{"id":83005,"date":"2022-10-04T06:53:33","date_gmt":"2022-10-04T06:53:33","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/russian-timber-evades-us-sanctions-via-vietnam-china-says-environmental-group\/"},"modified":"2025-09-19T08:58:20","modified_gmt":"2025-09-19T08:58:20","slug":"russian-timber-evades-us-sanctions-via-vietnam-china-says-environmental-group","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/russian-timber-evades-us-sanctions-via-vietnam-china-says-environmental-group\/","title":{"rendered":"Russian timber evades US sanctions via Vietnam and China, says environmental group"},"content":{"rendered":"
\n

Russian birch wood continues to flow to US consumers disguised as Asian products, despite US economic sanctions against Russia over its invasion of Ukraine, a new report says.<\/p>\n

The Environmental Investigation Agency (EIA), a non-profit watchdog group based in Britain, has found that most of the birch products currently exported from Vietnam to the United States come from Russia. According to Vietnam customs data, about 40,000 cubic meters of birch wood is shipped monthly from Russia and China to Vietnam where it is assembled into furniture and plywood.<\/p>\n

These chairs and bed frames will hit the shelves of major U.S. retailers, the EIA said in a report.<\/p>\n

The group\u2019s researchers spoke to five Chinese companies that account for 60 percent of China\u2019s birch veneer exports to Vietnam and concluded that more than 90 percent of their birch comes from Russia. A Chinese lumber mill owner told the group that all the birches their company uses come from Russia, but are repackaged in China and re-exported to Vietnam, with China as the country of origin.<\/p>\n

US hunt for huge fortunes Russian oligarchs face barriers offshore<\/p>\n

\u201cShe [American importers] don\u2019t follow sources of original materials,\u201d the manager told the EIA. \u201cWe\u2019ve been doing this all the time.\u201d<\/p>\n

In June, Russia\u2019s Federal Forestry Agency claimed that the country\u2019s timber industry has not been significantly affected by sanctions.<\/p>\n

\u201cThe Russian forest industry complex is already focused on friendly markets and, where the restrictions have arisen, it has already been partially realigned,\u201d Pavel Chashchin, head of the agency, told Tass, a state-owned business news outlet. \u201cThe process of establishing new export channels will continue.\u201d<\/p>\n

In construction, birch, harvested from the vast forests of Russia, has long been considered the best source of plywood \u2013 a material used in floors, ceilings and partitions, as well as for decorative purposes on items such as doors and cabinets.<\/p>\n

Before the invasion of Ukraine, the United States imported hundreds of thousands of cubic meters of birch plywood from Russia annually, trade data shows. Driven by strong demand, these imports surged in the early months of 2022 before changing course in April when the Biden administration increased tariffs on Russian birch trees from 10 percent to 50 percent. From March to April, even as direct US imports of Russian birch fell, imports of birch plywood from Vietnam grew 206 percent, said the Decorative Hardwoods Association, which represents the US hardwood industries.<\/p>\n

Ngo Sy Hoai, vice president of the Vietnam Timber and Forest Product Association, a non-governmental trade organization in Vietnam, did not respond to questions about where companies get their birch trees, saying only that \u201cVietnamese plywood producers use certain amounts of birch wood from various sources for plywood pavements.\u201d<\/p>\n

Phuc Xuan To, a senior policy analyst at Forest Trends who has studied Vietnam\u2019s timber industry for years, confirmed the EIA\u2019s findings. Imports of birch sawn timber from China to Vietnam increased in the first half of this year, and birch trees are highly likely to come from Russia, To said.<\/p>\n

Western sanctions injure but don't crush Russia's economy<\/strong><\/p>\n

Interest groups say Russian birch also appears under misleading labels in markets outside the United States. Companies in Britain have recently received more offers of \u201cFar East\u201d birches, says Timber Development UK, which represents companies across the UK\u2019s timber supply chain.<\/p>\n

\u201cGiven that birch forests are concentrated in Northern Russia and Eurasia; it is almost certain that the birch in the plywood on offer does in fact come from Russia,\u201d the trade association said in a statement warning members of the UK sanctions.<\/p>\n

Although China also exports birch, the EIA said the world\u2019s largest traders preferred Russian birch, which is considered more consistent and durable.<\/p>\n

In March, Earthsight, another watchdog group from Britain, reported that some of Russia\u2019s largest forestry companies are owned by oligarchs with close ties to President Vladimir Putin.<\/p>\n

Mining magnate Alexei Mordashov, who was blacklisted by the European Union in March, owns significant assets in Sveza, one of Russia\u2019s largest exporters of birch plywood, Earthsight said. While Sveza\u2019s direct exports to Europe have declined since the beginning of the year, business executives recently told reporters it has been actively diverting supplies to Asia and Africa. \u201cI have absolutely nothing to do with the emergence of the current geopolitical tensions,\u201d Mordashov said in a statement in April.<\/p>\n

The family of telecom billionaire Vladimir Yevtushenkov controls Sistema, the parent company of Segezha, a logging company that exports to the European Union and the United States. In April, after being sanctioned by Britain, Yevtushenkov gave up shareholder control over the Sistema conglomerate by transferring 10 percent of its assets to his son. The Segezha group released a statement around the same time declaring it did not feel affected by British sanctions. \u201cSegezha Group is continuing its activities as usual,\u201d the statement said.<\/p>\n

Vietnam has strong political, defense and economic ties with Soviet-era Russia. At the UN General Assembly in September, Vietnam was among 35 countries that abstained from voting condemning Russia for its attack on Ukraine.<\/p>\n

The abrupt increase in exports from Vietnam at a time of dwindling Russian supplies caught the attention of the EIA, which has monitored the relocation of Chinese manufacturers to Vietnam in recent years, said Alex Bloom, an analyst with the agency.<\/p>\n

\u201cWe knew from previous studies that huge amounts of Russian wood, especially birch, are used in Chinese factories for exported plywood,\u201d she said. \u201cAfter U.S. Anti-Dumping Tariffs Enacted On Chinese Hardwood Plywood\u201d [in 2017]many of those Chinese factories migrated to Vietnam to avoid those tariffs.\u201d<\/p>\n

Thomas Chung, an EIA advocate who focuses on Vietnam, said the repacking of birch trees described by Chinese companies not only violates U.S. trade rules and laws, but could also be considered illegal under Vietnam\u2019s system for the legality of wood.<\/p>\n

\u201cThere is a requirement to know the origin of a wood product as part of a due diligence process when importing wood or wood products into Vietnam,\u201d he said. \u201cThis means that the origin must also be known when using intermediary markets. Any rebranding should be considered illegal.\u201d<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"

Russian birch wood continues to flow to US consumers disguised as Asian products, despite US economic sanctions against Russia over its invasion of Ukraine, a new report says. The Environmental Investigation Agency (EIA), a non-profit watchdog group based in Britain, … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":84291,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[4716,4715],"tags":[3901,3256,3311,3264],"class_list":["post-83005","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends","category-market-analysis","tag-birch","tag-plywood","tag-russia","tag-timber","topic-forestry","topic-sawmilling","topic-wood-based-panels","area-china","area-europe","area-north-america","area-russia"],"acf":[],"yoast_head":"\nRussian timber evades US sanctions via Vietnam and China, says environmental group - 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\/russian-timber-evades-us-sanctions-via-vietnam-china-says-environmental-group\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Russian timber evades US sanctions via Vietnam and China, says environmental group - Timber Industry News\" \/>\n<meta property=\"og:description\" content=\"Russian birch wood continues to flow to US consumers disguised as Asian products, despite US economic sanctions against Russia over its invasion of Ukraine, a new report says. 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