Composite wood, also called engineered wood, is made from a mixture of different materials including wood, plastic, and straw. The wood particles and fibers are combined with adhesives and compressed to create a strong and durable material. Composite wood is used in a variety of applications such as cabinets, furniture, sheathing, flooring, and siding, and is less expensive than hardwood. However, some companies avoid using composite wood due to concerns about its energy-intensive production process and potential harmful chemicals used in the mixture.