The European Federation of the Parquet Industry, FEP, assessed the latest developments in European parquet markets during its Board meeting held in Paris on October 20, 2026. Despite signs of recovery in some countries during the first half of the year, demand slowed again in the third quarter. Rising production costs, weakening consumer confidence, uncertainties in the construction sector and competitive pressure from low-priced imports are making the European parquet industry increasingly cautious about the period ahead.
Following the contractions experienced in 2023 and 2024, the European parquet sector continued in 2026 the stabilization process that began in 2025. However, economic conditions, consumer behavior and developments in international trade are making it difficult for this stability to turn into strong growth.
According to assessments made at FEP’s meeting in Paris on October 20, 2026, parquet markets across Europe are generally remaining stable, with limited growth being recorded in some countries. At the same time, the positive developments seen particularly in renovation and project-based business during the first six months of the year lost considerable momentum in the third quarter.
Industry representatives point to geopolitical uncertainty, high financing costs, rising labor and energy expenses and more selective consumer spending as factors limiting the market’s recovery.
Production Is Rising but Consumption Is Not Growing at the Same Pace
Statistics presented at FEP’s 70th General Assembly and 50th Parquet Congress, held in Madrid in June 2026, help explain how the current balance in the European parquet market has developed.
According to the Federation’s data, parquet production in FEP member countries increased by 5.87% in 2025 to approximately 59 million m². This increase indicated a certain recovery on the production side following contractions in the previous two years.
Consumption, however, did not improve to the same extent. European parquet consumption declined by 0.98% in 2025 to approximately 60.2 million m².
2025 Parquet Production
≈59 million m²
+5.87%
2025 Parquet Consumption
≈60.2 million m²
-0.98%
These figures show that although production in Europe has returned to a growth trend, demand has yet to respond with the same strength.
The Federation’s October assessment points to a similar picture. Differences between countries remain pronounced, with limited growth in some markets while sales remain under pressure in others due to cautious consumer behavior.
Weak Construction Activity and Consumer Confidence Are Limiting Demand
Uncertainty in the parquet market also reflects broader developments in the European economy.
According to the European Commission’s October 2026 consumer confidence survey, the consumer confidence indicator declined to -17.3 points in the EU and -17.9 points in the Euro Area. Both figures remain below their long-term averages.
The Economic Sentiment Indicator also fell to 96.9 points in October in both the EU and the Euro Area, reflecting weaker economic expectations.
Construction sector data present a more mixed picture.
According to figures published by Eurostat on October 20, 2026, total construction output across the EU increased by 2.6% year on year in August while building construction activity declined by 4.1%.
This divergence shows that even when overall construction activity improves, sectors directly linked to residential and building investment do not necessarily recover at the same pace.
For parquet manufacturers, new residential construction, renovation of existing buildings and investment in commercial projects remain among the key drivers of demand.
According to FEP’s assessments, renovation and project-based activity continue to support the sector in some countries. However, consumers postponing home improvement spending amid growing uncertainty is limiting the pace of recovery.
Raw Material and Energy Costs Increase Pressure on Manufacturers
Another major challenge, alongside weak demand, is production costs.
According to FEP, European parquet manufacturers continue to face rising raw material, energy and labor costs. In particular, increasing difficulty in accessing hardwood raw materials in certain regions is creating additional challenges for production planning and supply security.
Passing these higher costs on to sales prices is not easy for manufacturers. Weak consumer demand, price competition across distribution channels and pressure from imported products are making it more difficult for companies to protect their margins.
In an assessment published in April 2026, FEP had already warned that rising raw material prices, together with higher energy and transportation costs, could lead to delays in new investment and renovation projects.
The October assessment indicates that these pressures continued to a significant extent during the second half of the year.
Competition from Chinese Imports and Trade Measures Remain on the Agenda
Competition from low-priced imported products has long been one of the issues closely monitored by the European parquet industry.
In July 2025, the European Union introduced definitive anti-dumping duties on multilayered wood flooring originating in China.
Under EU Implementing Regulation 2025/1342, the products concerned are subject to anti-dumping duties ranging from 21.3% to 36.1%, depending on the manufacturer.
The measures do not cover all parquet or flooring products originating in China. They apply specifically to the multilayered wood flooring products defined in the regulation.
FEP states that the measures have provided a certain degree of protection for European manufacturers but that competitive pressure from low-priced imports and products from new supplier countries continues.
Against this backdrop, the European Commission launched a new investigation on May 28, 2026 to examine whether the anti-dumping measures applied to multilayered wood flooring imported from China were being undermined.
The investigation, initiated following a request from FEP, is examining whether changes in export or resale prices following the introduction of existing anti-dumping duties have reduced the effectiveness of those measures.
The opening of the investigation does not in itself mean that a new infringement has been established or that additional duties will be imposed. Nevertheless, the development demonstrates that the European parquet industry remains highly sensitive to competitive pressure from imports.
Renovation and Project Markets Remain Important for the Sector
Despite the cautious outlook across Europe, there are also positive developments for the parquet industry.
According to FEP, renovation activity and project-based sales continue to support demand in some countries despite weakness in the new housing market.
Renovation of existing buildings, modernization of commercial spaces and demand for long-lasting flooring materials remain important market dynamics supporting the use of wood flooring.
At the same time, work on low-carbon building materials, sustainable design and circular economy practices is becoming increasingly important for the sector’s long-term development.
At its General Assembly in June, FEP highlighted the bio-based characteristics of wood flooring and its role in sustainable construction applications.
However, whether this potential can translate into strong market growth will depend not only on the technical and environmental advantages of the products but also on a recovery in construction investment and renewed consumer confidence.
Cautious Outlook Continues in the European Parquet Market
Indicators emerging throughout 2026 suggest that the European parquet sector has achieved a certain degree of stability following a period of sharp contraction but that the recovery has not yet developed into broad-based growth.
While production has increased, consumption remains limited. The decline in new building construction and weak consumer confidence continue to rank among the main challenges facing the sector.
At the same time, competition from low-priced imports, energy and raw material costs and financing conditions remain important factors influencing manufacturers’ investment decisions.
The main conclusion from the European Federation of the Parquet Industry’s October assessment is that the market is largely maintaining its current level but that the confidence required for a transition toward sustainable growth has not yet been established.
While renovation activity and the project market continue to support the sector, the performance of the European parquet industry in the coming period will depend on stronger economic stability, the direction of construction investment and how effectively manufacturers adapt to international competitive conditions.
