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July 23, 2025

Poland’s timber industry hit by raw material crunch, rising debt

Poland’s timber industry, once a key driver of exports and one of Europe’s leading wood processors, is now grappling with its worst downturn in decades. A toxic mix of raw material shortages, shrinking margins, foreign competition, and tightening financial conditions is forcing companies across the value chain—from sawmills to furniture makers—to fight for survival. The sector, which includes manufacturers of boards, wooden packaging, pulp, paper, and furniture, has seen a sharp drop in production and exports since the 2020–2021 post-pandemic boom. German consumer weakness, reduced Western European investment, and falling foreign orders have ...

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