Engineered wood panels and laminated products markets are showing growth all over the world.
Europe, Middle East and North African (EMEA) countries are no exception. Until now, regional markets showing strong growth prospects were considered the “dumping ground” for the panels producers due to the low-quality, low-cost products shipped in the region. The situation appears to have changed.
The wood products manufacturers and exporters optimism, seen in recent years, (likely due to the political and economic changes and relative stability in Iran and Egypt), is now shifting to a more concerned outlook. This change has been brought about by the recent US Government’s decision to exit the Iran Nuclear treaty and the prospect of economic sanctions, as well as the still unclear situation in Syria.
However, strong positive signals are coming from United Arab Emirates (UAE). Here, several planned and ongoing construction of mixed-use mega-projects are providing the right environment for growth. Robust tourism, financial and business sectors growth, increasing oil prices along with forthcoming events such as the Global Expo 2020, are bringing optimism and a strong positive investor sentiment.
Demand for interior decorative products and other wood products is set to increase above the 1 billion USD reached in 20161. New commercial developments such as the mega malls recently announced in the region, will result in significant demand for construction and appearance wood products.
Valuable tropical and non-tropical hardwoods, quality laminates and panels, as well as construction components are definite candidates for the growing export destination. Can European producers be beaten or joined in the game? Are quality, specifications or production costs the main issues confronting the APAC producers?