Global timber market review #21-2016

– In the first three quarters of 2016, log imports through Taicang Port, China, totalled 6.51 million m3 valued at $920 million, ITTO reported. Of the total, the value of log imports from Russia through Taicang Port soared over 300% to US$330 million (1.12 million m3). The main species imported were larch and fir.

– According to EUWID Paper, UPM will take 305,000 t of graphic paper capacity from the market by closing down two machines in Germany and Austria. This adds to the already announced closure of newsprint capacity in Schwedt, due in September 2017.

– News is emerging that timber harvesting will be affected by the massive earthquake in New Zealand, which struck on 13 November and caused extensive damage to the road network. Analysts are forecasting that logging across North Island will be affected for a month at least.

– Swedish sawmiller Södra has reported a strong sales trend for construction timber in its Swedish, UK and Dutch markets. The company said the increase should be viewed in light of the extremely high levels recorded in 2015.

– The Turkish government has opened an antidumping investigation into imports of unbleached kraftliner with basis weights of 175 g/m2 and below from Brazil, Finland, Poland and Russia, Fordaq reported. The country is considering to impose antidumping import duties.

– Japan’s degree of wood self-sufficiency in 2015 was 33.3%, 2.1 points up from 2014. This represents a five straight years improvement. Total wood demand in 2015 was 75.3 million m3, 0.7% less than in 2014, out of which domestic wood was 25.06 million m3 (+6%).

– Finnish CLT Plant Ltd is ready to start up a cross-laminated timber factory in Kauhajoki, as the company’s Board of Directors chairman Keijo Attic said. The total investment rose up to €11.8 million. Attic stated that the CLT demand in Finland already exceeds the supply and the construction projects have had to be postponed due to the poor availability of materials.

– The expansion of UPM Otepää plywood mill, started in the spring of 2015 along with the building of the new 18 MW bio-boiler plant, has been completed on November 11, 2016. The expansion increases the mill’s production capacity to 90,000 m3. The investments total to €40 million.

More detailed review of global market trends of roundwood, lumber, wood panels and pellets as well as news of the Russian timber industry; exclusive articles and interviews; over 25 pages of price charts are available in our digital Russian Timber Journal.