WhatWood announces publication of an annual analytic review “OSB Market in Russia in 2021 – 2022”

The Russian OSB market can still be called a developing one. This year marks the 10th anniversary of the emergence of domestic OSB production in Russia. Until 2012, when private Russian investors decided to create small production venues within the country, the domestic demand had been fully satisfied with supplies of OSB made abroad. In 2013 – 2016, key large-scale panel producers emerged, like Kronospan Group, NLK, Kalevala woodworking plant and STOD. As of 31.12.2021, these companies’ combined capacities account for 79% of the total output of production facilities located in Russia.

OSB production keeps growing in Russia. According to WhatWood estimates, in 2021, it grew by 268,000 m³, or +16% compared to 2020. Higher output volumes at Kronospan Yegoryevsk (+14%), Kronospan Ufa (+13%) and STOD (+12%), and also at low-capacity plants, contributed to that.

It should be noted that the competitive barrier threshold for new companies to enter the OSB market is low compared to other segments of wood-based panels production. The threshold of entering the market was relatively low due to available technologies and equipment from Russian and Chinese vendors, as well as their cheaper price. For instance, a trend was emerging to build low-capacity plants – such as Zhunda (Primorsky Region), DNS Les (Far East), Uralsky Zavod OSB (Perm Region), Reborn (Irkutsk Region), Les Khoroshiy (Tula Region) and Rozas (Perm Region). The history of the Russian OSB industry actually began in 2012 with a low-capacity plant (Hillman, Vladimir Region).

However, it was high-capacity Russian players that were able to compete with foreign producers successfully, developing sales all over the world. As a result, Russia became number two among global OSB exporters in 2021.

At that time, OSB export from Russia reached its peak, second only to volumes from Canada. Russian companies have been actively developing new markets and ramping up supply volumes to non-CIS countries over the past 5 years. In this period, CAGR was 70%. Import has been consistently reducing since 2013, which makes sense when capacity in the domestic market is growing. In 2021 alone, capacity building projects were implemented by Kronospan Group in Ufa (to 750,000 m³ per year), and production began at the new Murom plant in the Vladimir Region (230,000 m³ per year).

In 2021, the import was at a historic low. In fact, over the past 8 years, Russia has transformed from a net importer into a net exporter.

“Russian OSB Market in 2021-2022” annual analytical review includes:

• Analysis of the current situation in the Russian OSB market in 2021 and early 2022;
• Volume of output, export, import and installed capacity in Russia from 1997 to 2022;
• Analysis and forecast of construction industry development in Russia;
• OSB comparison to other types of wood-based panels;
• Financial indicators of Russia’s biggest producers;
• Companies’ shares by production output, capacities, sales and export;
• Structure of OSB export from Russia by countries and by each producer;
• Review and analysis of market prices for Russian OSB by specifications in the domestic and export markets (USA, China, Finland, Latvia, Poland);
• Review of new OSB-based products;
• List of biggest buyers of Russian OSB in export markets;
• Review of the global OSB market;
• List of announced, implemented and suspended investment projects on building OSB capacities in Russia, broken down by the current project status;
• Forecast of OSB import, export, production output and consumption in Russia: three scenarios until 2032, taking into account the new economic circumstances.

Click the link below to subscribe to the review: https://whatwood.ru/english/tovary/osb-market-in-russia/ or email us: zakaz@whatwood.ru