Advancing Pennsylvania’s Forest & Wood Products Industry Strategy

Pennsylvania’s forest and wood products industry is a cornerstone of the Commonwealth’s rural economy—powered by abundant hardwood resources, a highly skilled workforce, and a long tradition of sustainable forest management. Yet the industry is navigating significant pressures, including workforce shortages, declining markets for low‑grade wood, volatile global trade conditions, and persistent supply chain bottlenecks.

To meet these challenges head‑on, twelve statewide partners—representing industry associations, workforce and labor market experts, conservation agencies, and regional development organizations—joined forces to develop a coordinated, data‑driven strategy for the industry’s future.

This collaborative strategy builds on ongoing initiatives across the Commonwealth, including Team Pennsylvania’s Strategic Impact Initiative, the Department of Agriculture’s Agricultural Innovation Grant Program, and PAForestCareers.com. Together, these efforts position Pennsylvania to strengthen its leadership in sustainable materials, advanced wood products, and rural economic development.
 

The strategy outlines four priority areas designed to drive long‑term competitiveness and shared prosperity across the sector:

• Capture Emerging Market Opportunities
  • Foster an innovation ecosystem to support new forest‑based products.
  • Launch a forest business accelerator to advance emerging technologies and value‑added enterprises.
• Build the Talent Pipeline
  • Diversify and expand the labor pool to address aging‑workforce pressures.
  • Engage the next generation through education, outreach, and career awareness.
  • Support business succession planning to ensure continuity across the supply chain.
• Expand Trade
  • Leverage federal and state export assistance to grow targeted markets in Asia and Europe.
  • Strengthen business‑to‑business connections through strategic trade show participation.
• Address Supply Chain Weaknesses
  • Improve export logistics and product traceability to enhance global competitiveness.
  • Advance cross‑sector workforce solutions that support transportation and infrastructure needs.
     

Data from the study underscores both the urgency and the opportunity:

• The industry grew 2% over the past decade, lagging overall statewide job growth.
• 30% of workers in top occupations are age 55+, signaling significant replacement needs.
• Domestic exports grew by 16%, outpacing imports, while international exports declined.
• Markets for low‑grade wood and mill residuals continue to shrink, limiting forest management options.
• Six key occupations—including foresters, logging equipment operators, and first‑line supervisors—are projected to face high workforce volatility in the coming decade.

Despite these challenges, Pennsylvania is well‑positioned to lead. With coordinated investment, shared accountability, and strong public‑private partnerships, the Commonwealth can secure a vibrant future for its forest and wood products sector.