Russia’s Timber Industry Under Pressure as Lumber Production Falls

Rosstat data show Russia’s lumber production declined from 29.2 million m³ in 2024 to 28.48 million m³ in 2025, according to Wood & Panel Europe (2-10-26).

Output remains well below historical highs. Current production is estimated to be 2–3 million m³ below the 2019 peak of roughly 32 million m³.

The downturn reflects structural challenges rather than short-term disruption. Domestic demand has weakened, export markets have narrowed, and access to European machinery and technology has been reduced. These pressures are affecting both logging operations and downstream processing.

China now absorbs more than 70% of Russia’s lumber exports, most of which consist of softwood products. However, demand from China has slowed, reducing export volumes and compressing margins for Russian producers.

Softwood lumber production fell 3.5% last year to 25.7 million m³. Siberian larch, Scots pine, spruce, and fir account for the majority of volumes and dominate exports from eastern regions.

Hardwood production rose 5.5% to 2.31 million m³. Birch, aspen, oak, and beech lead hardwood supply, largely sourced from western and central regions. Growth was supported by domestic processing demand.

The divergence highlights shifting regional dynamics. Eastern producers remain more export-dependent, while western mills primarily serve domestic markets. The gap has widened as overseas demand softens.

Additional pressure is emerging from proposed amendments to Russia’s Forest Code, and four of the country’s largest producers have raised concerns.