{"id":88366,"date":"2024-12-06T07:36:53","date_gmt":"2024-12-06T07:36:53","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/germany-wood-market-under-pressure-due-to-economic-instability-and-weak-construction-sector\/"},"modified":"2025-09-19T09:03:17","modified_gmt":"2025-09-19T09:03:17","slug":"germany-wood-market-under-pressure-due-to-economic-instability-and-weak-construction-sector","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/germany-wood-market-under-pressure-due-to-economic-instability-and-weak-construction-sector\/","title":{"rendered":"Germany: Wood market under pressure due to economic instability and weak construction sector"},"content":{"rendered":"

<\/span>The German timber industry is entering a period of significant change. As 2024 ends, rising prices for softwood sawlogs reflect shifting market conditions. Yet, despite this upward trend in certain areas, a cloud of uncertainty looms over 2025, driven by economic instability and a weakened construction sector.<\/p>\n

A complicated supply picture<\/strong><\/p>\n

Unexpectedly strong demand for coniferous sawlogs in the last quarter of 2024 has pushed prices higher. Sawmills, caught off guard by reduced availability of beetle-damaged wood, have had to pay more to secure supplies. Forest owner associations report that spruce logs of average quality are now fetching between \u20ac95 and \u20ac100 per cubic meter, with some transactions exceeding these levels. Pine logs have also seen price increases, with current rates around \u20ac75\u2013\u20ac80 per cubic meter.<\/p>\n

This resurgence in demand for raw logs contrasts sharply with the broader timber market. Sawn timber, in particular, continues to struggle. Economic pressures, including declining investments in construction, have hit demand hard, leaving producers with excess stock and tight margins.<\/p>\n

The construction sector\u2019s ripple effect<\/strong><\/p>\n

Germany\u2019s ongoing economic recession has had a cascading impact across industries, with construction bearing much of the brunt. A slowdown in new projects and reluctance to invest has left construction companies stretched thin. This has created challenges for the timber industry, especially for sawn timber producers, who rely heavily on the building sector.<\/p>\n

While demand for processed wood remains weak, the story is different for roundwood. The scarcity of supply earlier in the year has kept prices high, offering some relief to forest owners. However, this isolated success does little to offset the broader difficulties facing the sector.<\/p>\n

Hardwood market: stability meets uncertainty<\/strong><\/p>\n

The hardwood sector, while stable for now, faces its own set of challenges. High-quality hardwoods have maintained or even slightly improved their prices compared to last year, but lower grades are struggling to find buyers.<\/p>\n

Notably, 2024 saw a significant increase in beech harvesting, driven by demand from the firewood market. However, unusually mild winters have left many households with surplus firewood, leading to a slowdown in sales. Prices for beech remain strong for the moment, but experts warn that continued weak demand could cause a downturn.<\/p>\n

Other market dynamics<\/strong><\/p>\n

The energy wood sector is also grappling with oversupply, making it difficult for producers to sell additional stock outside of existing contracts. Meanwhile, industries such as pulp and paper appear more stable, with consistent demand keeping prices steady.<\/p>\n

2025 expectations<\/strong><\/p>\n

With no quick recovery in sight for the construction sector, the timber industry is bracing for a challenging year. Many companies expect revenues to hold steady at 2024 levels, but rising costs\u2014especially in logistics and administration\u2014are adding pressure.<\/p>\n

One bright spot is the temporary delay in the EU deforestation regulation, originally planned for 2025. This postponement gives forest owners and industry groups some breathing room to adapt to the new rules.<\/p>\n

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

The German timber industry is entering a period of significant change. As 2024 ends, rising prices for softwood sawlogs reflect shifting market conditions. 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