A comprehensive look at the forest products industry’s economic contribution to the United States: Pre- and post-COVID analysis

Abstract

This paper examines the U.S. Forest products industry's economic performance in 2022 compared to pre-COVID-19 levels, highlighting its resilience amid pandemic disruptions. Despite a slight decline of 0.27 % in direct forest product industry jobs, the industry's total value-added increased by 14.46 %, with growth observed in labor income and gross output. However, the extent of changes varied across sectors: while paperboard container manufacturing, paper mills, and sawmills saw substantial value-added increases (23 %, 45.45 %, and 54.66 %, respectively), pulp mills, wood office furniture manufacturing, and stationery product manufacturing experienced declines (6 %, 12.5 %, and 3.4 %, respectively). These findings reveal the uneven changes within the industry and underscore the challenges faced by certain subsectors. Overall, the study reinforces the forest products industry's crucial role in supporting both regional and rural economies. The results provide valuable insights for policymakers and industry professionals, emphasizing the need for targeted support to enhance the sector's resilience and ensure its continued growth and economic contribution.