Abstract Fir sawdust was liquefied in phenol solvent under acidic catalyst at 135, 150 and 165 °C, respectively; after neutralization, bio-crude was obtained where contained oil-like liquid and tiny powder-like residue. The bio-crude was chemically modified with urea at high temperature (e. g. > 130 °C) to form carbamate so as to improve chemical reactivity of bio-crude in phenolic resin synthesis. The carbamate-containing bio-crude was condensed with paraformaldehyde into thermosetting phenolic resin. Finally, this biomass-derived phenolic resin matrixed silica fabric laminates were processed. The uncured and thermally cured bio-based resins were characterized by the techniques of Differential Scanning Calorimetry (DSC), Fourier Transform Infrared spectrum (FT-IR), rheology and Thermogravimetric Analysis (TGA), and the laminates’ structure and mechanical performances were studied using the methods of Scanning Electron Microscopy (SEM), three point bending mechanical test and Dynamic Mechanical Analysis (DMA). The results showed: (1) the chemical reactivity of bio-crude was highly improved by carbamation; (2) biomass-derived thermosetting phenolic resin was thermally curable at 150–250 °C (with two exothermic peaks at 185 °C and 220 °C); (3) the char yield was about 47 %, which was not in apparent relationship with sawdust liquefaction temperatures; (4) flexural strength of silica fabric laminates at room temperature was around 357 MPa (similar with that of conventional phenolic laminate); (5) glass transition temperature of silica fabric laminate was above 270 °C (much higher than Tg of conventional phenolic resin laminate, which is normally at 215 °C). The biomass-derived phenolic resin is expected to be widely used as cost-effective and environment-friendly thermosetting resin in the application of high-performance composites.