Wood Chipper Machines Market Report Scope & Overview:

The Wood Chipper Machines Market size was valued at USD 432.37 million in 2024 and is expected to reach USD 601.87 million by 2032, growing at a CAGR of 4.22% over the forecast period of 2025-2032.

The wood chipper machines market growth is driven by the increasing demand for efficient waste management solutions across industries. Increased construction, forestry, and landscaping sectors are driving the growth of industrial wood chipper machines to process wood waste into chips for utilization. These machines are the workhorses for reducing bulk wood debris, making them a necessity in the large-scale marketplace as well as for your small business. Driven by the growing need to create bioenergy and other cost-effective fuel materials, the market for wood chipper equipment is gaining innovations that enable high performance, usability, and energy efficiency.

Emerging trends in the wood chipper equipment market include the increasing preference for electric-powered equipment, providing environmentally sustainable solutions as opposed to gasoline-powered equipment in traditional models. The sector is ripe with scope for growth, especially with automation and smart tech progressing at pace. Companies that invest in wood chipper market innovations while prioritizing sustainability will leverage the demand for sustainability.

In March 2025: Cresswood Shredding Machinery has launched the XR620 Industrial Shredder, engineered to manage heavy-duty materials with an enhanced rotor diameter and increased horsepower. This revamped model delivers up to 30% more throughput, making it well-suited for handling wood waste, plastic film, and paper, and is particularly beneficial for industries such as pallet recycling and plastic processing.

Wood Chipper Machines Market Dynamics:

Drivers:

Rising biomass energy demand is fueling wood chipper adoption for efficient processing and carbon reduction

The growing emphasis on renewable energy sources has led to a significant rise in demand for biomass energy, positioning wood chipper machines as essential equipment. These machinery types are used to process woody biomass like branches, logs, and tree clippings into chips to use as feedstock for biomass power plants. Bioenergy has been playing an ever-larger role in the energy sector and has provided approximately 55% of the global renewable energy mix and over 6% of the total energy supply in 2023. The wood chipper machines market trend is Expected to Result in Boost in the Adoption of Wood Chippers, as the Wood Chippers are Primarily Used in Forestry Operations and Biomass Processing Facilities In addition, as the quest to reduce carbon emissions and the transition to green energy gains momentum across the globe, demand for the efficient wood chipping solution is expected to gain a steady traction in the coming year.

October 2024: Indonesian forests face pressure from biomass demand. Reports revealed increasing deforestation in Indonesia due to biomass energy demand from South Korea and Japan. Since 2021, large forest areas have been cleared for wood pellet exports. Environmental groups warn of biodiversity loss and urge stronger regulations to prevent long-term ecological harm.

Restraints:

• Improper wood chipper use poses safety risks, while noise and emissions require strict regulatory compliance.

Operation Safety in Wood Chipper Operation. The wood chipper operation has some potential risks, and hence operational safety needs to be considered here. Operator training is critical in handling the machine safely to avoid any accidents. If there is inadequate knowledge of the application, the operators are using the equipment, for they may end up in misuse of the equipment, leading to hazardous conditions. Moreover, working with a wood chipper exposes workers to noise, which reduces their hearing and creates noise pollution. The fumes released from running gas-powered machines only reinforce the need to comply with emissions and environmental regulations. However,  regulatory standards are imposed to prevent noise and emissions from wood chippers and ensure they comply with safety and environmental limits. By solving these issues,  manufacturers and operators can improve safety, safeguard the workforce, and meet essential compliance requirements.

In January 2025: a Florida tree trimmer was fatally pulled into a wood chipper while working at Ocean Ridge Town Hall. Despite the emergency shut-off switch, the incident happened too quickly for co-workers to intervene. OSHA is investigating, and grief counseling is being provided to those affected.

Wood Chipper Machines Market Segmentation Outlook:

By Product Type

The Drum segment dominated with a market share of over 44% in 2024 as they can handle large amounts of wood very quickly, which makes them perfectly convenient for any industrial process. Their strength enables them to cope with everything from hardwoods to softwoods. Drum chippers are widely used around the world in the forestry, landscaping, and biomass industries due to their flexibility and reliable, varied consistency of size chips. This makes them the type that most important wood processing machines for heavy-duty workloads.

Disc are poised to be the fastest-growing segment in the wood chipper machines market due to their superior performance in producing uniform chip sizes. That consistency has become the most important part of the applications that need material specification accuracy, such as biomass energy, where the powder will be produced if uniformly burned at all times. Finally, disc chippers are preferred in the forestry industry because they can process most wood types, especially hardwoods, with durability. The rising awareness of renewable energy sources and effective wood processing solutions is bolstering the demand for disc chippers, as they improve both operational efficiency and enhance the quality of the material, thus making their adoption in the market faster.

By End-Use

The Paper & Pulp segment dominated the market and accounted for 40% of the wood chipper machines market share, due to its vital importance in the production of paper. Wood chips are one of the main raw materials used in pulp manufacture for conversion into paper and paperboard products. The growth is attributed to the rising demand for paper in industries, including packaging, publishing, and printing. Moreover, growing preference for sustainable and eco-friendly production practices further strengthens the dependence on wood chip-based raw materials.

The Forestry & Biomass segment in the Wood Chipper Machines Market is the fastest growing, primarily driven by the increase in global energy demand for genuine energy sources and the movement in the direction of sustainability. Due to the goal of decreasing carbon emissions pursued by governments and industries around the world, wood-based biomass fuels have become an important substitute for fossil fuels. Wood chips that come from the wood chipper machines form an initial but very important part of the biomass energy production process and help produce cleaner energy. The growing trend towards renewable energy and the demand for wood chippers that can process biomass more efficiently drive the demand for wood chippers in forestry and biomass, respectively.

Wood Chipper Machines Market Regional Analysis:

In 2024, Europe dominates the Wood Chipper Machines Market with a significant share of 32%. This is due in part to strong regional demand for wood processing machinery used in forestry, construction,  and landscaping. Europe is home to major manufacturers and significant technologies. Also, sustainable forestry practice and the strict environmental regulations imposed in the region require the use of wood Chippers. The maturity of this market, as well as the well-established infrastructure and production capabilities, strengthens the continent's position as the global leader in the wood chipper landscape.

Germany leads the Wood Chipper Machines Market and is anticipated to take care of this trend within the forecast period because of the prevailing industrial infrastructure, technological advancements, and an outsized forestry and agriculture sector in Germany. With its emphasis on sustainability, biomass (renewable energy), and innovation in eco-friendly products, it only further increases demand, and its European location also offers strong production and distribution abilities.

The Asia-Pacific region is projected to be the fastest-growing market for wood chipper machines, fueled by rapid industrialization and significant infrastructure development. In countries such as China and India, where urbanization is growing annually, the demand for wood processing machinery will increase accordingly, supporting the construction, landscaping, and forestry industries. Moreover, initiatives taken by governments around the world to promote sustainability and increase demand for biomass energy also fuel the growth of this market.

North America holds a significant share of the Wood Chipper Machines Market, primarily owing to the presence of main players and significant demand from industries. Forestry and land maintenance is one of the most important sectors, and to maintain debris, wood and other waste in the forest and agricultural lands wood chipper machines are important for you. It also takes advantage from high technology, high production standard and strong supply chain in the region.

In 2024, the U.S. wood chipper machines market was valued at USD 59.15 million, and by 2032, it is projected to reach USD 82.47 million, growing at a CAGR of 4.24%. The U.S. wood chipper machines market is growing due to the rise in demand for landscaping,  forestry, and waste management operations. With more and more businesses moving towards sustainable alternatives, the need for wood chippers for rapid organic waste processing is going to rise.

Wood Chipper Machines Market Key players are:

Wood Chipper Machine Companies are Zenoah, Peterson, China Foma (Group), Rivim, Vermeer, Terex, ECHO Bear Cat, Bandit Industries, J.P. Carlton, and Morbark.

Recent Developments:

• In February 2025: CBI introduced the next-generation CBI 5900T horizontal grinder, which integrates features from the CBI 6800 and 5800 models. This new model offers improved efficiency, power, and durability for enhanced performance in processing wood materials.

• In August 2024: Terex presented the LS2 Shredder at FinnMETKO in Finland. This compact, high-performance shredder is designed to handle tree stumps, logs, and green waste, and comes equipped with a hydrostatic drive and T-Link telemetry system.