{"id":17513,"date":"2024-05-09T07:34:42","date_gmt":"2024-05-08T21:34:42","guid":{"rendered":"https:\/\/woodcentral.com.au\/?p=17513"},"modified":"2024-10-21T20:19:28","modified_gmt":"2024-10-21T10:19:28","slug":"trade-war-america-relies-on-vietnam-and-china-for-plywood","status":"publish","type":"post","link":"https:\/\/woodcentral.com.au\/trade-war-america-relies-on-vietnam-and-china-for-plywood\/","title":{"rendered":"Trade War: America Relies on Vietnam (and China) for Plywood"},"content":{"rendered":"\n

The United States is leaning on Vietnam (and Chinese traders using Vietnamese seaports) for plywood, with imports tripling from 82,000 cubic metres to more than 242,000 cubic metres for the first quarter.<\/p>\n\n\n\n

That is according to new data produced by the US Department of Agriculture, which reports that Vietnam has surged past Brazil, Indonesia, and Chile to become the number one market for the US building and construction industry\u2014still viewed as the world’s safest timber market.<\/a><\/p>\n\n\n\n

It comes amid a surge in plywood entering US ports\u2014with the authorities reporting a 45% uptake, from 777,500 to 1,130,700 cubic metres flooding West Coast terminals \u2014thanks to the explosion of Vietnamese imports.<\/p>\n\n\n\n

Wood Central understands that the vast majority of imports are made up of birch plywood (77% or 187,000 cubic metres), with Brazil (191,000 cubic metres), Indonesia (140,000 cubic metres), Chile (119,000 cubic metres) and Canada (114,000 cubic metres) responsible for the balance.<\/p>\n\n\n\n

\"Vietnam
Vietnam has emerged as one of the world’s most important plywood markets, fuelling a surge in secondary processed wood products. In Khe Lua, a Vietnamese village, a factory produces elephant earboards that will be sold to China as plywood. (Photo Credit: Hemis \/ Alamy Stock Photo)\n<\/figcaption><\/figure>\n\n\n\n

The new data comes from the US Department of Commerce, which issued a ruling<\/a> last year finding that a large portion of hardwood plywood products entering the US came from China\u2014circumventing federal antidumping laws.<\/p>\n\n\n\n

As a result, the US Government introduced new tariffs on plywood entering supply chains – a step welcomed by the National President of the Coalition for Fair Trade of Hardwood Plywood, Keith Christman:<\/p>\n\n\n\n

“The Commerce Department’s action addresses our concerns about minimal processing changes used to circumvent trade regulations. It’s vital for protecting US industries and jobs.”<\/p>\n\n\n\n

According to US Senator Shelly Moore Capito, the tariffs – which contributed to an 85% increase in import prices – are essential in protecting jobs across the country, especially in West Virginia.<\/p>\n\n\n\n

“This ruling is a major victory for our manufacturers and workforce in the hardwood plywood and veneer industry,” Senator Capito said, adding:<\/p>\n\n\n\n

“I will always support our manufacturers in West Virginia and fight to ensure China’s misleading economic practices do not improperly disadvantage them.”<\/p>\n\n\n\n

\"China
China is already the producer of 71% of the world’s plywood – and operates thousands of mega-sized plywood plants, including Fujian Shenjian Bamboo and Wood Co., Ltd., located in the province of Fujian in China. (Photo Credit: Supplied) <\/figcaption><\/figure>\n\n\n\n

In March,<\/a> Wood Central reported that China is now the global engine room for plywood production, with Chinese-controlled interests diversifying into Malaysia, Indonesia and Vietnam.<\/p>\n\n\n\n

This consolidation follows a rapid transformation, with Sheam Satkuru, the executive director of the International Tropical Timber Organisation, reporting that “tropical hardwood production has undergone major location changes, from Japan and Indonesia to Malaysia (until the early 2000s) and then to China, India and, to a lesser extent, Vietnam.<\/p>\n\n\n\n

The surge in Vietnamese (and Chinese plywood) comes after the US shut off the tap on Russian plywood,<\/a> with imports sinking for a third straight month year over year.<\/p>\n\n\n\n