.
American Softwoods
SECOND
QUARTER MARKET REPORT
FOR
NORTHERN EUROPE
APRIL – JUNE
2003
OVERALL EUROPEAN SITUATION:
The overall situation for the timber trade in the EU
continues to be very pessimistic due to economic hurdles. The economies in most
of the fifteen EU countries are slowing, or have slowed down, during the past
three months, with Germany suffering the most. This situation has directly
affected the timber import levels to each country from the U.S.A., as shown in
Table 1, and, from virtually every timber exporting region of the world, apart
from Russia which appears to have gone against this trend. (see Table 3.)
Table 1.
|
IMPORTS
OF U S SOFTWOOD LUMBER BY COUNTRY-m3 |
||||||||
|
=================================================================== |
||||||||
|
|
|
|
|
|
|
|
|
|
|
COUNTRY |
1998 |
1999 |
2000 |
2001 |
2002 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AUSTRIA |
|
|
54 |
89 |
157 |
243 |
|
|
|
BELGIUM/LUX |
22912 |
21223 |
13277 |
9442 |
9364 |
|
|
|
|
DENMARK |
1381 |
1940 |
803 |
878 |
452 |
|
|
|
|
FRANCE |
|
22092 |
37925 |
27083 |
4773 |
6701 |
|
|
|
GERMANY |
87108 |
53468 |
42170 |
11226 |
12261 |
|
|
|
|
IRELAND |
|
9322 |
8365 |
6697 |
4713 |
3719 |
|
|
|
ITALY |
|
127334 |
133942 |
67628 |
28628 |
31950 |
|
|
|
NETHERLANDS |
14222 |
11322 |
9980 |
14166 |
8650 |
|
|
|
|
PORTUGAL |
3593 |
5752 |
3655 |
1535 |
2623 |
|
|
|
|
SPAIN |
|
146325 |
180980 |
157029 |
100353 |
78304 |
|
|
|
SWEDEN |
|
103 |
53 |
390 |
14 |
8 |
|
|
|
UNITED
KINGDOM |
39524 |
40917 |
27232 |
15533 |
13598 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
EXPORTS |
487306 |
507802 |
360819 |
197838 |
172641 |
|
|
|
However,
Table 2 shows that the levels of American softwood value added products show an
increase in export levels, particularly in flooring and veneer.
TABLE 2
|
IMPORTS
OF U S SOFTWOOD PRODUCTS BY COUNTRY |
||||||||
|
================================================================== |
||||||||
|
|
|
|
|
|
|
|
|
|
|
COUNTRY |
|
|
1998 |
1999 |
2000 |
2001 |
2002 |
|
|
|
|
|
|
|
|
|
|
|
|
AUSTRIA |
|
Lumber
- m3 |
|
|
|
|
|
|
|
|
|
Flooring
- m2 |
3138 |
641 |
0 |
3321 |
4403 |
|
|
|
|
Veneers
- $000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BELGIUM/LUX |
Lumber
- m3 |
23175 |
21559 |
12595 |
10276.0 |
9346 |
||
|
|
|
Flooring
- m2 |
7865 |
146 |
487 |
897 |
1440 |
|
|
|
|
Mold
-meters |
667723 |
624389 |
852176 |
0 |
34601 |
|
|
|
|
Veneers
- $000 |
257 |
178 |
410 |
572 |
247 |
|
|
|
|
|
|
|
|
|
|
|
|
DENMARK |
Lumber
- m3 |
1509 |
1940 |
1479 |
|
|
||
|
|
|
Flooring
- m2 |
37367 |
21503 |
21018 |
8038 |
2934 |
|
|
|
|
Mold
-meters |
N/A |
N/A |
|
|
|
|
|
|
|
Veneers
- $000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FRANCE |
|
Lumber
- m3 |
22092 |
37444 |
28671 |
4865 |
6701 |
|
|
|
|
Flooring
- m2 |
0 |
2488 |
1573 |
3357 |
701 |
|
|
|
|
Mold
- meters |
24934 |
0 |
228196 |
36228 |
0 |
|
|
|
|
Veneers
- $000 |
289 |
182 |
892 |
638 |
625 |
|
|
|
|
|
|
|
|
|
|
|
|
GERMANY |
Lumber
- m3 |
87108 |
52666 |
42170 |
13198 |
12261 |
||
|
|
|
Flooring
- m2 |
9400 |
17091 |
10892 |
10612 |
7602 |
|
|
|
|
Mold
-meters |
120369 |
159408 |
28267 |
0 |
51002 |
|
|
|
|
Veneers
- $000 |
1639 |
1439 |
651 |
731 |
1621 |
|
|
|
|
|
|
|
|
|
|
|
|
GREECE |
|
Lumber - m3 |
13390 |
11861 |
4786 |
|
|
|
|
|
|
Flooring
- m2 |
N/A |
N/A |
600 |
|
|
|
|
|
|
Mold
-meters |
N/A |
N/A |
|
|
|
|
|
|
|
Veneers
- $000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IRELAND |
|
Lumber - m3 |
9322 |
8099 |
6697 |
|
|
|
|
|
|
Flooring
- m2 |
35058 |
15925 |
15140 |
32311 |
27525 |
|
|
|
|
Mold
-meters |
N/A |
N/A |
0 |
0 |
0 |
|
|
|
|
Veneers
- $000 |
|
|
|
0 |
0 |
|
|
|
|
|
|
|
|
|
|
|
|
ITALY |
|
Lumber
- m3 |
127334 |
134140 |
67628 |
30450 |
31950 |
|
|
|
|
Floor - m2 |
5775 |
0 |
9808 |
2051 |
1267 |
|
|
|
|
Mold
-meters |
262541 |
205027 |
216375 |
|
0 |
|
|
|
|
Veneers
- $000 |
262 |
536 |
1141 |
835 |
2031 |
|
|
|
|
|
|
|
|
|
|
|
|
NETHERLANDS |
Lumber
- m3 |
14222 |
11297 |
9980 |
14166 |
8650 |
||
|
|
|
Flooring
- m2 |
4329 |
862 |
0 |
9695 |
10156 |
|
|
|
|
Mold
-meters |
106215 |
43974 |
0 |
41721 |
40001 |
|
|
|
|
Veneers
- $000 |
136 |
792 |
437 |
28 |
0 |
|
|
|
|
|
|
|
|
|
|
|
|
PORTUGAL |
Lumber - m3 |
3522 |
5710 |
3655 |
1535 |
2623 |
||
|
|
|
Flooring
- m2 |
N/A |
3640 |
|
0 |
0 |
|
|
|
|
Mold
-meters |
N/A |
N/A |
|
0 |
0 |
|
|
|
|
Veneers
- $000 |
33 |
45 |
246 |
40 |
271 |
|
|
|
|
|
|
|
|
|
|
|
|
SPAIN |
|
Lumber
- m3 |
146325 |
180198 |
157029 |
100457 |
78660 |
|
|
|
|
Flooring
- m2 |
0 |
3798 |
0 |
834 |
841 |
|
|
|
|
Mold
-meters |
1082989 |
0 |
0 |
164121 |
0 |
|
|
|
|
Veneers
- $000 |
1444 |
4880 |
4179 |
4089 |
4593 |
|
|
|
|
|
|
|
|
|
|
|
|
UNITED
KINGDOM |
Lumber
- m3 |
39657 |
41675 |
26314 |
16068 |
13598 |
||
|
|
|
Flooring
- m2 |
62148 |
90336 |
129594 |
152162 |
98293 |
|
|
|
|
Mold
-meters |
N/A |
92141 |
160615 |
287967 |
1089409 |
|
|
|
|
Veneers
- $000 |
243 |
455 |
910 |
667 |
718 |
|
|
|
|
|
|
|
|
|
|
|
|
SWEDEN |
|
Lumber - m3 |
103 |
71 |
390 |
14 |
8 |
|
|
|
|
Flooring
- m2 |
0 |
71719 |
0 |
13238 |
30000 |
|
|
|
|
Mold
-meters |
0 |
168982 |
119142 |
0 |
0 |
|
|
|
|
Veneers
- $000 |
0 |
55 |
0 |
0 |
265 |
|
|
|
|
|
|
|
|
|
|
|
OTHER EUROPEAN COUNTRIES |
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
NORWAY |
|
Lumber
- m3 |
1268 |
843 |
548 |
|
|
|
|
|
|
Flooring
- m2 |
28784 |
37143 |
35757 |
3672.0 |
11923 |
|
|
|
|
Mold
-meters |
N/A |
N/A |
|
|
|
|
|
|
|
Veneers
- $000 |
|
|
|
|
|
|
TABLE 3
Table
3 shows the level of timber exports from Russia. Russia has increased its
export levels into the EU by 20% during the period 2001-2002. This is not
surprising, considering Russia’s strong investment in new sawmills since year
2000. As a result nineteen new mills are now operating, with increased softwood
timber output of some 4 million cubic meters.
GERMANY
As
already stated, Germany’s economy continues to remain very slow. The effect on
the timber trade in Germany is very serious. The window industry’s forecast is
that there will be a further reduction in the number of window units produced
by approximately 10%, from 13 million in 2002 to around 11.7million units in
2003. As a result, two major window producers decided to go into liquidation.
Conversely,
the refurbishment /renovation markets have, until now, provided positive sales
opportunities for timber products. However, there are now indications that these
markets are being adversely affected by the economy, with reports from DIY
companies claiming lower sales during the first half of 2003. Having discussed
this situation with a number of timber of importers, the consensus is that
there will not be a significant change in Germany’s situation until at least
the middle of 2004.
Belgium-Luxemburg
France
The
building and construction activity in France fell during the first quarter of
2003 with private new homes 0.9% lower than the comparable period in 2002 The
forecast of poor growth in this sector is likely to continue for the rest of
2003. Consequently, the use timber products will probably remain flat during the
next twelve months.
Ireland
During the past twelve months the Irish timber market has imported significantly higher volumes of Russian sawn softwood (3658m³ in 2001, 70,896m³ in 2002). This has affected most other exporting countries’ volumes into Ireland, including those from the U.S.A. Despite the fact that Russian timber has improved its position in the Irish market, the real picture in Ireland is that there is an economic down turn, affecting all industries, including the timber industry.
United Kingdom.
The UK appears to be
the only country with an economy, that continues to defy the EU trend. This
situation is mainly fuelled by the housing market, where prices are continuing
to rise at unprecedented levels. The most recent report indicates a rising rate
of 16%, which is actually down from the peak of 25%, occurring earlier this
year. Some economists believe this an indicator of a faltering economy.
However, new housing continues to grow at a rate that is 2.0% higher compared
with the same period in 2002.
As previously
reported, the timber decking market continues to grow.
According to the
major deck installers using American softwoods, a 15% increase is expected in
the number of decks installed in 2003 compared with 2002.
Following a successful series of seminars on the use of American softwoods for outdoor applications and timber decking, held at various venues across the UK, two additional companies have been added to the list of deck installers. The list contains installers who use treated Southern Pine as their main material for deck construction. In addition, one company that stocks treated Southern Pine as a standard product in its timber yard was added.
Full lists of deck installers and stockist are shown Appendix A and B
The Netherlands
During 2002 the
construction industry in the Netherlands slowed down significantly, with new
residential construction 5.5% lower than in 2001. This slow down is expected to
continue through to the end of 2003, followed by an up swing in 2004.
Obviously, the timber industry is being affected by this situation.
One sector, which does not
appear to have been affected, is outdoor garden furniture products . This, in
line with the UK, is a sector, that continues to grow. This growth sector
continues to benefit American
softwoods, particularly California Redwood. During the first five months of
2003, this species increased by 1,164%
(6809 mbf compared with 539 mbf for the
same period in 2002). While discussing this significant improvement with the
largest California Redwood importer in
the Netherlands, he indicated that this situation has developed because of the
environmental position the Netherlands has taken with regard to imports of
tropical hardwoods for garden furniture manufacture, and their potentially dubious
origins (i.e. illegally logged timber).The Dutch buying public are now looking
to obtain products made from certificated, managed forests, which Redwood
obviously fulfils.
ENQUIRIES:
The UK office receives enquiries from all markets in
Northern Europe.
Since the last report, it has received the following
number of enquiries covering the period April to June 2003
|
|
Telephone |
E-mail |
Fax |
Letter |
Magazine |
Exhibition |
Other |
|
TOTAL |
|
APRIL |
2 |
7 |
4 |
1 |
22 |
25 |
|
|
61 |
|
MAY |
6 |
16 |
2 |
1 |
7 |
85 |
|
|
117 |
|
JUNE |
13 |
14 |
2 |
3 |
46 |
|
|
|
78 |
|
TOTAL |
21 |
37 |
8 |
5 |
75 |
110 |
0 |
|
256 |
|
Magazines |
Landscape
& Amenity |
10 |
|
|
|
|
|||
|
|
The
Builder |
52 |
|
|
|
|
|||
|
|
The
Architect |
13 |
|
|
|
|
|||
WEB-SITE VISITS
Since it was launched in January 200,
www.americansoftwoods.com continues to attract online visitors
2003 HITS VISITORS
JANUARY: 47,938 1,787
FEBRUARY: 179,486 1,567
MARCH: 85,004 1,925
APRIL 48,509 1,890
MAY 65,892 2,449
JUNE 41,287 1,774
ACTIVITIES CARRIED OUT DURING APRIL – JUNE 2003
April 3: Meeting held with PR agent,
NetConstruct Ltd to review
existing PR
activities and discuss future activities.
April 9: Annual Programme Meeting with Jerry
Hingle and Craig Larsen
April 10: Set up stand at URBAN GARDENS, Olympia,
London
April 11- 14: Attended
URBAN GARDENS, Olympia, London
April 29: Timber Decking Seminar presentation,
Jersey, Channel Islands
May 1: Attended
BSI Committee Mtg CB/2, Garston
May 2: Attended BSI Committee Mtg B/-/13
May 8: Attended UK Timber Grading Committee Mtg.
May 14: Timber Decking Seminar presentation,
Clevedon, Bristol
May 21: Set up stand at INTERZUM, Cologne, Germany
May 23-27: Attended and participated at INTERZUM,
Cologne
May 28: Meetings at Van Reeth Houtinvoer N.V, Antwerp, Belgium and
European Wood Products Agency, Breda, the Netherlands.
June 5: Attended Timber Decking Association
Board Mtg
June 11: Timber Decking Seminar presentation,
Edinburgh, Scotland