The New Year will be here before you know it, so we’re going into forecast mode to look at trends that will impact the millwork industry in 2026 and beyond.

The NFI Northstar team scoured the internet, read what the design, construction, and industry experts had to say, then narrowed it down to five of the most important trends to watch for in the millwork industry. Read on to increase your knowledge base and roll into the New Year like a business genius!

Five trends impacting the millwork industry in 2026

TECH INTEGRATION & DIGITAL TRANSFORMATION

• High-tech integrations to allow built-in charging, sensor, and systems access
• The use of artificial intelligence (AI) and robotics in manufacturing, design & logistics
• Cloud collaboration by teammates in different locations
• The rise of Building Information Modeling (BIM)
• AR/VR improvements in the planning & design phases

These are just a sample of all the technology-themed trends that will continue to accelerate through 2026. Tech-related upgrades to the industry will also impact the workforce, as employers will need to start hiring more tech-literate workers, whose ability with high-tech tools will be as important as their carpentry skills.

SUSTAINABLE MATERIALS
Wood happens to be one of the most sustainable and carbon neutral building materials available. In 2026, expect an increased demand for:

• Forest Stewardship Council-certified sustainable timber and reclaimed wood
• A growing adoption of CLT (cross-laminated timber) and glulam (glue-laminated timber)
• Low-VOC (Volatile Organic Compound) finishes – which are much less hazardous compared to traditional finishes

Plus, high-tech design software allows for less waste and material optimization.

AESTHETICS, DESIGN, AND FINISHES
One phrase popped out while compiling reports on the aesthetic trends concerning millwork for 2026—“Biophilic Design,” the concept of incorporating natural elements (such as wood!) to connect people with nature. This reportedly improves employee mood and productivity, and invites customers to linger in the space. Designers using natural materials want to instill character in their interior work and professional spaces utilizing:

• Local art
• Contrasting textures
• Bold patterns and colors

To compliment that aesthetic, expect wooden millwork and casework elements that feature

• Clean lines
• Concealed hardware
• Hidden functions & customizations
• Innovative storage solutions to maximize every square inch of space

WORKFORCE FORECAST

• Retirement is hitting the trades harder than expected: The average millwork professional is in their late 40s to mid-50s, and companies are now facing the prospect of a “silver tsunami” that could eliminate decades of institutional knowledge and experience.
• The need for skilled trade workers is driving up demand—and wages—for those roles: millwork engineers, drafters, CNC operators, cabinetmakers, installers, and production managers.
• Incoming trade workers will need to be tech literate in order to adapt to the changing millwork industry landscape as technological advances continue to shape manufacturing, design, and logistics.
• Millwork production will get more detailed and more complex, which will require workers with even more advanced skills and a knowledge base that understands tolerances, materials, technology, and installation challenges.

INDUSTRY OUTLOOK FOR 2026 & BEYOND

• According to this published report on LinkedIn, the millwork market “is characterized by a mix of established industry leaders and innovative SMEs (subject matter experts) leveraging advanced manufacturing technologies such as CNC (Computer Numerical Control) machining and automation. Strategic mergers and acquisitions are intensifying market consolidation, while digital transformation initiatives improve supply chain efficiencies and customer engagement.”
• Hard to top this overview outlook for the millwork industry as reported by LinkedIn, so we’ll quote the whole callout: “The U.S. millworks market is witnessing robust growth driven by rising residential and commercial construction, with custom millwork, cabinetry, and architectural woodwork leading the demand. The increasing adoption of sustainable and eco-friendly materials aligns with regulatory shifts and consumer preferences, opening avenues for innovation in green product offerings.”
• Market experts across the board tend to see positive growth in the millwork market in 2026 and the coming years, although it’s important to note the potential impact of unforeseen macro forces and external industry drivers. This report, conducted by PS Market Research, forecasts the U.S. millwork market to grow from USD $12.5 billion in 2024 to USD $18.4 billion by 2032, implying a CAGR (compound annual growth rate) of 5.1% from 2025-2032, indicating a fantastic growth.
• The construction pipeline will continue to expand, with multi-site and multi-years projects across a number of markets: healthcare, student housing & university remodels, hospitality, corporate workspaces, retail & grocery, and multi-family residential developments.

Take a deeper dive into these millwork market trends with the expanded blog posts sourced by NFI:
Google AI Overview: Architectural Millwork Industry Trends 2026
Trends in Retail Millwork and Shelving for 2026
Top 10 Interior Trends of 2026
2026 Trends: Character Driven Design
Millwork Job Market Forecast
Millwork Drafting Trends
United States Millworks Market Size 2026: LinkedIn

That’s it for this edition of The NFI Northstar. Thanks for reading! We’ll be back next month with more helpful industry news.

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