European Organization of the Sawmill Industry (EOS) anticipates double-digit production losses

The situation of the European sawmill industry was analyzed by its representatives on June 10 during the first online general meeting of the European Organization of the Sawmill Industry (EOS). The effects of the coronavirus pandemic obviously determined the talks and are sometimes very different, EOS reports.

While the industry experienced encouraging demand from the construction industry and markets as well as from the packaging sector in most countries, an annual production decline of 10% can still be expected. In addition, the industry had previously been able to benefit from the implementation of buildings that had already been approved, which would no longer be significant in the event of a renewed wave of infections. Obviously, softwood sawmills mainly benefited from the construction industry, while hardwood sawmills had to struggle due to the affected furniture industry. It was also agreed that the sawmill by-product market is weakening.

Northern Europe has been less affected in recent weeks than the south, whose sawmills are still in a recovery phase and are largely not yet fully operational. The markets in Asia and the USA were more stable than initially feared, but are also difficult to reach due to logistical stagnation.

The annual report, which will only appear in October 2020 for precisely this reason, will describe in detail how the situation will develop.

However, one thing is already certain: From 2022, the harmonized system will be expanded to include codes for timber construction products such as glulam and glulam, as announced at the meeting.