Cascading wood utilization is critical to fulfilling a circular economy frame in the wood industry. The work's aim was to apply wood dust from plywood production to the production of innovative bio-based thermal insulation panels. Trametes hirsute fungus was used as a composite binder, and then a composite structure and thermal insulation properties, water absorbability, and strength properties of the composite were analyzed. A process of composites with a high thermal conductivity parameter (lambda 0,048 W/mK) was described. Post-production dust can be a promising material for fungi composite because of mechanically implemented cracks in dust particles, which can be easily penetrated by hyphae, increasing the strength properties of the composite.

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