Simple fix suggestions needed for damaged plywood paneling

panelingrepair

In our laundry room a pet rabbit damaged the paneling in several places:

enter image description here

There are no replacement panels available that I could find. I don't want to tear out and replace all the walls.

Things I've considered:

  • adding wainscoting to cover the damage.

  • wall papering just the lower 3 feet (it would look like
    wainscoting)

  • painting over the lower 3 feet with light gray paint (it would look
    like wainscoting).

Any other ideas or suggestions?

[EDIT]
I liked the answers but I found a thick wall paper that looked like wainscotting and covered well. I think a get the best results with the least effort:

enter image description here

Time will tell if it lasts.

Best Answer

I don't think you really have plywood there. It looks like some OSB type mix with with a veneer - these were super popular in the 60s-80s. With the veneer off I am afraid that painting it or anything else is going to look bad and not last. Cardboard doesn't hold paint well.

Since it is a laundry I would go with wainscoting. They make some super durable ones now that are thin and are almost plastic like. You could glue these on, add a line of trim above them and the room will look better and be more durable.

I would also just think about drywalling the room too. If the rest of your house is drywall it might be an expectation if you were ever selling.