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Bright Spots for Wood-Plastic Composites

04 February 2007

The growth in overall demand for natural and wood fibre composites has slowed significantly to 5-10% per year, down from previous annual growth rates of 15% or more.

Higher product prices, lower wood prices, and a slowdown in housing construction have contributed to the slower growth. The industry, however, remains optimistic about growth prospects based partly on the development of new lower priced-point composite products to compete with pressure-treated lumber.

In addition, manufacturers including Trex, AERT, TimberTech, and Fiber Composites have either introduced new composite fencing products in 2006 or will in 2007. The fence industry is a relatively untapped new market for composites, and represents considerable potential for industry growth.

This latest information is detailed in Principia Partners' industry publication, Natural and Wood Fiber Composites Newsletter.





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