Australia office furniture market set to grow to $2.6 billion by 2034

By AI, Created 11:00 AM UTC, May 20, 2026, /AGP/ – Australia’s office furniture market was valued at $1.9 billion in 2025 and is projected to reach $2.6 billion by 2034, driven by hybrid work, ergonomic spending and sustainability rules. The market is also being reshaped by office leasing recovery, government policy shifts and a wave of AI-enabled furniture products.

Why it matters: - Australia’s office furniture market is moving toward steady long-term growth as employers redesign workplaces for hybrid work, wellness and sustainability. - The market’s expansion affects corporate fitouts, office leasing recovery and procurement decisions across public and private sectors. - Seating furniture accounts for about 44.3% of the market, making employee comfort and ergonomic demand a central growth engine.

What happened: - Australia’s office furniture market reached $1.9 billion in 2025. - The market is projected to reach $2.6 billion by 2034. - The forecast implies a compound annual growth rate of 3.21% from 2026 to 2034. - The report was published by IMARC Group on May 5, 2026.

The details: - Hybrid work is a major demand driver, with companies shifting from fixed workstations to modular, reconfigurable furniture. - The Victorian Government foreshadowed legislation giving employees a statutory right to work from home up to two days per week from September 2026, with small business implementation deferred to July 2027. - Corporate spending is rising on ergonomic task chairs, sit-stand desks and wellness-focused workspace design. - Sustainability has become a buying criterion as government procurement increasingly requires AFRDI-certified and circular-economy-compliant products. - The Australian Furniture Association reported 8.5 million tonnes of furniture waste annually, adding pressure for recovery, refurbishment and reuse programs. - The Fit For Office program is working on a furniture recovery ecosystem. - The Australian Government released its national circular economy framework in December 2024. - Australia’s online furniture channel is valued at about $4.85 billion and is reshaping distribution through direct-to-consumer and online-first sales models. - Office leasing demand surged across Sydney, Brisbane and Adelaide CBDs in 2025, fueling new corporate fitout activity. - The market includes product categories such as seating furniture and modular systems, with sales through direct sales, specialist stores, non-specialist stores, online and other channels. - The report also segments the market by material, price range and region across Australia Capital Territory and New South Wales, Victoria and Tasmania, Queensland, Northern Territory and Southern Australia, and Western Australia. - Key players listed in the report include Steelcase Inc. (HNI Corporation), Herman Miller (MillerKnoll), Haworth Inc., Kokuyo Co. Ltd., Schiavello Group, JasonL Office Furniture, Danny’s Desks & Chairs and Officeworks. - In August 2025, HNI Corporation finalized its $2.2 billion acquisition of Steelcase, creating a combined company with $5.8 billion in annual revenue. - In 2025, Kokuyo debuted the ingCloud chair at Orgatec Tokyo 2025 with an AI-powered 3D Ultra Auto Fit mechanism. - In 2025, Danny’s Desks & Chairs expanded its office furniture product range for remote and hybrid work demand.

Between the lines: - The market is being pulled in two directions at once: more flexible workplace layouts and more sophisticated furniture features. - AI, sensors and virtual showrooms are moving office furniture from a basic furnishing purchase toward a data-driven workplace tool. - Global consolidation is strengthening premium product portfolios, while online sales are lowering barriers for SME and home-office buyers. - Sustainability requirements are no longer a niche differentiator. They are becoming part of standard procurement.

What’s next: - Demand is likely to rise for modular systems, ergonomic seating, smart desks and furniture that supports activity-based working. - Procurement standards tied to circular economy rules should keep favoring recoverable, recycled and certified products. - Corporate fitouts in major CBDs are likely to keep supporting demand as leasing activity and workplace redesign continue. - AI-enabled seating, occupancy analytics and augmented reality buying tools are likely to expand further across the market.

The bottom line: - Australia’s office furniture market is growing, but the bigger shift is structural: hybrid work, sustainability and smart technology are redefining what businesses buy and why.