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In 2018, overseas supply of softwood lumber to the US reached a 11-year high
Hakan Ekstrom
With forest product imports from the US deteriorating and American wood product exporters losing market shares in the Chinese market, imports from other countries, including Canada and Russia, have fallen less or even expanded the past year.
Hakan Ekstrom
With the tight wood fiber supply in the US South, wood chip and pulplog prices in the 1Q/19 reached their highest levels in almost seven years in both in the South Central and Southeastern states.
Hakan Ekstrom
Demand for imported pellets in Japan and South Korea continued a three-year growth trend to reach record highs in the 4Q/18.
Hakan Ekstrom
In late 2018, gross margins for sawmills in North America fell while they were fairly stable in Europe and Russia.
Hakan Ekstrom
Pulpmills in some of the major hardwood pulp-producing regions in the world, including China, Finland, Indonesia and Spain, have seen their fiber costs go up between 10-30% the past two years.
Håkan Ekström
New Zealand has increased its market share from 30% to 44% of the total softwood log imports to China in just three years. While Canada and Russia have reduced log shipments the past few years, other smaller log suppliers including Japan, Poland, Chile and South Africa have expanded shipments.
Hakan Ekstrom
US lumber prices have gone through a historical roller-coaster ride over the past 12 months, falling 33% from June 2018 to January 2018.
Hakan Ekstrom
The limited price improvements over the past few years, oversupply of pine pulplogs, and potentially more attractive land-use alternatives in the agricultural sector, have led some landowners in Brazil to choose to plant agricultural crops rather than trees
Hakan Ekstrom
A gloomier outlook by Chinese consumers and a shortage of credits for many provincial governments and state-run firms have contributed to reduced demand for forest products
Hakan Ekstrom
Shipments of hardwood chips from Australia, the second largest chip supplier to China, have also increased over the past year but at a much more modest pace than shipments from Vietnam.
Hakan Ekstrom
Wood chip prices in western Canada and western US have gone up 25% from 3Q/17 to 3Q/18, the biggest in crease in North America.
Hakan Ekstrom
The timber harvests on public lands in British Columbia are set to decline over the next decade and uncertainty surrounds log availability in the eastern provinces.
Håkan Ekström
Sawlog prices in Russia and Eastern Europe have fallen in 2018 following a year of increases.
Håkan Ekström
The Global Softwood Fiber Price Index fell in the 2Q/18 but was still almost 8% higher the in the 2Q/17.
Hakan Ekstrom
Chinese importers have gradually shifted their historical preference for logs away from the Russian Federation towards New Zealand and instead are importing softwood lumber from their forest-rich neighbor in the north.
Håkan Ekström
• Softwood lumber prices were substantially higher in North America, Europe and China in the 2Q/18 as compared to the same quarter in 2017.
Hakan Ekstrom
Gross margins for sawmills in the Nordic countries were close to the highest they have been in over four years in the 2Q/18, while they reached levels not seen in more than a decade in other parts of Europe
Håkan Ekström
Softwood and hardwood log imports to Sweden up 25% and 70%, respectively in early 2018 as compared to early 2017.
Hakan Ekstrom
The US Pellet Feedstock Price Index fell 3.0% from 1Q/17 to 1Q/18 because of lower usage of costly roundwood
Hakan Ekstrom
The Global Hardwood Fiber Price Index reached the highest level in three years in the 1Q/18
Hakan Ekstrom
It is expected that US softwood lumber supply sources will shift to meet future increase in US lumber demand. Factors influencing these shifts include changes in availability of timber supply, prices of sawlogs, competitiveness of lumber producers, exchange rates and developments in alternative markets for lumber producers in Canada and overseas.
Hakan Ekstrom
• After softwood lumber consumption in the US reached a ten-year high in 2017, demand fell in early 2018. Despite the reduced consumption, lumber production on the US west coast jumped by over nine percent y-o-y in the 1Q/18 thanks to strong demand for lumber from China during the past year.
Hakan Ekstrom
Tights fiber supply in British Columbia and the US Northwest pushed chip prices up over 12% in the 1Q/18
Håkan Ekström
Lumber imports from Russia to China has doubled the past five years, while North American supply has been in decline.
Hakan Ekstrom
Changes in availability of timber supply, prices of sawlogs, competitiveness of lumber producers are some factors that are likely to shift future lumber supply sources to meet higher demand in the US.
Hakan Ekstrom
By far the biggest sawlog price increases in Europe in 2017 (in Euro-terms), was in Eastern Europe, where demand for sawlogs increased as lumber production rose.
Hakan Ekstrom
Strong demand and tight supply of wood fiber in Sweden resulted in increased wood chip imports in late 2017
Hakan Ekstrom
The Global Softwood Fiber Price Index (SFPI) increased 4.0% during 2017 mainly because of higher pulpwood prices in Western North America, Europe, Russia and Australia
Hakan Ekstrom
US softwood lumber consumption likely to reach record high by 2030 resulting in higher imports from Europe and Latin America
Hakan Ekstrom
Global softwood lumber trade reached an all-time high in 2017 during the 1H/17 and lumber prices have continued to move upward in most men markets around the world.
Hakan Ekstrom
Changes in availability of timber resources and forecasted increases in wood raw-material costs for sawmills around the world are likely to impact the trade of softwood lumber to the US in the future.
Hakan Ekstrom
The Global Sawlog Price Index (GSPI) has gone up for three consecutive quarter to reach a three-year high in the 3Q/17
Hakan Ekstrom
The Russian sawmilling sector continues to add capacity in Siberia and the Far East, targeting the expanding demand for lumber in China. Just during the first eight months of this year, Russia increased shipments to China by 23% as compared to the same period in 2016. Although Russian lumber prices have not changed much in Ruble terms over the past two years, there has been a steady increase in export prices as measured in US dollars.
Hakan Ekstrom
The increased competition for small-diameter logs has resulted in a dwindling supply of traditional pulplogs normally available for pulpmills
Hakan Ekstrom
The biggest increases in chip supply to Japan and China year-over-year have been from Chile and Indonesia.
Hakan Ekstrom
With price premiums surging in the export market, Australia's log exports reach record levels in 2017.
Hakan Ekstrom
Production cost margin for sawmills in the US South increased during much of 2016 and 2017 and reached its second highest level in 13 years in the 2Q/17.
Hakan Ekstrom
Hakan Ekstrom
In Finland, Russian and Brazil log costs have gone up faster than lumber prices resulting in reduce profit margins the past 18 months.
Lumber prices in both the US and Canada have trended upward for almost two years and reached 13-year highs in July. One exception has been pine lumber prices in the US South, which have fallen the past few months to the lowest level seen in almost a year.
Hakan Ekstrom
Hakan Ekstrom
Wood fiber costs for Nordic pulp mills were at their lowest level in over ten year in early 2017
There are expectations that sawlog prices may continue to go up in the coming months because of improved opportunities for Brazilian exporters of lumber, plywood and value-added products.
Hakan Ekstrom
Lower log and sawdust prices in the US South have resulted in a 15% decline of the Pellet Feedstock Price Index since 2013
Hakan Ekstrom
Although lumber production in New Zealand has increased the past three years, export volumes have fallen 15%.
Hakan Ekstrom
Lumber shipments from New Zealand to the US have gone up 37% the past four years and can be expected to increase in the future.
Hakan Ekstrom
The wood cost is often the major factor determining a pulp mill's competitiveness. In 2016 and early 2017, these costs fell in the US, with prices for wood chips and pulplogs declining more in the West than in the South.
Hakan Ekstrom
Consumption of pellets in Japan and South Korea has increased quite rapidly the past four years because of new government requirements which favor reducing carbon emissions and increasing the usage of renewable energy.
Hakan Ekstrom
Prices for imported softwood lumber to China have been in a steady upward trend during 2016 and 2017 with the average import price in March 2017 being 13% higher than 18 months earlier.
Hakan Ekstrom
High import tariffs on Canadian softwood lumber will increase overseas imports but Canada will remain the largest and most important supplier of lumber to the US housing market
Hakan Ekstrom
High supply of sawmills chips in Quebec and Ontario may force lumber companies to export chips outside the country
Hakan Ekstrom
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Netherlands and Japan increased their market shares of globally traded wood pellets substantially in 2021

In 2020, wood pellet production in Europe was up 4% y-o-y and was 34% higher than in 2016, according to data just released by the UNECE. Despite this increase, production has not kept up with consumption, resulting in higher net imports to the continent over the past few years. To fill the supply deficit, Europe has imported almost 10 million tons of pellets annually from the US, Canada, and Russia in 2019 and 2020.   Overseas supply to Europe has been on an upward trajectory, doubling between 2013 to 2020. North America's pellet production rose from 6.5 million tons to 12.2 million

The forecasted growth in wood pellet production in Europe will increase competition for wood fiber and require new feedstock sources

Europe’s pellet industry is the largest in the world and is expected to continue to grow strongly, at least until 2025. The key factors driving this increase include: · EU has ambitious and rising targets for renewable energy supply, · Biomass will play an important role in meeting those targets, · Pellets offer several advantages over other forms of biomass in many applications. Pellet demand is likely to grow by 30-40% over the next five years, and depending on how imports develop, European production might need to increase by up to ten million tons. Europe represents

Wood fiber costs for US pellet manufacturers fell in the 2Q/19, while Canadian pellet producers experienced higher costs due to reduced supply of sawmill residues

Many pellet manufacturers in North America have had to increase the usage of logs for their feedstock in 2019 because of reduced availability of lower-cost sawmill residues. This has resulted in higher total wood fiber costs and increases in the pellet feedstock price indices for both Canada and the US in the 1H/19, according to NAWFR.Seattle, USA. In late 2018, higher demand and tighter supply of low-cost sawmill residues pushed wood fiber costs higher for pellet producers in both Canada and the US. WRI’s feedstock price indices increased during the fall of 2018 and in early 2019 to reach

Over 22 million tons of wood pellets were shipped globally in 2018, up 21% from 2017. The US, Canada, Vietnam, Latvia and Russia, accounted for 69% of global exports in 2018

Europe continues to be the major destination for globally traded wood pellets. However, Asia has increased its importation of pellets over the past three years, with Japan and South Korea importing a record volume of 4.5 million tons in 2018. A majority of the volume is sourced from pellet manufacturers in southeastern Asia.Seattle, USA.Global trade of wood pellets jumped more than 21% year-over-year in 2018 when a new record of 22.3 million tons was shipped, according to the North American Wood Fiber Review. The five major pellet exporting countries (the US, Canada, Vietnam, Latvia, and

Wood pellet imports to both South Korea and Japan close to record highs with a majority of the supply continuing to be sourced from Vietnam

Over the past few years, South Korea has become the largest pellet importer in Asia, ahead of Japan, and the third largest in the world, and South Korean demand is expected to continue to increase in the coming years, reports the Wood Resource Quarterly. Vietnam has been the major supplier of pellets to Asia, accounting for about 65% of the total import volume in late 2016 and early 2017.Seattle, USA. Wood pellet imports to Asia reached an all-time-high in the 4Q/16 when Japan and South Korea together imported 630,000 tons of pellets. Although import volumes were down slightly in the 1Q/17,

Wood pellet imports to the UK fell 24% year-over-year in August after record high imports during the first half of 2016

Wood pellet imports to the United Kingdom have gone up dramatically the past five years and are likely to reach a new all-time-high in 2016, according to the North American Wood Fiber Review. The US South is the main supplying region with shipments having increased eight-fold since 2012.Seattle, USA. The United Kingdom is by far the largest importer of wood pellets in the world followed by Denmark, South Korea and Belgium. In the 2Q/16, the UK imported record volumes of just over two million tons, which was 11% higher than the previous quarter and 21% more than in the 2Q/15. Pellet

North America exports of wood pellets reached record-highs in 2015, with the US Gulf States increasing shipments by 70% from 2Q/15 to 4Q/15

Exportation of wood pellets from North America totaled 6.1 million tons in 2015, which almost four times as much as in 2010, as reported in the latest issue of the North American Wood Fiber Review. In the second half of 2015, export volumes from Southern Gulf ports were up almost 70%.Seattle, USA. North American overseas pellet exports increased for the third consecutive quarter in the 4Q/15, rising seven percent from the previous quarter to just over 1.7 million tons. The total for the year was 6.1 million tons, which was two percent higher than in 2014 and almost four times as much as in

North American overseas pellet exports rose for the second consecutive quarter to reach a new record high with the US South shipping 77% of the volume

The wood pellet industry keeps investing in new production capacity in the US South because of higher pellet demand in the United Kingdom, reports the North American Wood Fiber Review. In the 3Q/15, 77% of North America’s pellet exports were from the southeastern US.Seattle, USA. North American overseas pellet exports increased for the second consecutive quarter in the 3Q/15, rising 15 percent from the previous quarter to reach a new record high of just over 1.6 million tons, according to the North American Wood Fiber Review (NAWFR). The US South continues to be in expansion mode with

Wood pellet exports from the US increased for the 12th consecutive quarter in the 4Q/14, while Canadian exports were down

North American pellet exports were 22 percent higher in 2014 than in the previous year, according to the North American Wood Fiber Review. While US shipments have been on a steady rise for three years, Canadian export volumes trended downward during 2014.Seattle, USA. Exportation of wood pellets from North America to Europe and Asia reached an all-time high rising 22 percent in 2014 from the previous year, according to the North American Wood Fiber Review (NAWFR). Shipments from the US were up 40% year-over-year, while Canada exported six percent less in 2014 than in 2013. (Note. Due to

Wood pellet exports from North America reached a new record high in the 3Q/14 thanks to higher shipments to Asia

Asia has become a new market for wood pellet exporters in Western Canada with shipments having increased for six consecutive quarters, while Canadian exports to Europe have fallen substantially during 2014.Seattle, USA. Pellet exports from North America rose in the 3Q/14 after a stable first half of the year that could be characterized as a temporary plateau. While pellet exports to Europe were up just marginally, the increase to Asia was more noticeable. Up until 2014, more than 95% of wood pellets leaving US and Canadian ports were destined for Europe. However, during 2014 there was a

Pellet exports from North America to Europe has plateaued in 2014 with Canadian shipments declining and exports from the US South continuing upward

Pellet shipments from the US and Canada to Europe have gone in opposite directions in 2014, with the shipments from the US South being up ten percent from the 4Q/13 to the 2Q/14, and Canadian volumes declining 25% during the same period, according to the North American Wood Fiber Review. The new expanding markets for pellet producers in Western Canada have instead been Japan and South Korea.Seattle, USA. Total shipments of wood pellets from North America to Europe plateaued in 2014 after almost four years of continuous increases. During the first two quarters of 2014, exportation from

Wood pellet exports from North America to Europe have doubled in two years with the US South accounting for 63% of the volume

North America exported wood pellets valued at over 650 million dollars in 2013, a dramatic increase of more than 250 percent in just two years, according to data compiled by the North American Wood Fiber Review. The US South shipped almost three million tons last year, which was almost two-thirds of total export volume from North America.Seattle, USA. With no slowdown in sight, North American wood pellet exporting companies keep building new facilities to manufacture pellets for the European market. Export volumes hit a new record high in the 4Q/13 and the total shipments for 2013 were up

Wood pellet exports from North America have steadily increased over the past two years, having more than doubled since late 2011

North American shipments of wood pellets over the Atlantic continued to go up in the 2Q/13 with volumes more than double those in the 2Q/11, according to data compiled by the North American Wood Fiber Review. Shipments to the major consumer in Europe, the United Kingdom, are likely to decline in the coming year because of the closure of a major biomass plant in the UK.Seattle, USA. Pellet export volumes from North America to Europe continued to rise during the 2Q/13, representing steady growth for the past seven quarters, according to data compiled by WRI and reported in the North American

Wood pellet exports from North America were up over 50% in the 1Q/13 from 1Q/12 with the United Kingdom being the major export destination

North American wood pellet exports reached a new record of over one million tons in the 1Q/13, according to the North American Wood Fiber Review. There has been a steady growth in shipments from both the US and Canada the past few years, mainly as a result of the continued increase in demand for pellets in the United Kingdom.Seattle, USA. Pellet exports from the two primary pellet-producing regions on the North American continent – the US South and British Columbia – showed no signs of slowing in early 2013, with the rate of growth likely to accelerate in the second half of the year. In the

Exportation of wood pellets from North America to Europe reached a new record of 3.2 million tons in 2012

Demand for wood pellets in Europe has gone up dramatically the past few years as power companies on the continent have switched from using fossil fuels to renewable energy alternatives. Importation of pellets from North America increased over 60 percent from 2011 to 2012 with the US export volumes more than doubling, according to the North American Wood Fiber Review.Seattle, USA. The wood pellet export industry in North America has grown exponentially in a relatively short period of time. The export value has increased from an estimated 40 million dollars in 2004 to almost 400 million

Wood pellet exports from North America to Europe were up over 70% in the 3Q/12 year-over-year

Rapid expansion of wood pellet production in both the US South and British Columbia has dramatically increased pellet exports from North America to Europe the past year, according to the North American Wood Fiber Review. In the 3Q/12, total shipments were up 70 percent year-over-year to 860,000 tons. The growth is expected to continue with numerous plans for adding capacity, particularly in the US South.Seattle, USA. Pellet exports from the two primary pellet-producing regions on the North American continent, the US South and British Columbia, continued to increase in the 3Q/12 and reached

The US surpassed Canada as the largest wood pellet exporter in the world in the first half of 2012

The expansion of wood pellet capacity in the US South the past few years has enabled the US to export more pellets than Canada, making the US the largest exporter in the world. With continued investments throughout southern US, export volumes are forecast to increase from an estimated 1.5 million tons in 2012 to 5.7 million tons in 2015, according to the North American Wood Fiber Review.Seattle, USA. Pellet exports from the two primary pellet-producing regions on the North American continent, the U.S. South and British Columbia, have continued to grow, reaching a new record high of 760,000

South Korea and Japan will become large importers of pellets and energy chips in the coming decade

Both Japan and South Korea intend to reduce the consumption of fossil fuels and increasingly rely on renewable energy in the future. As a consequence, both countries will increase their importation of wood pellets and energy chips from other countries in Asia and from North America in the coming years, reports the Wood Resource Quarterly.Seattle, USA. Asia will consume more wood pellets and energy wood chips in the future. The governments in Japan and South Korea have announced definite plans to increase their usage of green and low carbon energy alternatives. South Korea is taking steps to

The US surpassed Canada as the largest wood pellet exporter in the world in the first half of 2012

The expansion of wood pellet capacity in the US South the past few years has enabled the US to export more pellets than Canada, making the US the largest exporter in the world. With continued investments throughout southern US, export volumes are forecast to increase from an estimated 1.5 million tons in 2012 to 5.7 million tons in 2015, according to the North American Wood Fiber Review.Seattle, USA. Pellet exports from the two primary pellet-producing regions on the North American continent, the U.S. South and British Columbia, have continued to grow, reaching a new record high of 760,000

Wood pellet exports from the US and Canada to Europe reached a record high in the 4Q/11 thanks to increased demand in the United Kingdom

Exports of wood pellets from North America to Europe reached a record of over two million tons in 2011, according to analysis reported in the North American Wood Fiber Review. Canada has long been the main exporter of pellets but in the second half of 2011, the US caught up and exported an equal volume to Canada.Seattle, USA. Pellet exports from North America to Europe reached a new record high in the 4Q/11. Shipments have increased practically every quarter for four years, up from 130,000 tons in the 1Q/08 to almost 600,000 ton in the 4Q/12, according to the North American Wood Fiber

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