{"id":88515,"date":"2025-02-05T05:28:38","date_gmt":"2025-02-05T05:28:38","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/nz-log-market-steady-despite-chinese-new-year-slowdown\/"},"modified":"2025-09-19T09:03:34","modified_gmt":"2025-09-19T09:03:34","slug":"nz-log-market-steady-despite-chinese-new-year-slowdown","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/nz-log-market-steady-despite-chinese-new-year-slowdown\/","title":{"rendered":"NZ log market steady despite Chinese New Year slowdown"},"content":{"rendered":"

The New Zealand log market has started 2025 on a steady note, with increased At Wharf Gate (AWG) export returns. However, the underlying demand remains largely unchanged from 2024. <\/span>While export prices have risen slightly due to lower shipping costs and favorable exchange rates, supply levels remain a key factor that could impact sales prices.<\/p>\n

Chinese New Year impact and inventory levels<\/h3>\n

The Chinese New Year (CNY) holiday period, which began on January 29, has led to temporary sawmill shutdowns as workers return to their home provinces. These closures typically last about four weeks, but this year\u2019s break may extend longer.<\/p>\n

Early January saw off-port log uptake at around 65,000m\u00b3 per day, with inventory levels rising to nearly 2.9 million m\u00b3. By the end of the CNY period, inventories could reach 4 million m\u00b3, raising concerns for exporters.<\/p>\n

Meanwhile, China\u2019s construction sector has reported a slowing decline in residential house prices, with a 5.3% decrease in December compared to 5.7% in November. This marks the 18th consecutive month of declines, but market observers believe the bottom may be near. An estimated US$1.7 trillion in stimulus is expected to support the sector, though significant recovery may not occur until mid-2026.<\/p>\n

Chinese log futures market<\/h3>\n

A significant development has been the introduction of the Chinese log futures market in November 2024. Futures trading is aimed at stabilizing prices and reducing buyer risk, with around 3 million m\u00b3 currently under contract for delivery in late June. This timing coincides with a historically low demand period in China, and market participants are watching closely to see if futures trading can help maintain stability.<\/p>\n

Potential US tariff impact<\/h3>\n

The global market remains watchful of potential trade policy shifts under U.S. President Donald Trump. If the U.S. imposes new tariffs on China at the levels previously suggested, Chinese furniture production could slow, reducing demand for New Zealand logs. The extent of the impact will depend on the final tariff measures implemented.<\/p>\n

Domestic market outlook<\/h3>\n

In New Zealand, domestic log demand remains solid, driven by increased residential construction activity. With interest rates stabilizing and population growth continuing, more building projects are moving forward. Construction costs appear to have stabilized, leading to renewed investment in housing.<\/p>\n

Sawmills are operating at full capacity, and pricing has remained steady since the third and fourth quarters of 2024. Pruned log prices continue to hold a premium of around NZ$70\/tonne over unpruned logs, translating to approximately NZ$8,000\/ha at harvest.<\/p>","protected":false},"excerpt":{"rendered":"

The New Zealand log market has started 2025 on a steady note, with increased At Wharf Gate (AWG) export returns. However, the underlying demand remains largely unchanged from 2024. While export prices have risen slightly due to lower shipping costs … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":95931,"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-88515","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends"],"acf":[],"yoast_head":"\nNZ log market steady despite Chinese New Year slowdown - 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\/nz-log-market-steady-despite-chinese-new-year-slowdown\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"NZ log market steady despite Chinese New Year slowdown - Timber Industry News\" \/>\n<meta property=\"og:description\" content=\"The New Zealand log market has started 2025 on a steady note, with increased At Wharf Gate (AWG) export returns. 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