The wood chipper market is worth USD 447.1 Million in 2023 and will reach USD 462.3 Million by 2024, and hence the wood chipper remains active across all the end-use regions in 2033 despite growth at a slow pace of 3.4% per year.
The chipper wood market places a strong emphasis on demolishing waste in the floriculture, landscaping, and renewable sources of energy due to its large consumer demand, increasing organic waste generation, and a global push for greener waste management methods, which has assisted the wood chipper market in expansion during the forecast period of 2022 to 2032.
The main driver of the wood chipper market is increasing demand for biomass energy. With the increasing landscaping activities and an urgency to find sustainable solutions to waste management, the target market also receives a positive thrust from these factors.
There exist several types of wood chippers, including drum models, disc models, and screw models, which make available a variety of solutions to users in both the residential and industrial sectors. Electric-powered chippers are gaining popularity, especially with green-conscious consumers. The top three market players, Morbark, Vermeer, and Bandit Industries, innovate, making wood chippers a useful instrument in waste conversion and resource sustainability.
| Attributes | Key Insights |
|---|---|
| Estimated Size, 2024 | USD 462.3 million |
| Projected Size, 2034 | USD 645.8 million |
| Value-based CAGR (2024 to 2034) | 3.4% |
The rapid growth of the building and paper & pulp industries across the globe, coupled with high demand for electric wood chippers owing to their emission-free operation, is expected to drive the global wood chipper market during the forecast period. The paper and pulp sector currently holds the maximum share of the global wood chipper market.
This can be attributed to the rising usage of wood chippers across paper and pulp manufacturing industries. However, the construction segment is expected to grow at the highest CAGR during the forecasted period.
Exclusive Offer: 30% Off on Regional Reports
Get a free sample report and customize your regions for a 30% discount on your regional report!
The annual growth rates of the global wood chipper market from 2024 to 2034 are illustrated below in the table. Starting with the base year 2023 and going up to the present year 2024, the report examined how the industry growth trajectory changes from the first half of the year, i.e., January through June (H1), to the second half consisting of July through December (H2).
This gives stakeholders a comprehensive picture of the sector’s performance over time and insights into potential future developments.
The figures provided show the growth of the sector for each half-year between 2023 and 2024. The market was projected to increase at a CAGR of 3.1% in the first half (H1) of 2023. However, in the second half (H2), there is a noticeable increase in the growth rate of 3.3%.
| Particular | Value CAGR |
|---|---|
| H1 2023 | 3.1% (2023 to 2033) |
| H2 2023 | 3.3% (2023 to 2033) |
| H1 2024 | 3.4% (2024 to 2034) |
| H2 2024 | 3.5% (2024 to 2034) |
For the second period from H1 2024 to H2 2024, the CAGR is forecasted to have a modest decline of 3.4% for the former half and have a minor increase of 3.5% in the latter half. In H1, it went up by 30 BPS and while in H2, the sector witnessed a decline of 20 BPS.
Growing Demand for Biomass Energy in the Wood Chipper Market
The growing popularity of renewable sources all over the globe makes biomass energy an attractive option in the form of wood-based fuels. Biomass energy, to be generated from wood chips, provides a viable option in reducing the dependency on fossil fuel resources while meeting the required energy needs.
An important step in this stream is performed by wood chippers in converting wood waste into biomass fuels that can be used to produce heat, electricity, or biofuels. This transformation of waste wood is not only friendly to the environment, but it also contributes to the environmentally friendly utilization of the forest as well as agricultural waste.
Governments and organizations, therefore, have biomass programs as part of renewable energy, which enhances the consumption of wood chippers to process raw materials. For instance,
Expansion of Wood Chippers in Landscaping and Agriculture
Land clearing, pruning, and trimming trees are among the processes adopted in the landscaping and agricultural industry, which also tends to generate great loads of waste wood. If this is not disposed of appropriately, it will tend to account for a higher cost of waste disposal and has increased environmental burdens. Wood chippers transform branches, leaves, and other woody materials into mulch or compost in an efficient way.
Wood chip mulch is in high demand in landscaping due to its moisture retention in the soil, its weed-repressing properties, and its ability to improve the beautification of a landscape. In agriculture, compost made from wood chips supports soil fertilization for better crop growth and improves the nutrient retention in the soil.
This reduces the environmental burden from waste management, as it transforms it into useful by-products, hence contributing to more sustainable land management. Demand for wood chippers keeps increasing, as a single developing landscape has witnessed landscaping and farming expand both economically and environmentally for betterment.
Rising Focus on Waste Reduction Drives Wood Chipper Demand
Environmental awareness is rebalancing priorities in waste management across North America, Europe, and parts of Asia. For making wood waste useful, the demand has never been this high, with new regulations and an increased level of public awareness on sustainability.
Wood chippers serve under such conditions by offering an effective resource for converting wood waste into reusable wood products such as mulch, compost, and biofuels.
In urban and suburban areas, tree trimmings, yard waste, and construction wood scrap add up to a large proportion of the waste volume. Wood chippers reduce the amount of waste that reaches landfills and create material that promotes environmentally friendly processes.
In regions with high forestry and agricultural activities, such as the Pacific Northwest in the USA and parts of Scandinavia, wood chippers help manage natural wood waste sustainably. This increasing focus on waste reduction supports both local environmental goals and global efforts to lower carbon footprints.
Maintenance and Operating Costs as a Restraint in the Wood Chipper Market
One of the main challenges in the wood chipper market is the maintenance and operational costs that are involved with these machines. Gasoline-powered wood chippers, popular for their power and efficiency, require constant refueling, which can be expensive over time, especially considering the fluctuating fuel prices.
Moreover, these machines often require frequent servicing to maintain performance and ensure safety, including blade sharpening, engine maintenance, and parts replacement.
The total cost of fuel, maintenance, and replacement parts also makes wood chippers unsuitable for the smaller, independent business, or sole proprietor, with limited spending on high-upkeep endeavors. Electric chippers present a low-upkeep substitute, but in most scenarios, they just do not have the capacity to adequately handle larger and more stressful applications.
Thus, many of these operational expenses will impact the adoption of wood chipper technology by cost-constrained users interested in affordable, long-term solutions.
The wood chipper industry in the global scenario experienced a CAGR of 1.6% during the historical period between 2019 and 2023. The wood chipper industry has experienced positive growth since it attained a value of USD 447.1 million in 2023 from USD 405.1 million in 2019.
During the historical period, the sector experienced significant fluctuations due to economic qualms. The global economy encountered numerous challenges, such as trade disputes, currency fluctuations, and geopolitical conflicts impacting industries dependent on these compounds.
The COVID-19 pandemic disrupted global supply chains and industrial activities, causing a temporary downturn inside the wood chipper industry, leading to delays and reduced manufacturing capacity. Lockdowns and restrictions impacted transportation and logistics, making it difficult to maintain regular supply and distribution channels.
Decreased industrial activity and demand fluctuations in key end-use industries such as automotive, construction, and timber factories & sawmills made the situation further challenging for the wood chipper market participants.
The industry demonstrated resilience post the crisis period with a slow but steady recovery being evidenced with the easing of lockdowns globally and changes being incorporated within supply chains as part of the new normal.
Once economic activity reaches pre-crisis levels, industrial activity is expected to reach its trend performance after a delay of 3 years, growing for the following 4 years before stabilizing post-2030. The wood chipper demand pattern is anticipated to reflect the same trend during the period.
Tier 1 companies include industry leaders with annual revenues exceeding USD 50-100 million. These companies are currently capturing a significant share of 40-50% globally. These frontrunners are characterized by high production capacity and a wide product portfolio.
They are characterized by high experience in manufacturing and a large geographical area, supported by a strong consumer base. The companies offer a diverse portfolio of products and utilize the latest technology to meet the regulatory standards. Some of the notable companies in Tier 1 are J.P. Carlton Company, Schliesing Maschinenbau GmbH, Terex, Morbark, Bandit, Vermeer, Patriot Products Inc., Avant Tecno oy, Bruks, and others.
Tier 2 companies comprise mid-size participants having turnover between USD 30-50 million with its presence in a limited area and having strong control within the local economies. The firms have impressive overseas and industry-level skills.
They have robust technology capabilities and strictly follow the regulatory requirements. But the wood chipper market may not be having the most advanced machinery or a wider international presence, but they do have a strong hold in their regional markets. The notable entities in Tier 2 are Siwertell Ab, Bugnot 52, Crary Industries, Wajax Limited, Barreto Manufacturing Inc., Salsco Inc.
Tier 3 typically holds all smaller small business firms conducted under regional reach and mainly satisfying particular requirements with lower revenue brackets, such as from USD 5-30 million. Indeed, the focus mainly stays localized and is a good classification under Tier 3.
They are small-scale players with a low geographical reach. Thus, Tier 3 is recognized as an informal segment, meaning a portion differentiated by the absence of comprehensive organization and formal structure compared to the structured one. Tier 3 comprises Vecoplan, Bca Industries Inc., Pequea Machine, GreenMech Ltd., TS Manufacturing Co., and others.
Check Free Sample Report & Save 40%!
Select your niche segments and personalize your insights for smart savings. Cut costs now!
The section below covers assessments of wood chipper sales across key countries. Countries from East Asia and North America are anticipated to exhibit promising double-digit growth over the forecast period. All the below-listed countries are collectively set to reflect a CAGR of around 3.4% through the forecast period.
| Countries | Value CAGR (2024 to 2034) |
|---|---|
| China | 3.7% |
| India | 3.5% |
| USA | 3.4% |
| Germany | 3.0% |
| Canada | 2.9% |
The demand for wood chippers is huge in various segments of the United States economy, including forest, landscape, and agricultural sectors. This happens because enormous areas are in forests in the United States and increased interest in landscaping and sustainable agriculture. To this day, wood chippers have played a major role in handling tree trimmings, yard waste, and all clearing operations resulting from wood waste for reuse either as mulch, compost, or biomass fuel.
It is also known that to find major players in the industry Vermeer is here, which is most acclaimed for its quality wood chipper sold to the entire domestic market and exported overseas and to satisfy each commercial and residential sector leads Bandit Industries.
Further to this is the growth on renewable sources of energy. Wood wastes are biomass fuel and as such, the initiatives towards renewable energy in the United States government classify the USA to promote these friendly practices towards the environment. This wide scope between domestic and commercial application ensures sustained growth in the United States wood chipper market.
The Canadian wood chipper market is on the rise, as the country boasts a high availability of forests and serious attention to ecological sustainability. As one of the world's major forestry products-producing countries, Canada produces tremendous volumes of wood waste through its logging, milling, and other forest management activities.
Wood chippers have become a very important tool in the said industry for converting the waste wood into value-added by-products like mulch and biofuel that could help make forestry practices truly sustainable.
Wood chippers are also in demand because of Canada's commitment to renewable energy, especially with the production of biomass energy steadily on the rise. Biomass fuel prepared from wood chips is a cleaner source of energy, reducing reliance on fossil fuels and aligning well with environmental goals set forth by the government of Canada.
Canadian companies manufacture high-quality chippers, which are even more appropriate for forestry requirements; hence, their reliability is assured in handling sizeable volumes of wood waste. It has, therefore put the Canadian wood chipper market in a more strategic position to enhance both domestic use and export potentials while emphasizing renewable energy and forest resource management
The demand for wood chippers in India has grown over time due to the rapidly increasing sectors of landscaping and biomass energy. Urbanization has caused the need for development of commercial, public, and residential spaces by means of landscaping. Since landscaping cannot be done efficiently without tree trimming, brush clearing, and waste, wood chippers ensure green areas by converting the produced waste into useful mulch and compost.
Biomass energy is also gathering momentum as India pursues renewable sources of energy for cutting down dependence on fossil fuel. The wood chippers are going to play an important role in converting agricultural and forestry waste into biomass fuel, which can help achieve the country's goal for renewable energy.
However, at present, the country imports more for high-performance wood chippers, given the limited local production. Imported machines, mainly from countries such as the USA and Germany, can provide the efficiency and ruggedness required for mass-scale applications to help meet the ever-growing landscaping and energy needs of India.
The section explains the growth trajectories of the leading segments in the market. In terms of type, the Drum-Type category will likely dominate and generate a share of around 40-45% in 2024.
| Segment | Drum-Type (By Product Type) |
|---|---|
| Value Share (2024) | 40-45% |
The drum-type wood chipper segment holds the largest market share, accounting for approximately 45% to 50% of the global wood chipper industry. This is mainly due to performance and efficiency in handling significant volumes, which can then be utilized in the largest industrial and commercial activities.
Designed to handle large volumes of wood quickly, drum chippers are commonly used in forestry, construction, and biomass production, where processing efficiency is essential.
Their robust construction and the ease with which they can chip thick branches and logs make them very valuable for operations that are continuous, high-output in nature. Drum chippers are most valued by industries that engage in large-scale land clearing, waste management, and biomass fuel production.
Their efficiency in converting large wood wastes into usable products further enhances their importance, making them the first choice for heavy-duty applications all over the world.
| Segment | Construction Sector (End Use) |
|---|---|
| Value Share (2024) | 32.5% |
The construction sector holds the largest market share for wood chippers, mainly due to its extensive application in land clearing, site preparation, and waste management. Usually, vast sections of the land need to be cleared of trees, shrubs, and other vegetation at the construction stage.
In this context, wood chippers perform a very vital role by managing organic wastes efficiently into mulch, compost, or biomass fuel, sometimes to be used on site or sold for value addition.
The advantages that wood chippers bring into construction sites in terms of their capacity to reduce waste sent to the landfill enable support for sustainable site management. The versatility and efficiency that wood chippers offer by handling everything from small-sized branches to large logs in one go make them truly invaluable tools for large construction work projects.
As the construction sector continues to grow globally, the demand for wood chippers in this sector will remain strong, thus underpinning its leading market position.
The section gives complete assessments and insights on the current opportunities and emerging trends for companies in developed and developing countries. It assesses the developments in manufacturing and identifies the latest trends that are expected to drive new applications in the market.
Some of the major players in the wood chipper market are also strengthening capabilities and resources to address the rising demand for the compound across different applications. Top companies are also using partnership and joint venture strategies to co-develop innovative products and enhance their resource base.
Significant players are launching new products to cater to the growing demand for advanced solutions in different end-use industries. Geographic expansion is another critical strategy that is being adopted by reputed companies. Start-ups will likely enter the sector through 2034, which makes it more competitive.
Industry Updates:
In terms of Type, the industry is divided Disc Type, Drum Type and Screw Type
In terms of Fuel Type, the industry is divided into Diesel Engine, Petrol Engine and Electric Driven
In terms of Capacity Type, the industry is divided into 10-250 kg/hr, 250-3000 kg/hr, 3000-10000 kg/hr and Above 10000 kg/hr.
In terms of End-use, the industry is divided into Construction, (Processing wood waste, Chipping Tree Branches), Forestry & Biomass, (Processing wood waste, Chipping Tree Branches), Paper & Pulp, (Used Paper Processing & Recycling, Wood Waste Chipping), Timber Factories & Sawmills, (Chipping Offcuts, Timber Processing Operations), Others, (Farming & Agriculture, Gardening, Recycling)
Key countries of North America, Latin America, Western Europe, Eastern Europe, East Asia, South Asia, the Middle East, and Africa (MEA), have been covered in the report.
The global market was valued at USD 447.1 million in 2023.
The global market is set to reach USD 462.3 million in 2024.
Global demand is anticipated to rise at 3.4% CAGR.
The industry is projected to reach USD 645.8 million by 2034.
| Estimated Size, 2024 | USD 38,204.7 million |
|---|---|
| Projected Size, 2034 | USD 68,418.8 million |
| Value-based CAGR (2024 to 2034) | 6.0% |
| Estimated Size, 2024 | USD 4.7 billion |
|---|---|
| Projected Size, 2034 | USD 7.1 billion |
| Value-based CAGR (2024 to 2034) | 4.2% |
| Estimated Market Share in 2023 | USD 1,234.5 million |
|---|---|
| Forecasted Market Size by 2033 | USD 2,049.5 million |
| Projected Market CAGR (2023 to 2033) | 5.2% |
| Market Size (2023) | USD 15.9 billion |
|---|---|
| Market Size (2033) | USD 27.9 billion |
| Market CAGR (2023 to 2033) | 5.8% |
Explore Manufacturing Equipment Insights
View Reports
Wood Chipper Market
Thank you!
You will receive an email from our Business Development Manager. Please be sure to check your SPAM/JUNK folder too.
