Log Export Ban by Russia to Badly Impact Global Trade

SEATTLE (Scrap Monster): The Wood Resources International (WRI) fears that global wood trade may come to a serious halt next year, as Russia’s proposed ban on exports of softwood logs and high-value hardwood logs comes into effect on 1^st January, 2022. The country had exported nearly 15 million cubic metres of logs in the previous year, accounting for almost 12% of the globally traded roundwood.

According to sources, the Russian administration also plans to implement new regulations to reduce green softwood lumber exports out of the country and incentivize fresh investments in dry-kilns. The administration believes that limiting log and green lumber exports will likely boost domestic value-added processing.

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The likely enactment of the law will impact Eastern Russian region the most, as it exports almost 10% of the timber harvest in the form of logs. The law may lead to prohibition of softwood log exports from Far East Russia, which in turn may badly impact Chinese lumber industry. Also, this may force China to look for alternative sources for logs, probably to countries in Oceania, Europe and the U.S. Additionally, WRI projects that China will shift to importation of lumber, mainly from lumber manufacturers in Europe and Russia.