China¡¯s Timber Imports affected by COVID-19

author:RIFPI

Orders from international markets declined sharply due to COVID-19. As a consequence, China’s demand for imported timber is expected to drop by 10%-20%.

Timber supply from the USA, Canada, Germany, Finland, Sweden and Belarus has not been disrupted. The trade with New Zealand is still facing challenges. Russia closed its borders on 30 March 2020 but is still allowing goods to be transported to China. Overall, transportation costs for imported timber increased due to COVID-19.    

It will take time for domestic demand for timber products to return to normal levels. Furniture factories are receiving fewer orders, although construction firms have resumed operations. Current stocks of imported timber in China are expected to last at least two months. Consequently, there will be less demand for imported timber in the short term. In the long term, an increase in demand will depend on the economic situation in China and the global context. 

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