While it is opening weekend for the newest iteration of the Superman franchise, we’re going to focus on Superwood instead. If you caught our recent note about subsea desalination, you know I enjoy spotlighting innovation that feels equal parts science fiction and common sense. This week, in the spirit of being Super, the breakthrough is the Superwood. And while the name may be a bit unimaginative, what more would you expect from a company named InventWood? But don’t let the names fool you, the product is everything the names are not. Let’s take a look.
Who is InventWood?
InventWood is a materials science company that develops engineered wood products under the trade name Superwood. It was founded by materials engineer Liangbing Hu in 2016, emerging from his research at the University of Maryland, and is currently run by CEO Alex Lau. InventWood describes itself as “wood alchemists,” modifying the chemistry of wood to infuse it with incredible properties. They have secured over $50 million in total capital, including a $20 million award from the U.S. Department of Energy, supporting the construction and scaling of their first production facility.
What makes Superwood different?
Superwood is an advanced engineered wood product that transforms ordinary wood at the molecular level to create a material stronger than steel. It is not a composite, fake wood, or plastic, but rather real wood, supercharged through cutting-edge science. The patented process, developed by Dr. Hu in 2018, involves a two-step molecular restructuring and densification. I’ll spare you the nitty-gritty details, but it uses common food industry chemicals that remove some of the natural polymers, which act as a “glue” for the wood fibers. This softens the wood and allows for the all-important second phase.
Next, the softened wood is hot-pressed (a step that requires neither extreme heat nor pressure), which collapses the wood and aligns its internal structure. This increases the density of the wood by up to four times its original state. And even more importantly, the process does indeed change the structure at a molecular level, creating hydrogen bonds between the compressed structure. This significantly enhances the strength, moisture resistance, and resistance to rot without the use of synthetic resins.
Even better, the procedure is effective for various types of wood, including fast-growing softwoods like poplar and pine, as well as non-woody species such as bamboo. The result is a dense, compact material that retains the natural beauty and feel of wood while achieving mechanical properties comparable to those of steel or titanium alloys.
Where might we see it first?
Superwood has a wide range of potential applications, from aesthetics to heavy-duty construction. InventWood’s first products will be high-end replacements for traditional wood use cases, such as flooring, wall paneling, cabinetry, and exterior siding. This initial focus is viewed as a strategic move, given the less stringent testing and regulatory requirements compared to structural products, which enables them to establish a market presence and reputation.
However, the ultimate goal for InventWood is to use Superwood as a structural material, potentially replacing steel I-beams and concrete. It is engineered to deliver exceptional structural properties, boasting a strength-to-weight ratio that is up to 10 times greater than that of steel.
Beyond construction, prototypes are also being evaluated for lightweight vehicle interiors, aircraft cabin components, and furniture. The material is also being considered for use in sports equipment, athletic shoes, as well as in race cars, and even in laptops or smartphones.
Why is it better than current alternatives?
Superwood offers numerous advantages over traditional building materials like steel, concrete, and even other wood products:
- Superior Strength-to-Weight Ratio: 50% stronger than structural-grade steel on an equal cross-section basis.
- Enhanced Durability: It is highly resistant to rot, pests (like termites), and moisture intrusion. It’s also four times harder and more impact-resistant than many metals.
- Exceptional Fire Resistance: Superwood has achieved a Class A fire rating, making it highly suitable for construction in areas prone to fire hazards. Unlike steel, which loses structural integrity at high temperatures, wood can maintain strength until it burns completely, making Superwood buildings potentially safer for firefighters.
- Lower Carbon Footprint: The creation of Superwood generates 90% lower carbon emissions than steel production. It has the potential capacity to substitute 80% of the steel used globally.
- Sustainable Sourcing: It can be made from fast-growing and underutilized wood species, including what might otherwise be waste wood scraps, reducing reliance on old-growth lumber or endangered species.
When will it hit the market?
The commercial production of Superwood is expected to begin this summer, while initial shipments from InventWood’s first manufacturing facility in Frederick, Maryland, are expected in the third quarter of 2025. And while it is unlikely to show up in a store near you anytime soon, their goal is to scale from 1 million square feet of product to over 30 million in the not-too-distant future. So it may not be as long as you think before Superwood is at your favorite home improvement store.
Wrapping up, I think it’s important to highlight why on earth I wrote a weekly update on some special new wood. I know on its face, this story may not seem particularly relevant, but I promise, it is. Why? In a time when the news flow feels perpetually negative and the headlines take you to places you don’t want to go, these are the stories that are constantly overlooked. But these are the stories that we need. These are the stories that should give us confidence. Confidence that as a society, we are creative, ambitious, and hard-working. Confidence that we will continue to strive to achieve great things, no matter how difficult. And finally, it should give us confidence that the forces moving us forward are far greater than those moving us backward. Hopefully, you feel the same way. Be confident and stay optimistic.
Markets / Economy
- Markets were a bit more chaotic this week as the on-again, off-again tariff battle continued. The S&P finished the week down -0.3%, the Nasdaq was down -0.1%, and the small-cap Russell 2000 was down -0.6%.
- Initial jobless claims fell by 5,000 from the previous week to 227K in the first period of July. This was below market expectations of a 2,000 increase to 235K. It was the fourth consecutive decline in initial claims, bringing the count to its lowest level in seven weeks, and consolidating the view that the US labor market remains relatively robust.
Stocks
- U.S. equities were in negative territory. Financials and Communication Services led the decline, while Energy and Utilities outperformed. Value stocks led growth stocks, and small caps beat large caps.
- International equities closed lower for the week. Developed markets fared better than emerging markets.
Bonds
- The 10-year Treasury bond yield increased seven basis points to 4.42% during the week.
- Global bond markets were in negative territory this week.
- Government bonds led for the week, followed by high-yield bonds and corporate bonds.
