This study presents opportunities for the utilization of timber by-products with defects for manufacturing engineered wood panels. Three gluing methods were proposed for this waste raw material derived from Scots pine (Pinus sylvestris L.) wood. The methods used for combining and gluing enabled a more complete and complex utilization of wood with defects. The physical properties (density and moisture content) and mechanical properties (bending strength and modulus of elasticity) of the laboratory-fabricated engineered wood panels were evaluated in accordance with the European standards. The highest density of 643 kg/m3 and bending strength values (28.6 N/mm2) were obtained from the panels manufactured using method 3 and veneered with beech veneer sheets. The modulus of elasticity of the laboratory-made engineered wood panels reached values of up to 5580 N/mm2. This study demonstrated the feasibility of the utilization of defective wood pieces in the manufacturing of engineered wood panels.