EU27 +UK Imports of Plywood Drop for Second Year in a Row

Impacts of the COVID-19 pandemic and the United Kingdom (UK) leaving the European Union (EU) has resulted in the EU27 +UK in -7% decrease of plywood and other woods in 2020, this on the heals of a -14% decline in 2019. The European market for plywood and panels weakened sharply in the second half of 2019 with widespread reports of overstocking and falling prices as the economy began to cool at that time. The onset of the pandemic last year deepened the prevailing downward trend. With few exceptions, the downturn impacted on all the leading suppliers of plywood and panels, both in temperate regions and the tropics. Imports from Russia fell -5% to US$694 million following a 14% decline the previous year, similarly China fell -5% to US$510 million in 2020 following a -14% decline in 2019, Ukraine was down -7% in 2019 and -1% in 2020 to US$304 million, and Brazil fell -16% in 2019 and -26% in 2020 to only US$225 million. Of temperate suppliers, only Belarus made gains in 2020, rising 6% to US$249 million but this followed a -19% fall the previous year. Amongst tropical suppliers of plywood and panels, EU27+UK imports declined -30% to US$86 million from Indonesia in 2020 after a -13% fall the previous year. However, in 2020 gains were made by Gabon, with imports rising 13% to US$110 million after a -5% fall the previous year, and Malaysia, from where imports increased 5%, to US$37 million, after falling 3-3% the previous year.

FEA compiles the Wood Markets News from various 3rd party sources to provide readers with the latest news impacting forest product markets. Opinions or views expressed in these articles do not necessarily represent those of FEA.
Original Source:
Tropical Timber Market Report