Wood Resources International (WRQ) in its latest report reports significant growth in global sawn softwood trade during 2016. Trade volumes have grown 66% since the global financial crisis in 2009, mainly driven by China. Meanwhile, sawnwood prices have dropped significantly over this period, the WRQ report notes.
The weakness of the Russian ruble has boosted sawnwood exports from the country. In 2016, the supply of sawnwood from Russia registered a 10% increase, and over the past three years, exports have grown by a quarter. During this period, the production of lumber in Russia has managed to expand the range of products from softwood and switch to modern technologies and equipment for processing, ensuring high quality lumber and favorable conditions for clients abroad and in the domestic market.
Over 50% of Russian sawnwood exports over the three-year period went to China. In 2016, China and Japan were the key destinations for Russian exports. China has shown huge demand for timber, contrary to forecasts. The country's sawnwood imports hit a record high in 2016. Timber demand in Japan rose 3.6% growth in 2016, to its highest level in three years. The share of shipments from North America decreased from 39% in 2015 to 35% in 2016. At the same time, the share of imports in the Japanese market from Russia and the Nordic countries increased from 39% to 42% during the year.
