An environmentally friendly liquefaction of wood powder was prepared by atmospheric pressure liquefaction technology to replace the non-renewable petroleum polyols in the preparation of polyurethane foam composites. The liquefaction time varied from 0 min to 140 min. The composition of liquefied products and the effects of liquefaction time on the morphology, apparent density and mechanical properties of polyurethane foam composites were investigated. The results showed that the optimal process time for the preparation of wood powder liquefaction products, which could replace traditional petroleum polyols, was 110 min. At this time, polyether polyols are the main liquefaction products, with an average molecular weight in Mn reaching 237 and average molecular weight in Mw reaching 246. The functional group of the liquefied product consisted mainly of hydroxyl, with the highest content of 1042 mg KOH/g and the lowest acid number of 1.6 mg KOH/g. In addition, the surface of the polyurethane foam based on poplar wood is dominated by closed cell foam; thus its foam has good heat insulation and heat preservation properties. At 110 min liquefaction time, the apparent density of polyurethane foam is 0.164 g/cm3 and the compression strength is 850 kPa, which is higher than that of traditional polyurethane foam (768 kPa), which is without wood powder modification. Replacing petroleum polyol with renewable wood powder liquefaction products to prepare biomass-based polyurethane foam composite materials, researching complex chemical changes in different liquefaction stages, and finding the best liquefaction conditions are of great significance to optimize the performance of polyurethane, address the shortage of resources and reduce environmental pollution.