Sharp fall in tropical share of European wood products market

Sursa:
ITTO/Fordaq
Vizualizări:
615
  • text size

Despite upheaval in the EU27+UK wood market and wider economy in 2020 due to the COVID-19 pandemic, the total dollar value of EU27+UK imports of wood (HS44) and wood furniture (HS94) products fell only 4% to US$21.86 billion euro in 2020.

In dollar terms, EU27+UK imports in 2020 were higher than during the 2015-2017 period and not significantly out of alignment with the trend of the previous 10 years (Chart 1).

While the overall level of EU27+UK imports of wood and wood furniture products remained surprisingly resilient during 2020, there were winners and losers. Unfortunately for tropical suppliers, their share of the European trade fell sharply in 2020 after making some tentative gains the previous year. In total, wood and wood furniture imports into the EU27+UK from the tropics were US$4.08 billion in 2020, 13% less than the previous year. The share of tropical suppliers in the total value of EU27+UK wood product imports decreased from 20.5% in 2019 to 18.5% in 2020, the lowest level ever recorded which compares to a figure of over 35% only 15 years before (Chart 2).

The latest downturn in tropical wood’s share of the EU27+UK market is partly due to supply side problems in tropical countries during the pandemic, compounded by severe lack of container space, particularly in shipments from South East Asia to Europe.

Another key factor was that in 2020 the pandemic impacted most heavily on a few western European countries – notably the UK, Spain, Italy, Belgium and France – which are the largest markets for tropical wood and wood furniture products in the region.

At the same time, the largest single market for tropical wood and wood furniture products in the region – the UK – went through the painful process of removing itself from the EU, officially leaving the bloc on 31st January 2020 and the single market on 31st December after a brief transition period last year.

In contrast to tropical countries, the total value of EU27+UK imports of wood and wood furniture products from China declined just 3% to US$6.18 billion in 2020, mainly driven by a slight decline in wood furniture. This follows marginal 1% gains in EU27+UK import value from China in 2018 and 2019 after a period of decline between 2014 and 2017.

EU27+UK imports of wood and wood furniture products from CIS countries actually increased in 2020, rising 1% to US$5.27 billion. The share of CIS countries in total EU27+UK imports increased from 22.9% in 2019 to 24.1% in 2020. EU27+UK imports of softwood sawnwood, birch plywood and wood furniture from the CIS region all made gains in 2020 while imports of wood pellets were stable. EU27+UK imports of wood and wood furniture products from other non-EU European countries declined 2% to US$2.17 billion in 2020 and share of imports from these countries increased slightly, from 9.7% in 2019 to 9.9% in 2020.

After dipping sharply early in the year, imports from Norway (mainly softwood logs and sawnwood) and Bosnia and Herzegovina (mainly wood furniture and some sawn hardwood) rebounded strongly in the second half of 2020.

However, imports from Switzerland (mainly furniture and panels), Serbia (mainly furniture), and North Macedonia (all furniture) were recovering only slowly.

EU27+UK imports of wood and wood furniture products from North America (excluding Mexico) decreased by just 1% in 2020 to US$2.68 billion. The region’s share of total EU27+UK imports increased from 11.8% in 2019 to 12.3% in 2020. Rising imports of pellets offset declining imports of sawnwood, furniture, and veneers from North America

Postează un comentariu