April 20, 2024
Teak Furniture Market

Teak Furniture Market Experiencing Robust Growth Trends by Increasing Luxury Home Furnishing Trends

The teak furniture market comprises sofas, chairs, tables, beds, and other home and outdoor furniture made from premium quality solid teak or teak veneers. Teak wood is highly durable, making furniture items made from it sturdy and long-lasting. It is also weather-resistant and requires little to no maintenance over the years. Teak furniture offers an elegant and luxurious appeal for homes and offices. The natural appearance and warmth of teak wood enhances the overall aesthetics. These inherent qualities and advantages have cemented teak furniture as a popular choice for luxury home furnishings worldwide.

The Global Teak Furniture Market is estimated to be valued at US$ 67.86 Bn in 2024 and is expected to exhibit a CAGR of 5.7% over the forecast period 2024 to 2030.

Key Takeaways

Key players operating in the Teak Furniture are BASF (Germany), Evonik Industries (Germany), P&G Chemicals (US), Croda International (UK), Mitsubishi Chemicals (Japan), Sisterna (Netherlands), Stearinerie Dubois (France), Dai-Ichi Kogyo Seiyaku (Japan), Alfa Chemicals (UK), FELDA IFFCO (US), World Chem Industries (India), Compass Foods (Singapore), and Zhejiang Synose Tech (China). Growing demand for premium home furnishings from affluent consumers and rising global luxury interior trends are fueling the expansion of the teak furniture market worldwide. Key players are focusing on expanding their global footprint by entering new regional markets through acquisitions, partnerships, and opening manufacturing facilities to capitalize on opportunities.

Market key trends

One of the key trends shaping the Teak Furniture Market Overview is the growing demand for eco-friendly and sustainably sourced furniture. Increasing consumer awareness about responsible consumption and production is driving demand for brands and retailers offering teak wood products sourced through verifiably sustainable forestry practices. Many leading manufacturers have obtained certifications like Forest Stewardship Council (FSC) and Programme for the Endorsement of Forest Certification (PEFC) to validate their commitment to sustainability. This trend is expected to further strengthen as more consumers prioritize green attributes in their purchase decisions in the coming years.

Porter’s Analysis

Threat of new entrants: The threat of new entrants is moderate as the teak furniture market requires large investments in infrastructure, manufacturing facilities, distribution channels and brand building to compete with existing key players.
Bargaining power of buyers: The bargaining power of buyers is moderate to high as there are numerous furniture options available which gives customers alternatives to choose from.
Bargaining power of suppliers: The bargaining power of suppliers is moderate since raw materials for teak wood furnishing are scarce and teak wood is sourced from limited geographical regions.
Threat of new substitutes: The threat of new substitutes is moderate as there are substitutes like solid wood, plastic and other engineered wood available but teak wood offers superior quality and its warmth and durability is difficult to replicate.
Competitive rivalry: The competitive rivalry in the market is high due to presence of numerous global and regional players competing on pricing and product innovation.

Geographical Regions:

The Asia Pacific region dominates the global teak furniture market in terms of value. Countries like China, India, Indonesia, Malaysia are among the leading producers and consumers of teak wood furniture due to abundance of teak wood sources. North America and Europe follow Asia Pacific in terms of market share due to high disposable incomes and demand for premium furniture.

The fastest growing region for teak furniture market during the forecast period is expected to be Middle East & Africa due to rapid urbanization, rising construction activities and improving standards of living in GCC countries, South Africa boosting the furniture sector. Countries like UAE, Saudi Arabia, South Africa are investing heavily in real estate and infrastructure development contributing to furniture sales.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it