The Polish furniture industry is currently facing significant challenges. In 2024, it experienced a second consecutive year of decline, although the decrease was somewhat smaller compared to 2023. Despite these setbacks, there was a slight improvement toward the end of the year.
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The total value of furniture production sold in Poland in 2024 was PLN 56.78 billion, which marked a decrease of less than 4% compared to 2023. However, the decline slowed down over the course of the year. In the first quarter, the decline was 7%, but by the fourth quarter, there was a slight increase in the value of furniture production sold (0.4%).
Despite the overall downturn, certain sectors of the furniture market showed small gains, such as wooden furniture for kitchens and bedrooms, which experienced production increases of 18% and 3%, respectively. On the other hand, seating furniture and dining room/living room furniture groups saw significant declines of 9%.
In terms of employment, the sector saw a reduction of 4% in average employment, with a slightly less severe reduction in the latter half of the year. Employment dynamics, however, indicated that layoffs would continue into early 2025.
The outlook for the future is not very optimistic. Furniture industry managers reported negative assessments of current and future business conditions, including expected decreases in order volumes, production, and financial situations. The export market also saw a slight dip, while imports into Poland increased slightly by 9%.
Consumers are similarly pessimistic, with consumer confidence indicators showing negative trends for both current and future financial situations. Retailers reported a drop in sales after the Christmas season, which was particularly sharp in January 2025.
Overall, while there are minor positive signs, the Polish furniture industry faces a challenging economic environment moving into 2025.
Source: www.biznes.meble.pl