Get Your Quotation

  Home:  Global Wood   Industry News & Markets

China Wood Products Prices

01-15th July 2011


US Dollar Exchange Rates of  13th July 2011
China Yuan 6.
4956

Report from China 


  Output of secondary and tertiary timber sectors
increasing

In 2010 the total value of output of the forestry sector in
China exceeded RMB 2 trillion Yuan for the first time, up
30% from the previous year.

In terms of industrial structure, the value of output of the
primary industries was RMB 889.52 billion Yuan, or 39%
of the total, up 23.1% from 2009. The value of output by
the secondary industries was RMB 1,187.695 billion
Yuan, (52% of the total and up 36%) while the value of
output from the tertiary sector was RMB 20.1 billion Yuan
(9% of the total, up 29%).

The ratio of the three industries changed over the past 12
months from 52 : 41 : 7 to 39 :52 : 9, the share of the
secondary and tertiary industrial sectors is gradually
increasing.

Log production in 2010
In 2010, China¡¯s log output was 80.9 mil cubic metres, up
14.5% from 2009. Of the total some 5.7 mil. cubic metres
were logs from tropical forests in China.

Of the total output, industrial log production was 75.1 mil.
cubic metres (of which, softwood logs amounted to 15.3
mil. cubic metres, up 16% from last year. Fuelwood
production was reportedly 5.8 mil. cubic metres up 3% on
2009 levels.

The reported output of bamboo was 935 million pieces in
2010, up 5% from 2009. China¡¯s sawnwood output in
2010 was 37.2 mil. cubic metres, up 15% over the
previous year

Output of plywood jumps sixty percent
China¡¯s output of wood-based panel reached 153.6 mil.
cubic metres in 2010, up 33% from 2009. Of the total, the
output of plywood was 71.4 mil. cubic metres, up 60% and
accounting for 46% of total output of wood-based panel.

The output of fibreboard amounted to 43.6 mil. cubic
metres (of which MDF was 38.9 mil. cubic metres), up
25%. The output of particleboard reached 12.6 mil. cubic
metres a drop of 12% compared to levels in 2009.

Output of other panel products was 26 mil. cubic metres,
of which blockboard was 16.5 mil. cubic metres, up 20%.

Zhejiang is top flooring producer in 2010
Wood flooring production in 2010 totaled 479 mil. sq.m in
2010, up 27% from 2009. Of the total, the output of solid
wood flooring was 112 mil. sq.m, or 23% of the total;
composite wood flooring output was 268 mil. sq.m, or
56% of the total while other flooring totalled 59.8 mil.
sq.m, of which bamboo flooring was 39.4 mil. sq.m..

Zhejiang Province was the most important producer of
flooring and output in 2010 was 80.1 mil. sq.m.

Problems limiting growth of door manufacturing enterprises
The Chinese Association of Metal Structures for Buildings
and the Chinese Association of Building Material for
Decoration jointly issued a report entitled ¡°Research
Report on Development of the Door Industry in China¡±.

The report says that value of door output in China
amounted to RMB 189.1 bil. Yuan in 2010 and that the
value of output in 2011 is expected to exceed 200 bil.
Yuan.

Over the past thirty years the output of the door industry in
China grew at an annual rate of 24%. At the same time,
the number of door producers gradually increased.

By the end of 2010, there were more than 11,000 door
enterprises in China, of which, nearly 4,500 enterprises
had an annual production value of over RMB 10 million
Yuan. The number of employees in this industry reached
8.92 million in 2010.

The report also indicates that there remain so serious
problems in the sector which is limiting the growth of the
enterprises. These problems include a lack of brand
development, highly variable quality and weak
development of designs.

As competition in the sector increases and as consumers
begin to become more conscious of branding, enterprises
will pay more and more attention to brand building.

Jiangsu log imports jump over 25%
According to statistics from Nanjing Custom, a total of 2.9
million cubic metres of logs valued at US$ 570 million
were imported through Jiangsu Province from January to
March this year. This represents a 26% increase in volume
and a 23% increase in value over levels in the same period
last year.

In terms of species, imports of Radiata pine were the
largest at 561,700 cubic metres, up 88% from the same
period in 2010, Imports of white pine, spruce and fir
totalled 280,500 cubic metres, up 21%, while Larch
imports topped 146,000 cubic metres (up 22%) and
Okoume log imports jumped 28% in the first quarter of the
year to 109,400 cubic metres.

At the same time, imports of Hemlock and Douglas fir
logs also increased sharply to 37,.500 cubic metres, up
841%. Imports of Korean pine and Scots pine fell
dramatically to only 758 cubic metres, down 93%.

In addition, small volumes of other logs were imported
such as Merbau, 7,929 cubic metres, Kapur, 1,774 cubic
metres, Oak, 531 cubic metres and Ash, 500 cubic metres.

Guangxi to be largest log producer during period of
12th Five- Year Plan

According to the proposed timber cutting quotas for the
12th Five-Year Plan some 3.6 million cubic metres will
come from Guangxi province, elevating the province in
the list of log producers.

It is reported that the forest coverage of Guangxi is now 58
percent placing it fourth ranked in China. The forest
growing stock now exceeds 600 million cubic metres
putting the province in sixth place nationally.

Guangxi has the largest area of fast growing and high
yield plantations in the country and the value of output of
the forestry sector increased from RMB 29.34 billion
Yuan in 2005 to 120 billion Yuan in 2010.

During the period of Twelfth Five-year Plan, timber
cutting quotas of Guangxi, Fujian, Guangdong and Jiangxi
provinces are 20 to 30 million cubic metres each. The
cutting quotas for North Eastern China were reduced
significantly due to concerns for environmental
conservation.

Domestic continuous flat press successfully developed
China Foma (Group) Co. Ltd (LFMC) has successfully
developed a large scale of continuous flat press and this
was achieved through cooperation with other private
sector companies and the Chinese Academy of Forestry.

It is said that this press has passed its technical appraisal
and the developer has applied for 1 European patent and 6
Chinese patents. Trial manufacture of a prototype plant
with a production capacity of 150,000 cubic metres/year
has been finished. It is reported that an excellent rate of
production was achieved and that production efficiency
improved significantly.

Analysts say that more than 1000 large and medium-sized
wood-based panel enterprises need to be upgraded in
China.

Experts forecast that the production opportunities with the
continuous flat press are huge and that plants of this type
could account for 50 percent of total production capacity
of wood-based panel in China in next few years.
According to conservative estimates, China needs to build
over 150 continuous flat press production lines by 2015.

¡¡

 Related News:

Abbreviations

LM        Loyale Merchant, a grade of log parcel  Cu.m         Cubic Metre
QS         Qualite Superieure    Koku         0.278 Cu.m or 120BF
CI          Choix Industriel                                                       FFR            French Franc
CE         Choix Economique                                                        SQ              Sawmill Quality
CS         Choix Supplimentaire      SSQ            Select Sawmill Quality
FOB      Free-on-Board     FAS            Sawnwood Grade First and
KD        Kiln Dry                               Second 
AD        Air Dry        WBP           Water and Boil Proof
Boule    A Log Sawn Through and Through MR              Moisture Resistant
              the boards from one log are bundled                      pc         per piece      
              together                      ea                each      
BB/CC  Grade B faced and Grade C backed MBF           1000 Board Feet          
              Plywood   MDF           Medium Density Fibreboard
BF         Board Foot F.CFA         CFA Franc        
Sq.Ft     Square Foot               Price has moved up or down

Source: ITTO'  Tropical Timber Market Report

CopyRight (C) Global Wood Trade Network. All rights reserved.

¡¡