Cross Laminated Timber: Low-carbon Building Material of the Future

Cross Laminated Timber (CLT) is an engineered building material made from softwood timber consisting of at least three bonded single-layer wood panels placed at right angles to each other. It offers properties that make it an ideal and more eco-friendly substitute to concrete, steel, and masonry in many constructions. This lightweight and high in strength material is easy to install and can save overall time and cost required for installation. Significant CLT properties include:

• Sustainability

• Design flexibility

• Structural capability

• Dimensional stability

The driving force behind the rapid development of cross laminated timber is the growing concerns related to sustainability along with increased awareness about the benefits of wood as a construction material. Adhesively bonded and mechanically fastened CLT are the two major types of products.

Mechanically Fastened CLT to Emerge as the Fastest-growing Product

Adhesively bonded products are expected to witness a steady demand on account of their seismic performance and higher strength. However, CO2 emission issues and other environmental concerns about the use of adhesives may hinder its demand over the coming years.

Mechanically fastened CLT is projected to come up as the fastest-growing product type as a result of its effective recycling. Increasing demand from various developed regions across the globe along with higher consumer preference for eco-friendly products can push the demand for this CLT type.

Market Overview

According to a report by Grand View Research, Inc.; the cross laminated timber market is expected to reach at USD 2.07 billion growing at a CAGR of 15.7% over the estimated period (2017 to 2025). This growth is credited to the growing popularity of CLT due to its eco-friendly properties. Leading players in the market are Mayr-Melnhof Holz Holding AG; Stora Enso Oyj; XLam NZ Ltd.; Sterling Lumber Company, Inc.; and SmartLam, LLC. Product development and M&A activities are the key market strategies followed by these players.

SmartLam, LLC has been announced as the first US CLT manufacturer to get the Sustainable Forestry Initiative Inc. (SFI) 2015–2019 Chain-of-Custody Certification. This certification helps manufacturers address the rising demand from various entities for reliably sourced forest products. The company hopes that with the new certification, they can offer supply chain assurance to their growing customer base.

Read more at: www.grandviewresearch.com/industry-analysis/cross-laminated-timber-market