In serial construction, building modules are prefabricated industrially in automated factories and can then be assembled on site within just a few days. This saves time and costs, while also helping companies better address labor shortages. Timber houses — including multi-story buildings — are better suited for serial production than conventional buildings, for which automated manufacturing is difficult to implement.
Wood as a raw material also scores highly in environmental terms. Unlike concrete, wood absorbs carbon dioxide from the atmosphere — one cubic meter of wood stores approximately one ton of carbon. When used in buildings, this natural construction material can last for centuries, serving as a carbon store. Unlike other building materials, it can also be dismantled and recycled with low energy input, thereby supporting the principles of the circular economy. As a renewable resource, wood is not at risk of becoming scarce, provided forests are managed with foresight.
Good growth opportunities
While growth forecasts for the construction industry on the whole are moderate, timber construction offers above-average opportunities. The proportion of residential buildings constructed using timber has been increasing for years. In Germany, it stood at around 28% in the first half of 2025. Timber is also increasingly being used in the construction of multi-story residential buildings and infrastructure projects such as daycare centers and schools. In addition, countries such as the United States, where timber has traditionally been the predominant construction material, are seeking to move away from time- and labor-intensive manual processes and are increasingly turning to prefabrication and automation.
Further potential lies in the refurbishment business. In Germany alone, 3.4 million residential units in apartment buildings will need to be modernized in the coming years. Timber cladding elements are ideally suited for energy-efficient refurbishment. By moving their production to factories, the precision-made and pre-insulated elements can be installed on site easily and with minimal disturbance. This makes refurbishment faster, more cost-effective, and less disruptive. Timber construction elements are also suited for expanding existing living space, particularly through rooftop additions.
Dr. Jochen Weyrauch, CEO of Dürr AG, says: “The timber construction business is one of the most important growth areas for the Dürr Group. In the coming years, we expect sales to increase by an average of around 10% in this field. Serial timber construction can help alleviate the shortage of affordable housing and thereby address one of the most pressing societal problems. In addition, timber construction is a climate-friendly alternative to conventional, emissions-intensive building methods.”
Combined expertise
Three HOMAG subsidiaries in Germany and Denmark supply the machines and systems required for the industrialization of timber construction. Working closely together, Weinmann, System TM, and Kallesoe cover all key process steps required for manufacturing wall, ceiling, and roof elements.
HOMAG is also among the most capable suppliers of production technology for timber construction internationally. This is underscored by a major order from North America in the high double-digit million-euro range, which was placed at the end of 2025. It is HOMAG’s largest timber construction order to date, involving the delivery of several lines for the automated production of timber construction modules for single-family homes and apartment buildings. HOMAG has experience with projects of a similar scale. In 2021, the company built its first complete factory for timber construction elements such as walls and ceilings in the German state of Saxony-Anhalt.
