May 31, 2001

SOFTWOOD  PRODUCT  MARKETS  IN  JAPAN

By Ikuo “Yami” Yamiguchi

 

1)  SOFTWOOD  vs.  HARDWOOD

 

Although an encyclopedia defines "SOFTWOOD" as the general term for trees that have needle-like or scale-like leaves and bear cones, the term has no reference to the actual hardness of the wood.  Most Japanese, however, may inadvertently misinterpret it.  Therefore, please be careful when using the term "SOFTWOOD" with the Japanese.  It would be safer to use the term "CONIFERS," or "Shin-yo-ju" in Japanese, rather than "SOFTWOOD," to avoid possible confusion, and in the same way, "HARDWOOD" is best explained by "Broad-Leaved Tree," or "Ko-yo-ju" or "Katsu-yo-ju" in Japanese. 

 

2)  PLYWOOD  vs.  VENEER

 

The formal term in Japanese for "PLYWOOD" is "GOHAN," but it is also colloquially called "VENEER-ITA," meaning "Veneer Laminated Boards."  Because this colloquial term is frequently shortened to "Veneer," few Japanese people know the difference between the words "PLYWOOD" and "VENEER."  So, be careful in using the terms.  Although it is not so popular for the people in general, the formal professional term for veneer is Tanpan.

 

3)  LAMINATED  LUMBER

 

Because of the latest trend in Japan for heavy timber construction, "Glulams" are experiencing a boom.  However, the traditional Japanese uses of wood components are also increasing in the form of glued lumber, as opposed to solid wood.  This applies to such items like "posts (Hashira)," "rails for sliding doors (Shikii and Kamoi)," "moldings like nageshi, (Horizontal member surrounding inside of room at the level of atop of upper rail of sliding doors)," Stepboards (Kaidan-ita,)" "Handrails (Tesuri)," etc.  A problem is that the Japanese term for these glued wood products is "Shusei-Zai," meaning "laminated lumber," whether they are a "Glulam" heavy timber, a "header" to be used for window or door openings, furnitures, posts (baby squares) or other home components as indicated above to be used for conventional Japanese homes, which are manufactured by laminating, edge-gluing, end-gluing and/or finger jointing.  Under the circumstances, if and when you are asked by Japanese about the "materials for laminated lumber (in most cases, they say "core materials for Shusei-Zai" since they are often covered by decorative veneers), be certain to ask the intended uses.  In many occasions, they do not mean laminating stock for a Glulam heavy timber but for something else, normally smaller in size. 

 

4)  METRIC  SIZE  vs.  ENGLISH  SIZE

 

The Japanese use the metric system of measure but it is just a variation of the old measuring system in Japan called "Shaku".  As you may know, the most common size for Hemlock or Douglas Fir Baby Squares are of either 4-1/8" or 3-9/16", or in the metric sizes 105mm or 90mm.  One Shaku happens to be very similar to One Foot; the former is 30.3cm whereas the latter is 30.5cm, just a difference of 0.2 cm.  The 105mm is just 35% of one Shaku and the 90mm is 30% of One Shaku.  Most of the lumber sizes used for the traditional Japanese construction are based on this Shaku system and, to make things more complicated by the different practices in sizes depend on region by region, and, therefore, you may encounter various odd sizes in discussions with Japanese importers.  The same principle applies to plywood.  The common size in Japan is considered to be 3'x6'.  However, it is not really 3'x6' (or 91.5cm x 183.0cm), but 3 Shaku by 6 Shaku (or 91cm x 182cm).  Thus, the most common interval of studs and joists is 455mm o.c. (150% of one Shaku) and not 18 inches o.c.

 

5)              SOME JAPANESE  TRADITIONAL  TERMS, NOW BEING USED FOR THE IMPORTED ITEMS

 

Although some Japanese terms used for wood construction in Japan are indicated in the Item 3) above, here are

the specific terms used these days between American suppliers and Japanese importers for their transactions.  Here are some examples.

 

HIRAKAKU literally means “square but not regular square, “namely, not like 4”x4” but 4”x8”, 4”x12”, etc.  The most typical sizes are

 

120mm x 300mm (4-3/4”x11-3/4”),

105mm x 300mm (4-1/8”x11-3/4”),

105mm x 240mm (4-1/8”x9-1/2”),

120mm x 360mm (4-3/4x14-1/8”), etc. in the lengths of 10 feet (3meters), 13 feet (4meters) and 20 feet (6meters),

mainly being used for Beams.

 

MABASHIRA literally means “posts in between, “namely, what you are familier with the term “stud.”  Their common sizes are

 

30mm x 105mm (1-1/4”x4-1/8”) and

27mm x 105mm (1-1/16”x4-1/8”)

in the length of 10 feet (3 meters).

 

TARUKI is Rafter in the sizes of 

 

40mm x 45mm (-9/16”x1-3/4”),

45mm x 45mm (1-3/4”x1-3/4”),

36mm x 40mm (1-7/16”x1-9/16”), etc.

in the lengths of 10 feet (3 meters) and 13 feet (4 meters).

 

SUJIKAI is Diagonal Bracing in the thickness of 30mm (1-1/4”), 36mm (1-7/16”) or 45mm (1-3/4”), in the width of 105mm (4-1/8”) and the length of 13 feet (4 meters).

 

STATISTICS  AND  BACKGROUND  FOR  WOOD  PRODUCTS  IN  JAPANESE  MARKET

 

The population of Japan is approximately 100 million and the Japanese use around 100 million cubic meters of wood and wood fiber annually.  In other words, on average, each person uses one cubic meter or 424 board feet of wood every year.  This used to be a general guideline, but since the early 1980's, a trend began which saw less per capita wood consumption.  Fortunately, however, a recovery is seen between 1987 and 1991, mainly reflecting the increased Yen value and the government's domestic demand stimulating policy, partly derived from American pressure, called "structural impediment talks", as referred as MOSS and Super 301.  Since 1991, however, reflecting the so-called "Collapse of Bubble Phenomenon," the depression has been continuing.

 

The quantity breakdown by country of origin of the "materials" during the past several years is shown below.  By "materials," they mean logs and materials for remanufacturing.  Therefore, finished lumber from North America and northern Europe, imported plywood from Indonesia, etc., are not reflected in these figures, but referred to in other chapters.  (Unit:  1,000 cubic meters.  Source: Japan Plywood Manufacturers Association's Statistical Yearbook and Japan Lumber Importers Association.  Also refer to Statistical Exhibits referred as Statistical Exhibits I, II, III, IV and V, as appeared in the last portion of this report.)

 

 

 

1994

1995

1996

1997

1998

1999

2000

 

Total

79,661

(100%)

79,046

(100%)

78,124

(100%)

76,049

(100%)

67,781

(100%)

67,256

(100%)

64,436

(100%)

Domestic

Species

17,440

(21.9%)

16,252

(20.6%)

16,154

(20.7%)

15,430

(20.3%)

13,400

(19.8%)

13,246

(19.7%)

13,019

(20.2%)

 

S.E. Asia

6,802

(8.5%)

5,925

(7.5%)

5,781

(7.4%)

5,233

(6.9%)

3,969

(5.8%)

 4,326

(6.4%)

4,007

(6.2%)

U.S.A../

Canada

14,325

(18.0%)

13,380

(16.9%)

12,799

(16.4%)

11,064

(14.5%)

9,079

(13.4%)

8,458

(12.6%)

8,521

(13.2%)

 

Siberia

3,896

(4.9%)

4,000

(5.1%)

3,845

(4.9%)

3,991

(5.2%)

3,362

(5.0%)

3,731

(5.5%)

3,822

(5.9%)

 

New Zealand

1,316

(1.7%)

1,366

(1.7%)

1,307

(1.7%)

1,408

(1.9%)

1,223

(1.8%)

1,148

(1.7%)

982

(1.5%)

 

Europe

-

507

(0.6%)

192

(0.2%)

140

(0.2%)

79

(0.1%)

11

(0.02%)

44

(0.07%)

 

Others

308

(0.4%)

420

(0.5%)

436

(0.6%)

398

(0.5%)

364

(0.5%)

344

(0.5%)

306

(0.5%)

Pulp & Chips

(Domestic

&  Imported)

35,574

(44.6%)

37,196

(47.1%)

37,610

(48.1%)

38,383

(50.5%)

36,305

(53.6%)

35,992

(53.5%)

33,735

(52.4%)

 

Explanatory Notes:

 

1)  Domestic indigenous species are mostly coniferous trees such as Hinoki (Chamaecyparis obtusa), Pine (Matsu), Cedar (Criptomeria Japonica), Hiba (Thujopsis dolabrata), Tsuga (Tsuga sieboldii), Ezomatsu (Picea Jezoensis), Todomatsu (Abies sachalinensis) and Karamatsu (Larch).  Some broad-leaved trees are included, such as Birch, Beech, Oak, Ash, Maple, Cherry, Shina (Tilia Japonica), Ho (Magnolia obovata) and Keyaki (Zelkova serrata makino).  All are basic materials for Japanese conventional home construction, decorative panels, cabinets and furniture.

 

2)            Species from Southeast Asian countries are represented by the general term, "Lauan," which is a broad-leaved

tree and has many different names and species according to the exact origin.  Lauan is particularly good for obtaining very thin, defect-free veneer to produce relatively thinner plywood panels than in the U.S. made panels.  Because of this, the Japanese concept of plywood (thinner defect-free hardwood panels for more decorative uses) is fundamentally different than the American concept of plywood (thicker and rather knotty softwood panels for more structural uses ).  Because of the recent remarkable increment of plywood import, mainly from Indonesia and Malaysia, plywood log imports from Southeast Asian countries have been decreasing, i.e. 26,789 M cubic meters recorded in 1973 was the largest figure, as opposed to today’s 4 million level. (See Statistical Exhibit I ).

 

3)  Species from the U.S.A. and Canada are those you are familiar with.  Regarding the quantity breakdown of imported materials by type, species and origins, please refer to the attached Statistical Exhibits II and III.

 

American species have been used not only to supplement the insufficiency of indigenous wood but also because of the higher yield obtainable from the larger logs, especially for "Finish" or "Appearance Grade" lumber or for the typical conventional Japanese structural members used for the traditional Japanese house construction, many Japanese sawmills rely on those logs, though the import of American sawn lumber is gradually increasing its ratio against logs as also shown in the Statistical Exhibits I and II.  Meantime, 1995 is the remarkable year since the quantity of sawn lumber import exceeded first time in history than the same of logs.

 

Most American species have Japanese names as follows: 

 

                 Bei-Hinoki or Bei-Hi (American Hinoki) for Port Orford Cedar,

                 Bei-Matsu (American Pine) for Douglas Fir,

                 Bei-Sugi (American Cedar) for Western Red Cedar,

                 Bei-Hiba (American Hiba) for Alaskan Yellow Cedar and

        *Bei-Tsuga (American Tsuga) for West Coast Hemlock.

 

    *(In a certain area such as Osaka, Bei-Tsuga is referred to as Bei-Toga. 

Some people also refer to Sitka Spruce as Alaska Hinoki, Western Red Cedar

as Canada Sugi, Alaskan Yellow Cedar as Canada Hinoki and Western Hemlock as Canada Tsuga.)

 

In the meantime, reflecting the campaign taken place by various Japanese language literature as well as the trade shows in Japan since 1995, continuous advertising programs, and the Japanese interest in seeking any alternative unknown species on the global basis, an interest in Southern Yellow Pine is tremendously increasing these days, especially for the interior decorative uses and the exterior decorative and structural uses.  

 

4)  Siberian species are Pine (Pinus Koraiensis), Larch (Larix olgensis), Picea (Picea Jezoensis) and Abies (Abies sachalinesis).  The log sizes are comparatively smaller than those of American species and they have less varieties in usage than American species.  Their main usages are for packaging, sheathing strips, rafters and other general uses.  However, some plywood manufacturers are now producing plywood out of Russian Larch and this trend is expanding, because plywood manufacturing industry has changes these days to use smaller diameter logs.

 

5)  The primary New Zealand species is Radiata Pine.  The same comments apply as above regarding the log sizes and usages.  Moreover, the knots are conspicuous and grain is relatively coarse (wider in width between annual rings), which also prevents its wider use.  However, pruned logs are now widely available.  Also, New Zealanders are now eager to supply to Japan their 2 by sized dimension lumber.  The same species also comes from Chile.

 

6)  Others in the above table include those items from Taiwan, China, Africa and other countries.  Especially since 1993, reflecting the price increment of North American lumber, North European's lumber to Japan is increasing as shown in the Statistical Exhibit IV.

 

HISTORY  OF  AMERICAN  LUMBER  IN  JAPAN

 

While history says Commodore Perry brought Douglas Fir block to Japan in 1853, the year of 1923 was an epoch-making year in the history of Japanese imports of American lumber.  On September 1st of that year, the city of Tokyo was completely destroyed by the Great Earthquake.  The domestic supply of lumber products was insufficient and a good quantity of American lumber, mainly in the forms of medium to large squares such as 12" x 12" to 24" x 24", was imported.  The Japanese terms for the species cited above mostly originated at that time.

 

More serious disasters came during the World War II.  Not only the city of Tokyo but more than 100 cities and towns all over the nation were destroyed by bombing.  To make the matters worse, most of the trees all over Japan were cut for the purposes of war and fuel (not only for fire wood but as a substitute of crude oil), as virtually no other resources were available.  Consequently, when the war was over, only naked mountains remained.

 

To recover, both the governmental and private sectors decided to both build as many non-wooden houses as possible and begin a major reforestation campaign.

 

Nevertheless, people cannot live without wood and the Japanese sought material in the form of logs from the U.S.A., the Philippines and later, from Siberia, New Zealand, Malaysia, Indonesia, etc.  The logs from South East Asian countries were converted into hardwood plywood and then exported to the U.S. as a major source of foreign currency.  This situation remained until the mid 1960's, when the Koreans and Taiwanese captured the majority share of Lauan plywood exports to the U.S.A., which is now captured by the Indonesians.

 

As for softwood lumber, because of insufficient supply and a gradual increase in demand reflecting the overall economic recovery, prices rose to an extraordinary high level.  Therefore, in 1961, another epoch-making year, a powerful minister of construction decided to stimulate lumber imports from North America.

 

Reacting to the minister's stimulus, Canadians started to ship their full sawn 4" baby square Hemlock by large break bulk vessels.  This trend continued for some 10 years and many American sawmills joined this business, though with frequent complaints about cyclical ups and downs.  Then the Oil Crisis ended this boom, leading to forecasts of a continuous depressed market.

 

Around that time, 2x4 construction started with the support of the government (to be described below) and a new market for American dimension lumber was created.  The baby squares were gradually changed to the traditional Japanese dimension and the 4" size was changed to other sizes.  One time, the baby squares had a share of almost 80% of the total quantity of imported lumber from North America.  Now it is only about 16%, as other sizes, mostly referred to as "custom cut", or "side cut", predominate, as referred in the JLIA statistics as "Various Sizes" which cover almost 62% of total sawn lumber import. 

 

The system of transportation has also changed.  At one time, a break bulk shipment was common.  Currently, containerization is more prevalent.  Latest statistics show that container shipments to Japan cover about 50% of total imports.  As a result of containerization, importers may now save inventory cost, however, at the same time, Canadians are also actively using new large vessels called RO-RO (Roll on Roll off), which make their shipments more efficient.

 

The successful result of the reforestation program started soon after the World War II has now created serious problem for the forest owners in Japan.  These trees, mostly Japanese Cedar, followed by Hinoki, have now grown and it is time to thin or harvest them.  Due to a lack of labor and the high cost to take care of these forest due to steep mountains and narrow mountain roads, etc., the problem will not be easily solved, being a headache of forest owners in both private and government sectors.

 

 

 

HOUSING  STARTS

 

The number of houses built, their total floor space and the average floor space per unit since the good years before the oil crisis up to now are indicated below.

 

                 Year         Number of Units       Total Floor Space         Average per Unit

 

                 1972                          1,821 M                    1,519,742 M sq. ft.                      834 sq. ft.

1973                          1,905                         1,732,812                                     909

1974                          1,317                         1,274,891                                     968

                 1975                          1,356                         1,343,853                                     991

                 1976                          1,524                         1,489,737                                     977

                 1977                          1,508                         1,514,997                                   1,003

                 1978                          1,549                         1,611,081                                   1,040

                 1979                          1,492                         1,620,408                                   1,086

                 1980                          1,268                         1,280,321                                   1,010

                 1981                          1,152                         1,159,397                                   1,006

                 1982                          1,146                         1,157,086                                   1,010

                 1983                          1,137                         1,068,981                                     940

                 1984                          1,187                         1,077,430                                     908

                 1985                          1,236                         1,108,647                                     897

                 1986                          1,365                         1,193,259                                     874

                 1987                          1,674                         1,424,637                                     851

                 1988                          1,685                         1,446,169                                     859

                 1989                          1,663                         1,451,551                                     873

                 1990                          1,707                         1,484,388                                     870

                 1991                          1,370                         1,260,115                                     920

                 1992                          1,403                         1,278,104                                     911

                 1993                          1,486                         1,415,581                                     953

                 1994                          1,570                         1,564,309                                     996

                 1995                          1,470                         1,466,989                                     998

                 1996                          1,643                         1,697,412                           1,033

                 1997                          1,387                         1,388,696                                   1,001

                 1998                          1,198                         1,201,442                                   1,003

                 1999                          1,215                         1,269,430                                   1,045

                 2000                          1,230                         1,320,611                                   1,074

 

Up until 1967, housing starts per year were less than one million.  Rapid growth started in 1968 to record a peak of 1,905M dwellings in 1973.  However, due to the first oil crisis, a drastic drop occurred in parallel with increased cost of land and building materials.  Lowering of real income was another factor of decline and such discouraging trend continued until the early part of the 1980's.  However, because of the increased yen value, favorable money supply and generally good economic situation, a tremendous recovery is observed since 1986, so much that 1990 was the third best year in Japanese history.

 

Japan has now a sufficient number of houses (existing houses now total 36 million units, whereas the number of households is 33 million).  The houses to be built from now on must be better in quality and greater in space, to replace the old, narrow and deteriorated houses, most of which were built soon after the World War II using cheap materials.  Most of such houses and buildings were victims at the time of Kobe Earthquake, January 17, 1995.  Conforming to this basic understanding, recent trends show that floor space per unit is gradually increasing as shown above.

 

While the trend to increase the space of single family dwellings is still continuing, another trend is the inability of people to buy detached house due to extraordinarily high cost.  Many people must stay in high-rise concrete apartments, the space of which is usually not so large.  Ridiculously enough, such apartments are called a "mansion" in Japanese and we even use the very funny expression of a "one room mansion".  Originating from the Japan Housing Corporation's (Quasi-government organization) term, we use the terms 1DK, 2DK, 3DK, 4LDK, etc. for the sizes of a house.  DK stands for "Dining Kitchen" or a kitchen with the space to place a dinner table.  A kitchen not large enough to place a dinner table is symbolized as "K".  "L" stands for living room, so, 4LDK means 4 rooms (for multiple purposes of a bedroom and other uses such as Tatami-mat rooms), one living room (normally in Western style) and one dining Kitchen.  Most commonly, the size of a room is good for 6, 8 or 4.5 Tatami mats, namely, roughly 9'x12', 12'x12' or 9'x9', respectively.

 

Meantime, some important points we should realize are the facts that we still have a stable market of more than one million housing starts, which is the second largest market in the world, next to the U.S.A., and that the quality has been much improved.

 

Another thought should also be given to the market of "Repair and Remodeling."  As indicated above, a number of old, narrow and deteriorated houses still exist.  Many of those who cannot afford new houses must repair, rehabilitate or remodel their existing homes.  Thus, our campaign toward the Repair and Remodeling, or Reforming, including the "Outdoor Living Idea", or recent popular term of “Gardening”, is highly popular.  However, the “Collapse of Bubble phenomenon” started in 1991 got into the worst situation in 1997/1998 and we are now hoping the earliest economic recovery.  Incidentally, another favorable new trends are towards the "3-story, multi-family wooden construction", which is mentioned at the latter part of this report, and more consciousness on lumber products for more precise pre-cutting and related drying, due to CAD / CAM fabrication for home components is getting popular.

 

Breakdown of Housing Starts in 1999/2000

 

 

1999

2000

2000/1999

Total

1,214,6011  (100%)

1,229,843  (100%)

+1.3%

Wood P & B

489,680  (40.3%)

476,700  (38.8%)

-2.7%

Wood 2x4

75,864  (6.2%)

79,114  (6.4%)

+4.3%

Pre-fab

185,724  (15.3%)

175,069  (14.2%)

-5.7%

Other Non-Wood

463,333  (38.2%)

498,960  (40.6%)

+7.7%

 

TYPE  OF  HOUSE

 

Although the wood related industries in Japan are working hard to keep the ratio of wooden houses as large as possible, the share of non-wooden houses, such as concrete buildings, houses with steel posts and beams, etc. is increasing, with the ratio as indicated above.  However, wooden houses in 2000 cover 692,796 square feet, or 52.5% of the total floor space.  In other words, wooden houses are relatively larger than non-wooden houses.

 

Since the majority of wooden houses is still traditional Japanese homes, American suppliers of wooden materials to the Japanese market should try to conform to traditional Japanese specifications, in addition to the campaign for 2x4 construction.

The specifications for lumber for conventional houses have many varieties.  Supposedly there are some 400 different sizes, whereas American dimension lumber has its five basic sizes only.  One typical example is the baby square in full sizes of 4-1/8" x 4-1/8" (105mm x 105mm) and 3-9/16" x 3-9/16" (90mm x 90mm) in lengths of 10' and 13', which are used not only as the structural members of a house but are sometimes a part of the interior decoration, the surface of which is kept natural and unfinished.

 

Because of this fact, the Japanese are attaching to the whitish fine grain unknotty wood and thusly, a fine grain Cascade type Hemlock is preferable, especially for the "post" size of 4-1/8" squares, while this consideration is

less important for the "purlin" size of 3-9/16", or the "beam" sizes of heavy timber in Douglas Fir, since they are concealed.

 

As indicated above, Japanese specifications have many varieties.  Under such circumstances, there are many opportunities for American suppliers to find out specifications which best suit their mill's production.

 

WOOD  FRAME  PLATFORM  CONSTRUCTION

 

In 1974, a new building code recognizing wood frame platform construction was added to the conventional building methods such as post and beam construction, concrete buildings, prefab home, etc. and North American dimension lumber has got a great penetration into the market.  Incidentally, this new construction system is generally called in Japan the "2x4 construction system." i.e., that "Made in Japan" English terms have got also popular in the United States these days.

 

Contrary to the enormous anticipation that prevailed at the time of its official recognition in 1974, the development of "2x4 construction" has been rather slow and the progress of this construction is as follows:

 

                 1974.........................................    168 units

                 1975........................................   2,572

                 1976........................................   5,117

                 1977........................................   5,163

                 1978........................................   6,115

                 1979........................................   11,720

                 1980........................................   13,003

                 1981.......................................   13,486

                 1982.......................................    16,208 

                 1983.......................................    17,233 

1984.......................................    20,240 

                 1985.......................................    24,095

                 1986.......................................    31,708 

                 1987........................................   40,105 

                 1988.......................................    41,493

                 1989.......................................    47,572

                 1990.......................................    51,093

                 1991.......................................    45,437

                 1992.......................................    52,933

                 1993.......................................    56,299

                 1994.......................................    64,037 

                 1995......................................     73,989

1996.......................................    93,693

1997.....................................…  79,458

1998 ....................................…  67,923

1999 ……………………...  75,864

2000 ……………………   79,114

                                   

           Total........................................1,035,838,

namely, the year of 2000 is a historical year, exceeded 1 million, in. total for this past 28 years.  

             


The followings are some reasons even today for the slow movement of the construction method as well as some good reasons for a remarkable improvement during the past few years.

 

1)            Some of the Japanese people are still unaware of the advantages of the new system, as conventional housing

construction has a history of several hundred years.

 

2)  The difference in building modules between the two countries, 4 foot by 8 foot versus 3 foot by 6 foot, had not yet been harmonized.  It might be more appropriate to say that Japan started its unique "2x4 construction" based on a 3x6 module, as referred as "Japanized 2x4 Construction", since the most common spacing of studs, floor joists and rafters is about 18 inches o.c., or specifically 455mm o.c., based on the traditional Japanese measuring system.

 

3)  In conformity with the new building code, the materials for housing construction are specified by JAS (Japan Agricultural Standard) for lumber and plywood or JIS (Japan Industrial Standard) for nails, gypsum boards, etc.  These specifications are now becoming serious problems, because of the recent move on "Imported Packaged Houses," for which, according to the Japanese stipulations, all the materials for structural purposes should have "JAS" or "JIS" marks.  The latest trend to make North American sawmills and plywood plants JAS authorized  or what is called “Internationalization” have greatly solved this problem. 

 

The reasons favoring the progress of "2x4 construction" are as follows:

 

1)  The Government Housing Loan Corporation (GHLC), which provides funds for new home construction at a relatively low interest rate, has published a building specification book for "2x4 construction", which has stimulated this construction method.

 

2)  As a result of the test conducted in 1976/1977 by the Building Research Institute, an agency of the Ministry of Construction, "2x4 construction" houses built under a certain preventing measure (dry wall system or gypsum board application) were proven to be fire resistant.  Therefore, such houses can get a higher loan from GHLC and a lower premium for fire insurance, which provided further incentives.

 

3)  The fire tests conducted in December, 1978 by the government and the Japan 2x4 Homebuilders Association (J2x4HBA) for their experimental town-houses building further proved that a townhouse built by a 2x4 system has got fire resistance (party walls with gypsum board application worked as the complete fire barrier).  Since this idea can work for effective use of scarce land space, the Japan Housing Corporation, many local government owned housing corporations and also some private builders have been building many townhouses using the 2x4 system.

 

In addition to the above, "2x4 construction" also provides resistance against earthquake, as proved by the Kobe Earthquake on January 17, 1995, a higher degree of energy-saving than any other building methods, cost savings in construction, etc.  Meantime, a series of seismic and fire tests was conducted in the later part of 1991 to allow multi-story/multi-family wooden construction, which were jokingly referred to as "Shake and Bake" tests.

 

An expected scarcity of skillful craftsmen required for the traditional Japanese construction should also stimulate the growth of "2x4 construction".  Yet, Japan is also now experiencing a shortage of labor for 2x4 construction, which is one reason why the growth had slowed in 1988 and 1991, when the economies were good for other fields.

 

Considering the above advantages and favorable trend, ASJO and its Canadian counterpart, COFI, are closely working with the Japan 2x4 Homebuilders Association (J2x4HBA) for the promotion and application of 2x4 systems so that more dimension lumber can be sold in Japan.

 

J2x4HBA is an organization supported by the government and is composed of some 1000 companies such as homebuilders, general contractors, developers, architect offices, trading companies, building material suppliers and other related organizations, including ASJO, APA/EWA and AF&PA.

 

SPC and SEC have published a set of many publications in Japanese all of which are receiving a great deal of attention by those who want to know about 2x4 construction and other American softwood matters.  Their titles are as follows:

 

SPC

 

 

SEC

 

 

APA-Engineered Wood Association, American Hardwood Export Council (AHEC), and AF&PA also have a good quantity of various attractive brochures in Japanese.

 

IMPORT  DUTY  FOR  SAWN LUMBER  AND  OTHER  PRODUCTS

 

Most lumber products from West Coast are free of duty but we still have quite a few tariff barriers.  A comprehensive summary of duty rate, as of January 1, 2001, applicable to the items available in the U.S.A. is listed below.  Meantime, because of the introduction of many new materials, tariff rate assessment by the Japanese customs officers is getting problems for some items like mouldings.  We wish these tariff system to be simplified, if not to be totally Zero, while some safeguard issues are being talked from time to time.

 

Free of Duty                 Logs of all species, sawn lumber of all species more than 160mm in thickness, Sawn lumber

                    not more than 160mm in thickness of Douglas Fir, Western Hemlock, Mountain Hemlock,

                    Sitka Spruce, all Cedar families, California Red Fir, Grand Fir, Noble Fir and Pacific Silver

                    Fir, Windows and Doors and Packaged Home.

 

4.8% Duty Rate        Sawn lumber, rough sawn, not more than 160mm in thickness of all Genus Pinus, Genus Abies and Genus Picea, but excepting those species as mentioned in the Free of Duty category. (It is recommended that , if you are                 shipping White Fir, it should be invoiced as Hem-Fir or Hemlock to escape from the duty.)

 

6% Duty Rate            Same as above but Genus Larix.

 

4.8% Duty Rate           Dimension lumber excepting the species indicated in the Free of Duty Rates (S-P-F Dimension Lumber falls in this category.)

 

2.9% Duty Rate           Wooden Products, not otherwise specified.

 

3.9% Duty Rate      Laminated Lumber and other items intended for specified uses.

 

3.6% Duty Rate          Solid softwood Mouldings.

 

5% Duty Rate             Softwood Veneer.

 

6% Duty Rate       OSB/Waferboard/Particleboard. and Softwood Plywood.

 

6% Duty Rate      Laminated Veneer Lumber (LVL), Veneer overlaid products such as mouldings, Stepboards, etc.

 

6% Duty Rate              Laminated Lumber in general.

 

 

SUMMIT  HOUSE  '86  and  SUPERHOUSE  '92

 

This report cannot be completed without mentioning about these joint promotional venture by the American industry and government.

 

As a result of the MOSS Talks, a three story experimental model structure was built in Tokyo in 1986, which had worked to stimulate a campaign in Japan for the 3-story wooden building.  It originated with a USDA (U.S. Department of Agriculture) plan but its aftereffect has been a tremendous boost toward changing Japanese Building Codes.

 

The philosophy of this campaign falls into 5 categories as follows:

 

                 If proper arrangements are made

                

                 1)  Wood is resistive against fire and

                 2)  Wood is resistive against decay.

                 Furthermore,

                 3)  Wood is structurally strong,

                 4)  Wood is attractive by nature and

                 5)  Wood construction itself is economical in various ways.

 

As a result of the Super 301 talks in 1990, another project called "Super House" was completed in September, 1992.  It is now being developed to further the concept of the 3-story single family Summit House, into a multi-family residential construction.  This 3-story multi-family idea is now called in abbreviation in Japan as "Moku-San-Kyo", meaning "Wooden, 3-story and multi-family residential building."  Since its official code change in May, 1993, 433 Moku-San-Kyo were built in the first 3 years up to 1995, which now turned out favorably as 1,121 units in the year of 1999.

 

The Japan Offices for SEC, SPC, APA/EWA and the American Hardwood Export Council (AHEC) and AF&PA are maintaining good team work in Japan to expand the applications of American wood products.

 

RELATED  ORGANIZATIONS  IN  JAPAN

 

As of January 6, 2001, Japanese government Offices are re-organized and here are many new names.

 

Government Offices and Quasi-Government Organizations

 

Ministry of Foreign Affairs (MOFA)

Ministry of Finance (Import duties and Customs are among their jurisdiction)

Housing Bureau of Ministry of Land, Infrastructure and Transport (MLIT)

Ministry of Economy, Trade and Industry (METI)

Ministry of Agriculture, Forestry and Fishery (MAFF)

Center for Food Quality, Labeling and Consumer Service

Forestry Agency, an agency of MAFF (Distribution, supply and demand and other sectors of forest products, domestically and internationally.)

Government Housing Loan Corporation (GHLC), government owned financing agency for home owners.

Housing and Urban Development Corporation (Jyu-To-Kodan), formerly known as Japan Housing Corporation.

Japan Wood-Products Information and Research Center (JAWIC)

Japan External Trade Organization (JETRO)

 

Independent Administrative Institution

 

Building Research Institute (Ken-Ken), located at Tsukuba.

 

Forestry and Forest Products Research Institute (Shinrin-So-Ken), formerly known as Forest Experiment Station, also located at Tsukuba.

 

Grading and Inspecting Organizations

 

All Japan Federation of Lumber Associations (Zen-Moku-Ren), who inspects lumber, in addition to their

                                     consolidated lumber promotional activities .

Japan Plywood Inspection Corporation (JPIC), who inspects plywood, LVL, structural panels, floorings

and laminated lumber

The Building Center of Japan, who inspects all other building materials, in addition to their general information                                                              activities in construction in general.

Japan Housing and Wood Technology Center (HoWTeC)

 

Center for Better Living

 

Associations

 

Japan Two-by-Four Homebuilders Association (J2x4HBA)

Japan Two-by-Four JAS Lumber Council (JAS-Kyo)

Japan Lumber Importers Association (JLIA)

Japan American Lumber Conference (JALC)

Japan American Wood Sawmiller's Association (Bei-Sei-Kyo)

Japan Plywood Manufacturers' Association (JPMA or Nichi-Go-Ren)

Japan Wood Processing Technology Association

Japan Wood Forum

Japan Young Lumbermen's Association (Moku-Sei-Ren or MSR)

All Japan Federation of Traditional Homebuilders (Zen-Ken-Ren)

Japan Wood Preservers Association

Japan Laminated Lumber Association

Japan Pre-cut Lumber Association

Japan Log House Association

Manufactured Imports Promotion Organization (MIPRO)

Wooden Home Builders Association of Japan (Moku-Ju-Kyo)

Federation of Housing Association s (Ju-Dan-­Ren)

Registration Organization for Warranted Houses (Hosho-Kikoo)

Council of Forest Industries of Canada (COFI)

 


North  American  Timber  Importers  by  Species

Units: m3                                                                                                                                                                                                      

 

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

 

(Logs)

HEM

DF

SPR

RC

YC

POC

NF

WF

TAM

WP

PINE

MIX

 

2,133,563

5,460,999

950,718

95,403

103,669

31,463

15,605

356,740

9,848

10,587

11,347

45,898

 

2,120,566

5,329,328

949,600

102,490

139,684

23,371

15,327

199,957

5,252

6,819

9,667

5,443

 

1,718,515

4,768,900

857,206

90,761

138,442

20,155

17,447

181,337

3,993

3,859

88,704

884

 

1,457,599

4,689,402

836,669

69,965

132,501

15,513

13,220

160,823

2,544

4,160

2,366

630

 

1,203,820

4,549,486

754,089

75,516

111,793

9,327

11,787

153,892

3,359

5,855

1,487

97

 

1,096,930

4,737,401

829,988

47,132

66,353

9,972

13,200

118,718

1,513

1,645

1,651

1,217

 

1,038,185

3,466,527

745,500

56,294

68,506

11,242

7,902

114,264

1,638

994

881

2,326

 

685,789

3,369,168

399,244

30,925

70,741

3,266

8,175

69,759

1,344

781

259

0

 

692,591

3,388,237

395,543

25,050

58,467

3,638

3,121

76,909

819

620

153

0

 

707,510

3,430,385

350,737

37,280

82,204

2,972

4,594

48,072

158

149

31

0

 

Softwood

Sub Total

 

9,225,840

 

8,907,504

 

7,890,203

 

7,385,392

 

6,880,508

 

6,925,720

 

5,514,259

 

4,639,451

 

4,645,148

 

4,664,092

 

 

Hardwood

 

93,533

 

69,454

 

89,924

 

65,767

 

54,541

 

51,690

 

50,546

 

28,975

 

13,428

 

8,653

 

 

TOTAL

 

9,319,373

 

8,976,958

 

7,980,127

 

7,451,159

 

6,935,049

 

6,977,410

 

5,564,805

 

4,668,426

 

4,658,576

 

4,672,745

 

(Sawn     

   Lumber)

HEM
DF
SPR
RC
YC
POC
NF
WF
TAM
WP
PINE
OTHERS

 

 

3,086,159

918,856

1,266,316

59,594

325,654

119

50,407

6,077

92

8,625

34,684

155,925

 

 

2,810,638

1,220,351

1,405,891

74,940

362,683

576

26,919

5,976

35

10,038

41,003

73,905

 

 

 

3,330,368

1,206,909

1,690,041

79,224

320,676

647

15,911

11,097

82

4,644

66,245

45,683

 

 

3,332,919

1,405,622

1,782,996

79,404

311,497

453

8,533

230

51

405

69,671

2,854

 

 

3,240,997

1,582,125

1,862,550

106,552

328,769

1,190

10,449

5,127

0

0

85,450

2,159

 

 

2,823,185

2,010,579

2,030,699

93,168

370,290

1,100

3,516

4,324

0

0

62,685

37,595

 

 

 

2,428,495

1,454,901

1,640,556

115,782

312,190

643

4,223

7,574

0

0

55,048

50,514

 

 

 

1,483,960

1,122,908

1,038,169

54,543

228,719

201

2,306

1,045

0

0

18,639

23,545

 

 

 

1,623,744

1,308,328

1,188,528

54,801

214,893

9

1,882

150

0

0

27,726

34,683

 

 

 

1,500,708

1,273,584

1,130,709

54,540

261,464

167

591

0

0

0

11,877

20,865

 

Softwood

Sub Total

 

5,912,508

 

6,032,955

 

6,771,527

 

6,994,635

 

7,225,368

 

7,437,141

 

6,069,926

 

3,974,035

 

4,454,744

 

4,254,505

 

 

Hardwood

 

112,200

 

108,994

 

124,266

 

134,164

 

145,241

 

146,320

 

161,150

 

78,746

 

79,948

 

69,968

 

 

TOTAL

 

6,024,708

 

6,141,949

 

6,895,793

 

7,128,799

 

7,370,609

 

7,583,461

 

6,231,076

 

4,052,781

 

4,534,692

 

4,324,473

Statistical Exhibit II

 

 

 

North  American  Timber  Imports  by   State  of  Origin

Unit: m3

 

 

 

1991

 

1992

1

993

 

1994

 

1995

 

1996

 

1997

 

1998

 

1999

 

2000

 

‘00/’99

 

(Logs)

Alaska

Oregon

Washington

California

Others

 

1,313,123

983,695

6,270,065

177,797

12,832

 

1,277,082

725,273

6,212,672

61,016

24,420

 

1,195,052

682,269

5,459,195

61,203

96,328

 

1,220,904

628,070

5,284,217

46,009

4,221

 

1,203,621

534,532

4,969,659

39,510

26,005

 

1,234,246

472,023

5,088,330

57,040

3,171

 

1,140,633

234,934

4,006,560

79,153

3,021

 

675,979

135,397

3,364,342

19,890

2,478

 

604,240

64,370

3,176,620

5,053

2,591

 

559,108

99,198

3,026,129

2,580

1,875

%

-7.5

+54.1

-4.7

-48.9

+27.6

US Total

8,757,512

8,300,463

7,494,047

7,183,421

6,773,327

6,854,810

5,464,301

4,198,086

3,852,874

3,688,890

-4.3

 

Canada

 

 

561,861

 

 

676,495

 

 

486,080

 

267,738

 

161,722

 

 

122,600

 

 

100,504

 

 

470,340

 

 

805,702

 

 

983,855

 

+22.1

 

Total

9,319,373

8,976,958

7,980,127

7,451,159

6,935,049

6,977,410

5,564,805

4,668,426

4,658,576

4,672,745

+0.3

(Sawn Lumber)

Alaska

Oregon

Washington

California

Others

 

359,234

361,453

975,277

46,568

122,885

 

303,706

262,392

876,129

23,384

86,778

 

305,272

399,302

863,076

22,974

97,575

 

252,707

490,903

730,770

9,203

119,094

 

126,315

391,634

777,195

3,305

132,401

 

61,503

367,224

853,147

4,215

132,789

 

54,646

231,298

652,994

3,556

143,676

 

24,799

170,333

271,505

2,502

62,838

 

21,817

192,356

252,553

2,002

69,058

 

116

176,999

247,193

1,086

63,726

 

-99.5

-8.0

-2.1

-45.8

-7.7

US Total

1,865,417

1,552,389

1,688,199

1,602,677

1,430,850

1,418,878

1,086,170

531,977

537,786

489,120

-9.0

 

Canada

 

 

4,159,291

 

4,589,560

 

5,207,594

 

5,526,122

 

5,939,759

 

 

6,164,583

 

 

5,144,906

 

 

3,520,804

 

3,996,906

 

3,835,353

 

-4.0

 

Total

 

6,024,708

 

6,141,949

 

6,895,793

 

7,128,799

 

7,370,609

 

7,583,461

 

6,231,076

 

4,052,781

 

4,534,692

 

4,324,473

 

-4.6

 

Source:  Japan Lumber Importer’s Association

                                                                                                                                                                                                                                                                                                                                            Statistical Exhibit III

 

 

 

 

 

 

 

 

 

 

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

 

‘00/’99 (%)

 

Log

10,114,790

9,969,408

7,438,263

6,802,103

5,924,504

5,781,061

5,232,651

3,192,231

3,403,726

3,033,952

 

-10.9

South-Sea

Lumber

1,202,518

1,196,981

1,357,592

1,296,725

1,330,287

1,213,973

1,271,557

776,896

921,764

973,401

 

+5.6

 

Total

11,317,308

11,166,389

8,795,855

8,098,828

7,254,791

6,995,034

6,504,208

3,969,127

4,325,490

4,007,353

 

-7.4

 

(%)

(91.4)

(98.7)

(78.8)

(92.1)

(89.6)

(96.4)

(93.0)

(61.0)

(109.0)

 

 

 

 

Log

9,319,373

8,976,958

7,980,127

7,451,159

6,935,049

6,977,410

5,564,805

4,668,426

4,658,576

4,672,745

 

+0.3

US & Canada

Lumber

6,024,708

6,141,949

6,895,793

7,128,799

7,370,609

7,583,461

6,231,076

4,052,781

4,534,692

4,324,473

 

-4.6

 

Total

15,344,081

15,118,907

14,875,920

14,579,958

14,305,658

14,560,871

11,795,881

8,721,207

9,193,268

8,997,218

 

-2.1

 

(%)

(94.3)

(98.5)

(98.4)

(98.0)

(98.1)

(101.8)

(81.0)

(73.9)

(105.4)

 

 

 

 

Log

4,303,232

4,267,674

4,984,953

4,846,539

5,464,145

5,448,355

6,133,950

4,761,471

6,096,491

5,511,652

 

-9.6

Russia

Lumber

250,441

222,224

275,202

328,384

396,762

397,898

503,940

295,332

448,180

541,468

 

+20.8

 

Total

4,553,673

4,489,898

5,260,155

5,174,923

5,860,907

5,846,253

6,637,890

5,056,803

6,544,671

6,053,120

 

-7.5

 

(%)

(89.2)

(98.6)

(117.2)

(98.4)

(113.3)

(99.7)

(113.5)

(76.2)

(129.4)

 

 

 

 

Log

1,604,278

1,812,036

1,539,485

1,757,324

1,753,896

2,045,078

1,799,280

1,804,588

1,510,631

1,747,340

 

     +15.7

New Zealand

Lumber

241,281

233,534

210,458

227,494

276,601

242,561

261,848

212,257

222,600

242,229

 

+8.8

 

Total

1,845,559

2,045,570

1,749,943

1,984,818

2,030,497

2,287,639

2,061,128

2,016,845

1,733,231

1,989,569

 

+14.8

 

(%)

(119.3)

(110.8)

(85.5)

(113.4)

(102.3)

(112.7)

(90.1)

(97.9)

(85.9)

 

 

 

 

Log

8,032

9,968

126,238

28,392

18,937

14,690

48,045

8,215

10,207

13,347

 

+30.8

Chile

Lumber

400,573

257,576

410,824

343,823

522,707

396,717

633,107

373,338

441,361

466,471

 

+5.7

 

Total

408,605

267,544

537,062

372,215

541,644

411,407

681,152

381,553

451,568

479,818

 

+6.3

 

(%)

(85.2)

(65.5)

(200.7)

(69.3)

(145.5)

(76.0)

(165.6)

(56.0)

(118.4)

 

Africa

Log

95,928

99,508

512,201

652,069

531,142

626,226

666,118

152,672

202,009

230,684

 

+14.2

 

(%)

(76.0)

(103.7)

(514.7)

(127.3)

(81.5)

(117.9)

(106.4)

(22.9)

(132.3)

 

 

 

 

Log

224

3,924

97,883

294,507

507,115

192,391

140,152

79,034

11,344

44,253

 

+290.1

Europe

Lumber

2,962

4,355

237,060

569,520

832,099

1,195,251

1,759,962

1,101,278

1,870,100

2,195,854

 

+17.4

 

Total

3,186

8,279

334,943

864,027

1,339,214

1,387,642

1,900,114

1,180,312

1,881,444

2,240,107