{"id":82183,"date":"2022-04-15T05:27:25","date_gmt":"2022-04-15T05:27:25","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/race-replace-russia-increase-demand-finnish-softwood-lumber\/"},"modified":"2025-09-19T08:57:22","modified_gmt":"2025-09-19T08:57:22","slug":"race-replace-russia-increase-demand-finnish-softwood-lumber","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/race-replace-russia-increase-demand-finnish-softwood-lumber\/","title":{"rendered":"The race to replace Russia to increase the demand for Finnish softwood lumber"},"content":{"rendered":"
\n

The next few years will see a major change in the Finnish forest industry, as Russia and Belarus are out of the European market.\u00a0The situation is plaguing the markets and supply chains for forest products, and all countries are looking for new sellers of raw materials and buyers of end products.\u00a0This also affects Finnish companies in many ways.<\/p>\n

There are busy times ahead in Finnish forests, when Russian wood imports will be replaced by domestic wood.\u00a0However, the decline in wood use in the Finnish forest industry this year will provide some respite.\u00a0Harvesting volumes are expected to increase to almost 70 million cubic meters next year, and timber trade volumes and prices will also rise.<\/p>\n

One of the biggest effects of the Russian offensive war on the Finnish forest sector is the stagnation of wood imports.\u00a0Nine million cubic meters of wood were imported by Finland from Russia last year, accounting for 75 percent of the volume of imported wood.\u00a0Imports were mainly birch and wood chips.\u00a0The replacement of Russian wood is ahead, partly from Finnish forests and partly by increasing imports from elsewhere, such as the Baltic countries.<\/span><\/p>\n

\u201cThis year, the situation will be alleviated by the fact that the use of wood in the Finnish pulp industry will be reduced by a tenth due to cuts in production capacity and UPM's industrial action.\u00a0The Finnish wood products industry, on the other hand, is slightly increasing its production and use of wood, \u201dsays Paula Horne, research director.<\/p>\n

In addition, last year the felling exceeded the estimated amount of wood used, so there is some wood in stock.<\/p>\n

Next year, the production of the Finnish forest industry is expected to increase, so the use of wood is forecast to increase by almost eight percent, or about five million cubic meters.\u00a0If Russian imports are still frozen, the additional need will be mainly for domestic timber harvesting.\u00a0Uncertainty in the operating environment is exacerbated by EU proposals on forests.<\/p>\n

In total, felling volumes in Finland will increase by 3% this year and by the same amount next year.\u00a0Together with increased energy wood harvesting, timber harvesting is likely to rise above the maximum harvested harvest, 80.5 million cubic meters.<\/p>\n

Wood prices are rising and gross income is growing<\/strong><\/p>\n

The average annual price of logs in vertical trades will rise slightly this year compared to last year, but is expected to remain below the 5% inflation.\u00a0The development reflects the high export prices of softwood lumber.\u00a0Next year, average prices for softwood logs is expected to fall as lumber prices will fall sharply from current highs.<\/p>\n

The increase in construction costs is reflected in the softwood lumber market<\/strong><\/p>\n

Imports of softwood lumber from Russia and Belarus to Europe ended as a result of the war.\u00a0Last year, countries imported 7.7 million cubic meters of softwood lumber into the EU, more than a third of all non-EU imports.<\/p>\n

\"The race to replace Russian lumber will increase the demand for Finnish lumber briskly this spring and next summer,\" says forest economist Matti Valonen.<\/p>\n

In the autumn, the market situation for softwood lumber is expected to change, as the cessation of imports of Russian building materials will increase construction costs.\u00a0As a result, construction projects already planned may be postponed or canceled altogether, weakening demand for softwood lumber.\u00a0In addition, towards the end of the year, Russian softwood lumber will become increasingly competitive in the Chinese and North African markets.\u00a0A sharp rise in food prices could also have unpredictable consequences, especially in North Africa.<\/p>\n

This year, the average export price of Finnish softwood lumber is expected to fall by two percent.\u00a0A larger recovery is expected next year, when the export price will fall by almost a quarter.\u00a0The upward trend is the result of a balance between supply and demand.\u00a0Demand is being dampened by declining construction and do-it-yourself construction, and supply is being boosted by investment in softwood lumber production capacity.\u00a0Despite this, the price of softwood lumber remains clearly higher than before the pandemic.<\/p>\n\n\n\n\n\n\n\n
Forecast of Finland's exports of softwood lumber and plywwod<\/strong><\/td>\n<\/td>\n2022e<\/strong>
\n%<\/strong><\/td>\n		2023e<\/strong>
\n%<\/strong><\/td>\n<\/tr>\n
Softwood lumber<\/td>\nvolume<\/td>\n+5%<\/td>\n+2%<\/td>\n<\/tr>\n
<\/td>\nprice<\/td>\n-2%<\/td>\n-23%<\/td>\n<\/tr>\n
Plywood<\/td>\nvolume<\/td>\n+3%<\/td>\n+2%<\/td>\n<\/tr>\n
<\/td>\nprice<\/td>\n+4%<\/td>\n-4%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n

<\/h2>","protected":false},"excerpt":{"rendered":"

The next few years will see a major change in the Finnish forest industry, as Russia and Belarus are out of the European market.\u00a0The situation is plaguing the markets and supply chains for forest products, and all countries are looking … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":59390,"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":[3308,3306,3311,3432],"class_list":["post-82183","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends","category-market-analysis","category-wood-industry-prices","tag-finland","tag-lumber","tag-russia","tag-softwood-lumber","topic-forestry","topic-industry-prices","topic-sawmilling","area-europe","area-russia"],"acf":[],"yoast_head":"\nThe race to replace Russia to increase the demand for Finnish softwood lumber - 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