Design thinking (DT) is the application of design practice as an approach to innovate and initiate change. Recently, DT has received increasing attention as an approach to address sustainability challenges. However, this area is less studied. The purpose of this study was to explore how DT could enable small and medium-sized enterprises (SMEs) in the Swedish wood products industry to create more sustainable offers. Various actors from this industry have identified the need to develop sustainable offers, although few discuss how this is realized. Interviews have been conducted with six SMEs to increase understanding on challenges they perceive with developing sustainable products. Current practice is compared to potential benefits of DT described in literature. Three main benefits of DT for SMEs have been identified. It could enable SMEs [1] to redefine the purpose of their offers, [2] to better address needs and [3] to address conflicting requirements regarding sustainability.