The CFR price for A-grade logs is currently in the USD 126\u2013129 range. While exporters are offering around USD 131, the market has so far resisted breaking through the USD 130 threshold. Wholesale prices in China have remained relatively stable; however, emerging inflationary pressures, partly driven by higher oil prices, are beginning to surface.<\/p>\n
Softwood log inventories in China have increased slightly, as expected, reflecting higher harvest production in New Zealand during March. This period typically sees elevated output due to a full schedule of working days in March and favourable operating conditions before the onset of autumn weather. Much of this volume arrives in China in April. Harvest activity in New Zealand has since declined, influenced by several factors including adverse weather events, the Easter and Anzac holiday periods, and some forest owners scaling back production in response to rising costs, particularly fuel. The harvest activity will reduce further as woodlots are completed but the next woodlot owner is reluctant to start with uncertain costs.<\/p>\n
As a result, inventory levels in China are expected to ease in the coming weeks as reduced harvest volumes in New Zealand begin to constrain log supply. Daily log offtake is currently steady at around 55,000\u201360,000 m\u00b3 per day, following a short-lived increase in demand during the first half of April.<\/p>\n
China\u2019s Caixin Manufacturing PMI edged up to 51.1 in March from 50.9 in February, indicating a modest but ongoing expansion in manufacturing activity. The improvement was supported by stronger output and an increase in new orders, suggesting some stabilisation in demand. However, business sentiment remains cautious, with continued weakness in the property sector and uncertainty in external demand weighing on confidence.<\/p>","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":98595,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[5204,4715],"tags":[],"class_list":["post-98594","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news","category-market-analysis","topic-forestry","topic-industry-prices","topic-lumber","topic-price-analysis-and-info","topic-sawmilling","topic-wood-products"],"acf":[],"yoast_head":"\n