{"id":16403,"date":"2024-03-23T12:18:55","date_gmt":"2024-03-23T01:18:55","guid":{"rendered":"https:\/\/woodcentral.com.au\/?p=16403"},"modified":"2024-12-17T18:48:31","modified_gmt":"2024-12-17T08:48:31","slug":"china-pivots-from-log-exports-amid-global-scramble-for-wood","status":"publish","type":"post","link":"https:\/\/woodcentral.com.au\/china-pivots-from-log-exports-amid-global-scramble-for-wood\/","title":{"rendered":"China to Pivot from Log Exports Amid Global Scramble for Wood"},"content":{"rendered":"\n<p>Australia&#8217;s timber trade with China\u2014once worth $1.6 billion a year\u2014is slowly returning, with<a target=\"_blank\" href=\"https:\/\/www.lesprom.com\/en\/news\/After_years_of_ban_Australian_log_exports_to_China_back_on_track_112390\/#:~:text=Following%20a%20hiatus%2C%20Australia%20has,to%20China%20in%20early%202024.\" rel=\"noreferrer noopener\">&nbsp;Lesprom Analytics reporting that just under 70,000 cubic metres of logs left Australian ports last month.<\/a><\/p>\n\n\n\n<p>However, it is a steep decline from the pre-COVID peak,&nbsp;<a href=\"https:\/\/woodcentral.com.au\/australian-softwood-prices-drop-30-exporters-eye-china-trade\/\" target=\"_blank\" rel=\"noreferrer noopener\">with China taking 500,000 cubic metres of softwood (or 99% of total exports) in May 2019.<\/a><\/p>\n\n\n\n<p>It comes as China, in May 2023,&nbsp;<a target=\"_blank\" href=\"https:\/\/woodcentral.com.au\/china-ban-ends-australias-1-6b-timber-trade-resumes\/\" rel=\"noreferrer noopener\">resumed its trade with Australia after resolving concerns about bark beetle infestation&nbsp;<\/a>&#8211; which saw trade drop from 3.5 million cubic metres (per year) in the five years leading up to Covid to just 400,000 cubic metres in 2022.<\/p>\n\n\n\n<p>At the time, Joel Fitzgibbon, Australia&#8217;s former Agriculture and Forestry Minister and ex-CEO of the Australia Forest Products Association, said, &#8220;When the ban came into effect more than two years ago, it caused a great deal of upheaval and uncertainty for many timber exporters and the broader forest sector.&#8221;&nbsp;<\/p>\n\n\n\n<p>Whilst Port of Portland CEO Greg Burgoyne reported that the port, which exported 1 million tonnes of logs to China leading up to the bans, &#8220;were aiming to get back to that tonnage.\u201d<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"600\" height=\"497\" src=\"https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/image-32.png\" alt=\"image 32\" class=\"wp-image-16404\" srcset=\"https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/image-32.png 600w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/image-32-300x249.png 300w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/image-32-507x420.png 507w\" sizes=\"auto, (max-width: 600px) 100vw, 600px\" \/><figcaption class=\"wp-element-caption\">Australian Softwood Log Exports by Country January 2017 to May 2023 in cubic metres. (Source: ABS and IndustryEdge).<\/figcaption><\/figure>\n\n\n\n<p>Yesterday, Wood Central spoke to Rudolf van Rensburg, the co-author of China \u2013 Forest, Log &amp; Lumber Outlook,&#8221;&nbsp;<a href=\"https:\/\/woodcentral.com.au\/new-report-tackles-chinas-age-defining-timber-squeeze\/\" target=\"_blank\" rel=\"noreferrer noopener\">a 197-page report produced by Russ Taylor Global and Margules Groome Consulting<\/a>, who said it&#8217;s unlikely that the volume of Australian log exports will return to past levels, &#8220;once bitten and twice shy,&#8221; \u201caccording to our consultants in China.\u201d<\/p>\n\n\n\n<p>&#8220;It&#8217;s important to note that China is coming off a softwood lumber demand peak, pre-Covid, that will likely not be matched for a very long time,&#8221; Mr van Rensburg revealed to Wood Central ahead of the report release.<\/p>\n\n\n\n<p>&#8220;Instead, we expect that Chinese lumber exports will grow, offsetting the decline in log exports amid a ban on log exports from Ukraine and Russia, bark beetle infestations in Europe, and an anticipated slowdown in NZ harvesting.&#8221;<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"682\" src=\"https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-1024x682.jpg\" alt=\"shutterstock 2099721637 fotor 202403229213\" class=\"wp-image-16406\" srcset=\"https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-1024x682.jpg 1024w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-300x200.jpg 300w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-768x512.jpg 768w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-1536x1024.jpg 1536w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-2048x1365.jpg 2048w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-696x464.jpg 696w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-1068x712.jpg 1068w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-1920x1280.jpg 1920w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-630x420.jpg 630w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-1320x880.jpg 1320w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2024\/03\/shutterstock_2099721637-fotor-202403229213-600x400.jpg 600w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Piles of raw logs lined up Zhangjiagang in 2021 could be a thing of the past with China relying on lumber rather than log exports to drive its forest economy. (Photo Credit: <a href=\"https:\/\/www.shutterstock.com\/g\/ambient_pix\">ambient_pix<\/a> via Shutterstock Images)<\/figcaption><\/figure>\n\n\n\n<p>The report, the first of its type, accessed all areas of the Chinese wood and forest industry, including China&#8217;s extensive land and ocean port network, with &#8220;no area is off limits&#8221; according to Mr van Rensburg.<\/p>\n\n\n\n<p>&#8220;Our consultants have mapped China&#8217;s extensive industrial parks, which are grouped with logistics sites, production facilities and raw materials, together creating the world\u2019s more efficient industrial clusters,&#8221; which Mr van Rensburg said are &#8220;strategically located along China&#8217;s extensive port network.&#8221;<\/p>\n\n\n\n<p><a target=\"_blank\" href=\"https:\/\/woodcentral.com.au\/chinas-big-plans-for-hardwoods-what-it-means-to-timber-supply\/\" rel=\"noreferrer noopener\">Wood Central reported earlier this month that China is now addressing its &#8220;supply gap&#8221; in hardwoods<\/a>&nbsp;and, thanks to more than 40 years of policy development, is rapidly boosting plantation establishment to attain its long-term goal of &#8220;wood product self-sufficiency.&#8221;<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"791\" src=\"https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-1024x791.jpg\" alt=\"Under the China's Belt and Road project, more than 30% of the global supply chain of forest products will be directly impacted by Chinese industry - in the planting, production, manufacturing and distribution of products worldwide. (Photo Credit: Brookings Institute)\" class=\"wp-image-15662\" srcset=\"https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-1024x791.jpg 1024w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-300x232.jpg 300w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-768x593.jpg 768w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-1536x1187.jpg 1536w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-696x538.jpg 696w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-1068x825.jpg 1068w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-1920x1484.jpg 1920w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-544x420.jpg 544w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-1320x1020.jpg 1320w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312-600x464.jpg 600w, https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/10\/20190128_futuredevelopment_map1-1-fotor-2024030301312.jpg 1936w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Under China&#8217;s Belt and Road project, more than 30% of the global supply chain of forest products will be directly impacted by Chinese industry &#8211; in the planting, production, manufacturing and distribution of products worldwide. (Photo Credit: Brookings Institute)<\/figcaption><\/figure>\n\n\n\n<p>At the same time, it is investing in Oriented Strand Board (OSB) production. It aims to develop OSB&nbsp;<a target=\"_blank\" href=\"https:\/\/build.com.au\/oriented-strand-board-osb#:~:text=When%20made%20from%20timber%20scraps%20or%20recycled%20wood%2C,can%20be%20used%2C%20including%20pine%20and%20even%20bamboo.\" rel=\"noreferrer noopener\"><em>from timber scraps, recycled wood, and bamboo<\/em><\/a>&nbsp;to fuel development in the Global South along its extensive belt and road network.<\/p>\n\n\n\n<p>What opportunities exist for businesses to capitalise on China&#8217;s pivot from log to lumber imports? What opportunities exist for timber processors and manufacturers looking to enter the world&#8217;s most important forest market?<\/p>\n\n\n\n<p>&#8220;Well, I guess you&#8217;ll need to purchase the report,&#8221; Mr van Rensburg said.<\/p>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button is-style-outline is-style-outline--1\"><a class=\"wp-block-button__link wp-element-button\" href=\"http:\/\/margulesgroome.com\/publications\/new-report-china-to-be-short-on-softwoods-but-heavy-on-hardwood-supplies\/\">Download the Report<\/a><\/div>\n<\/div>\n\n\n\n<p>The report is now available for order for US $5,000.00, with report data tables additionally available for US $700,00. Corporate subscriptions and presentations are also available upon request. See the Margules Groome website for details.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Wood Central will have exclusive interviews with the report&#8217;s authors in the coming weeks, including behind-the-scenes video and audio.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Australia&#8217;s timber trade with China\u2014once worth $1.6 billion a year\u2014is slowly returning, with&nbsp;Lesprom Analytics reporting that just under 70,000 cubic metres of logs left Australian ports last month. However, it is a steep decline from the pre-COVID peak,&nbsp;with China taking 500,000 cubic metres of softwood (or 99% of total exports) in May 2019. It comes [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":16405,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wpscppro_dont_share_socialmedia":false,"_wpscppro_custom_social_share_image":0,"_facebook_share_type":"","_twitter_share_type":"","_linkedin_share_type":"","_pinterest_share_type":"","_linkedin_share_type_page":"","_instagram_share_type":"","_medium_share_type":"","_threads_share_type":"","_google_business_share_type":"","_selected_social_profile":[],"_wpsp_enable_custom_social_template":false,"_wpsp_social_scheduling":{"enabled":false,"datetime":null,"platforms":[],"status":"template_only","dateOption":"today","timeOption":"now","customDays":"","customHours":"","customDate":"","customTime":"","schedulingType":"absolute"},"_wpsp_active_default_template":true},"categories":[80,51,52,50,53,32,46],"tags":[],"ppma_author":[70],"class_list":{"0":"post-16403","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-africa","8":"category-americas","9":"category-asia","10":"category-australia","11":"category-europe","12":"category-global-news","13":"category-industry"},"authors":[{"term_id":70,"user_id":2,"is_guest":0,"slug":"jason","display_name":"Jason Ross","avatar_url":{"url":"https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/01\/J-Ross-headshot.jpeg","url2x":"https:\/\/woodcentral.com.au\/wp-content\/uploads\/2023\/01\/J-Ross-headshot.jpeg"},"0":null,"1":"","2":"","3":"","4":"","5":"","6":"","7":"","8":""}],"_links":{"self":[{"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/posts\/16403","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/comments?post=16403"}],"version-history":[{"count":5,"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/posts\/16403\/revisions"}],"predecessor-version":[{"id":16432,"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/posts\/16403\/revisions\/16432"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/media\/16405"}],"wp:attachment":[{"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/media?parent=16403"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/categories?post=16403"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/tags?post=16403"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/woodcentral.com.au\/wp-json\/wp\/v2\/ppma_author?post=16403"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}