U.S. Imports Of Hardwood Plywood Skyrocket
U.S. imports of hardwood plywood are up dramatically this year vs. 2023. Vietnam and Indonesia are the largest sources. Imports from Vietnam are up by 191% through May. It looks like importers of hardwood plywood have adapted to or found a way around the Department of Commerce ruling in 2023 that found that most hardwood plywood imported from Vietnam was circumventing the duties on Chinese hardwood plywood.
DHA and our partners took several steps to reduce regulatory challenges to U.S. wood products manufacturing, including arguing for a delay in the implementation of the EUDR and supporting greenhouse gas technical assistance from USDA.
If you have questions or comments, contact me. I look forward to hearing from you.
Keith A. Christman, President
Decorative Hardwoods Association
U.S. imports of hardwood plywood shot up by more than 58% in volume and more than 33% in value so far this year. Vietnam and Indonesia are the largest sources. The U.S. imported nearly 300 million square feet from Vietnam from January through May, a staggering increase of 191%. Imports from Indonesia have already reached more than 279 million square feet, a leap of almost 50%.
DHA and allied associations are pushing for a delay in implementing the EU Deforestation Regulation. Our letter to the European Commission states that "without a corresponding delay to give producers enough time to comply we face a mounting trade risk, which is already beginning to jeopardize trade between the U.S. and European Union." The EUDR will go into effect on December 31.
DHA and a number of associations provided input to USDA in support of the Greenhouse Gas Technical Assistance Provider and Third-Party Verifier Program, designed to provide accurate, actionable information to landowners who want to participate in private carbon markets. We said that "establishing a GHG Technical Assistance and Third-Party Verification Program that includes the vital carbon capture and storage capabilities of finished wood products will enable USDA to fulfill its goal of creating guardrails that ensure the integrity of voluntary carbon markets."
Surface & Panel Magazine asked DHA to provide insights on the EPA draft risk evaluation of formaldehyde to inform their readers. DHA's article spells out the implications for final users of wood panels. In their evaluation, EPA concluded that "in this preliminary determination, EPA is finding the conditions of use related to exposure in residences from wood articles does not contribute to the unreasonable risk of formaldehyde."
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The U.S. government has published its Semi-Annual Regulatory Agenda for Spring 2024. The document is a preview of upcoming regulatory actions that will impact manufacturers and other businesses. Expect a proposed rule from USDA on climate-resilient forests in early 2025.
The House Appropriations Committee passed a funding bill for FY 2025 that affirms the status of forest products biomass as "carbon neutral." The bill includes amendments that would block the EPA's new regulation of fine particulate matter and USDA's proposed process to amend old-growth forest plans.
The recent growth in wooden furniture imports into Europe has been driven by China. Imports from China grew by 6% to 1.25 million tons in 2023. In the first four months of 2024, imports have already reached 480,000 tons, an increase of more than 50% over last year.
The U.S. Department of Commerce chose to make no changes to the preliminary determinations on antidumping and countervailing duties on imports of wooden cabinets from China that were further processed in Malaysia and Vietnam. The department will also impose a new certification process that requires importers and exporters to certify that each shipment from Malaysia and Vietnam does not contain cabinet components from China.
The volume of cabinets sold in the U.S. fell by 3.7% year-to-date through May. Total dollar sales dropped by 4.4%. Sales in May show some signs of growth, however, as the quantity of cabinets sold is up by 5.7% in May 2024 vs. May 2023.
Experts predict that homeowner spending on remodeling and improvements will increase from now through the first half of 2025. They expect that current declines in spending for renovations and maintenance will lessen to just -0.5% through the second quarter of 2025.
Virginia Tech researchers, working to help restore the American chestnut tree in collaboration with the American Chestnut Foundation, studied the genome of collected samples and determined that the trees actively adapt to the climate and environmental conditions of their area to survive. The research, published by the National Academy of Sciences, could help restore the American chestnut population.
PHOTO © AMERICAN CHESTNUT FOUNDATION
Forest carbon storage has declined across the Western U.S., likely caused by fire and drought. Researchers studied trends in carbon storage and found that climate change and fires could be causing forests to store less carbon, not more.
Forest thinning, said the California Farm Bureau, is a solution that could save forests and increase water supply. One factor that is likely to be contributing to catastrophic wildfires: California's forests have tree densities that are many times what is historically normal. The annual timber harvest stood at about 6 billion board feet in the 1990s; today, it is about 1.5 billion board feet.
Just how old is Smokey Bear this year?
Answer: Smokey Bear will be 80 years old this year.
PHOTO © USFS