Compression wood is undoubtedly one of the most important raw material variables in wood based panel manufacturing. This study evaluated effect of compression wood on some physical and mechanical properties of medium density fiberboards (MDF) manufactured from furnishes of pine (Pinus nigra Arnold var. pallasiana) containing compression wood. Two panel types were manufactured from two different compression wood (CW) portion / normal wood (NW) portion of the furnish, 75/25 and 10/90, respectively. The panels were tested for mechanical strength and dimensional stability properties according to the procedures defined by European Norm. Panel properties made from furnish containing 75 % the CW and 25 % NW were inferior to panels made from containing 10 % the CW and 90 % NW. The value of thickness swell, water absorption. modulus of elasticity, modulus of rupture, and internal bond of panels made from furnish containing 75 % the CW and 25 % NW were 6.07 %, 15.21 %, 37.67 N/mm(2), 3070.74 N/mm(2), and 0.57 N/mm(2), respectively. Based on the findings in this study, we concluded that mechanical strengths and dimensional stability of MDF made from furnish containing 75 % CW are lower comparing to 10 % CW.