Is Mass Timber Positioned to Lead Future Sustainable Construction? A Review of Economic, Cost, and Market Dimensions

The construction sector contributes substantially to global greenhouse gas emissions, making material substitutions a key strategy for advancing sustainability transitions. Mass timber has emerged as a low-carbon alternative to mineral-based construction materials, offering biogenic carbon storage and compatibility with prefabricated and industrialized building systems. This study aims to systematically synthesize the economic, cost, and market evidence on mass timber construction by reviewing 143 peer-reviewed publications, with the objective of clarifying what is empirically known and where uncertainties remain. The reviewed literature reveals three core findings. First, economic outcomes are mixed: while several studies report regional value creation, supply-chain upgrading, and alignment with circular-economy principles, others highlight persistent constraints such as limited manufacturing capacity and uneven policy support. Second, construction cost findings vary substantially, ranging from cost parity or modest savings relative to conventional systems to premiums of approximately 10–15%, shaped by regional pricing, labor availability, transportation distance, regulatory conditions, and supply-chain maturity. Third, market-oriented studies consistently identify slow diffusion, limited practitioner experience, and risk-averse investment environments as key barriers to adoption. Overall, the review shows that economic performance is not yet consistently established and underscores the need for more standardized, context-sensitive, and methodologically consistent evaluation frameworks to support informed decision-making and the sustainable scaling of mass timber construction.