Preliminary 2024 figures prepared by FederlegnoArredo's Study Center based on Istat data reveal that the wood-furniture supply chain ends the year with production turnover of 51.6 billion euros, down 3.1 percent (53.2 billion in 2023). This decline concerns sales on the domestic market, amounting to 32.2 billion euros, which make up more than 60 percent of total turnover and is down 3.5 percent. Exports, which account for 38 percent of the supply chain's total turnover, close at -2.3 percent with a value of 19.4 billion euros. The supply chain's trade balance is close to €8 billion (it was €8.4 billion in 2023).

“The wood-furniture sector has navigated the storm better than others"-said FederlegnoArredo President Claudio Feltrin, commenting on the 2024 preliminary figures released at the presentation of the next edition of the Salone del Mobile. “A decrease of 3.1 percent,” Feltrin continued, ”is to be considered contained, however, given the current economic and geopolitical context and compared to what we could expect. This does not mean that the situation is easy; on the contrary. We are aware of how fragile balances across the border, the economic crises in Germany and France, and the possible entry of Chinese products into our markets as a consequence of the dreaded introduction of U.S. duties, are variables that will put companies to the test in the early months of 2025.”

Claudio Feltrin, FederlegnoArredo president, at Salone del Mobile.Milano 2025 press conference ©Andrea Mariani/Salone del Mobile.Milano

Furniture macrosystem: better export

For the furniture macrosystem, exports flex less than the domestic market. In fact, according to pre-consumptions, the furniture macrosystem closes 2024 with about 27.5 billion euros in sales, which is -2.5 percent compared to 2023 when it had touched 28.2 billion euros.

This decline is due in minor part to export performance (-2.1 percent) at 14.3 billion compared to 14.7 in 2023, but mainly to lower sales in the Italian market (-2.8 percent), which comes in at 13.1 billion, compared to 13.5 in 2023. The trade balance stands at 9.2 billion euros, compared to 9.6 in 2023.

Let's analyze exports in detail: 2023 had closed by registering a -4% contraction, while in 2024 this decrease is less (-2.1%) determined mainly by the contraction towards France, (-3.6%) which is still confirmed as the first market for our design with a value of 1.96 billion euros. Heavy export losses are reported towards China (-17.9%), which is worth 313.5 million euros, although Italy confirms itself as the first supplier for the Chinese market. Germany, the third largest market, marks -3.6 percent and is worth 1.1 billion euros. The United States, the second largest market, turns out to be stationary, registering +2 percent and touching a value of 1.4 billion euros. Containing the contraction of the furniture macrosystem are mainly the largest exports to the United Arab Emirates (+21.6 percent to 317.6 million euros), which record a positive trend for the fourth year in a row, and Saudi Arabia (+22.8 percent), in thirteenth place, worth 193.5 million euros.

Timber macrosystem: still declining

The wood macrosystem, which had experienced a double-digit decline in 2023, still suffers a decrease in turnover in 2024 (-5.6 percent), albeit smaller, to 20.5 billion euros. Again, the contraction is largely driven by the domestic market (-6.5 percent), which contributes more than 75 percent of total turnover, touching 15.6 billion euros. Exports (24 percent of the total) stand at just under 5 billion euros, down 2.6 percent on 2023.

An analysis of trade flows in January-October 2024 shows Germany (-11.4 percent to 588 million euros) and the United Kingdom (-11.3 percent to 452 million euros) in particular. The United States appears to be growing (+9.6 percent to 366 million euros) but may worsen at the end of the year, while France is almost stable (-1.8 percent to 657 million euros). The negative trend affected all systems albeit with different variations among them.

Wood-furniture supply chain: focus on exports

Among the top five destinations of the wood-furniture supply chain is still the U.S., at least according to the analysis of trade flows for the period January-October 2024, with +3.5 percent for a value of nearly 1.8 billion euros. As early as the end of the year, the situation could turn negative again or at best stabilize. In decline France, the first country in the top ten, which records -3.2% and is worth 2.6 billion euros, while Germany with -6.4% and the United Kingdom with -7.9% clearly reveal the complexity of the moment. Spain drops to sixth position, with a stationary trend and similar values to Switzerland, which occupies fifth position. On the other hand, the United Arab Emirates still grows with +21.7 percent (67 million euros more than in 2023) and ranks tenth with a value of 376 million euros; Saudi Arabia ranks fourteenth with 25.9 percent growth (47.4 million euros more than in the same period 2023) for a value of 230 million euros.