Taiwan Home Furniture Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The impact of the COVID-19 crisis on consumer behavior and manufacturing trends has heightened the importance of digitalization and automation for the furniture industry. Online-savvy consumers seeking personalized shopping experiences and competitive prices are pushing furniture manufacturers to innovate on their existing workflows.

Taiwan's home furniture market is mature and stable, with some major advantages developed from traditional industries. Taiwan is one of the world's largest exporters, and some majorly exported furniture items include metal furniture, mainly due to the convenience of upstream metal materials. The main countries Taiwan exports furniture products to include the United States, Japan, and Germany. It is estimated that roughly one-third of China, Vietnam, and the Philippines' furniture exports also result from Taiwan.

Due to the rising disposable income, consumers are willing to pay a premium to purchase personalized furniture in the country, and home furniture demand is witnessing growth and is expected to gain further momentum in upcoming years. There is also a rising trend of multifunctional furniture in Taiwan owing to environmental protection and green building materials development.

Taiwanese furniture makers are utilizing all kinds of natural-looking products made of wood, bamboo, and rattan and are also resorting to materials like metal, glass, and other artificial materials to meet customers' demands. Furthermore, some of the prominent design trends of the Taiwanese furniture industry include the inheritance of classic simplicity and elegance, cross-border trends, new fashion, light luxury styles, and blending of the essence of Eastern and Western aesthetics elements.

Key Market Trends

Increase in Household Units in the Region

The demand for new housing units is increasing, and residential construction activity is rising in Taiwan. The new housing projects around Taiwan hit a five-year high of 53,646 units in the first half of 2021. The construction of new houses and renovation of the existing ones leave customers with more expenses on home furniture products as the houses need to be well furnished. The increase in the number of households and the rise in income levels contribute to the growth of indoor furniture, especially bedroom and kitchen furniture products.

Wood Furniture is the Dominant Category

Wooden furniture is Taiwan’s major type of furniture. It consists of office, kitchen, bedroom, and dining room furniture. Processed wood and plywood are used majorly for furniture production in the country. The latest trend for wooden furniture is to produce furniture made from a combination of wood and metal and composite panels. Taiwan relies on imported wood more for domestic use than manufacturing to export. Taiwan mostly imports from Japan, China, the United States, The European Union, and Saudi Arabia.

Competitive Landscape

The Taiwanese home furniture industry is competitive and fragmented with local players. Taiwan's furniture manufacturers are establishing their brands and designing furniture by cooperating with international manufacturers to develop and produce new products and open the Taiwanese furniture brand marketing through the original channels of the manufacturers.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

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