North America Prefab Wood Building Market - Growth, Trends, COVID-19 Impact, and Forecasts (2023 - 2028)

North America Prefab Wood Building Market - Growth, Trends, COVID-19 Impact, and Forecasts (2023 - 2028)

The size of North America Prefab Wood Building Market is ~USD 4 billion in the current year and is anticipated to register a CAGR of over 4.5% during the forecast period.

• The productivity of various building projects in North America has been delayed due to a manpower shortage during COVID-19. In addition, the pandemic has boosted offsite construction in North America, which offered improved safety, reduced risk, and greater certainty of completion on time and within budget. The combination of additive manufacturing with energy-absorbing materials, such as micro houses, is expected to boost regional industrial growth. Other factors driving growth include rapid urbanization in developing parts of the region and increased investment in the real estate sector.
• The US economy is also driven by massive internal migration. Americans are known for a tendency to move all over the country. Roughly 35.5 million Americans move each year, and over the years people may change homes up to five times. Building wooden houses, quickly and affordably, allows them to easily relocate without leaving too much behind. The United States is a country of speed, convenience, and ready-made solutions. That’s reflected in their cuisine, their work culture, and most definitely their housing preferences.
• The prefabricated wood building manufacturing business is made up of around 570 companies that employ over 19,000 people and produce approximately USD 4.4 billion per year. New federal and state laws, requiring structural integrity and consistent construction methods, were adopted. Plywood, plastics, and aluminum, all of which were subsequently used in wood prefab units, increased sales as well.
• The United States Department of Commerce released a final finding in the third annual assessment of Canadian softwood lumber imports, lowering the tariff rate from 17.99% to 8.59%. Industry groups such as the NAHB and the National Lumber and Building Material Dealers Association have been lobbying for lower tariffs on Canadian softwood lumber to enable more affordable housing.

As Canada transforms into a net-zero economy, the government of Canada encourages buildings and projects that employ sustainable and renewable resources. The efficient and creative use of Canadian forest products has the potential to revolutionize the building sector.

As a result of this shift, mass wood, and modular building are now leading materials and methods for energy-efficient and cost-effective construction. Mass wood and new, creative modular construction technologies, which are lighter than traditional building materials but equivalent in strength, are vital in moving toward a greener future. The Minister of Natural Resources is happy to announce that the Mass Timber Modular System Project will receive over USD 110,000 in funding.

The contribution is made possible through the Green Building via Wood (GCWood) Program, which promotes the use of wood in construction projects while also assisting Canada's transition to a low-carbon economy. EllisDon's Hybrid Timber Floor System was also helped by GCWood.

The IFIT initiative of Natural Resources Canada accelerates the adoption of transformational technologies and products by bridging the development-commercialization gap. IFIT-funded initiatives contribute to the diversification of the forest product market by developing high-value bioproducts such as bioenergy, biomaterials, biochemicals, and next-generation construction materials.

Demand for U.S.-produced softwood lumber, a backbone of the timber industry nationally, is at an all-time high, with all five end-use categories residential housing, repair and remodeling, non-residential construction, material handling, and others expecting record growth over the next decade.

The anticipated surge in growth is largely due to the non-residential construction sector, which is expected to grow at the fastest rate and increase its share of total softwood lumber usage at an annual rate of 2.3 percent over the next ten years, with US lumber consumption reaching an "all-time high" by 2030.

The Southern States, on the other hand, have positioned themselves as the lowest regional cost supplier of softwood lumber to the U.S. lumber market. Because of their huge timber supply, the Southern states are sometimes referred to as the country's wood baskets.

They possess almost 40% of the country's 521 million acres of forest land. A dozen new sawmill projects are proposed for the southern United States. As a result, the United States timber production will increase, and the instances are outstanding.

Despite the key benefits offered by cross-laminated timber, including eco-friendly prefabrication to conduciveness and myriad potential design applications, construction firms in the United States have been slow to adopt cross-laminated timber. However, the recent developments in the industry suggest that the user might grow over the next few years in the United States.

Cross-laminated timber (CLT) is emerging as a popular material of choice for both residential and commercial prefabricated structures across the United States. The inclusion of cross-laminated timber in building codes and insurance coverage suggests that construction firms may soon begin using cross-laminated timber more frequently in commercial and residential prefabricated projects. This can lead to increased demand from the short to medium-term perspective.

The report covers major players operating in the North America Prefab Wood Buildings Market. The market is highly competitive and fragmented in nature. To remain competitive in the market the major players in the market are constantly working to enhance their product offerings to meet the changing needs of the wooden prefab buildings market. The major players include Heinrich Brothers, Inc., Clayton Homes, Speed Space, Appalachian Log Structures, Inc., Alta-Fab Structures, and R.P. Crawford Co., Inc.

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support