Plywood is basically made from the veneer of a tree. There are two kinds of woods in nature. One is the soft wood and the other one is hard wood. Plywood is made from these two kinds of woods. Manufacturing of plywood has different process.
Wood is cut into logs
Outer layer of the wood is removed
Inner core is removed from the log
A thin layer of veneer is cut into sheet from the log using machines
Many such sheets are cut from the log
Layer of glue is added between two veneer sheets and many more
Then it is hot pressed
Finally sheet size of 8*4 is cut, calibrated and supplied.
This process is carried on for both softwoods and hardwoods. Depending on the strength of the wood, glue thickness and quality the plywood is graded. The plywood is primarily graded as commercial, MR (Moisture Resistant), BWR (Boiling Water Resistant), BWP (Boiling Water Proof). The strength and durability of the plywood determines the category it fits in.