Current situation of timber industry

24-04-2023

  What is the status of the timber industry? In today's society, health and environmental protection has increasingly become the main melody of society, therefore, log furniture is more and more favored by everyone. Natural, environmentally friendly and healthy log furniture reveals the beauty of nature and primitive. Log furniture is enduring, from the color analysis, lies in its natural wood color. Wood furniture is natural and free from chemical pollution. It is a healthy fashion choice and meets the psychological needs of modern urbanites to advocate nature.


  The upstream of wood processing industry mainly includes forest planting and forest conservation industry, adhesive industry, wood processing equipment industry, which is the root of the development of the wood industry. Downstream industry is the demand side of wood processing industry, its development has a direct impact on wood processing industry. Downstream industries mainly include building decoration industry, wooden furniture manufacturing industry, paper industry (wood pulp), cultural and educational office supplies industry and musical instrument manufacturing industry.


  With the continuous development of new wood mills, the products will shift from low-grade to mid-grade or higher products, and part of the low-grade wood industry will move to the neighboring central region, mainly focusing on stability, resulting in the overall depression of the Chinese wood market. Two key factors are fixed asset investment and commercial housing sales (furniture and renovations) affecting wood demand.


  In the global timber market, the conflict between Russia and Ukraine has affected timber and energy supplies. Russian timber has now lost international certification, resulting in a total blockade of timber trade between Russia and Europe. Russia, Belarus and Ukraine accounted for more than 25 percent of global timber exports last year.


  At present, China is the world's largest wood processing and wood products production base and the most important wood products processing exporter, as well as one of the largest wood buyers in the world. Annual output of our country's man-made panel, furniture, floor already ranks the front ranks of the world.


  In recent years, the timber industry in China has shown a good trend of diversified investment subjects, expansion of industrial scale and enhancement of industrial concentration. Three strategic changes have been preliminarily realized: the transition from natural forest to artificial forest; The transformation from the single development mode of expanding the scale of production to the compound development mode of expanding the scale and saving the use; The transition from using one market and one resource to using two markets and two resources at home and abroad.


  In addition, soaring energy prices and the resulting prices of other raw materials continue to increase production costs for pulp and paper manufacturers in other parts of the world. Second, the conflict between Russia and Ukraine poses challenges to global commodity transportation. Food and energy occupy limited transportation space, and maritime logistics bottlenecks also push up transportation costs.


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