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Explore the growing importance of US hardwood exports and the top markets for hardwood lumber. Learn about the competition, market shares, and potential opportunities in China, Mexico, Greater China, Southeast Asia, South America, India, and Europe.
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Growing Importance of US Hardwood Exports:Exports as a % of US Production Source: Hardwood Review, Oct 2004
U.S. Hardwood Exports1986-2004 $ Million AHEC Formed
Top 10 Markets for Hardwood Lumber: 1990 & 2004 Source: USDA
US Hardwood Exports 2004% Change from previous year Source: USDA-FAS
Most Active Major Markets 2004(Growth Rates by Value 2003/2004) % Change: Lumber USDA-FAS:
Value of Hardwood Lumber Exports to Mexico1996-2004 ($ Thousands F.A.S. value) Source: US Census Bureau
Mexico: Hardwood Import Market Share Source: Global Trade Index
Mexico • US exporters are facing stronger competition • Canada doubled exports to Mexico up to 6,000 m3 in 2004 • Peru, Bolivia and Brazil are exporting tropical lumber • More choices than 5 years ago • Promotion programs similar to AHEC in smaller scale from other countries
US Hardwood Lumber Exports to China ($ Thousands FAS value)
China: Hardwood Import Market Share Source: Global Trade Index
Top Lumber Species Exported to China ($ Thousands FAS value)
US Hardwood Log Exports to China: 1997-2004(Thousands of Cubic Meters) Source: USDA-FAS
World’s Leading Hardwood Log Importers Source: Global Trade Atlas
China: Hardwood LogImports 2003 % Market Share Seneca Creek/WRI 2004:
Greater China: Property Development • Approximately 700 million square meters of finished construction each year • Flooring demand to hit 2.5 billion square meters by 2008 • Door and window market to hit 500 million units by 2008 Source: ITTO, August 2004
Chinese Domestic Market • China Accounted for 20% of Global Economic Growth 2000-2004 • Automobile Market Exceeds Germany • Largest Mobile Phone Market in the World • Estimated 10% of Population with “Middle Class” Purchasing Power. Represents 130 million consumers and growing!
Greater China: Furniture Sector 35.4% growth! Furniture Production/Export in China Billion US$
Greater China: Furniture Sector Chinese Furniture Export by Province 2003 (Million US$) Province Guangdong province accounts For over 50% of China furniture exports.
Greater China: Furniture Sector Export Markets for Chinese Furniture in 2004 Exports to US is still ranked number 1 in the first three months of 2004 valued at $ 1.48 billion, increased 23.6% despite the anti-dumping chaos.
Trouble on the Horizon? • Is the Economy Overheating? • Real Estate Bubble? • Undervalued Currency? • Political Stability?
Other Markets to Watch • Southeast Asia/Vietnam • Middle East • Latin America • India • Caribbean • **The EU**
US Hardwood Lumber Exports by Volume - 2004 (m3)Under-promoted Markets Source: US Census Bureau
S.E. Asia: Market Overview Million US$
VIETNAM U.S. Hardwood Log, Lumber & Veneer to VIETNAM 137% Increase! Million US$
2 1 3 4 5 6 7 8 Establishment (company – enterprise) Picture of wood processing factories in VN Source: Ministry of Agriculture & Rural development (2003)
South America • Emerging Furniture Industries • 13,000 Brazilian manufacturers • U.S. exports of promoted products doubled • Brazil—12th largest market for veneer • Opportunity • High end furniture AHEC/AF&PA Korea Office September 2002
Brazilian Furniture Exports($million US) Source: Global Trade Atlas
Brazilian Furniture Exports(Main Importing Nations, 2004) ($Million US) Source: Global Trade Atlas
INDIA • Tariffs on Sawn Timber have Fallen from 60% to 20% • Population of 1 Billion • Opportunities • Small Furniture Manufacturers • High End Housing • Commercial Real Estate • Challenges • Almost no experience with American hardwoods AHEC/AF&PA Korea Office September 2002
World’s Leading Hardwood Lumber Importers Source: Global Trade Atlas
Hardwood Lumber Exports by Volume - 2004 (m3) Source: US Census Bureau
US Hardwood Lumber Exports by Value 2004 ($1,000) Source: US Census Bureau
EU Hardwood Lumber Imports(Billions of Euros) Source: EUROSTAT
EU Imports of Temperate Hardwood Lumber: 2004 (Millions of Euros))
EU 15 Wood Furniture Imports(Millions of Euros) Source: EUROSTAT
EU Wood Furniture Imports:Eastern Europe(Millions of Euros) Source: EUROSTAT
EU Wood Furniture Imports: Asia(Millions of Euros) Source: EUROSTAT
For additional information contact: AHEC Headquarters 1111 19th Street, NW, Suite 800 Washington, DC 20036 Phone: 202/463-2720 Fax: 202/463-2787 www.ahec.org