Residual lignocellulosic biomass represents a major resource to be incorporated into the circular economy, with up to 1400 Mt/y in EU27. Due to its complex composition of three biopolymers (cellulose, hemicellulose and lignin) combined with its seasonal and regional variability and high water content, its valorization involves manifold challenging aspects. Herein a three-step procedure is presented to transform this type of biomass into solid composite panels: hydrothermal carbonization (HTC), dry thermal treatment and curing a phenolic resin. HTC triggers chemical dehydration of the polysaccharide part of the lignocellulose and breaks up the cell structure of the plants. This facilitates the diffusion of the water and its separation by filtration, which is more energy efficient than evaporation. HTC and thermal treatment induce chemical changes that concentrate the carbon content and make the material suitable for crosslinking with a phenolic resin, achieving a 90% renewable content. The composite panels are competitive with products of the particle and fiberboard sector with respect to tensile strength and screw withdrawal resistance. Hence, the products can be employed for construction or in the furniture industry.