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The Softwood Export Council (SEC), the Southern Pine Council, and the American Hardwood Export Council (AHEC), exhibited for the first time at the Thai Architect Expo, held annually by the Association of Siamese Architects under Royal Patronage. The event gathers the country’s leading architects and construction professionals, with attendance reportedly reaching 500,000 – although attendance seemed significantly lower. The event was themed “Living Green”, tying-in well with the “wood is good” message delivered by the U.S. association speakers at a seminar during the event.
During the event, the group cooperated with the US Foreign Agricultural Service to conduct a seminar about the use of US lumber. The seminar attracted construction professionals and building material traders who attended to hear about wood products centering on the “Green Living” theme of the trade show. Speakers were:
The event was very well attended, gathering a “standing room only” audience of 84 attendees. Interest was high judging from the numerous questions that the presenters fielded, some of which were: Bluestain – Echoing earlier discussions, attendees asked about addressing bluestain often found in imported softwoods. Pricing – Attendees requested pricing of U.S. softwoods, a question that is often asked in new emerging markets. Speakers responded that there’s no easy answer as it depends on the species, grade, size, transport costs, etc. Nevertheless, research shows that U.S. softwoods are priced competitively in the market, particularly in light of rising prices of domestic rubberwood. Termites – The audience appeared keenly interested in thwarting termite damage in wood, asking numerous questions on subterranean termites vs. Formosans (Formosans are a variety of subterraneans), types of wood preservatives, etc. Follow up work to facilitate interactions between US softwood lumber suppliers and importers and manufacturers will be held in October 2020. Please see the SEC Events page for more information. On December 10-14, 2018, the Softwood Export Council and its members, the American Lumber Standards Committee, Western Wood Products Association, and the Pacific Lumber Inspection Bureau met in Portland, OR with a delegation from the Korea Forest Service (KFS) and National Institute of Forest Science (NIFoS) to discuss the Korea FQII quality labeling certification for imported softwood lumber and U.S. manufacturing processes and quality control. The regulation, introduced in August 2018, requires each shipment of imported softwood lumber include a quality certificate issued by an international government or appointed organization. Each country interested in legally exporting softwood lumber to Korea must apply for FQII through KFS. Once an FQII application is initially approved, final approval requires inspection and testing of a sample of U.S. mills by the Korean government authorized inspection agency (now the Korea Forest Promotion Institute (KoFPI). Under the current law (which was enacted on May 1, 2018), every shipment of imported lumber is to be inspected by KoFPI before its entry into Korea and then the inspection result is marked on the lumber. While the law was enacted, is not being enforced and no international lumber certification agencies have applied for FQII. Following the formal meeting the U.S. and Korean representatives spent a day touring Sierra Pacific Industries’ Centralia, Washington mill. During the mill tour and an on-site grading workshop, the Korean delegation learned about softwood lumber manufacturing processes, grading, and quality control. WWPA staff also accompanied the group to Oregon State University where the delegation visited the forest products laboratory and toured a CLT building. Later in the week SEC member, Oregon Forest Resources Institute arranged visits to mass timber projects where the group met with the project architect to discuss engineering and design considerations and project design. As a result of the two-days of discussions with ALSC, WWPA, and PLIB, ALSC will continue to communicate with NIFoS to see what additional information will be required to complete the draft application that was provided by NIFoS. NIFoS will continue to review the draft application supplied by ALSC and provide feedback on additional information required.  In the final months of 2017, SEC hosted two groups of incoming delegates from Mexico and Thailand. The Mexican representatives visited Seattle before attending the NAWLA Traders Market in Chicago, and shortly thereafter we hosted the Thai group in Portland for a comprehensive tour of the softwood industry in Oregon & Washington. While appealing to different markets, both of these missions focused on innovation at the mill and in construction, highlighting sustainability, efficiency, and the symbiotic relationship of these two properties.  Thailand delegates gift First Tech Credit Union builders with symbol of friendship These tours are at the heart of SEC's mission: to build relationships through more personal outreach. Hosting delegates is a strategic way to get importers from different markets to begin thinking about American softwoods, first because of the connection we've built, and finally because of the quality of our wood and the examples we have illustrated by examining creative end-uses. In demonstrating how and why the U.S. consumes wood, we join others to our cause, as our sites speak for themselves: wood is transformed for visitors into an exciting material that brings light and warmth into corporate spaces, character into homes, and carries enormous long-term benefits for the health of our planet.  Mexico Group outside the Bullitt Center after touring the building To prepare these inbound missions, our itineraries are carefully crafted to exhibit a holistic system that allows a burgeoning market to understand the advantages of American softwoods, and what it would take to replicate our best-practices. Our itinerary for the Thais is a great example: it included tours of a forest, multiple mills, a CLT exhibition, and construction sites that exemplified the possibilities of mass timber, while also demonstrating the opportunities for efficiency in construction that wood can provide. Likewise, our Mexican delegates visited finished sites where mass timber meets sustainability in public and corporate spaces. The seminars we arrange are supplementary, offering an opportunity to delve deeper and ask questions about what the visiting groups have seen. This technical training privileges structural lumber and construction sectors: when you teach people how to build with wood, they buy wood. And, of course, we include networking opportunities for our members, and exposure to our industry.
There are upcoming inbound missions planned for 2018 that will use these same systems-based tenets. A delegation from China in January will focus on mass timber engineering systems, while an incoming Pakistani group in July will focus on sourcing. Ensuring our programs meet the needs of the markets they're designed to inform is crucial, as these are countries in different stages of development. Pakistan is an early-market distribution area, while China has the infrastructure to handle mass timber and will be excited about the opportunities U.S. softwood can bring their growing skyline.
If you have any suggestions for outreach or program-building, please let us know. You can contact Di Nguyen with comments and questions about inbound missions.
Early this November, a group of SEC representatives attended the Edifica Exposition in Santiago, Chile to promote U.S. Softwoods. Both Iain MacDonald and David Stallcop both presented on the main stage of this event on behalf of SEC, and their talks centered on the inventive new ways wood is being used, and the far reaching implications of these modernizations. Below, Enrique Escobar introduces the speakers:
In his presentation, Iain MacDonald addresses the ways in which we are learning to build taller, focusing largely on CLT. He points out the benefits of building tall wood structures, both economic, in building time and labor needs, as well as environmental, as wood construction allows for carbon sequestration and is a natural, renewable resource. Iain also addresses the learning curves inevitable in new wood building methods, and offers solutions to many of those concerns with the research Tallwood Institute has completed.
Below, David Stallcop introduces a series of new products coming into the wood market, explaining the new, exciting wood products born often out of necessity. David discusses the origin of blue stain panelling, reclaimed wood from pallets, printing on wood with stain, and touches on multiple examples of prefabricated housing. In this lecture, David celebrates the energy of innovation as the driving force behind the future of the wood products industry.
Visitors can expect compelling talks touching on the grading of U.S. softwoods as well as get up close and personal with influential presenters from OWIC such as Scott Leavengood, director of OWIC; Chris Knowles, associate professor in Forest Products Marketing in the Department of Wood Science and Engineering at OSU; Eric Hansen, professor of Forest Products Marketing and Interim Department Head of Wood Science and Engineering at OSU; and Jeff Morrel, professor in Wood Science and Engineering at OSU with a specialisation in deterioration of wood and its prevention through preservative treatments In 2016, SEC partnered with the Cochran Fellowship Program to host groups from Egypt, Pakistan, & Peru, utilizing other FAS funds outside our core MAP and FMD programs. The Cochran Fellowship Program provides short-term training opportunities to agricultural professionals from middle income countries, emerging markets, & emerging democracies. Cochran fellows come to the United States, generally for 2-3 weeks, to work with U.S. universities, government agencies and private companies. They receive hands-on training to enhance their technical knowledge and skills in areas related to agricultural trade, agribusiness development, management, policy and marketing.  Bob Lewis gives the Pakistan group a tour of Columbia Vista mill Of these three groups, Pakistan is currently the largest market and the best immediate opportunity for U.S. softwood products. Pakistani demand for wood products has increased significantly in recent years, reaching 370,000 cubic meters in 2015. U.S. exports to this market are strong, reaching record levels and growing at an average annual rate of 47%. Pakistan has become the seventh largest market for U.S. softwoods and has set themselves up to be a major distributor in the Middle East region.
Cochran’s assistance in Peru was also invaluable, and with their financial assistance SEC prepared the most extensive educational programming to date, equipping the ten Peruvian representatives with knowledge about U.S. domestic and international lumber standards and codes: their development, testing, and compliance. Participants also attended the Greenbuild International Conference, with options for multiple seminars and walking tours centered around safety and sustainability. The technical information offered during this Cochran program allowed the Peruvians the knowledge to advocate for U.S. softwoods within their home country, potentially opening Peru’s building codes to include U.S. structural grades.
If your association is interested in hosting delegates from a specific emerging market, please let SEC know, as we have the ability to request market partnerships from Cochran administrators.  SEC & IMEXFOR members mingle at meeting reception in San Miguel de Allende SEC’s board meeting this February took place in Mexico and included a joint meeting with Mexico’s National Association of Importers & Exporters of Forest Products (IMEXFOR). Mexico has been a market of growing potential for the last five years: while SEC has spent relatively little on promotions in this country, the exports to this market now exceed Japan, one of SEC’s most active programs. Organizing this conference in conjunction with our board meeting allowed members to network and share expertise with the Mexico industry; through our joint meeting SEC has been able to investigate long term opportunities for U.S. softwoods in lumber and value-added building materials, meanwhile developing relationships with importers as potential partners and promoters of U.S. softwoods. Beginning with an overview of Mexico’s major statistics delivered by Julio Maldanado of Mexico City’s Agricultural Trade Office, the meeting also included an overview of Mexico’s wood import market from Everado Martinez Salazar, and a look at the latest trends in Mexico’s academic sector. This collaboration with IMEXFOR was particularly eye-opening in detailing the international competition present in the Mexico market, as well as opportunities and obstacles for U.S. softwood products. Feedback from IMEXFOR members is included below:
Mexico is the world’s 14th largest landmass, sharing a 1,860 mile border with the U.S. that contains 63 crossings. Each year, Mexico’s need for wood increases, with most of the lumber entering Mexico from the U.S. used for furniture manufacturing and packaging material. There are few examples of softwoods in construction, including OSB roofing supported by inexpensive steel beams. IMEXFOR’s representatives advised members to find a niche in order to introduce lumber to construction—perhaps low-income housing would be the best way to enter the structural market.
Continued engagement with IMEXFOR is crucial to maintaining our relationships, fostering greater collaboration, and creating more opportunities to do business within the Mexican market. More information on Mexico can be found through our membership-accessible Statistics & Reports downloads.  AmSo's Sylvawood Booth  Visitors discuss materials in AmSo's warm booth space Softwood Export Council exhibits in trade shows around the world, but our booth designs in China are most successful due to their warmth, effective display of softwoods in interiors, and unique, eye-catching elements. The man behind the design is Xu Fang, Director of American Softwoods' China office. His booth designs at Interzum (Guangzhou) and Sylvawood (Shanghai) this year have set a strong tone for American Softwoods, highlighting the look and feel of softwood panelling and mimicking outdoor as well as indoor structures. "There are three aspects that I consider in my design in order to make a booth stand out at the show," explains Xu, "How do people feel when they see the booth from a distance? The booth needs to stand out among its neighbors. How do people feel when they are in the booth? The space must accommodate people moving around, talking, reading, and business meetings. Do visitors have a chance to experience our products? People should have a chance to touch the material and feel warmth." Xu expresses that warmth is among the key elements he incorporates to maintain a consistent American Softwoods brand identity; he also strives for quality, simplicity, and affordability, all of which are what local users are looking for, but unable to easily obtain in the Chinese wood industry. Creating a relaxing, welcoming booth environment allows these qualities to shine, standing alone alongside the other exhibitors at a trade show.  Xu troubleshoots details with construction crew on site before Interzum The process of creating a booth begins with conceptual design: Xu considers first the impression he knows the trade show's audience will respond to, balancing this with the availability of construction materials, required craftsmanship, and cost. After comparing construction vendors and receiving SEC approval of the designs and quotes, Xu reaches out to local importers dealing in U.S. softwoods. All of the lumber used in booth construction is sourced through donation or at a low price covering basic cost. "Fortunately, most of the industry people I talk to are quite supportive," Xu says, "The bottom line is to consider the reuse of booth material in the future, and easy handling during assembly and disassembly." Installation takes place one or two days prior to the opening event, and Xu supervises the entire process, working with the construction crew to problem-solve and adapt the design as questions arise. While American Softwoods must target the existing market in each country, the key elements Xu uses in China's booths (warmth, quality, simplicity, and affordability) are not specific to the Chinese market and allow SEC to expand upon them in other countries.  Completed Interzum booth
 As last reported on the Korean Forest Research Institute’s (KFRI) effort in developing its own lumber grading system and requiring lumber imports to S. Korea to meet its proprietary grading stamp, progress has been made to find an alternative solution to the requirement. Also since the last report, the Korean Forest Research Institute has changed its name to NIFoS, the National Institute of Forest Science.
The implementation of Korea's grading standard is on hold until the General Assembly of Korea approves an amendment to the law allowing the Korean Lumber Standard, most likely in the beginning of 2017. NIFoS has also confirmed the acceptance of North American structural lumber on an equivalent design value basis to the Korean Standard's three structural grades, provided our grades exceed the established properties of Korean grades. Pending their review of the specific grade requirements, NIFoS indicated their willingness to include a table recognizing three appearance grades for each grade rule agency that are equivalent to the three appearance grades in the Korean Standard. NIFoS had previously included only WWPA C Select, No2 Com, and No.3 Com as acceptable, to the exclusion of other species and rules. NIFoS confirmed, in the case of both structural and appearance grade lumber, that the requirements to label each piece in Korean, and to the appropriate Korean grade, will be the responsibility of the importer. The trade-off will be a the necessary provision of information to the importer regarding the equivalent Korean grade. It is unclear how this will manifest in the end, but discussion to date includes use of bundle tags or supplemental paperwork, etc. A remaining unresolved item deals with the proposed Korean Lumber Standard being considered by the Korean General Assembly. It establishes parameters recognizing a foreign inspection institute or body (FQII). NIFoS indicated the Korean Forest Service's (KFS) position remains that ALSC or CSLAB (Canada) will not qualify as FQIIs, but that each accredited agency would be eligible to apply. However, NIFoS also noted that the amendment, if passed, would allow their input beyond that of KFS, and they agreed that recognition of accredited agencies through ALSC or CLSAB provided a much simpler solution than dealing with all the individual agencies. NIFoS indicated they would continue to provide any further information they receive and noted they understood the reasons expressed by ALSC and CLSAB for recognition of the systems in whole. For more information on this issue, please contact SEC. |
