ABSTRACT
The Mexican forest sector faces overexploitation, illegal logging, deforestation, lack of government subsidies, and irregular agricultural growth, all of which reduces its competitiveness. This study analyzes the capacity of forestry businesses to adapt to environmental, economic, and social challenges in district VII of Tehuacán and Sierra Negra, in the state of Puebla. A mixed approach was used, with an exploratory scope and a cross-section design. In 2021, 16 timber producers (sawmills), 12 traders (timber companies), and 38 final consumers (construction companies-carpentries) were selected for convenience. A structured survey was applied with demographic data, environmental and sustainable management perceptions (the reference was the Sustainable Development Goals of the United Nations), organizational, legal, and socioeconomic data. Results showed that the most benefited agent during COVID-19 was the sawmill (44 %), which, together with the timber companies, are family businesses (75 % and 92 %, respectively). Respondents are willing to adapt to economic challenges, however, their ability to cope with environmental and economic development will be long-term. Sawmills try to protect and maintain forested areas but lack external support. In the social aspect, the participation of men prevails. The final consumer is more interested in wood price (58 %) than in its legal origin (42 %). Future research could increase the sample size, apply random sampling, and include other regions both within and outside Mexico. © 2022 by the Author(s).