Panasonic Explores Investment In Palm Biomass-based MDF In Malaysia

By Danni Haizal Danial Donald

KUALA LUMPUR, March 17 (Bernama) – Manufacturer of housing equipment and construction material, Panasonic Housing Solutions Co Ltd, is exploring investment opportunities for its palm biomass-based panels product, medium-density fibreboard (MDF).

It is produced under its PALM LOOP programme, which converts oil palm trunks and other palm oil waste into MDF suitable for furniture and building material.

The company’s Procurement Malaysia Housing Solutions Centre manager Mohd Erman Syazwan Che Fauzi said the company has commercialised MDF boards containing 10 per cent of palm biomass, with the remaining 90 per cent made from rubberwood. 

In response to demands from stakeholders and investors, Panasonic is increasing the percentage of palm biomass.

“Through ongoing research and development, we have produced pilot samples containing 30 per cent to 50 per cent biomass, and experimental boards made with 100 per cent palm biomass,” he told Bernama on the sidelines of the recently concluded Malaysian International Furniture Fair (MIFF) 2026, here.

Mohd Erman said new investments could expand the project and lower production costs through larger-scale manufacturing and further research and development.

For the Panasonic Group, he said scaling up production means reducing costs and gradually increasing the biomass content of its boards.

“In the near future, we would like to see some form of investment in this industry, and ultimately working toward a target of 100 per cent biomass-based MDF.

“We are also working with government agencies to strengthen systems that track biomass sources, allowing manufacturers to verify that the materials used in production are sustainably sourced,” he said.

Panasonic is currently engaging with local furniture manufacturers to supply its biomass-based MDF boards and expand the use of sustainable materials in furniture production.

“By increasing biomass content and attracting new industry partners, we hope this programme could help expand the use of sustainable materials in furniture manufacturing while also creating new value from palm oil industry waste.

“In the longer term, we are considering the possibility of exporting the biomass-based boards themselves, but our focus remains on supporting Malaysia’s furniture sector,” said Mohd Erman.

-- BERNAMA