Report Highlights US Furniture Industry Facts & Figures

Furniture World Magazine

The U.S. Household Furniture Market contracted 4.9% in 2001 to $37 billion following 7.2% annual growth during the prior nine-year expansion. Domestic manufacturers were hard hit in 2001, with factory sales down $2 billion, but are expected to post a muted recovery in 2002……….See our detailed estimates for 2002, our projections for 2007, and our tables covering 55 years of sales data on six major market sectors covering 109 product categories. Competitive pricing pressures for manufacturers continues into the sixth year while retail prices fall to a seven-year low in 2002. Exports plunged 13.1% in 2001 and are expected to decline 6.5% in 2002 to $1.5 billion. Fast growing export markets for 2002 include the United Kingdom, Korea, Germany, Bermuda, and Belgium…….See our extensive coverage of 36 overseas markets to pinpoint future growth potential. The robust flow of imported household furniture was curtailed in 2001, as dollar volume edged lower by 1.1% to $11.3 billion. Despite this downturn, imported product expanded its foothold in the U.S. market to 31% in 2001, more than doubling its share in 9 years. Imports are expected to post gains in 2002, led by a 17% surge in upholstered household furniture and a 10% advance in wood household furniture. China has emerged as a dominant force, controlling 12% of the U.S. market up from 4% in 1997. Dismal market conditions led to the layoff of 35,300 production workers from April 2000 to January 2002, the steepest contraction in 20 years. Firms began to rehire workers in February while their staff put in longer hours with expanded overtime as order rates improved. Aggregate company sales rebounded 3.9% in early 2002, after tumbling 4.5% in 2001. Deteriorating market conditions negatively impacted margins in 2001, but improved profitability in 2002 was reported by Bassett Furniture, Brown Jordan, Ethan Allen, Flexsteel, Furniture Brands International, Hooker Furniture, O’Sullivan, Rowe Companies, Sealy Corp., Select Comfort, and Simmons. Information excerpted from "The U.S. Household Furniture Market 2002-2003 Edition $700, 420 pages. Includes directory of 5,000 US household furniture companies. For more information contact wnossov@gte.net or www.marketstudies.com