The study was conducted to examine the four historical developmental phases of wood-based industries in the State of Pahang, Peninsular Malaysia since 1900. In early stage of the development, unprocessed logs and railway sleepers were dominant wood exported materials. The British consumed most of the materials for the railway construction and supporting the military activities in their colonies. The change of international trade after the Pacific War (1941-1945) accelerated the high demand of tropical wood in industrial countries such as Japan. Consequently, it encouraged the increasing wood production in the Pahang state from mid 1950s to 1960s. After independence (1957) the governmental policy on wood production activities encouraged the conversion of timber to high technological capabilities and the diversification of the industries. From 1960s to 1990s, the log flow from the state alienated forestland conversion from various federal government agricultural schemes led to the rapid wood industrial development in the Pahang state and the other wood producing states. By the end of 1990s, the Pahang operating wood-based industries recorded the highest number in Peninsular Malaysia. Up to present, the Pahang state still continues to depend on the wood products as the dominant source of the state revenue and major productive sector in the national economy.