US Dollar Exchange Rates of
25th
Aug
2023
China Yuan 7.28
Report from China
Rise in
sawnwood imports
According to data from China Customs, in the first half of
2023 sawnwood imports totalled 14.31 million cubic
metres valued at US$3.659 billion, up 10% year on year in
volume but down 5% in value. The average CIF price for
imported sawnwood declined 13% to US$256 per cubic
metre over the same period of 2022.
Of total sawnwood imports sawn softwood imports rose
22% to 9.47 million cubic metres, accounting for 66% of
the national total and up 3% over the same period of 2022.
The average CIF price for sawn softwood imports fell 17%
to US$203 per cubic metre over the same period of 2022.
Sawn hardwood imports grew 2% to 4.84 million cubic
metres. The average CIF price for sawn hardwood imports
fell 6% to US$358 per cubic metre over the same period of
2022.
Of total sawn hardwood imports tropical sawn hardwood
imports were 3.26 million cubic metres valued at US$948
million, up 3% in volume but down 1% in value and
accounted for about 23% of the national total. The average
CIF price for tropical sawn hardwood declined 4% to
US$291 per cubic metre over the same period of 2022.
Rise in sawnwood imports for
almost all top suppliers
The total volume of China’s sawnwood imports rose 10%
because the volumes of imports from Russia and Thailand,
the largest and the second largest suppliers, grew 6% and
3% respectively. These two suppliers accounted for nearly
60% of the total sawnwood imports in the first half of
2023.
Notably, China’s sawnwood imports
from Sweden,
Germany and Belarus surged 86%, 61% and 84%
respectively in the first half of 2023. However, the volume
of sawnwood imports from Gabon fell 14% in the first half
of 2023.
The following are three main
reasons for the increase in
China’s sawnwood imports in the first half of 2023.
government policy to revitalize and accelerate the
real estate market
government polices to promote domestic
consumption
increased production supply countries, smooth
international shipping and competitive prices
Decline in sawnwood CIF prices
CIF prices for sawnwood imports from Russia and
Thailand, the largest and second largest suppliers, fell 11%
and 3% respectively in the first half of this year. Other
countries where price declines were observed are shown in
the table below.
Surge in sawn softwood imports
from Canada
In the first half of 2023 China’s sawn softwood imports
totalled 9.47 million cubic metres and the reason for the
rise in sawnwood imports was increased imports from the
top suppliers. Russia was the top sawn softwood supplier
to China in the first half of 2023 and 62% of China’s sawn
softwood was imported from Russia. Year on year sawn
softwood imports from Russia rose 7% to 5.9 million
cubic metres.
Canada was the second largest sawn softwood supplier to
China and the volme of imports in the first half of 2023
surged nearly 200%.
China’s sawn softwood imports from Sweden, Germany
and Belarus all increased in the first half of 2023.
Rise in tropical sawn
hardwood imports
Of total sawn hardwood imports tropical sawn hardwood
imports were 3.26 million cubic metres valued at US$948
million, up 3% in volume but down 1% in value and
accounted for about 23% of the national total in the first
half of 2023.
Thailand has been the largest supplier of tropical sawn
hardwood (predominantly rubberwood) to China for many
years.
China’s sawnwood imports from Thailand in the first half
of 2023 rose 3% to 2.07 million cubic metres valued at
US$504 million, up 1% in volume over the same period of
2022 and accounted for 64% of the national total sawn
tropical hardwood imports. The average CIF price for
tropical sawnwood from Thailand fell 3% to US$243 per
cubic metre over the same period of 2022.
The Philippines and Gabon were the second and third
largest suppliers of tropical sawnwood imports accounting
for 11% and 8% of the total tropical sawnwood imports
respectively in the first half of 2023.
China’s tropical sawn hardwood imports from the
Philippines and Gabon in the first half 2023 totalled
363,000 cubic metres (up 14%) and 258,000 cubic metres,
(down 14%) over the same period of 2022.
The top 10 countries supplied 96% of China’s tropical
sawnwood requirements in the first half of 2023, namely
Thailand, the Philippines, Gabon, Myanmar, Cameroon,
Vietnam, Indonesia, Malaysia, PNG and Laos.
CIF prices for tropical sawn hardwood imports have been
but prices for sawn tropical hardwood imports from
Myanmar and Indonesia surged 88% and 58% respectively
in the first half of 2023.
 
Signs of recovery in wood products markets
The GTI report says in July this year the timber and wood
products market in China saw some recovery however, the
Global Timber Index GTI- China remained at a low level.
The number of new orders to Chinese enterprises
represented in the GTI increased compared to the previous
month but the export order index fell slightly.
In July the GTI-China index recorded 53%, an increase
compared to that of the previous month and rose above the
critical value after 2 months indicating that there was some
business expansion.
Chinese enterprises reported difficulty in procuring high-
grade oak, increased raw material prices and higher
company costs and unpredictable delivery and shipping
schedules.
The existing orders index in July registered 42.9%, a
decrease from the previous month and was below the
critical value for 50 consecutive months indicating that the
number of existing orders held by enterprises represented
by the GTI-China Index were less than that of the previous
month.
The new orders index registered 57.1%, an increase from
the previous month and was above the critical value of 50.
On the other hand, the export orders index for July
registered 36.4%, the same as the previous month and was
below the critical value for 4 consecutive months.
See:
https://www.itto-ggsc.org/static/upload/file/20230816/1692147989860563.pdf
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