manufacturing processes, it may result in shortages and price rises. Geopolitical conflicts can produce uncertainty for investors and consumers. Uncertainty could lead to project delays, reduced consumer spending and changes in market dynamics.

The conflict can impair the availability of critical resources required for hardwood flooring manufacture, such as timber. It may have an impact on manufacturing capacity and result in increased expenses. Consumer preferences and behaviors might shift during conflict. The demand for certain luxury or non-essential commodities, such as hardwood flooring, can drop as customers prioritize vital necessities.

By Type

• Oak
• Maple
• Walnut
• Others

By Finish

• Solid
• Engineered
• Others

By Application

• Residential
• Commercial
• Others

By End-User

• Construction and Real Estate
• Renovation & Remodeling

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In August 2023, Johnson Hardwood declared that Alabama, Florida, Georgia, North Carolina, South Carolina and the eastern parts of Tennessee will be represented by The R.A. Siegel Company in the Southeast areas. Johnson's whole line of floor coverings, including premium hardwood flooring, high-performance laminate and SPC/rigid core, will now be available through The R.A. Siegel Company.
• In May 2022, Somerset Hardwood Flooring, a fully integrated forest products firm with its headquarters located in Somerset, Kentucky, was acquired by Bauwerk Group AG. Bauwerk Group AG hopes to improve its standing internationally and have a larger presence in the flooring industries with this acquisition.
• In 2022, AHF Products said that it has completed the acquisition of a portion of Armstrong Flooring, Inc.'s assets, solidifying its position as the market leader in resilient flooring solutions and broadening its product offering to include hardwood, resilient and laminate for both commercial and residential use.

Why Purchase the Report?

• To visualize the global hardwood flooring market segmentation based on type, finish, application, end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of hardwood flooring market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global hardwood flooring market report would provide approximately 70 tables, 63 figures and 204 pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies