The diethyl ether extract obtained from solvent-solvent extraction of Norway spruce (Picea abies) debarking water, a byproduct from debarking of logs in the pulp and paper industry, was tested for inhibition of growth on agar plates of nine species of wood-decaying fungi: Antrodia sinuosa, Antrodia xantha, Coniophora puteana, Fomitopsis pinicola, Gloeophyllum sepiarium, Heterobasidion parviporum, Phlebiopsis gigantea, Serpula himantioides, and Serpula lacrymans. One fraction of the extract showed excellent antifungal activity for a majority of the species, with complete inhibition of growth for A. sinuosa, A. xantha, and G. sepiarium. The major constituents of the most active fraction were identified as the hydroxystilbenes resveratrol, isorhapontigenin (synonymous with methyl piceatannol), and piceatannol (synonymous with astringenin). The active compounds were isolated or synthesized and used individually for dose-response studies. It was found that isorhapontigenin and piceatannol inhibited all growth of A. sinuosa, A. xantha, and G. sepiarium in 0.35 % weight concentration. The hydroxystilbenes were the three most abundant substances in the debarking water and can be obtained as a mixture or in enriched forms. From some extraction steps of the raw debarking water, it would be possible to obtain the hydroxystilbenes in quantities that might be of commercial interest as efficient natural fungicides.