Western China Timber Market Rebound

The recent period, by the financial crisis and economic recession, the majority of timber supply and demand situation in China generally has a cold, and shrinking state. However, the only timber market in western China has some new changes, especially near the end of the trend of this change is more clear. A notable feature is that once a time lag behind consumer demand Weidun, market downturn was obviously back to temperature, arose from the needs of the situation were tested up efforts to sell to the momentum, especially because of the national implementation of ban on logging, limits cutting and has been quiet for a number of forest and western Chongqing, Guiyang, Xi’an, Lanzhou and the Hexi Corridor, an important timber supply and marketing areas have some shining points.

Currently, Southwest has been noticeably increased demand for various types of wood, and the demand for variety shows, demand for a wide variety of phenomena. Such as near the end of disaster relief, reconstruction, relocation and placement needs timber, there is infrastructure timber, decoration timber, furniture, timber, agriculture, timber, industrial timber, tourism, culture and sports use of materials and so on the timber constituted a greater demand for joint efforts. Supply channels in the material mainly in the north and south to the northern timber assembly; followed by wood from planted forests in Southwest China flooding the market demand for timber.

Special mention is that the western forest areas devastated by disasters, as national policy to protect the wood, get a quick sale. In addition, Xinjiang in Northwest China and southwestern Yunnan and Guangxi provinces (regions) in Central Asia and Southeast Asia with a number of timber producing countries adjacent to the geographical advantage, so that border trade is very active timber market, timber imports from Southeast Asia are often species border trade excellent of extremely high quality.However, it is noted that the recent past, in the Northwest timber market, more representative of the key areas of the wood products prices did not rise simultaneously with the recovery in consumption and demand, but because of different varieties and regions, showing the extent different whereabouts.

Overall performance are: forest area than the lowest sales; production of timber than the lowest timber infrastructure; decorated with wood furniture timber than the lowest. For example, production of various diameters Northeast, specifications of the red, white, pine needles off the traditional three materials, the price than the same period last year to float downward by 3% to 5%, or forty or fifty dollars. Russia imported pine lumber along the coast or on the Mainland than cheap 2 30 yuan per cubic meter; all kinds of artificial board has a different degree of market prices down, which MDF most obvious trend or momentum, particularly in thick plate price slump.The current timber market in the Northwest region is most characteristic of whatever wood, in the three grade level are more stable consumer products group. In contrast, mid range of wood products more market appeal.

The reason why timber market conditions in western China over a period there was a clear upward momentum to explore the root causes, first, the recent financial crisis on China wood products export enterprises affected coastal areas and to combat large, while the relative spread to the western region to a lesser extent; Second, the state recently proposed four trillion yuan investment in capital growth of the major strategic decision, a number of uses and measures and the western region, particularly the “three rural” are closely related, although the implementation of a process in itself, but in general people in the western region has produced a powerful psychological and intangible appeal is expected, on the demand for consumption and played an active role; Third, mainland China’s southeastern coast, and some of the larger real estate development companies in many cities lack the economy, one after another to the west transfer, the region’s timber market has injected new vitality to contribute to infrastructure decoration with wood and wood needs to increase; four in the western region near the real estate market prices drop, buyers are attracted to the role of the public; Fifth, at the end of decoration spending.

The timber market is back to lower temperature, but the price level is mainly due to the overall timber market, or the pattern of supply exceeding demand. So, seize the favorable opportunity of the market rebound, they played the various forms of price promotions war quickly before the end of capital return, in order to good business opportunities in the new round of competitive advantage gained, has become the western companies and businessmen of all timber consensus.

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