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This year’s crazy import price rise in China came to an end in late May. Throughout June, the Chinese lumber import market continued to fall.

In China, the lumber market is obviously cyclical, with seasonal construction off-season and peak seasons, relative timber prices may fall and rise depending on this. As usual, the decline will occur before the Chinese New Year, mainly due to the decrease in construction in winter and the decline in demand. Also after June, rain, high temperature, busy farming, and a series of other factors determine a decline in the market.

However, this year is different from the past. The increase and decrease of Chinese wood import prices are larger than in previous years. After the Chinese New Year, with the soaring prices of commodities, the price of wood followed closely. Take the white pine lumber as an example. From March 1 to May 21, the price rose from 1,570 yuan/m3 (204.21 Euro/m3) to 2,150 yuan/m3 (279.68 Euro/m3). Up by 580 yuan /m3 (75.45 Euro/m3). However, starting from late May, as of June 21, the price fell to 1,820 yuan/m3 (236.71 Euro/m3), down by 370 yuan/m3 (48.13 Euro/m3), and the downward trend is expected to continue.

Even if current inventories are large in China at the moment, it doesn’t mean that the market will weaken, as was the case in the past years. At the moment, there are many factors in China that can influence the price trends, such as surging ocean freight, national economical policies, exchange rates and so on, which are currently changing rapidly.

The Chinese lumber market in May has created history, the price has set a new high, and the fast pace of falling was also unprecedented.  Given the current market conditions, it’s hard to forecast what will happen next.

The below index contains the latest update (June 2021) for prices of lumber from three major timber distribution markets in China: Shanghai Furen Timber Market and Guangzhou Yuzhu Timber Market and Sichuan Southwest Building Materials City.

Table 1:

Product name Price Unit Price converted in EUR/m3 Market Date of collected prices
African white wood lumber 7150.00 Yuan/cubic meter 929.89 Euro Sichuan Southwest Building Materials City 21/06/2021
African white wood lumber 4700.00 Yuan/cubic meter 611.24 Euro Guangdong Yuzhu International Timber Market 21/06/2021
Red walnut lumber 3700.00 Yuan/cubic meter 481.19 Euro Shanghai Furen Timber Market 21/06/2021
Red walnut lumber 3750.00 Yuan/cubic meter 487.72 Euro Guangdong Yuzhu International Timber Market 21/06/2021
White pine lumber 1820.00 Yuan/cubic meter 236.71 Euro Sichuan Southwest Building Materials City 21/06/2021
Sapele lumber 5720.00 Yuan/cubic meter 743.94 Euro Sichuan Southwest Building Materials City 21/06/2021
Sapele lumber 6200.00 Yuan/cubic meter 806.37 Euro Guangdong Yuzhu International Timber Market 21/06/2021

Table 2: 

Product name Price Unit Price converted in EUR/m3 Market Date of collected prices
Pinus sylvestris lumber 1760.00 Yuan/cubic meter 228.82 Euro Sichuan Southwest Building Materials City 21/06/2021
Imported red oak lumber 6800.00 Yuan/cubic meter 884.08 Euro Shanghai Furen Timber Market 21/06/2021
Teak lumber 24600.00 Yuan/cubic meter 3,198.30 Euro Guangdong Yuzhu International Timber Market 21/06/2021
Teak lumber 11140.00 Yuan/cubic meter 1,482.14 Euro Sichuan Southwest Building Materials City 21/06/2021
New Zealand radiata pine lumber 1630.00 Yuan/cubic meter 211.84 Euro Sichuan Southwest Building Materials City 21/06/2021
Canadian pine lumber 1650.00 Yuan/cubic meter 214.44 Euro Sichuan Southwest Building Materials City 21/06/2021
Beech lumber 4700.00 Yuan/cubic meter 611.35 Euro Shanghai Furen Timber Market 21/06/2021
Beech lumber 6240.00 Yuan/cubic meter 811.67 Euro Sichuan Great Southwest Building Material City 21/06/2021
Okoume lumber 3900.00 Yuan/cubic meter 507.29 Euro Shanghai Furen Timber Market 21/06/2021

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