{"id":78199,"date":"2019-09-30T08:07:40","date_gmt":"2019-09-30T08:07:40","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/france-price-of-logs-at-auctions-drop-sharply-due-to-china-us-trade-war\/"},"modified":"2025-09-19T08:51:47","modified_gmt":"2025-09-19T08:51:47","slug":"france-price-of-logs-at-auctions-drop-sharply-due-to-china-us-trade-war","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/france-price-of-logs-at-auctions-drop-sharply-due-to-china-us-trade-war\/","title":{"rendered":"France: Price of logs at auctions drop sharply due to China-US trade war"},"content":{"rendered":"

The euphoria that characterized France's oak market in 2017-2018 is now about to end.\u00a0This is one of the conclusions of the public sale of Beaune (C\u00f4te d'Or) in Burgundy, organized by the French\u00a0National\u00a0Forest\u00a0Office (ONF).<\/strong><\/em><\/p>\n

The results of the Burgundy auction clearly confirm the tendencies of weakening in demand which already were noticeable at the end of this spring's auctions.<\/p>\n

It's a already a fact, since the beginning of the year, the market has turned.\u00a0The slowdown in economic activity in China has had the effect of curbing trade with the outside world.\u00a0By the end of the first quarter of 2019, the exporters of oak logs found themselves with stacks of containers stuck in ports or with heaps of wood waiting in parks or roadside.<\/p>\n

But at the same time, oak logs sold in the fall continued to emerge from forests due to the last mild winter.\u00a0And as the private owners wanted to take advantage of the highest prices of oak, they sold a lot during the winter.\u00a0This rather brutal gap between supply and demand was further aggravated by the US-China trade conflict, resulting in large increases in US customs duties on certain\u00a0commodities<\/em>\u00a0(flooring, window frames, windows, etc.).\u00a0This lifting of barriers at the US borders also had negative effects on the demand for sawnwood, especially on second-choice products.<\/span><\/p>\n

\"This is why we are currently witnessing a rebalancing of markets,\"<\/em>\u00a0says Jacques Ducerf.\u00a0The leader of the eponymous group, however, notes that the Asian air hole is fortunately offset by the good performance of demand in Europe.\u00a0Bernard Robelin, CEO of Parquets Protat, makes a similar observation on the parquet business in France, where retail sales support the sector.\u00a0\"In contrast, the big French markets are down and exports to Europe appear average.\u00a0\"<\/em><\/p>\n

The results of the sale of Beaune are only the reflection of these recent evolutions.\u00a0The average number of offers per lot decreases (6.4 in 2018, 5.5 in 2019), the negotiated volume falls (99.6% in 2018, 83% in 2019).\u00a0And especially prices shrink significantly.\u00a0According to the ONF, they slide on average by 15% over one year, which brings the prices around the 2017 levels.<\/p>\n

According to our calculations and still on Beaune, the price of logs of 2 m3 decline fell over 1 year by 20%, those of 3.5 m3 yield 23% over the same period (see table below).\u00a0Oaks of 1.5 m3 which were priced at 150 \u20ac \/ m3 in the autumn of 2018, are now trading at 125 \u20ac \/ m3.\u00a0Logs of 4 m3 diameter, which were priced on average at 335 \u20ac \/ m3 a year ago, today cost 255 \u20ac \/ m3.<\/p>\n

French wood professionals confirm the contraction of prices.\u00a0The\u00a0Burgundy\u00a0sawyer Franck Mendoza said:\u00a0\"Customers are less fiery than in the two euphoric years that we have just experienced, during which we could not proceed with some of the requests.\u00a0And with the Asian market still probably saturated until the Chinese New Year, the decrease should logically continue this fall.\u00a0\"<\/em><\/p>\n

In the short term, however, the market remains unpredictable and no one knows how trade relations between China and the US\u00a0will evolve.\u00a0\"A tweet from Trump can change everything ...\"<\/em>\u00a0smiles Jacques Ducerf.\u00a0Finally,\u00a0Brexit<\/em>\u00a0- with the serious assumption of a\u00a0no<\/em>\u00a0deal - is not a prospect of a nature to reassure sawyers.\u00a0We will understand why they are now less hungry for oak.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n
\n

OAK PRICES DROP SHARPLY IN BURGUNDY\u00a0<\/strong>
\nPrices in euros \/ m3 in
\nONF public sales in Beaune (C\u00f4te d'Or)<\/em><\/p>\n<\/td>\n<\/tr>\n

<\/td>\nQ3 \/ 2014<\/td>\nQ3\u00a0\/ 2015<\/td>\nQ3\u00a0\/ 2016<\/td>\nQ3\u00a0\/ 2017<\/td>\nQ3\u00a0\/ 2018<\/td>\nQ3\u00a0\/ 2019<\/td>\nChange 2018-2019<\/td>\n<\/tr>\n
1,5 m3<\/td>\n95<\/td>\n100<\/td>\n122<\/td>\n140<\/td>\n150<\/td>\n125<\/td>\n-16.7%<\/td>\n<\/tr>\n
2 m3<\/td>\n127<\/td>\n145<\/td>\n170<\/td>\n186<\/td>\n204<\/td>\n162<\/td>\n-20.6%<\/td>\n<\/tr>\n
2,5 m3<\/td>\n149<\/td>\n180<\/td>\n205<\/td>\n223<\/td>\n245<\/td>\n190<\/td>\n-22.4%<\/td>\n<\/tr>\n
3 m3<\/td>\n170<\/td>\n210<\/td>\n233<\/td>\n250<\/td>\n279<\/td>\n216<\/td>\n-22.6%<\/td>\n<\/tr>\n
3,5 m3<\/td>\n187<\/td>\n234<\/td>\n258<\/td>\n275<\/td>\n308<\/td>\n237<\/td>\n-2. 3%<\/td>\n<\/tr>\n
4 m3<\/td>\ntwo hundred<\/td>\n255<\/td>\n279<\/td>\n295<\/td>\n334<\/td>\n253<\/td>\n-24.3%<\/td>\n<\/tr>\n
4,5 m3<\/td>\n213<\/td>\n-<\/td>\n298<\/td>\n314<\/td>\n356<\/td>\n268<\/td>\n-24.7%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>","protected":false},"excerpt":{"rendered":"

The euphoria that characterized France’s oak market in 2017-2018 is now about to end.\u00a0This is one of the conclusions of the public sale of Beaune (C\u00f4te d’Or) in Burgundy, organized by the French\u00a0National\u00a0Forest\u00a0Office (ONF). The results of the Burgundy auction … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":58082,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[4716,4715,4714],"tags":[4105,3538,4213,4214],"class_list":["post-78199","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends","category-market-analysis","category-wood-industry-prices","tag-auctions","tag-france","tag-oak-logs","tag-oak-prices","topic-forestry","topic-industry-prices","topic-sawmilling","area-china","area-europe","area-north-america"],"acf":[],"yoast_head":"\nFrance: Price of logs at auctions drop sharply due to China-US trade war - Timber Industry News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.timberindustrynews.com\/ro\/france-price-of-logs-at-auctions-drop-sharply-due-to-china-us-trade-war\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"France: Price of logs at auctions drop sharply due to China-US trade war - Timber Industry News\" \/>\n<meta property=\"og:description\" content=\"The euphoria that characterized France's oak market in 2017-2018 is now about to end.\u00a0This is one of the conclusions of the public sale of Beaune (C\u00f4te d'Or) in Burgundy, organized by the French\u00a0National\u00a0Forest\u00a0Office (ONF). 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