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Softwood Export Council Newsletter
 
May 2009
In This Issue
New SEC Publications
Dubai Wood 2009
Japan Housing Starts
Expo Decor 2009
Upcoming Trade Shows
Quick Links
 
SEC Sample Decks
  
decki2 
The Softwood Export Council has released its newest grade comparsion guide.  The sample deck swatches allows the various grades of a given species to be visually compaired side by side.  This is very helpful in markets where price is the key factor or where there are a mix of grades from other parts of the world.  The guide currently comes in 4 languages, English, Japanese, Chinese, and Arabic.
 
Dubai Wood 2009
By Eddie Pearce
American Softwoods exhibited in Dubai Wood 2009 trade show in Dubai, UAE last month. The booth was supported by SEC members from NAWLA, OECDD, PLEA and the SPC.

The American Softwoods' booth with its vast  amount of softwood information provided strong interest to the visitors to the show.  More than 2000 items of literature were distributed over the three days of the show.  Visitors to the booth were predominantly from U A E and the surrounding countries such as Qatar, Oman, Kuwait and Saudi Arabia but also from Jordan, Libya, and far a field as India and Pakistan.
 
Investment in commercial construction together with "resort facilities" is designed to attract regional business activity and increase tourism to the region, and Dubai, while currenlty hitting a bump, is still leading this activity.  With all the building and construction that is still taking place in Abu Dhabi and the other Emirats, there is a large demand for timber and timber products. This reflected in the number of enquiries that were received at the booth the whole range of these products. Enquiries were received for glulam beams, doors, scaffold boards, treated Southern Pine decking and general constructional grade lumber.
 
Arabic is the primary language and many of the American Softwoods publications have been translated.  English is also understood throughout the UAE.  It was clear that most visitors had limited knowledge of American softwoods and the applications.  The level of attendance to the show was lower than previous years, but the visitors provided very useful information about the timber and woodworking industries in Dubai. 
 
The real opportunity for American softwoods would be in the secondary construction areas and applications such as interiors and external structures, as used in landscaping, i.e. pergolas, gazebos, decking and beach and marina projects, which in themselves are very large. This was supported by the number and quality of enquiries received.
Japan Housing Starts
By Edward Matsuyama 
Housing Starts Decline 20.7 Percent in March 2009
Housing starts continued to struggle in March 2009 to 66,628 units (-20.7%), partly in anticipation of the huge stimulus package which will reduce taxation on mortgage
payments and gift tax for housing. Wooden starts were down 20.9 percent to 31,304
units, 2x4 starts declined 19.4 percent to 6,074 units, post and beam starts were down20.8 percent to 24,222 units and wooden prefab declined 29.8 percent to 1,008 units. Most people expect housing starts to recover in the latter part of 2009 when the JPY6.1million exemption on gift tax to children for housing is implemented. The gift tax exemption on housing will be reduced to JPY1.1 million at the end of 2010. The seasonally adjusted annual housing starts were 888,000 units and the share of wooden housing starts was 47.0 percent of total starts in March 2009.
 
 

 

Total

Housing

Starts

 

Wooden

Post &

Beam

 

Pre-Fabricated

Housing

wooden

Pre-Fabricated

Housing

total

2x4

March 2008

83,991

 

39,563

30,590

1,435

9,760

7,538

March 2009

66,628

 

31,304

24,222

 

1,008

 

8,485

 

6,074

 

Mar/09/Mar/08

79.3% %

 

79.1

79.2%

70.2%

86.9%

80.6%

Last 12 month

1,039,180

 

492,901

 

372,047

 

16,637

 

148,273

 

104,217

 

Compared to previous year

100.3%

 

97.4%

 

95.8%

 

92.2%

 

101.2%

 

104.8%

 


 
 

Housing Starts Increase in Fiscal 2008

Housings starts in fiscal 2008 (April 2008 to March 2009) increased 0.3 percent to 1.039million units. Despite a drop in owner occupied custom built homes, rental housing continues to gain market share. A summary of housing starts in fiscal 2008 is attached below
 

 

Fiscal 2008

 

Total Starts 

1,039,180

0.3%

Owner Occupied  

310,664

-0.4%

Rental Units

444,747

3.2%

Company Housing 

11,089

7.5%

Total Speculative  

272,680

-3.5%

Multi-Family Speculative

164,623

3.1%

Single Family Speculative

106,619

12.0% 

Prefabricated

148,273

1.2% 

2x4

104,217

4.8%

 

(January-March)

Wooden

Starts

 

 

Starts

 

Floor Space (m2)

TYPE

 

2009

2008

Change

2009

2008

Change

Total

 

94,114

118,081

79.7%

9,541,109

11,607,511

82.2%

Single Family

 

50,686

56,399

89.9%

6,422,867

7,234,273

88.8%

Rental Units 

 

23,225

32,681

71.1%

1,056,887

1,390,378

76.0%

Company Housing 

 

242

368

65.8%

25,788

27,864

92.5%

Speculative Housing

 

19,961

28,633

69.7%

2,035,567

2,954,996

68.9%

 

(January to March)

 

2x4

Starts

Floor Space (m2)

TYPE   

 

2009

2008

Change

2009

2008

Change

Total

18,910

22,400

84.4%

1,520,537

1,819,155

83.6%

Single Family

 

5,300

5,746

92.2%

677,992

740,540

91.6%

Rental Units

 

10,827

12,347

87.7%

548,673

614,042

89.4%

Company Housing  

31

25

124.0%

2,225

3,191

69.7%

Speculative Housing

 

2,752

4,282

64.3%

291,647

461,382

63.2%


  




 
Expo Decor- Architecture Trade show 2009
By Fernanda Vale Garcia
Expo Décor Arq tradeshow took place on February 26th-28th in Mexico City.  This is the third edition of the show. The Construction Industry supported the show and the main Mexican chambers and associations of all the construction-related spectrum.
 
This show is intended to reach not only the construction major players but also Architects, electric and hardware wholesalers; decoration, finishing and interiors specialists, hotel builders, apartments, remodeling construction and machinery and equipment vendors.
 
Even though the tradeshow had less exhibitors, the attendance was as good as last year's.  This year, "Espacios de la Construccion y Arquitectura y la Maquinaria", an important magazine in the construction sector, sponsored the show.   
 
There were approximately 144 companies exhibiting; and 110 companies exhibited construction materials, construction accessories and construction machinery.  Only 5 companies that produced retail furniture exhibited. There were about 10 lumber companies either for concrete forming, for furniture, for houses or for generic construction.  Also, we found different chambers such as CANACINTRA and CMIC, which are related to the construction sector, and traditionally sponsor the tradeshow.
 
This year, my impression is that the attendants were more eager to learn about the usage of lumber for different applications in different type of projects.  Raised questions involved softwoods to remodel theaters, TV stages, monuments, shelves and statues.  Towards this end, visitors to our booth requested laminated beams and different types of lumber either softwoods or hardwoods, but mainly for structural purposes.  They requested either OSB to use it on walls or SYP for heavy structures.  Finally, some people mentioned that they were looking for materials viable to combine lumber with iron.
 
I noticed that there were fewer furniture manufacturers for indoors uses. Typically, they use either lumber, plywood, LVL and OSB for structural uses and also they requested SYP for exterior uses; such as decking and wood housing construction.
 
The most requested species were SYP and Ponderosa Pine either treated or not treated. Few other people requested Red Cedar.  Regarding boards (panels), most of the questions were oriented towards requesting plywood and OSB in Mexico.  Some others inquired if MDF and Particle Boards and laminates are feasible materials to manufacture their furniture. Some lumber distributors requested us US-lumber; unfortunately they can´t import it directly because their company is not big enough to buy directly; for this reason, they buy from larger importers in Mexico, which can buy directly from the US.
 
On the other end, builder developers requested lumber to concrete forming for housing constructions -buildings and warehouses in most of the cases.  These builder developers were from all over Mexico, but mainly from Mexico City and quite a few came from other States.

Upcoming Trade Shows and Seminars 

June
  • SEC Spring Meeting - June 11 - Sacramento
  • Total Construction - Osaka - June 3-6
  • Interbuild Egypt - Cairo - June 18-22

August 

         Tecno Meuble Guadalajara August 19-22

September
  • FMC China September 9-12 Shanghai 
  • SEC China interior seminars
  • USCB mission

October
 

  • EXPO CIHAC October 14-17 Mexico City
  • Interbuild 2009 October 18-21, NEC Birmingham

November

  •  Maderalia November 3-6 Valencia Spain
  • Japan Home and Building Show Novemebr 11-13 Tokyo


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