Companies in this industry make wood flooring products. Major companies include Armstrong World Industries (AWI), Mohawk Industries, Shaw Industries, and Wood Flooring International (all based in the US), along with A&W (Shanghai) Woods (China), Goodfellow (Canada), Tarkett (France), and Tembec (Canada).
The global market for floor coverings, including wood flooring, is expected to rise nearly 5% per year through 2018 to reach a value of $325 billion, according to Freedonia Group. Leading countries for wood flooring manufacture include Canada, China, and the US.
The US wood flooring manufacturing industry includes about 50 companies with combined annual revenue of about $2 billion.
Demand for wood flooring is closely tied to residential construction and remodeling activity. The profitability of individual companies depends on efficient operations. Large companies have economies of scale in purchasing machinery and raw materials. Small companies can compete effectively by specializing.
Competition for the industry comes from manufacturers of alternative flooring products such as carpet, vinyl, and ceramic tile.
PRODUCTS, OPERATIONS & TECHNOLOGY
Wood flooring is milled from hardwoods, principally oak but also maple, ash, beech, birch, pecan, walnut, hickory, and others. Oak is popular due to its hardness, low cost, appearance, and wide availability; red oak accounts for about 40 percent of wood flooring sales.
Wood flooring comes in three main shapes: strips, planks, and parquet. Strips typically range in thickness from 3/8 inch to 3/4 inch; in width from 1 1/2 to 3 1/2 inches; and in length...