The client is a major producer of particleboard, MDF and plywood, with well-developed markets in Oceania, South-East Asia, North Asia, China and the USA.

Challenge

The client has been working towards developing a strategy for their wood-based panels business, Asian market centres being the focus of attention. Among these, China is seen as the largest developing market, showing strong growth and therefore presenting the client with significant opportunities. China is also developing into the single largest producer of wood-based panels in the region, and as such it is also a significant threat to producers seeking to develop markets there. Therefore, for the client to make a sound strategic decision it is essential to clearly understand the key developments within China, especially in a regional and global context.

How we made a difference

Jaakko Pöyry Consulting started the process by first dividing up the work into specific components, which together constitute a comprehensive analysis of China's wood-based panels industry and markets. The specific components comprise

• Global and regional supply and demand overview, including future demand forecasts
• China's wood-based panels market, including future demand forecasts
• MDF and laminated flooring cost competitive analysis
• Wood-based panels pricing in Asia