PURPOSE: To provide the titled resin which has an increased adherability to a felt substrate and gives a felt having improved tensile strength and good nerve, by adding glycerol or polyethylene glycol having lubricity to a phenolic resin.

CONSTITUTION: A phenol is reacted with an aldehyde in the presence of a catalyst to obtain a phenolic resin. 0.1W5pts.wt., pref. 0.3W1.5pts.wt. at least one member selected from glycerol, polyethylene glycol and glycols is added to 100pts.wt. said phenolic resin to obtain a phenolic resin suitable for use as a binder for felt used as an interior finish material for automobile.