The 73rd edition of the International Softwood Conference was held on 22\u201323 October 2025 in Oslo, Norway. The event was hosted by Treindustrien in cooperation with the European Organization of the Sawmill Industry (EOS) and the European Timber Trade Federation (ETTF), gathering over 260 participants from across the global wood industry.<\/p>\n
Industry visits and economic overview<\/strong><\/p>\n On 22 October, participants visited key Norwegian wood industry sites, including Mj\u00f8st\u00e5rnet, the world\u2019s tallest timber building, located about 150 km north of Oslo. The conference opened with an economic overview of the global and European softwood sectors delivered by Johan Freij, who underlined the exceptional uncertainty currently facing the world economy. He noted that structural inflation could persist for years, though fiscal measures and new investments may provide renewed momentum for Europe.<\/p>\n In the forest and wood sector, Freij acknowledged potential constraints in log supply but pointed to encouraging developments such as improved log yields and growing awareness of wood\u2019s role in combating climate change. Speakers agreed that the industry should be more assertive in communicating the climate benefits of wood, not only as a carbon store but also as a substitute for more carbon-intensive materials. Given the expected long-term decline in spruce availability, several participants emphasised the need to promote wider use of pine in construction and other applications.<\/p>\n Market trends and global perspectives<\/strong><\/p>\n EOS President Tommi Sneck and ETTF Vice-President and Softwood Chairman Morten Bergsten highlighted similar market realities from producer and trader perspectives. After reaching its peak in 2021, European softwood production has declined by about 10% in response to reduced demand. If current forecasts hold, production will stabilise in 2025 and remain steady into 2026. Sneck noted that rising raw material costs have squeezed profitability, with significant regional differences. High log prices combined with subdued sawnwood demand worldwide create uncertainty about future margins.<\/p>\n Despite these pressures, both Sneck and Bergsten pointed to early signs of recovery in construction. After two decades of underbuilding in Europe, the United States, and China, combined with easing inflation, 2026 could bring a gradual rebound in construction markets. Bergsten added that the sharp increase in regulatory and bureaucratic requirements in recent years continues to weigh on competitiveness, calling for simplification and a more supportive policy environment.<\/p>\n The conference featured in-depth presentations on key international markets. Stephen Sabine of JAM Timber Consulting reported that the UK market is expected to remain broadly stable, with imports slightly lower in 2025 than in 2024, and potential for moderate recovery in 2026.<\/p>\n Paul Jannke of Forest Economic Advisors provided insights into North American markets, noting that while the US housing market holds pent-up demand after years of underbuilding and favourable demographics, high mortgage rates and economic uncertainty are keeping housing starts at subdued levels.<\/p>\n Jannke and other speakers also discussed the growing role of US tariffs and geopolitical instability in shaping global trade flows. European producers currently face a 10% tariff on sawn softwood exports to the US, while Canadian producers continue to face much higher duties, which could improve Europe\u2019s relative competitiveness in the US market. Canadian exporters are actively exploring diversification opportunities in other regions.<\/p>\n In Asia, Olle Berg of Setra Group highlighted Russia\u2019s increasingly dominant role in the Chinese market, where it largely dictates prices. However, China\u2019s softwood consumption remains at a fraction of its historical levels due to the ongoing crisis in the construction sector. Although the outlook remains fragile, cautious optimism exists for gradual improvement after 2026.<\/p>\n Fredrik Westling of Forssell Timber presented on Japan, where the market remains difficult due to a weak yen and falling housing starts. Nevertheless, the government\u2019s push to increase wood use in non-residential construction could help offset part of the decline in housing-related demand.<\/p>\n The Middle East and North Africa remain vital export destinations for Nordic sawmills, particularly for lower-grade pine, according to Erik Eliasson of Norra Timber. Demand in this region is expected to stay relatively positive in the coming years.<\/p>\n A recurring theme throughout the conference was the long-term outlook for log supply. According to Sami Pastila of AFRY Management, availability is expected to plateau globally and, in some areas, decline. Christian Nielsen of the Swedish Food and Forest Industries emphasised that the industry must adapt by processing smaller-diameter logs, expanding the use of pine in construction, and improving efficiency throughout the value chain.<\/p>\n Kristo V\u00e4lja of the Estonian Forest, Wood and Industries Association provided an overview of the Baltic markets, describing both the structural challenges and the strong export orientation that make the region a key contributor to Europe\u2019s softwood supply.<\/p>\n New opportunities and EUDR uncertainty<\/strong><\/p>\n The final session focused on new market opportunities. Paul Brannen of EOS and CEI-Bois discussed housing policies in the UK and EU, highlighting the role of timber in future construction strategies. Mona \u00d8rbekk of RVT presented the potential of renovation and rooftop extensions as emerging outlets for softwood products, while Frode Henning Killi of Moelven showcased initiatives supporting reconstruction efforts in Ukraine.<\/p>\n The conference concluded with calls for clarity regarding the EU Deforestation Regulation (EUDR)<\/strong>, which remains a major source of uncertainty for the wood industry. Participants stressed the need for practical and proportionate implementation to ensure that all operators across the value chain can comply effectively.<\/p>\n Despite another year marked by subdued demand and profitability pressures, participants expressed cautious optimism that 2026 could mark the beginning of a gradual recovery for the European softwood industry. The sector remains committed to improving efficiency, promoting sustainable wood use, and strengthening its position in global markets.<\/p>\n The next International Softwood Conference will take place in Dublin, Ireland, on 28\u201329 October 2026.<\/p>","protected":false},"excerpt":{"rendered":" The 73rd edition of the International Softwood Conference was held on 22\u201323 October 2025 in Oslo, Norway. The event was hosted by Treindustrien in cooperation with the European Organization of the Sawmill Industry (EOS) and the European Timber Trade Federation … Continue reading