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Tropical share of EU plywood market stabilises but at low level
The share of tropical countries in EU plywood imports fell to an all time low of less than 8% in 2015. While EU imports of plywood from tropical countries were rising slowly last year, imports from other countries increased more sharply, particularly of mixed hardwood plywood from China and birch plywood from Russia.
Latest EU import data (to end August) shows that the share of tropical plywood in total EU plywood imports has stabilised at the lower level during 2016. However there has been some shift in the share of other plywood suppliers into the EU. Continue reading "Tropical share of EU plywood market stabilises but at low level"
US lumber prices up slightly last week
Sales of framing lumber jumped Thursday after the Commerce Department released its U.S. housing starts report for October. The sharp gain was one of several catalysts sparking trader confidence and allaying fears of downside risk. News coverage on the U.S.-Canada trade dispute and expectations that the U.S. would soon file a trade case against Canada generated some buzz. Gains in January futures after Tuesday’s close of the November contract also helped to spur activity. Continue reading "US lumber prices up slightly last week"
Stora Enso and Volvo Cars to inaugurate renewable energy pipeline
Stora Enso and Volvo Cars officially opened a new hot water pipeline between their manufacturing sites in Ghent, Belgium, on 18 November 2016. The four-kilometre pipeline will take hot water heated using renewable energy from Stora Enso’s paper mill to the Volvo plant, where it will be used to heat buildings and paint booths. The annual reductions in CO2 emissions correspond to the heating of 5 000 households.
Bart Tommelein, Minister of Energy of the Flemish Government, ceremoniously opened the valves of the pipeline together with the managing directors of Volvo Car Gent and Stora Enso’s Langerbrugge Mill, Eric Van Landeghem and Chris De Hollander.
Thanks to the pipeline, Volvo Cars will use substantially lower amounts of fossil fuels for heating – also reducing the plant’s CO2emissions and energy costs. The project will lead to emission reductions estimated at 15 000 tonnes of CO2per year, cutting the Ghent plant’s total CO2emissions by more than 40 per cent.
Volvo Car Group has a stated ambition to be among the leaders in climate neutral operations and energy efficiency. The joint project with Stora Enso takes the company a significant step closer to this goal, reducing its Europe-wide CO2emissions by 24 per cent.
Stora Enso has committed to reduce the company’s use of fossil fuels to as close to zero as is technically and economically feasible over the next ten years.
This cooperation with Volvo is an example of the collaborative efforts Stora Enso is taking to combat global warming. Twelve of Stora Enso's mills are currently linked to local district heating systems, significantly reducing the use of oil and other fossil fuels in these localities. The project in Belgium was initiated in 2014.
“We are extremely pleased to be able to lower our CO2emissions and energy costs in line with our efforts to improve our internal efficiency and promote sustainability, both in the cars we make and in our production processes”, says Eric Van Landeghem, managing director of Volvo Car Gent.
“The construction of a system of industrial district heating outside our premises and the delivery of external renewable energy to Volvo Car Gent will lead to increased energy efficiency, which is beneficial to the environment and increases the use of our assets,” says Chris De Hollander, managing director of Stora Enso’s Langerbrugge Mill.
Stora Enso’s paper mill at Langerbrugge produces 550 000 tonnes of newsprint and magazine paper a year, made entirely from recycled paper.
EGGER gains two “Special Mentions” during the German Design Award 2017
The wood-based materials manufacturer EGGER wins two awards at the German Design Award 2017 from a total of 4,000 submissions. Continue reading "EGGER gains two “Special Mentions” during the German Design Award 2017"
UK switches to tropical hardwood plywood manufactured in China
Trends in overall EU imports of plywood are also partly dependent on shifting market conditions and preferences in different parts of the EU.
The increase in EU imports of tropical hardwood faced plywood from China this year has been concentrated almost entirely in the UK with a smaller amount destined for the Netherlands.
In recent years, of all EU importing countries, the UK has been most tempted by the low prices and relatively short transit times offered by Chinese plywood suppliers. UK importers have also Continue reading "UK switches to tropical hardwood plywood manufactured in China"
New Zealand’s prices for timber are set to rise due to recent earthquake
News is emerging that timber harvesting will be affected by the massive earthquake in New Zealand. A magnitude 7.8 earthquake struck on 13 November and this caused extensive damage to the road network. Continue reading "New Zealand’s prices for timber are set to rise due to recent earthquake"
Fiberboard and MDF markets in Russia see increased competition, but lower prices
The Russian fibreboard and MDF/HDF output got to 2.5 million m3 in 2014. The solid fibreboard and thin MDF/HDF (2-6 mm thick) reached 1.1 million m3 of the total amount. Solid fibreboard and thin MDF/HDF represent 88% of the Russian fiberboard and MDF exports. Continue reading "Fiberboard and MDF markets in Russia see increased competition, but lower prices"
US hardwood exports to China keep on increasing
This year continues to be a record year for US hardwood exports to China. The overall Greater China market is up 19% (YoY) through the first 8 months to $1.082 billion, but SEA (while making a late year comeback) is still down 3.4% (YoY) to $199 million. Continue reading "US hardwood exports to China keep on increasing"
US housing starts jump to post-recession high
US housing starts jumped 25% in October to a post-recession high as volatile apartment construction more than reversed a sharp decline and single-family starts surged as well. Continue reading "US housing starts jump to post-recession high"
Trump’s transition team warns on Canadian lumber as target in NAFTA reform
Donald Trump’a transition team is working on counseling the elected-president in extracting more favorable terms for the US regarding Canada’s softwood lumber and livestock producers and the renegotiation of North America’s free-trade agreement. Continue reading "Trump’s transition team warns on Canadian lumber as target in NAFTA reform"
Metsä Group’s Q3 operating result dropped
Metsä Group's sales in January–September 2016 totaled Euro 3,482.7 million, compared to Euro 3,810.6 million in January–September 2015.
The comparable operating result was Euro 332.1 million, or 9.5% of sales. The decrease in sales and operating result in comparison to the previous year is primarily attributable to the lower market price and sales volumes of pulp, as well as the commissioning of the new folding boxboard machine at Husum mill in Sweden and the lower price of the start-up volumes.
Sales for the 3Q 2016 totalled Euro 1,143.3 million, whereas the sales for the corresponding period last year were Euro 1,225.2 million. 3Q operating result was Euro 107 million, compared to Euro 142 million in 3Q 2015. Comparable operating result was Euro 103 million.
President and CEO Kari Jordan said: “Compared to the previous year, Metsä Group's profitability in 2016 was impacted by the lower market price of pulp and the start-up phase of Husum's new folding boxboard machine However, this year too we have surpassed the 10% target we have set for comparable return on capital employed.
“The approximately Euro 100 million development programme in our Wood Products Industry is likewise progressing in line with our objectives. The expansion of Lohja's Kerto® LVL mill has begun. The development programme includes investments in both Finland and Estonia, and it will be implemented by the end of 2018.
“Metsä Group is investing heavily in the growth of its core businesses. Resource-efficient processing into products creates the most added value for Finnish wood. It serves as an excellent starting point for the circular economy.”
Metsä Group is a forerunner in bioeconomy utilising renewable wood from sustainably managed northern forests. Metsä Group focuses on wood supply and forest services, wood products, pulp, fresh forest fibre paperboards and tissue and cooking papers.
US wood pellets exports to the EU countries keep on growing
US wood pellets exports to the European Union countries were on the increase path during January-August 2016. Thus, the EU countries imported 28% more wood pellets from the US during the mentioned period, as compared to the corresponding time of 2015.
The United Kingdom is the top importer of US wood pellets and its imports increased by 33% during January-August, amounting to 2,8 million tonnes.
According to the Eurostat latest statistics, Belgium' Continue reading "US wood pellets exports to the EU countries keep on growing"
German sawmills recover sales in September
Sales of the German sawmills show a slight recovery in September from the holiday month of August. Total turnover in August was more than +6% above the previous year, while in September it is only +3% higher against September 2015 (375 million euros).
Domestic sales amounted to 259.6 million euros. This is 10.9% more than in August, but 3.9% less than in September-2013. Continue reading "German sawmills recover sales in September"
Tolko Industries to sell mill in Manitoba
Tolko Industries Ltd. announced that Canadian Kraft Paper Industries Limited, a company affiliated with American Industrial Acquisition Corporation, has purchased its Manitoba Kraft paper mill and sawmill in The Pas, Manitoba.
As part of the agreement, all current Manitoba employees will transition to Canadian Kraft Paper Industries Limited, and maintain operations going forward. Over the coming months, Tolko will work with Canadian Kraft Paper Industries Limited to support a successful transition.
Brad Thorlakson, President and CEO of Tolko Industries Ltd. commented: “We are pleased negotiations with Canadian Kraft Paper Industries Limited have reached a successful conclusion. I want to thank the employees at the Manitoba operation for their dedication and patience throughout this process, and to the retirees for their support of the sale.”
Mr. Thorlakson went on to add, “We also want to acknowledge the critical role that the Swampy Cree Tribal Council played in enabling this sale; and recognize the Manitoba Government, the Town of the Pas, and local unions for their cooperation and work towards making this sale happen.”
Back in August Tolko announced that it will shut down the mill. The mill had been operating in the northern Manitoba town since the late-1960s and once employed more than 1,000 people, produces heavy kraft paper used in applications such as cement bags. Tolko Industries ended its lumber production in The Pas 8 years ago, when it closed its sawmill.
The Canadian company has 13 facilities in Western Canada, 3 in Alberta and one in Saskatchewan. The one in The Pas is the only Manitoba facility.
Back in 2014, Tolko explained Manitoba Hydro that the operations were suffering from competitive disadvantages, including higher fuel costs relative to competitors. Because Tolko uses a combination of oil and biomass and waste oil to fuel its steam boilers, it would have cost about $180 million to build the infrastructure necessary to gain access to the nearest natural gas pipeline, 200 kilometres away from The Pas.
Roundwood exports from Romania won’t be limited
The roundwood exports from Romania are no longer limited, as it was politically communicated in the spring of 2015. A new law is drafted at the moment as to continue to allow the exports.
The MPs’ argument is that a ban would generate “negative economic consequences in chain,” because the domestic furniture and construction industry can only absorb half of the exploited timber, Continue reading "Roundwood exports from Romania won’t be limited"
Wood pellets' price in Germany rises in November but still below the level of 2015
During November, the price of EN plus wood pellets in Germany amounted to an average of EUR 230.20/tonne. This represents a 1.7% increase as compared to October 2016 and a -2.3% decline over November 2015. Continue reading "Wood pellets' price in Germany rises in November but still below the level of 2015"
Wood pellets’ price in Germany rises in November but still below the level of 2015
During November, the price of EN plus wood pellets in Germany amounted to an average of EUR 230.20/tonne. This represents a 1.7% increase as compared to October 2016 and a -2.3% decline over November 2015. Continue reading "Wood pellets’ price in Germany rises in November but still below the level of 2015"
FLEGT licensing expected to boost Indonesian plywood exports to Europe by 20% in 2017
The European and British wood markets have become key markets for wood exporters in Indonesia. There are forecasts for significant plywood shipments increase next year, as the country has already exported its first batch of plywood with a license certifying their products as legally sourced.
As Jakarta Post reported, the value of domestic plywood exports to the major markets is Continue reading "FLEGT licensing expected to boost Indonesian plywood exports to Europe by 20% in 2017"
Talion Terra started OSB production line in Tver region, Russia
Talion Terra, owned by STOD LLC, has recently launched its OSB line in test mode. The equipment is set at the company’s site in Torzhok (Tver region). Continue reading "Talion Terra started OSB production line in Tver region, Russia"
