{"id":81159,"date":"2021-09-07T10:12:28","date_gmt":"2021-09-07T10:12:28","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/new-zealand-export-log-prices-china-drop-due-rising-shipping-costs\/"},"modified":"2025-09-19T08:56:01","modified_gmt":"2025-09-19T08:56:01","slug":"new-zealand-export-log-prices-china-drop-due-rising-shipping-costs","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/new-zealand-export-log-prices-china-drop-due-rising-shipping-costs\/","title":{"rendered":"New Zealand export log prices to China drop due to rising shipping costs"},"content":{"rendered":"

Prices for New Zealand exports of logs in August dropped around $35 per JAS m3<\/sup>\u00a0from July prices, due to the combination of reduced demand in China and increased shipping costs. This was an average reduction of 30% across the grades.<\/em><\/p>\n

CFR prices in China are still relatively healthy for this time of the year with A\u00a0grade logs selling for about 160 USD per JASm3<\/sup>. It is expected that log prices in China will now steadily increase because of a reduction in log supply from New Zealand due to the Covid lockdown, and an increase in log demand in China. High ocean freight costs, however, will limit AWG increases for New\u00a0Zealand forest owners.<\/p>\n

The PF Olsen Log Price Index for August reduced $21 from $139 to $118. This was a result of the drop in AWG prices for export logs.\u00a0The index is currently $5 below the two-year average, $6 below the three year-average and $7 below the five-year average.<\/p>\n

AWG prices are usually set at the start of each month. In August exporters were very reluctant to set prices, with CFR prices still not confirmed in China as there was a standoff over prices in LC\u2019s for vessels enroute. During this time shipping costs increased, and the New Zealand dollar strengthened, which did not help the AWG calculations. Once the dust settled there was still differences in AWG between exporters but not the array seen in July. The average drop in prices was about 35 NZD per JASm. AWG prices in Gisborne were again affected by the high demurrage costs, but the ability to load vessels during the Covid Level 4 lockdown has eased this situation.<\/p>\n

The price for A grade logs was in the mid 160\u2019s USD per m3<\/sup>\u00a0for A grade. Exporters noted Chinese log buyers were immediately more active upon announcement of the Covid lockdown in New Zealand. This lockdown will be for two weeks to the end of August. Vessels have been able to be loaded during this time, but all harvesting has ceased. This has assisted with port congestion at Gisborne and Tauranga. The average number of vessels departing New Zealand each month has been 55 this year. There are currently less than 35 vessels planned for September. This reduction in supply will hopefully assist with port congestion in China, where at two main port areas Lanshan and Xinminzhou log vessels are now waiting longer than three weeks.<\/p>","protected":false},"excerpt":{"rendered":"

Prices for New Zealand exports of logs in August dropped around $35 per JAS m3\u00a0from July prices, due to the combination of reduced demand in China and increased shipping costs. This was an average reduction of 30% across the grades. … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":64313,"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":[3254,3309,3722,3382],"class_list":["post-81159","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends","category-market-analysis","category-wood-industry-prices","tag-china","tag-exports","tag-log-prices","tag-new-zealand","topic-forestry","topic-industry-prices","topic-sawmilling","area-australia-and-pacific-region","area-china"],"acf":[],"yoast_head":"\nNew Zealand export log prices to China drop due to rising shipping costs - 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\/new-zealand-export-log-prices-china-drop-due-rising-shipping-costs\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"New Zealand export log prices to China drop due to rising shipping costs - Timber Industry News\" \/>\n<meta property=\"og:description\" content=\"Prices for New Zealand exports of logs in August dropped around $35 per JAS m3\u00a0from July prices, due to the combination of reduced demand in China and increased shipping costs. 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