{"id":88354,"date":"2024-12-03T06:44:59","date_gmt":"2024-12-03T06:44:59","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/uk-hardwood-trade-hoping-for-better-times-in-2025\/"},"modified":"2025-09-19T09:03:15","modified_gmt":"2025-09-19T09:03:15","slug":"uk-hardwood-trade-hoping-for-better-times-in-2025","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/uk-hardwood-trade-hoping-for-better-times-in-2025\/","title":{"rendered":"UK hardwood trade hoping for better times in 2025"},"content":{"rendered":"

\u2018Average\u2019 is how one trader summed up the current UK hardwood market, echoing the sentiment of others in the business. \u201cThrough the year it\u2019s just been pretty flat,\u201d said an importer. \u201cWe set our budget and we\u2019ve hit our numbers each month but we\u2019re only just getting over the line. We\u2019ve had busy weeks, then quiet ones. There\u2019s been no pattern to it.\u201d<\/span><\/p>\n

The state of the market was mainly attributed to the slow-moving UK economy. The latest British Chambers of Commerce outlook forecasts a slight improvement from its previous analysis, but predicts 2024 GDP growth of just 1.1%, with government spending the main driver. It expects household consumption to increase in 2025 as the effect feeds through of lower inflation and interest rates (cut by the Bank of England on November 7 to 4.75%), but it sees GDP growth only hovering around 1%, before rising to 1.1% in 2026.<\/p>\n

One hardwood importer said after a slow summer they had seen \u2018some improvement in volumes in September. \u201cBut margins remain under pressure,\u201d Another importer agreed June to August was particularly quiet, more so than the usual summer vacation lull. But they too reported some improvement in September into October.<\/p>\n

\u201cWe\u2019ve had an increase in merchant activity and seem to be heading back to where we want to be,\u201d they said. \u201cWhether the budget reinforces the improvement or slams the brakes back on remains to be seen.\u201d<\/p>\n

\u201cWe won\u2019t see the outcomes until the medium to longer term and budget commentary in the media and financial sector is very varied,\u201d said an importer.<\/p>\n

\u201cThe hospitality sector is saying the increase in their employee National Insurance payments will hit their ability to not only recruit people, but to invest in refurbishment.<\/p>\n

However, the government is devoting an extra \u00a31.4 billion to school rebuilds and the hike in the minimum wage, fuel duty freeze and pension triple look, in combination with lower interest and inflation rates,to underpin higher consumer spending.\u201d<\/p>\n

Government promises of measures to increase house building to over 300,0000 homes were expected by an importer to boost the market as early as next year, reinforcing the positive effect of lower interest rates.<\/p>\n

\u201cWe expect the government\u2019s pledge to help improve industry and consumer confidence, lifting house building and repair maintenance and improvement work after some pretty depressed times,\u201d they said. \u201cAlthough it will take longer to feed through to second fix work in house interiors where most hardwood is used.\u201d<\/p>\n

This view tallies with forecasts from the Construction Products Association (CPA) in its Autumn report (www.constructionproducts.org.uk). After an \u2018extremely challenging 18 months\u2019 for the sector, it predicts UK construction output, to be 2.9% lower this year, before growing 2.5% next year and 3.8% in 2026.<\/p>\n

Private house building is predicted to be down 9% this year, but then to grow 8% and 7% in 2025 and 2026 respectively. Repair, maintenance and improvement work (RMI) is forecast to be 4% lower this year, but to pick up from Q2 2025 due to \u2018the wider house construction recovery, increased consumer confidence and sustained real wage growth\u2019, says the CPA. It predicts overall growth in RMI of 3% next year and 4% in 2026.<\/p>\n

The brighter spots in the hardwood market more recently, said suppliers canvassed, include some areas of joinery. \u201cDemand from staircase and window makers has picked up recently,\u201d said an importer. \u201cHopefully that\u2019s a sign of recovery in home improvement which contracted sharply after the boom times of the pandemic.\u201d<\/p>\n

Another importer distributor reported more activity in the door sector. \u201cIt seems to be driven by commercial and hospital builds,\u201d they said. \u201cFrom framing to door blanks, we\u2019ve been getting busier.\u201d<\/p>\n

Another point of general agreement in the sector is that there is plenty of hardwood in the market. \u201cAgainst the background of generally flat trade for 18 months, there\u2019s a lot of wood on the ground,\u201d said an importer. \u201cAnd we expect that to be accentuated by the closure of a Manchester importer. Overall, high stock levels are keeping margins tight.\u201d<\/p>\n

Looking at sources of supply, industrial relations at US ports are causing concern. \u201cThe dockers strike in September may have been called off, but it\u2019s a temporary agreement and it\u2019s back to the negotiating table in January so the American hardwood supply chain remains fragile,\u201d said one importer.<\/p>\n

\u201cThe implications of another strike are obviously serious,\u201d said an importer distributor. \u201cBesides the impacts on immediate deliveries, there are knock-ons in terms of container distribution. There is now an element of suppliers using the dispute to drive the market.<\/p>\n

Against the backdrop of continuing robust US domestic hardwood demand importers say it\u2019s also a seller\u2019s market.<\/p>\n

\u201cGetting what you want in terms of grade, dimension and so on is challenging,\u201d said an importer. \u201cYou have to be proactive and hunt it down and you\u2019ll still probably have to buy half a container of what you don\u2019t want to get the half you do.\u201d<\/p>\n

On European hardwood, oak and beech supply are reported to be stable, prices likewise. \u201cAvailability is there,\u201d said an importer-distributor. \u201cOn oak, if I need to buy ten loads, I know I can and the stronger pound has helped us on price.\u201d<\/p>\n

As far as African hardwoods are is concerned, an EU-based supplier to the UK reports shorter delivery times, except on iroko, doussie and zebrano.<\/p>\n

Sapele prices were reported down marginally at the start of the year but have been stable since. An importer said there is also enough African hardwood in the system. However, one importer said they had struggled to sell sapele over the last year due to an increase in uncertified timber coming into the market at prices they couldn\u2019t compete with.<\/p>\n

\u201cBut we\u2019re taking a strong stance. We decided 18 months ago to buy the majority of our sapele from one FSCcertified shipper supplying a quality product. We won\u2019t sell anything less than verified legal and preferably FSCcertified.\u201d But another importer reported a contrasting experience, saying the \u2018benefits in the market of offering FSC-certified African hardwood are more tangible than before\u2019. \u201cMaybe it\u2019s because it has become better known, with more major African shippers now offering it,\u201d they said, adding that their premium on FSC sapele was 10%.<\/p>\n

UK importers report iroko being increasingly difficult to find in sufficient quantities. Prices were also pushed up by lack of drying capacity, said an importer, although have now plateaued.<\/p>\n

Lesser-known African species, despite the environmental arguments for using them, are still reported to be making only limited headway. \u201cIt\u2019s partly because UK hardwood users are inherently conservative, but also the need for more technical information\u201d said an importer distributor.<\/p>\n

\u201cDensity is a particular issue. Some lesser-known species are extremely variable and wood machinists do not want to take a risk. We do see better prospects for them used to make engineered components for doors and windows, where we can sell product on end-use rather than species. But progress is not going to come rapidly.\u201d<\/p>\n

Certified South American red grandis is reported to be a good solid business. But trade with Asia, notably in Meranti, is said to have been slow.<\/p>\n

Perspectives on the engineered hardwood market vary. One importer said business was buoyant in engineered E. grandis and sapele and that they had started buying from one of West Africa\u2019s largest producers. Another said their engineered sales, mainly in oak, red grandis and pine had dipped in the weak wider market. \u201cBut we\u2019re still marketing it strongly and believe demand will return in 2025\u201d.<\/p>\n

There\u2019s positivity about prospects for modified wood. While the expansion work at Accsys\u2019 Accoya plant in Arnhem caused a hiatus in supply, now that is complete, and production has started at the new US Accoya factory the market is expected to pick up.<\/p>\n

Interest in Abodo, like Accoya based on New Zealand radiata pine but in thermo-treated rather than acetylated form, is also said to be gaining momentum in solid and engineered form.<\/p>\n

One thing importers were agreed on was that the deferment of the introduction of the EU Deforestation Regulation (EUDR) by 12 months is a positive. \u201cInevitably the UK will be impacted by the Regulation. Most UK timber imports are from the EU and not only will timber and wood products placed on the EU market have to be compliant, but also its exports,\u201d said an importer.<\/p>\n

\u201cAlso, many of our customers sell their finished wood products in the EU. All shippers will have to satisfy the EUDR\u2019s requirements for due diligence. It\u2019s a complex task and the EU has now accepted it needs to provide more guidance and clarity\u201d.<\/p>\n

A leading international trader and distributor said they would take the opportunity of the EUDR postponement to work with suppliers to ensure they can provide the compliance information required.<\/p>\n

\u201cThe online platform for uploading EUDR due diligence and geolocation information also goes live in November which will enable us to act to suppliers as if the Regulation is in place,\u201d they said. \u201cTogether we can make this work.\u201d<\/p>\n

Looking forward to the hardwood trade in 2025 the view of one UK importer reflected the consensus of the sector. \u201cSuccess will be down to maintaining customer service, while strictly managing timber inflows\u201d.<\/p>","protected":false},"excerpt":{"rendered":"

\u2018Average\u2019 is how one trader summed up the current UK hardwood market, echoing the sentiment of others in the business. \u201cThrough the year it\u2019s just been pretty flat,\u201d said an importer. \u201cWe set our budget and we\u2019ve hit our numbers … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":96214,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[4716],"tags":[],"class_list":["post-88354","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends"],"acf":[],"yoast_head":"\nUK hardwood trade hoping for better times in 2025 - 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\/uk-hardwood-trade-hoping-for-better-times-in-2025\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"UK hardwood trade hoping for better times in 2025 - 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