With the entry of a new project, the Shouguang Luocheng panel industry cluster has expanded its network once again.

2026-07-02 Source: Luocheng Subdistrict Office

Stepping into the Luocheng Intelligent Manufacturing Industrial Park, inside the workshop of Yijumu’s project to produce 1 million square meters of panel furniture annually, four production lines are operating at full capacity. Workers skillfully perform edge banding, drilling, and packaging, as TV cabinets, sideboards, and coffee tables roll off the assembly line, soon to be loaded into shipping containers. With a total investment of 102 million yuan and spanning 26 mu of land, the project has swiftly entered “order‑boom mode” since commencing operations in mid‑May this year.

“Right now, order volumes are very strong, with production scheduled all the way through the end of August,” said Wang Ruchao, the company’s head. He added that 95% of their products are exported, primarily targeting the European and American markets. On e‑commerce platforms in Germany, the United Kingdom, and Canada, Yijumu Home’s flat-pack furniture is a clear bestseller.

What sets Yijumu Home apart is its dual‑engine strategy of “cross‑border e‑commerce plus physical manufacturing.” No longer a traditional contract manufacturer, it has evolved into a brand‑owned enterprise that directly engages with consumers. The company chose Luocheng because the region boasts a well‑established industrial cluster and easy access to labor; workers enjoy stable incomes while benefiting from urban amenities, eliminating any concerns about labor shortages.

If Yijumu Home’s craftsmanship refines the “aesthetic appeal” of residential spaces, then Yibang Wood Industry, located in the same industrial park, forges the “structural backbone” of buildings. At the construction site of Yibang Wood Industry’s project to process 180,000 cubic meters of wooden I-beams annually, work is now in its final stages. With a total investment of 110 million yuan and occupying 32.6 mu of land, the project is currently 80% complete and is expected to begin formal production next month.

Wood I-beams are critical structural components in timber construction and concrete formwork systems, primarily used in modern architectural applications. “Our products are mainly exported to Europe, the United States, the Middle East, and other regions, with international trade accounting for 90% of our sales. Once the project reaches full production capacity, annual revenue is expected to reach RMB 200 million.”

The joint selection of these two new projects is no accident. Companies choosing to establish themselves here are drawn to the industrial foundation that Luocheng has built up over many years—secure access to raw materials, readily available local supporting services, a stable labor supply, and well‑developed logistics networks. All of these constitute the deep‑seated strengths that an industrial cluster has cultivated over decades.

From raw logs to finished products, a complete industrial chain has built a solid foundation.

Last year, the Shouguang (Luocheng) high-end panel‑based home‑furnishing industrial cluster was officially included in the “2025 Weifang City List of Specialized Industrial Clusters for Small and Medium‑Sized Enterprises.” For Luocheng, this recognition not only affirms its longstanding industrial achievements but also marks a new stage of development for the panel‑manufacturing sector.

A single log, originating in the birch forests of Russia, crosses the seas to reach Los Angeles. After being cut, veneered, assembled, and packaged, it ultimately transforms into an exquisitely crafted piece of panel furniture, finding its way into the bedrooms of German households—this is not a fictional blueprint, but rather the industrial reality that unfolds in Los Angeles every day.

To understand the appeal of Luocheng’s panel‑board industry, one must first appreciate the completeness of its industrial chain. In Luocheng, panel‑board and furniture manufacturing has established a fully integrated closed loop: “raw material import—advanced processing—finished product export.” On the supply side, leveraging the port‑proximity advantages of Weifang Port and Qingdao Port, the region imports 800,000 cubic meters of high‑quality timber annually from Russia, Africa, and other regions, complemented by five local… Fiberboard With an annual production capacity of 300,000 cubic meters, the Luocheng panel‑manufacturing enterprise enjoys robust supply‑chain security at the raw‑material stage. In the mid‑range manufacturing segment, within a 20‑kilometer radius of Luocheng and its surrounding areas, the company can readily source a wide array of auxiliary materials, including panels, hardware, and glass components, creating a highly convenient procurement network. On the downstream logistics front, seamless integration between domestic road transport and international ocean shipping—from Shouguang’s Quanfuyuan Logistics to Shandong Tengyang Logistics—ensures efficient distribution, while online channels extend coverage to more than 30 countries and regions worldwide.

With such a solid foundation, new projects have the fertile ground they need to thrive. Meanwhile, the addition of these new ventures has further enriched Luocheng’s industrial ecosystem. The cross‑border e‑commerce model of Yijumu Home and the focus on structural timber at Yibang Wood Industry have, in their respective ways, broadened the product portfolio and market reach of Luocheng’s panel‑board industry.

Established companies such as Fuji Wood Industry, Dongyu Hongxiang, and Guosen Smart Home have provided the industry with a solid foundation of technological expertise and skilled talent. Fuji Wood Industry consistently ranks among the region’s top exporters; Dongyu Hongxiang continues to invest heavily in eco‑friendly decorative papers and innovative panel materials; and Guosen Smart Home integrates smart‑technology features into traditional furniture designs. This complementary relationship between established and emerging firms—where time‑tested enterprises anchor the sector while new ventures open up fresh growth opportunities—has endowed the Luocheng panel‑manufacturing industry with the capacity for sustained development.

Moving Forward: From Scale Expansion to Value Enhancement

Through the operations of Yijumu Home and the construction progress of Yibang Wood Industry, the development trajectory of Luocheng’s panelboard industry becomes increasingly clear.

The completeness of the industrial chain is translating into cluster stability; the closed-loop system—from raw materials to finished products—equips enterprises with a degree of resilience in the face of market volatility. Diversification of product lines is expanding the cluster’s market reach, extending from furniture to architectural structural materials and from traditional manufacturing to cross-border e‑commerce, thereby redefining the market space for Luocheng Board Materials. Meanwhile, government‑provided support services in areas such as land, logistics, and labor continue to bolster the cluster’s attractiveness.

The development trajectory of Luocheng’s panel‑board industry is not predicated on low‑price competition; rather, it is steadily shifting toward green practices, intelligent manufacturing, and high‑end offerings. From traditional wood processing to eco‑friendly home furnishings and smart homes, Luocheng’s panel‑board sector is undergoing a transformation—from “Made in Luocheng” to “Smart Manufacturing in Luocheng.”

Looking back, the Luocheng panel industry has forged a relatively clear trajectory of development; looking ahead, the commissioning of new projects and the continued refinement of the industrial chain are laying the groundwork for the next phase of growth. Every shipment of panels reflects the dynamism of the regional economy, while each container departing the port embodies the everyday connectivity of Luocheng’s panel industry to both domestic and international markets. For Luocheng, the “story” of its panel industry is becoming ever more robust and compelling.

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Editor: Fang Fen